Digital Ally, the company behind resale marketplace TicketSmarter, has revealed a dip in revenues from its entertainment division during the second quarter of 2023.
The group has said that the dip is “largely due to management’s focus on right-sizing the entertainment segment, and working towards profitability; thus, decreasing marketing expenses, directly correlating to a decrease in revenues”.
The entertainment segment generated additional revenues totalling $4,655,270 (£3.7m/€4.3m) in service and product revenues for the three months ended June 30, 2023. This is a decrease of $525,693 or 10% compared to the $5,180,963 posted during the same period last year.
TicketSmarter offers access to over 125,000 live events and over 48 million tickets for sale through its platform.
In September 2021, the company formed a wholly-owned subsidiary, TicketSmarter, through the acquisitions of resale marketplace Goody Tickets and TicketSmarter. Digital Ally further formed Kustom 440 in late 2022, to create entertainment experiences through concerts, festivals and private events.
Kustom Entertainment is also a wholly owned subsidiary of Digital Ally and focuses on live events, concert production and ticketing. The group comprises TicketSmarter and Kustom 440.
In June, Digital Ally and Clover Leaf Capital (CLOE), a publicly traded special purpose acquisition company (SPAC), announced that Kustom Entertainment and CLOE had entered into a merger agreement.