Ticketing startup Ticketfly has landed $12 million in second round funding led by Mohr Davidow Ventures and with participation from existing investors, including High Peaks Venture Partners, Contour Venture Partners and angel investors Roger Ehrenberg and Howard Lindzon. The San Francisco-based company has now raised a total of $15 million.
A company spokesperson tells Billboard the funding will be used for product development, the increase of its staff in sales and marketing and an improved presence in new and emerging markets.
This significant round of funding is a vote of confidence for Ticketfly's business model and management. And it means more ticketing clients will employ white label ticketing. This model, employed by Ticketfly and other small- and mid-sized ticketing companies, allows the client to brand the ticket-buying process.
For artists, managers and venues, Ticketfly's funding means even greater use of social media in marketing and selling events. The company integrates social media tools into its platform so clients can more easily facilitate online word of mouth about upcoming events and onsale dates. Of course, it's not alone in this regard. Other ticketing companies, from Ticketmaster to TicketBiscuit, have integrated social media tools as well.
In addition, this round of funding shows investors still see ticketing as a shifting market where the winners and losers have not yet been decided. There is still upside to be found, and companies need investment to help jockey for position. Ticketfly's $12 million is just the latest in a busy 16 months of activity in ticketing. In March, Showclix announced funding of $1.65 million. Last year $14 million was raised by three ticketing companies: $20 million by Eventbrite, $3 million by Ticketfly and $1 million by SeatGeek. In addition, Ticketbiscuit announced an undisclosed amount of funding in December and Gigbot was purchased by Ticketfly for an undisclosed amount. And, of course, there was Live Nation's merger with Ticketmaster in January 2010.
Mohr Davidow invests in information technology, life science and cleantech companies. The other music-related company in its portfolio is San Francisco-based RootMusic, which provides Facebook marketing tools for artists.