Category: Blog

By Sasha Matar

Fifty years ago, a federal civil rights law was passed: Title IX. This law prohibits sex discrimination in all educational institutions (colleges or schools), programs, or activities that receive federal fundings. In other words, Title IX states that “no person shall, on the basis of sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any academic, extracurricular, research, occupational training, or other education program or activity operated by a recipient which receives Federal financial assistance”. On Title IX’s 50th anniversary, we’re reflecting on how this law changed sports as we know and love them today.

Title IX’s Breakthrough: Opening Doors for Female Athletes

As it is written, the law does not specifically mention the words sports, athletes, or any similar synonyms/phrases. It was initially intended to address educational gender discrimination and inequalities. Although in the 1970s, more women graduated high school than men (50% women vs 48% men in America), only 8% of women obtained a college degree. Women had a harder time getting into colleges because some schools established quotas that limited female students enrollment, some required women to have higher high school grades than men, or even limited what courses women could take. The number of women in sports was even lower. In 1972, only 2% of the college athletic budget was for female athletes and athletic scholarships were nonexistent. Only 300,000 girls and women played high school or college sports in the U.S.

Since athletic programs are also considered educational activities or programs, this law gave female athletes their right for equal sports opportunities and participation in all educational institutions (from elementary to schools to universities) that receive any Federal funds. Federal funds are common for almost all public and private colleges and universities as well as few private elementary, middle, or high schools. Slowly, Title IX became like a booster shot for female athlete equality. On one hand, more girls and females started participating in sports, and on another hand, more institutions and programs started implement this law for sports. By 2012, more than 3 million girls participated in high school sports alone and more than 190,000 women competed in intercollegiate sports. By 2016, 1 in every 5 girls played sports in the United States. Compared to the 1970s, only 1 in every 37 girls played sports. In the 2016 Rio de Janeiro Olympics and for the very first time, more U.S. female olympians participated than men with 292 women vs 263 men.

How Inclusion Shifted Women’s Sports

In February of 2022, the U.S. Women’s National Soccer team finally won the 6-year long debate of lawsuits and lobbying with the U.S. Soccer Federation. The U.S. women’s soccer team is the number one team in the world with a history of Olympic gold medals and FIFA World Cup championships, yet they were paid less than the men’s team. Whereas the men’s team barely made it to the top 15 teams worldwide and hasn’t always qualified for the World Cup. A part of the latest terms of agreement, the Soccer Federation will equalize pay between the women’s and men’s national teams in terms of same pay and prize money for all competitions (including the World Cup). This is a big win for women’s soccer and women’s sports in general as more countries follow the lead with new equal pay agreements. On June 14th 2022, the Spanish Football Federation announced a new five-year agreement that will provide the female national team soccer players with the same bonuses as the male national team. However, this ultramarathon pursuit of equality still has a long way to go, because in reality, women’s sports had decades of catching up to do. 

While the NBA was founded in 1946 and FIFA in 1904, the WNBA was founded 50 years later in 1996 and the women’s World Cup started in 1991. Women have almost 100 years of catching up to do, but this doesn’t have to take 100 years to happen. It’s going to take more than just equal funding for athletic programs and leagues to improve equality in sports – there needs to be a change in attitudes and perceptions. Old and offensive stereotypes about women or female athletes are still part of many cultures.

The Gaps That Remain: Leadership, Funding & True Equity

According to the National Women’s Law Center, there would still be unequal access to sports even if all athletic budgets were equal for men and women at every school in America. Girls usually have 82% of the sports opportunities that boys have at majority-white schools with an even lower percentage, 67%, at schools with the majority are students of color. This can be partly attributed to the fact that sports institutions and organizations offer higher rates of athletic opportunities to males than female athletes. According to a report published by the Women’s Sports Foundation, “86% of NCAA institutions across all divisions offered higher rates of athletic opportunities to male athletes disproportionate to their enrollment. For the 2019-20 academic year, that gap favoring male athletes represented 58,913 missed opportunities for female athletes”. Race is also a major contributing factor for inequality in women’s sport. Economic inequalities and limited resources of school districts exist in many communities of color thus making it difficult for women to focus on education, let alone sports.

