News: ESPN/NBC begin negotiating for MLS/National Team Rights

Discussion in 'TV, Satellite & Radio' started by SirFozzie, Oct 18, 2013.

  1. SirFozzie

    SirFozzie Moderator
    Staff Member

    Apr 17, 2001
    Franklin, MA
    http://sportsillustrated.cnn.com/mo...agic-johnson-espn-media-circus/index.html#all

    Came across this bit in the latest Media Column by SI's Richard Deitch:

    Sports Business Daily writers John Ourand and Christopher Botta reported that MLS has started negotiations to extend its media deals with ESPN and the NBC Sports Group. SBD reported ESPN and NBC currently pay around $18 million combined annually for rights to MLS games and U.S. men's and women's national team games through deals that expire next year. According to SBD sources, the MLS is looking to more than double that figure, bringing in $40 million to $50 million per year.

    I'd be surprised if they get more than double, but what do I know.. but it's definitely a sign that rights are getting bigger (and yes, the USA Men rights are probably a big part of the deal)
     
  2. TarheelJTK

    TarheelJTK Member

    Dec 14, 2004
    Jersey City
    I think the rights could easily double given the rise of popularity of the national team. MLS needs to be more willing and flexible when it comes to scheduling for TV if they truly want to become a better commodity. Too many games kick off at once that greatly dilutes the available fan base for ratings along with games on the West Coast kicking off at 9 or 1o pm eastern on Sunday nights.
     
  3. EvanJ

    EvanJ Member+

    Manchester United
    United States
    Mar 30, 2004
    Club:
    Manchester United FC
    Nat'l Team:
    United States
    As for multiple games at the same time, the EPL, Bundesliga, and Serie A have times where they have 4 to 6 games going on. Although starting earlier would be fine with me, 9:00 P.M. Sunday starts are okay with me because they end at about 11:00 P.M., which is where I draw the line for if games end too late. That's earlier than some Sunday Night Baseball games and all Sunday Night Football games because soccer games take less time than baseball and football.
     
  4. TarheelJTK

    TarheelJTK Member

    Dec 14, 2004
    Jersey City
    Those countries (England in particular) have that blocked out to keep attendance high and because of tradition. In England, not all of those game are televised. MLS needs to bring ratings to the table if they want to continue to grow as TV money is where the big leagues in all sports make the most profit. So losing 60k-100k fans of MLS is not a good idea when the ratings are so tiny. Those leagues can fill all of their stadiums to capacity and still pull in ratings due to the huge popularity of the sport (similar to how the NFL blackouts game that aren't sold out yet has no issue getting ratings).
     
    QPR Kevin H repped this.
  5. stingbee30

    stingbee30 Member

    Mar 16, 2006
    Put calendar switch as part of the on-going negotiations.
     
  6. IU Gooner

    IU Gooner Member+

    Feb 8, 2009
    Chicago
    Hoping to see NBC getting a bigger chuck of the pie. The calendar switch would line up perfectly for an Stanley Cup Playoffs/MLS Cup Final double header!!
     
  7. CCinGermany

    CCinGermany Member

    May 3, 2006
    Chicagoland
    Club:
    FC Schalke 04
    Nat'l Team:
    United States
    If MLS can successfully negotiate a lot more money from NBC based on the ratings performance they have delivered, I would certainly like Garber to have a word with my boss about getting me a raise!
     
    UEFAJason repped this.
  8. Bariaga

    Bariaga Member

    Jul 9, 2008
    It's actually not THAT hard to do in a changing sports TV landscape where three networks will now fight tooth and nail for contents, viewers and (loyal) demographics. Do you think EPL deserved the $83 mil a year (3 times the previous amount) they got with the ratings they used to get even a year or two ago? At the time when the negotiations took place no one knew whether the ratings would jump 40% this year, and even with that increase it's unclear if the $83 mil a year is justified. But that's what will happen over the next few years .. a lot of sports properties will be 'overpaid'. You may have a different result if you hire those negotiators to talk to your boss.
     
  9. CCinGermany

    CCinGermany Member

    May 3, 2006
    Chicagoland
    Club:
    FC Schalke 04
    Nat'l Team:
    United States
    I totally get what you are saying...and I was also rather shocked by the high price paid for EPL, although it is no major surprise that heavy promotion and significantly more cable homes with access to the later Saturday games has resulted in much better numbers.

