What's happening at ESPN is Going to Trickle Down to Sports Salaries

Sports is also one of the few things that people want live and don't want to miss a second (i.e. no binging/skipping commercials). Advertisers love that.
Also, judging by number of highlights/video etc. of NBA on youtube. NBA and networks with broadcasting deals control all of that actual content and there is fan demand.

I have no doubt at some point they'll figure out away to truly monetize all of that (see Vevo and Spottily after year of people saying you can't stop the MP3!!)

 

Right now, I'm literally paying about 100 a month just for the right to watch ROOT sports Houston.

Some of that money is going to ESPN, even though I really don't need the channel. Everything about ESPN's survival right now is tied to sports fans wanting to watch their local teams and being obligated to give a portion to ESPN. They are gonna keep losing viewers, and there's nothing they can do. Their success is tied to cable TV as a whole, as it goes they go. There really is no point in paying this huge money to the NBA and NFL.

My only concern is at what point the economics force them to stream directly to the fans, and keeping all the money themselves. the second that happens I'm done with cable, and many would be just like me. That in turn would lead to an almost catastrophic collapse of ESPN's already falling income.

The whole thing feels like a house of cards. If there's not a huge overhaul in the way the NBA is broadcast and covered in the next decade I will be shocked.

 

I definitely watch sports live.

That said I don't watch the commercials. I typically channel surf or throw it on mute and go to the bathroom, check out my phone, etc.

Do I still absorb some of what's selling? Well of course probably some. I know there's been a lot of Alfa Romeo and State Farm commercials. Lol.

 

broadcast rights go to the highest bidder...

 

I take it you avoid all commercials. And maybe prefer to binge other shows or otherwise not watch live

See the thing is, isn't doesn't matter. Since you are watching the sports live you count in the ad revenue. As long as you are tuned in you count

Soon they will learn how to count streamers and agree to a dollar rate. They'll even figure out how to count illegal streams. And when it comes to the NBA, it will be proven soon that international viewers is huge and revenue is increasing in real terms. Just have to agree on how to count it

 

I'll believe it when I see it. Same with stadium financing.

 

The only way sport revenues and salaries will drop is if there is a fundamental change in the popularity & success of the product - it won't be because of the change in viewing habits. Cord cutting is over-rated as a concept IMO - it is just delivering content using different method. If anything, it will shift profit away from the middleman (networks etc) and to the content provider - which is partially why you see ESPN having problems.

 

Contracts will not decrease. The platforms used for Revenue will change. The shift will be to streaming content. The leagues will make up the decline in TV rights dollars with Streaming content providers.

 

The numbers have to go down because all these subscribers ESPN and the like are losing is going to affect the next contracts more than anyone imagines. You can only cut so much of your staff to make up for the losses.

I am wondering about the rights they are paying the college conferences too, because they ratings they pull really don't justify the dollars they are paying to televise the games.

 

Came Across this:



Anyone still Watching ESPN regularly?

Rocket River