The Changing Face of Sports Media

 Posted on: June 20 2018
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By Matt Cacciato, Executive in Residence and Director, Masters of Sports Administration Program

Ohio University

The past few years, and even the past few months, have brought about numerous changes in the media space that will impact the sport tourism industry as organizational media strategies evolve. The number of new sports media offerings, technologies, joint ventures and mergers (completed and/or pending) have been dizzying and difficult to keep score of... even for those who follow the action closely! 

Therefore, it is worthwhile to highlight some of these happenings, and trends, to update you on key platforms in media. The biggest development is the industry's move toward a direct to consumer model with enhanced viewer control over when, where and how they follow sports. The following sports media platforms all deliver significant impact on the sports ecosystem and share the concept of greater viewer control:

  • ESPN+: The launch of ESPN+: A long time coming this subscription based ($4.99 per month) direct to consumer network offers a mix of sports from all the ESPN Networks via the re-designed ESPN App. The service debuted in late April and will provide significant revenues to a multitude of sports organizations at all levels with rights agreements and exposure for Soccer, Lacrosse, Grand Slam Tennis, Top Rank Boxing, eSports and smaller Division 1 Conferences (i.e., Ivy League, Sunbelt), just to name a few. There are more deals to come as variety and tonnage for ESPN+ is vital in order to attract as many viewers as possible.

  • Facebook Live and Facebook Watch: Facebook is now a content company and sports are a driver for each and every company hoping to attract eyeballs. No different for Facebook, and the combination of offering user generated content via Facebook Live and acquired rights from pro leagues (i.e. MLB) will be huge for anyone looking to super-serve their loyal followers. Jason Pheister, VP & GM of Spectrum Sports in the Midwest (and Executive Board Member, Greater Columbus Sports Commission) offered that "it's a necessity to digitally market amateur sports content in order to supplement traditional cable channel viewing." As an example, Spectrum offered extensive and simultaneous Facebook Live feeds of numerous regular season Ohio High School Football games airing on their Spectrum Sports Networks, and significantly improved their overall audience as a result (not just their paying cable subscribers who get Spectrum Sports exclusively).

  • The Olympic Channel: Maybe some of you noticed that the IOC, USOC and Comcast combined to launch this new cable channel last July to little/no fanfare, then used it as part of their vast coverage of the 2018 Winter Olympics from Pyeongchang. The good news for US "Olympic Sports", and host cities, going forward is that the partnership needs a lot of content so more premier competitions, festivals and trials will receive exposure. However, The Olympic Channel has competition from a growing competitor.

  • FLO Sports: This subscription based ($19.99 per month... yep nineteen ninety nine!) direct to consumer online network has been around for a number of years but they now have 20 different dedicated networks for various amateur sports such as wrestling, track & field, swimming, cheerleading/spirit and even marching band. This is for the hardcore sport enthusiasts that drive so many local sport events - and they now have a new source of revenue and exposure. FLO Sports has a number of established and respected media investors who are committed to the space. Their focus and intent has created competition for the owners of The Olympic Channel, and leverage for non-professional sports organizations and other rights holders. The net result has been more money in the way of rights fees. While FLO sports is commercial free, it's added exposure for event sponsors and cities.

  • Twitch TV: This Amazon owned online network is a sports media phenomenon and allows eSports and digital gamers to stream their own content, some of which (Fortnite, League of Legends, Overwatch League) amasses significant concurrent viewing and interaction. As professional eSports leagues grow (and they are, significantly!) the result is more events in more places, all of which have the access and ability to grow their audiences on Twitch.

  • YouTube, Snapchat, Twitter, and Instagram: Along with Facebook, these massive social media platforms/networks are critical elements of sports branding for the entire sports ecosystem (athletes, fans, networks, consumer goods, teams & leagues). I recently attended a major Division 1 University's multi-media marketing luncheon that featured guest speakers from their football program, women's basketball team, and the general athletic department. Each spends extensive time developing timely and consistent custom content on the platforms that best fit their respective teams. Each varsity program averages 2.5 active social media "channels" based on their student-athletes, coaches and overall sports preferences. What impressed me most was the unrelenting focus of all these teams to meet their target audiences where they live; on digital media. By the way, the department has 15 staff members dedicated to social media and "digital assets". I did say they were a major DI program, didn't I?

  • Regional Sports Networks: Finally, the announced and pending acquisition of Fox Sports' 22 Regional Sports Networks by Disney/ESPN for $20 billion would be the single largest sports media deal ever. Kind of crazy that nobody is talking about it, but maybe that is because Comcast/NBC Universal will likely up the bid. The impact of this many regional sports networks changing hands will obviously get the attention of the US Department of Justice. But one thing is inevitable, this movement of critically important regional networks with have a significant impact on sports beyond MLB, NHL & NBA (no NFL regular season games on RSN's).

This is just the starting point. There are so many more and not enough column inches here to continue.  The growth of free and subscription based direct to consumer sports networks like Monumental Sports Network (DC based from Ted Leonsis, owner of the Capitals and Wizards), Stadium, (from Sinclair Broadcasting, Silver Chalice, PGA and other investors), and The Lacrosse Network/TLN (from Whistle Sports) will only fuel the growth of sports rights production at all levels. In turn, the exposure for all stakeholders increases and provides new, more cost-effective marketing vehicles to meet the needs of host cities, rights holders, and event organizers. One thing is for sure, the viewer and sports fan are in control, and regardless of audience size, their passion will drive our industry going forward.

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