Title IX does not state that there should be a decrease in male athletes’ opportunities or fundings so that there is an increase in female athletes’ opportunities or fundings – organizations and institutions can make sure opportunities coexist for both men and women. It’s still the beginning of the journey for girls and females all over the world, as better and equal opportunities arise from sports organizations and federations to make sports more accessible. There is so much more that still needs to be done and it’s on the sports fans, media, federations, and sports organizations to put in the effort. Fans can support female athletes or women’s sports by attending their games, watching them on TV, or following them on social media. Media and journalists need to avoid using sexist language or innuendos that belittle female athletes. Sports Federations need to develop gender equity policies to ensure that women doing the exact same work should get equal opportunities, fundings, wages, and benefits as the men – both athletes and sport staff. Sports organizations have to show equal and fair support to both their female teams/athletes and male teams/ athletes as well as hire more female sports executives and coaches. 

Not to mention the influence of sponsors and big brands on the sports industry. The majority of women’s sports are underfunded – with only 0.4% of all sports sponsorships in 2020 accounted for women’s sports. Sponsorship can help drive awareness to women’s sports and ultimately reach new audiences, thus creating a domino effect of more media coverage, more sponsorship, and eventually more funding. The lack of sponsorship has a huge impact on female athletes’ income as a big part of athletes’ income is due to commercial income. This then creates the notion of women’s sport being less profitable than men’s sport.

How the Sports Industry Must Build on Title IX’s Legacy

Although Title IX was not just about sports, this law changed women’s world of sport forever – but this is just the beginning of a long road to sports equity. Contrary to stereotypes and once popular beliefs: Women can be athletes, coaches, or sport organization presidents. Women’s teams can make money – sometimes more than men’s teams. Women can be whoever they chose to be, play whatever sport they want, and be able to make decisions that affect future generations of female athletes. It’s up to us to make sure women have the opportunity and resources to become professional athletes, coaches, or any other decision maker in the sports industry.

Sources:

1. https://www.hhs.gov/civil-rights/for-individuals/sex-discrimination/title-ix-education-amendments/index.html 
2. https://www.womenssportsfoundation.org/advocacy_category/title-ix/
3. https://www.womenssportsfoundation.org/education/title-ix-and-the-rise-of-female-athletes-in-america/
4. https://www.history.com/news/title-nine-womens-sports
5. https://www.si.com/college/2022/05/19/title-ix-50th-anniversary-womens-sports-impact-daily-cover
6. https://www.statista.com/statistics/184266/educational-attainment-of-high-school-diploma-or-higher-by-gender/
7. https://www.cnn.com/2022/05/18/politics/uswnt-equal-pay-what-matters/index.html
8. https://www.nytimes.com/2022/02/22/sports/soccer/us-womens-soccer-equal-pay.html
9. https://fivethirtyeight.com/features/which-womens-sports-benefited-the-most-from-title-ix/
10. https://www.nbcsports.com/washington/washington-mystics/nba-vs-wnba-playoffs-2021-bracket-number-teams-schedule
11. https://www.i-sight.com/resources/discrimination-in-sports-5-types-25-solutions/
12. https://www.fifa.com/about-fifa
13. https://www.womenssportsfoundation.org/wp-content/uploads/2022/05/13_Low-Res_Title-IX-50-Report.pdf

By Morgan Alessi

With the NHL playoffs in full swing, the current Sun Belt Expansion golden child, and Tampa Bay, still in the mix, let’s take a look at the largest NHL expansion strategy to date.

