Lyte raises $15m for ‘post-primary ticketing’
Ticket exchange Lyte has raised US$15 million in a series-A funding round to further its mission of creating a “new category in live events: post-primary ticketing”, the company has announced.
US-based Lyte is a fan-to-fan ticket market that connects those no longer able to attend a sold-out event with those who wish to. Buyers can purchase tickets at a much lower price than those offered the secondary market, because Lyte uses dynamic pricing to keep prices below those offered by “third-party scalpers and shady marketplaces”.
Lyte’s ticketing partners include Eventbrite/Ticketfly, AEG’s Elevate Tickets, Live Nation’s Front Gate Tickets and Universe, and Patron Technology’s ShowClix, which it claims to empower to “own the secondary market” by capturing around 60% of the value that would otherwise be lost to third-party resellers.
The company additionally estimates it has saved fans $5.5m since launching in 2013.
Commenting on the new investment, which comes courtesy of Industry Ventures, Accomplice Ventures and Correlation Ventures, among others, Lyte CEO Ant Taylor says: “We made a foundational bet we could build a platform and marketplace that included and benefited all of the folks with financial and emotional investment in this industry: rightsholders, talent, enterprise ticketing companies, as well as fans.
“This raise is a validation of that bet. It’s a win for our partners and the future of the live events ecosystem.”
Other investors include Bernie Cahill and Greg Suess of Activist Artist Management, Chris Martin, the former CTO of Pandora, and internet entrepreneur Matt Mickiewicz, the co-founder of start-ups including 99designs, Hired and Flippa.
“Lyte puts control, revenue and insights into the hands of event producers”
Its ‘post-primary ticketing’ offer, according to Lyte, comprises “private label ticketing services offered to fans by the most iconic sports and entertainment brands, including Coachella, Mumford & Sons, Comic Cons in New York City and Seattle and scores more”.
Lyte’s clients include 50 festivals, 300 venues and several touring artists. The company is now focusing on non-US growth, as well as expansion into other areas of entertainment and sports.
“When our clients choose Lyte, they are choosing a platform that addresses the customer needs ignored by the traditional secondary market, and it does so in a way that is fair to fans, controlled by rights holders and which harnesses the best in yield management and marketplace science,” says Lawrence Peryer, Lyte’s head of business and corporate development. “Lyte puts control, revenue and insights into the hands of event producers, while providing a simple, safe and affordable fan experience.
“Combined with this funding round, the consortium of entities involved, our name-brand clients and legions of happy fans, Lyte’s platform is changing the face of ticketing while closing the door on the incumbent secondary players.”
“This important company milestone is just the beginning, and our clients and partners know it,” concludes Taylor. “We are creating a category that will challenge and overtake the incumbent secondary ticketing model. That is super-exciting.”
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