AllTideUp
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A PwC prediction; sports rights will keep soaring until at least 2021
PwC is formerly PricewaterhouseCoopers....
Here's an article from Ad Age on the growth of sports rights in the near term:
Projections from Michael Keenan
It's from a few months ago, but nothing that's happened since has really upended any of the predictions. In fact, FOX's bid on Thursday Night Football really underscores it.
He doesn't address college sports to any significant degree, but it's this line that really hammers things home...
Quote:Sports rights cost networks an arm and a leg and part of the other leg...But they're pretty much the only thing keeping the lights on at the broadcast nets. In 2016, live sports accounted for 44 of TV's top 50 most-watched broadcasts, a ratio that is likely to be duplicated once this year's numbers are tallied.
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03-19-2018 03:07 PM |
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Win5002
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RE: A PwC prediction; sports rights will keep soaring until at least 2021
If that narrative is correct, that kind of shoots holes in the theory we need contraction in the number of teams at the Power 5 or P4 level.
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03-20-2018 05:27 PM |
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JRsec
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RE: A PwC prediction; sports rights will keep soaring until at least 2021
(03-20-2018 05:27 PM)Win5002 Wrote: If that narrative is correct, that kind of shoots holes in the theory we need contraction in the number of teams at the Power 5 or P4 level.
Not really. I don't think it will affect the P5/G5 situation at all. Instead it will mean that the existing conferences might all make a little more. The only shot the G5 had to move up was the market model which is now dead. Content will be the main driver of value moving forward. And eventually that could lead to more contraction, or more realignment. Brand on brand will add value so the impetus for brands to move will be heightened, especially from conferences with few major brands and lower payouts.
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03-20-2018 05:32 PM |
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AllTideUp
Heisman
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RE: A PwC prediction; sports rights will keep soaring until at least 2021
My offering to the leagues on how to maintain the pace of increase on TV rights is to go bigger.
The more content you have under one roof, the more leverage you have over the networks. Even if some of those teams aren't necessarily of high quality, the fact that one entity can restrict the flow of content for a network is a big feather in the league's cap.
It's one of the reasons the pro sports leagues bring down huge cash aside from simply having a presence in all the largest markets.
As long as academic and monetary goals are met by the league's membership, I'm not sure it even really matters how large you go.
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03-21-2018 02:18 PM |
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