In 1987, after the Edmonton Oilers clinched their third Stanley Cup with a game seven win over the Flyers, the National Hockey League entered a stage of evaluation and expansion. With the formation of six NHL owners and a NJ based consulting agency, a strategic planning committee was created by then NHL President John Ziegler and Chicago Blackhawks owner Bill Wirtz to address the league’s “Vision for the ‘90s”. That vision soon became the strategy commonly referred to as the NHL’s Sun Belt Expansion, in which the league would grow from 21 to 30 teams by the beginning of the 2000s. Given the National Hockey League’s steady incline in popularity in the ‘80s, the committee decided to test the warm waters in densely populated urban areas with strong sports networks. This ultimately led to the development of teams along the southern region of the United States, quickly coined the Sun Belt. Over the course of 10 years, unconventionally warm ice hockey locations welcomed their own NHL franchises with mixed reviews and low expectations. This year four of those nine expansion teams have solidified their place in history as ‘22 Stanley Cup Playoff caliber franchises.

The Sun Belt History:

Taking a step back in time, let’s walk through how the NHL ventured down south.

The San Jose Sharks and Tampa Bay Lightning became the first two Sun Belt expansion franchises in 1991 and 1992.  With the Minnesota North Stars moving to Dallas and the inception of the Anaheim Ducks and Florida Panthers in 1993, the NHL took an expansion hiatus until converting the Winnipeg Jets to the Phoenix Coyotes in ‘96 and Hartford Whalers to the Carolina Hurricanes in ‘97. To finish off the expedition down south, the NHL added the Predators to Nashville in ‘98 and the now departed Thrashers to Atlanta in ‘99.

Sun Belt Evolution:

Ultimately, by exposing a national audience to hockey, the hope was to raise public interest and in turn drive revenue through advertisers, sponsors, and television rights deals. Over two decades later, the latter did occur and was a success. 

As to be expected, some of the new NHL franchises were met with the initial reality that the southern population was slightly more inclined to attend and watch a slew of warm-weather sports before stepping into or setting eyes on an icy arena. Although some skepticism presented itself, expanding to vastly populated locations paid off really well as sponsors began to take note of the value these cities held in the greater scheme of things.  From 1993 to 2022, the league sponsorship revenue alone has grown from $2 million to nearly $650 million since the first two Sun Belt franchises settled into their respective homes.

While success has been and is associated with many Sun Belt teams over the years, Atlanta had a difficult time adapting to the sport. This ultimately led to the reincarnation of the Winnepeg Jets in 2011. Similarly, the Coyotes have had a tumultuous few decades in the desert heat with bankruptcy and resurrection. On the opposite side of the fence, the Sharks, Stars, Ducks, Lightning, and even the Hurricanes and Panthers have been case studies on how performance under the lights can save and build fanbases. 

Coming out of memory lane leads us to today – about a week removed from the two Sunshine State franchises battling it out for the Stanley Cup.  We are now left with two Sun Belt teams in the running for the ‘22 honor (Lightning and Hurricanes).  This begs the question, was bringing the ice to the sunny south the right move? You be the judge of that!

Sources:

1. https://www.nhl.com/news/nhl-expansion-history/c-281005106
2. https://thehockeynews.com/news/roundtable-nhlers-from-1990s-sun-belt-expansion-share-their-weird-and-wacky-memories
3. https://www.researchandmarkets.com/reports/5546571/business-of-the-national-hockey-league-nhl-2021?utm_source=BW&utm_medium=PressRelease&utm_code=kflp8l&utm_campaign=1662077+-+National+Hockey+League+(NHL)+Property+Profile%2c+Sponsorship+and+Media+Landscape&utm_exec=cari18prd
4. https://www.baltimoresun.com/news/bs-xpm-1993-03-12-1993071158-story.html
5. https://www.sportsbusinessjournal.com/Journal/Issues/2009/10/05/SBJ-In-Depth/Sun-Belt-Hot-And-Cold-For-NHL.aspx
6. https://www.cbsnews.com/newyork/news/6-nhl-sun-belt-franchises-that-have-made-stanley-cup-runs/
7. https://www.tampabay.com/archive/1990/08/16/nhl-expansion-race-warms-up-in-south/