    Having said that, it seems pretty clear that NBC overpaid for MLS at the rate of the last contract. I can't imagine paying double when infomercials draw comparable numbers on NBCSN. Again, I get that live sport is more valuable than the raw ratings indicate...but I will be surprised (and graciously admit I was wrong) if NBC pays a significantly higher price to keep MLS based on averaging just over 100K sets of eyeballs per game.
     
  10. Bariaga

    Bariaga Member

    Jul 9, 2008
    I don't think the "infomercials draw better on NBCSN" is true. Eighty percent of the contents they televise draw around 50,000 viewers or less. Infomercials draw a lot less than that. Besides, you can't run your network on infomercials, especially in the time-slots MLS occupies, if you want to be a serious sports network. The $10 mil a year deal for some 100k viewers may seem like a bad deal to someone who doesn't have all the info (besides the raw numbers) but MLS does provide a young and loyal, albeit small, demo to the network. It helps them with the subscriber fee (even if half a cent per), on top of the ad revenues. $10 mil is also peanuts compared to what most sports properties get. It's not out of the possibilities that MLS provides a good bang for the buck at that price or even at a little higher.

    It's possible that NBCSN takes a chance on MLS (the way they have on NHL and EPL) for much more money with some conditions attached (i.e. "we'll give you more money and better promotion/coverage but you'll have to increase salary cap/bring in more DP's and talent, and give us more/better games etc.")
     
  11. CCinGermany

    CCinGermany Member

    May 3, 2006
    Chicagoland
    Club:
    FC Schalke 04
    Nat'l Team:
    United States
    This I could buy into, but I am still predicting a good chunk of the MLS package ends up on beIN. They have virtually unlimited funds, don't care at ALL about ratings and have no programming to speak of during the summer, or after the Spanish games have ended during the evening all year round.
     
  12. IU Gooner

    IU Gooner Member+

    Feb 8, 2009
    Chicago
    MLS took LESS money from NBC than they could've had from FOX Soccer in order to get more exposure. What the hell makes you think they'd go back to doing the exact opposite? BeIN would be a horrible place for MLS to wind up.

    Also, Barlaga, many believe NBC underpaid for NHL. The league was willing to take less then they could've gotten a shorter deal in exchange for more years and the commitment to every playoff game on TV, something the league has never had until now.
     
  13. stingbee30

    stingbee30 Member

    Mar 16, 2006
    No BeIN....BeIN is irrelevant at this moment and no ratings tracking for this channel.
     
  14. CCinGermany

    CCinGermany Member

    May 3, 2006
    Chicagoland
    Club:
    FC Schalke 04
    Nat'l Team:
    United States

    I am not at all a fan of beIN and would not be thrilled to see MLS there at all. Having said that, I personally think the combination of virtually unlimited money and no ratings tracking is a perfect fit for a league that wants to double its money despite poor ratings. Again, I will graciously admit being totally wrong if NBC re-ups.
     
  15. TarheelJTK

    TarheelJTK Member

    Dec 14, 2004
    Jersey City
    If MLS goes to beIN then that might derail all of the growth the league has experienced along with any hopes of a real New York team boosting ratings. As a league that claims they are growing, moving to a TV backwater that the average sports fan that MLS wants to bring in doesn't even know exists is not the way to do it.
     
  16. stingbee30

    stingbee30 Member

    Mar 16, 2006
    I will guarantee one thing: MLS will not be on BeIN. BeIN will be like another GOL-TV (irrelevant) or the defunct Setanta sports channel. Distribution will always be their biggest challenge. Fox Soccer eventually folded because FOX sports changed course. One of the main reason was that Fox Soccer was still way behind in distribution (peaked around 50 million homes), and remained a niche channel. It was a business model that didn't justify for Fox to pay premium TV rights for many soccer portfolios. This was one of the main reason MLS left Fox Soccer due to limited distribution. Fox could come back for MLS with Fox Sports 1 and 2 in the mix.

    BeIN is only available to about 8-10 million homes. It is as irrelevant as it gets in terms of distribution and branding purposes.
     
    Redbullsnation2012 repped this.

Share This Page