This text initially appeared on Enterprise Insider.
This essay primarily based on a dialog with shiraz mawani, accounting supervisor, ticket vendor and YouTuber in Toronto. Insider documented his earnings. The next has been edited for size and readability.
I received into ticket reselling in 2014. My associates and I went to an NHL playoff sport yearly. That 12 months the ticket costs have been too excessive, so we determined to purchase additional tickets, promote them at a better value than we paid, and use the ticket income to attend the sport at a cheaper price.
I offered a couple of tickets by means of Craigslist and Kijiji, a Canadian gross sales platform, after which determined to attempt promoting two tickets by means of StubHub — my first time utilizing the platform. I did not know a lot about it, and at the moment I did not even think about that somebody would purchase tickets on-line with out having any thought who the vendor was.
After I posted the tickets, I used to be sitting at a restaurant with some associates and I received an e-mail that somebody had purchased them. We used the proceeds from the ticket resale to pay for half the value of normal priced tickets, and my associates and I received to go to the sport.
9 years later, I am nonetheless reselling tickets along with my full-time job as an accounting supervisor. I earn as much as $32,000 per 30 days in revenue. This is how I do it.
First I branched out into live shows
A number of months after the NHL playoff sport, certainly one of my associates informed me that Bruno Mars and Katy Perry have been coming to Toronto. They wished to attempt to promote tickets the identical approach we did for an NHL sport – besides this time, we weren’t fascinated by attending the occasion ourselves.
We’ve got continued to resell tickets for native occasions. After some time, my pal misplaced curiosity, however I continued to run with it. I saved on the lookout for tickets that will be on sale in Toronto and ultimately within the US.
Now 65% of the tickets I resell are for sporting occasions, whereas 35% are occasions together with live shows, Broadway exhibits and comedy occasions. It is only a private choice as I am not a giant music individual. Sport is what I do know and the place my focus is.
There are 2 sides of ticket resale
There are individuals who need to promote a couple of tickets, after which there are brokers who need to earn a living.
Relying on what kind of vendor you’re, there are totally different instruments you’ve entry to on every platform. The typical vendor solely sees one facet of the platform. Ticket brokers, nonetheless, have entry to instruments that establish which tickets will likely be on sale, a unique pricing construction, and a unique software program package deal.
As a ticket dealer, I exploit a point-of-sale system that makes use of an API to permit me to checklist tickets on a number of platforms directly. I’ll checklist my stock on my POS system, which I entry free of charge, and it’ll put the tickets on gross sales platforms like StubHub utilizing an API.
My favourite promoting platform is TickPick as a result of I discover it has the very best costs to purchase and the customer support is nice.
If there are tickets that expire or do not promote earlier than the occasion, I will decrease the costs, however there’s at all times a restrict to how low I will go earlier than I simply let the tickets sit.
The value relies on every vendor
I do know many sellers who attempt to value their tickets as cheaply as potential. I would not say it is a improper technique, but it surely’s not how I value tickets.
If there’s a number of search quantity for an occasion or an artist with a robust social following, or if they are going to a giant metropolis or a particular venue, I’d value tickets extra aggressively.
Though the value of every ticket is totally different, my common aim is to make between 30% and 40% revenue margin. With my kind of stock, I am often nearer to 30% after my gross sales charges are factored in.
For gross sales that happen on on-line markets, there isn’t a value negotiation
When approached by particular person patrons, I’ll attempt to provide them a good value beneath market worth and perhaps enable a little bit negotiation, however I typically keep agency on costs.
In Might, I offered 850 tickets for slightly below $121,000 in gross sales, which was about $32,000 in revenue, however this quantity fluctuates from month to month relying on the season. This 12 months has been very constructive for me, and I common about $30,000 a month.
I began a YouTube channel in 2018
My first YouTube movies have been vlogs the place I delivered maps to areas in several cities for patrons to obtain.
After I received again from these journeys, I felt like I had a bit of data to share with different individuals seeking to resell tickets, so I began creating content material about serving to the common fan promote their tickets.
Folks largely ask me what to do with their tickets if the occasion is cancelled, the time to resell tickets and whether or not they can belief sure platforms.
I spend between 20 and 40 hours per week engaged on my reselling enterprise, so it could possibly be a full time gig if I wished to, however at this level I contemplate ticket reselling and my YouTube channel to be a facet hustle.