By Jakob Fox

Historically, going abroad is common for many US college students, but has not been as much for the pro athletes. As we look ahead in the sports world, it is now time for the pros to take their talent abroad, with more and more teams and leagues making plans to play games outside of the United States and Canada. Within the last few months, the NFL, MLB, NHL, and NBA have all announced that they will be hosting upcoming games internationally. This is a growing trend that first started in the late 1970s when NBA teams traveled overseas to play exhibition games against international teams and has grown to now include preseason and regular season games taking place around the world. As the world continues to reopen post-COVID, it only makes sense that sports will continue to expand into the global market. International games provide many new opportunities for leagues that are already dominating their domestic markets and are looking to keep growing. With more companies continuing to get involved with sports, the value surrounding the industry continues to rise. These international games offer more exposure for sponsors, teams, and players to expand or build their brands. The question has changed from “Will teams go abroad this season?” to “When will your favorite team go abroad to play?” 

Bringing these games abroad has provided plenty of exposure and introduced many people to the live action that we may take for granted at home. It is one thing for North American sports leagues to air their games internationally, but it is another for them to bring their product in person to fans across the world. Take hockey, for instance – many people don’t truly appreciate or enjoy the sport until they have gone to a game. This certainly was the case back in 2007 when the Los Angeles Kings played a few games with the Anaheim Ducks in Britain. Despite the overall lack of popularity for the sport across the pond, both games were sold out and the players and league were welcomed to the new location. The success of those games has allowed the NHL to continue their global push, and the league has now played regular season games in six different countries and preseason games in others. These games have left a larger impression on the cities and countries, opening up more opportunities for young kids to have access to play the sport.   

Leagues like the NBA and NFL, which have dominance in the US but somehow still lack diversity on an international level, have the opportunity to grow even more when they participate in international events. The NBA has brought games to more than a dozen countries, with the United Arab Emirates being their next destination this fall. This globalization of the league helped inspire the current generation of international stars like Giannis Antetokounmpo and Joel Embiid to play. One of the many hopes with these games is to continue to foster interest in the sport that will lead to more international stars. The NBA has also set up different camps and development programs to keep expanding their player pool, while the NFL has explored having different cities adopt teams to grow fanbases in a second market. That is something that we have seen take place over the last several years with the Jacksonville Jaguars. The Jags owner also owns the English soccer club Fulham, and as a result in 2012 they became the only NFL team to make a multi-year commitment to play overseas. Since then, they have played a game in London every year since 2013 (besides 2020 with the pandemic) and have become the fastest-growing fanbase of all teams in the UK. In 2018, their Union Jax UK fan club surpassed 80,000 members. This shows that by hosting a game in London every year, they have been able to foster this relationship better than other teams who have gone abroad only once or twice. 

These international games serve many other purposes beyond just growing the sport and international fanbases. Games abroad are unlike other competitions that American fans may be accustomed to. For the fans of teams from the United States, these series can provide a travel destination to see their team play in a new venue with a different atmosphere. In tandem with hosting international games, the leagues also host activations to help provide larger opportunities for new and existing partners to reach fans. These activations can serve both as means to reach new fans and as a trial run to see what works. The sponsorship opportunities for these games have been huge. In the MLB, we have seen these international series serve as the perfect place to try out uniform ads, which will soon become the norm at home. These games also open up different sponsors to get their feet wet in a new sport. In 2019, MGM experienced their first activation with the MLB, when they were the title sponsor for the 2019 MGM MLB Opening Series in Japan. This helped serve as a springboard for the company which has continued to work in the baseball space. 

