2.2 Event & Media Distribution

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Presentation transcript:

2.2 Event & Media Distribution Sports Distribution 2.2 Event & Media Distribution

Stadium as “Place” Sports – produced & consumed at same time Sports – produced & consumed at same place Stadium – IS the distribution method Stadium – adds to the “effect” of the event

Place=Distribution Sports are produced and consumed simultaneously The Stadium, Arena, or Venue serves as both the location and the method of distribution for the event The media also provides distribution of sports events News, TV, Pay-Per-View, Radio, Tablet, Internet… 36

Distribution of Events Attendance Gate or Gate Receipt Fan Fun Events Ancillary Events 37

Fan Involvement in Events Many ways that fans shape and effect games “Home Court Advantage” Noise meters Attendance records Ticket Prices & “Scalping” Media Input & Purchasing DirecTV, Satellite, Pay-Per-View

Dallas Cowboys Stadium New Stadium Dallas Cowboys Stadium New Yankee Stadium Cost: $1.5 billion Seating Capacity: 50,086 Cost: $ 1.3 billion Seating Capacity: 80,000 New Technology with : WiFi, Restaurants, LCD Screens, Ergonomic Seats...

New Stadium Farmers Field Barclays Center New Jersey Nets Los Angeles Future Venue??? NFL, Superbowls NCAA, Bowl Games

Game Coverage

New Stadium with Luxury Boxes Adds over $100 Million Annually to Team.

Ticket Distribution Variable Pricing Team & Venue Sales Ticket Brokers Price based on the time of the year, day of the week, and popularity of the opponent. Team & Venue Sales Sales: Face Value of Ticket “GATE” Total Ticket Sales for Event Ticket Brokers Sales Price + Service Charge Game Marketing, Advertising, Tech Support Customer Service, Sales Force

Goal of Stadium Create Value in Time Spent @ Park Attract More Spectators Make “Experience” Bigger & Better DAKTRONICS ®TECHNOLOGY Seat side concession ordering, replay, player statistics, . . . Define: REVENUE STREAM

Media Distribution Delivering Sports Events with MEDIA Television -- Radio Internet -- Satellite Tablet --Smart Phone                                                                                                                     

Rights to Distribution Networks Buy “Rights” to Broadcast Advertisers Buy Advertising Time During Broadcast Sponsors pay for Exposure from Broadcast Media Revenue goes to Team or League “REVENUE SHARING” “MEDIA RECEIPT”                                     

TV Facts $3.5 million A 30 second Super Bowl ad in 2012 University of Utah TV Revenue 2011- $ 3 Million 2012- $ 7.5 Million 2013- $ 11.5 Million 2014- $15 Million BYU earns $ 4 Million per year from ESPN.

Reliance on Media Money Sports Revenue in 2010 MLB $7.2 B NFL $9.0 B NBA $4.1 B NHL $3.0 B NCAA $757 M NASCAR $645.4 M

Benefits of Media Rights Guaranteed Mass Audiences Specifically Young Male Target Market Rating are Declining in All Programming Slower in Sports Programming NFL remains the most watched programming In 2011, nine of the top ten highest rated national broadcast were NFL programming. Companies can use sports to Create & Maintain their IMAGE

Cable & Satellite “Direct Broadcast” Offer Specialty Broadcasting Cable & Satellite Services DirecTV, Dish Network, Digital Cable Offer Specialty Broadcasting Provide Specialty Target Markets Provide Advertisements & Pay Per View Provide Statistics on viewership