No-fee ticketer TickPick has announced today that is acquired secondary ticketing marketplace, Razorgator. The deal will see TickPick acquire assets from one of the largest ticketing marketplaces after Razorgator declared it was formerly insolvent in February of this year.
“We’re buying everything related to the retail business,” Co-Founder and Co-CEO of TickPick Brett Goldberg told Amplify. “It is really the brand name, the domain name, and the user base.”
The acquisition will also include alternate domain names, trademarks, and technology from Razorgator after it filed for a California assignment for the benefit of creditors earlier this year. The shut down of Razorgator left many fans with invalid tickets and ticket brokers seeking payment for inventory placed on the site.
“There is definitely some negative sentiment,” Goldberg said. “Our belief is that we’ll be able to change that. Moving forward, every purchase will be seamless. There are obviously some legacy issues and we’re going to work through all of that.”
Though the Razorgator assets were purchased for an undisclosed amount, Goldberg explains that some of money from the sale should be going to creditors.
“From our perspective, we’re doing what we think is good for the industry. What is obviously good for TickPick, but also what is good for the Razorgator users,” Goldberg said. “If no one bought it, nothing would have happened and no one would be helping them. Now we’re here trying to salvage a bad situation for those users and for the million users that they have grown.”
Goldberg explained that tickets purchased prior to Razorgator’s shut down in February are out of TickPick’s hands. TickPick is not liable for the tickets that were on the Razorgator site prior to the sale since that money is in the hands of the creditors.
“We’re going to try to help consumers and make the situation as good as possible. We’re digging through what we have access to,” Goldberg said. “We’re going through the database and trying to figure out what we know of those sales, what’s been delivered, and what has been relayed to those consumers. We want to be able to give consumers the best piece of advice.”
The acquisition does not cover the corporate ticketing business that Razorgator operates with select corporate partners. Razorgator management will function as consultants after the acquisition to ensure a smooth transition of the Razorgator brand name and customers.
With the deal, TickPick will double its user base by adding one million Razorgator customers who will now have access to TickPick’s “Best Price Guarantee,” which will beat any competitor’s pricing for the exact same ticket (based on the total final price).
The acquisition marks the first implementation of the new TickPick white label solution, and the launch of a newly rebranded and improved Razorgator website allows the company to showcase its white label capabilities. TickPick will also leverage some of the back-end technology owned by Razorgator, including consumer-friendly pricing engines.
“For the time being, it will be a white label solution so we’re going to keep what was the traditional Razorgator approach which was you sell tickets for a ‘connection fee,'” Goldberg said. “Ultimately, the pricing is more or less the same but people are used to seeing lower prices and know that a fee is going to come on. If we showed our all in pricing, it would be higher than what Razorgator users are used to seeing and they may think ‘what’s happened to the pricing?'”
This latest acquisition follows TickPick’s announcement that they would be replacing StubHub as the official resale partner for Firefly Music Festival in Delaware.