On top of introducing their product to new fans and providing sponsors more opportunities to grow in different markets, these international games have served the players just as much. As we saw in The Last Dance, these international games provide players with different experiences including allowing them to see the world, grow their brand internationally, and sometimes even serve as a homecoming. For Nashville Predators defenseman Roman Josi, the upcoming preseason game in Bern, Switzerland will serve exactly that and more. He said “it’s going to be really exciting, really emotional for me for sure…excited to go show the guys Bern a little bit. And a lot of people haven’t seen me play in a long time.” For the team, it also gives the players the chance to bond, which is important at the beginning of a long and grueling season. 

Overall, the upsides with these international games are numerous, even if it means losing out on a home game or two. The attention, spectacle, and opportunities that they provide have proven to help the teams, players, and leagues continue to grow. As we see leagues expand their reach, the only question that remains is “Who will take advantage of going abroad the most?” 

Sources:

1. https://www.nba.com/hawks/news/hawks-and-bucks-go-head-head-first-nba-games-united-arab-emirates
2. https://records.nhl.com/events/games-outside-north-america
3. https://www.nhl.com/news/nhl-global-series-returning-next-season-games-in-finland-czech-republic-switzerland-germany/c-330511310
4. https://www.nhl.com/news/ducks-kings-split-opening-two-games-at-soldout-02-arena-in-london/c-338765
5. https://sbcamericas.com/2019/02/28/mgm-sponsors-mlb-and-mlbpa-opening-series-in-tokyo/ 
6. https://www.nhl.com/news/2022-nhl-global-series-teams-announced/c-333214498
7. https://www.nfl.com/news/packers-buccaneers-cardinals-jaguars-saints-to-play-international-games-in-2022
8. https://www.mlb.com/news/baseball-games-played-outside-the-us-c272441130
9. https://www.unitedlanguagegroup.com/blog/globalization-of-the-nba
10. https://www.mlb.com/nationals/fans/betmgm
11. https://www.jaguars.com/uk/internationalseriesgames
12. https://www.jaguars.com/uk/unionjaxfanclub

By Thomas Calhoun

When a professional athlete is looking ahead at life after their career on the field, they are faced with a choice: will they keep working or retire permanently? While the wealth from their player salary over the years may be enough to live comfortably, many athletes are extremely quick to rush back into the industry that they originally found success in. Many times, this return to sports may be in the form of coaching, announcing, advising, or in even working the front office. Recently, we have also seen many athletes taking a different path back into the games they love. I’m speaking of course, about team ownership.

Why Team Ownership Is Redefining in Modern Sports

Chiefs Quarterback Patrick Mahomes got a head start on just that when he received his $503M contract extension last year and decided to put it right back into the city that paid him. Being a passionate fan of baseball, Mahomes’ ultimate goal was to continue to grow his relationship with a community he had become part of, and extremely proud of. Purchasing a stake like this requires a sizable investment, but as we are continuously seeing a rise in player salary coupled with the increased importance of athlete business endeavors, the belief is that we will start to see a trend in active players investing in teams as a next step in their business endeavors to help set themselves post-retirement. Mahomes’ commitment to Kansas City is now helping to grow two fanbases simultaneously – through his skill on the field and now as a businessman.

Ownership Models: From Family Franchises to Global Investors

Building and evolving community seems to be a motivating factor for other athletes as well. Future NFL Hall Of Fame running back Marshawn Lynch has recently invested into the NHL’s newest expansion team, Seattle Kraken. While Lynch is not originally from Seattle, he played there for many years and became a crowd favorite in The Emerald City. Lynch’s new step into ownership is rooted in giving back to the local community. He and his fellow owners, including pop singer Macklemore, are dedicated to continue diversifying and providing community support. Macklemore’s primary focus is making the team more socially and environmentally friendly. He understands the value and importance of using local celebrities to market sports teams saying, “I think that the Kraken have been really open and excited about bringing in local talent. I think the other thing is just making sure that we’re exposing all people to the game.” Between Macklemore & Lynch’s efforts, this young franchise will hopefully bring fans to the game from all different backgrounds.

Impact on Fan Experience, Culture & Franchise Value

A trend in ownership we have been especially keeping our eyes on is seeing women begin to take the reins of franchises. Serena and Venus Williams began a wave back in 2009 that created a massive shift in ownership for women in sports. The Wiliams sisters have had incredible tennis careers and were looking to invest their money in a different sector of the industry. Being from the South Florida area, Williams and Williams bought into the Miami Dolphins in 2009, making them the very first Black female minority owners in the NFL, and its value has more than tripled since their buy-in. Williams and Williams paved the way for African-American girls in the sport of tennis and they continue to pave the way for all women with a move like this. More recently,  Tennis Hall of Famer, Billie Jean King, along with several other women, bought a stake in the NWSL Club (National Women’s Soccer League), Angel City FC. Angel City FC owners’ mission is to change the culture for women in sports, and a continued increase in women’s team ownership hopefully means greater equity and opportunities across the board. Following her, Naomi Osaka became a minority owner for the NWSL Club, The North Carolina Courage. Osaka spoke about what this meant to her, stating it’s “far more than being a team owner, it’s an investment in amazing young women, who are role models in their fields, and inspiration to young girls everywhere.” Osaka is setting an example of how women becoming more involved in all aspects of sports can show younger generations of women that they, too, can have a seat at the table and seize these types of opportunities.

What This Means for the Future of Teams, Leagues & Investment

As we continue to see franchises experience new ownership from current athletes and former athletes, it’s important for prospective buyers to consider how their investment in a team can affect the city, the future of the franchise, and the industry as a whole. Investing in team ownership is, on the surface, a financial move. However, when owners look to take that investment one step further and create positive change and impact, we expect to see an even further rise in passionate fandom. We’re excited to see who the next big team owner will be. But most importantly, we’ll be paying extra special attention to what they will do with that ownership power, and how that will change the nature of the sport or franchise for the better.

Sources:

1. https://www.si.com/mlb/2020/07/28/patrick-mahomes-part-owner-kansas-city-royals
2. https://defector.com/the-era-of-lady-boss-sports-team-owners-is-upon-us/
3. https://www.nfl.com/news/marshawn-lynch-joins-nhl-s-seattle-kraken-as-minority-owner#:~:text=The%20Kraken%20announced%20Monday%20that,along%20with%20their%20financial%20commitment.
4. https://www.therichest.com/rich-powerful/ten-celebrity-sports-team-owners/
5. https://www.therichest.com/rich-powerful/self-made-g-o-a-t-inside-the-240-million-business-empire-of-serena-williams/
6. https://www.fastcompany.com/90739855/how-natalie-portman-and-her-angel-city-fc-cofounders-are-changing-the-game-for-womens-soccer

By Alyssa Turner

What was once considered a spin-off rendition of Vine that nobody knew what to do with, TikTok grew exponentially during the height of the pandemic and has claimed its rightful throne above all other social media. Sensor Tower just announced in their Q1 2022 report that TikTok has become the 5th app ever to achieve more than 3.5 billion downloads. As if that wasn’t significant enough, in the 4 short months of 2022 thus far, the app has been downloaded over 175 million times. All signs point to continued growth and that means bigger and better opportunities for creators.

With every new form of social media, creators have been getting more and more…well, creative with their content – constantly pushing the limits of how they can entertain their audiences. Some of the best TikTok creators have found their success in the niche markets, targeting an engaged group of individuals with like-minded hobbies and care-abouts. Trying to learn about Microsoft Excel? There’s content for that. Love collecting Beanie Babies? Also content for that. Have a special affinity for growing plants? Yep, you guessed it, content.

But with such a vast population of users on the app, one might ask, is this content actually niche? In part, we can thank TikTok’s algorithm for popularizing what would otherwise fall by the wayside. The algorithm is good. So good, in fact, that we get caught up scrolling for hours on end at times, never without quality entertainment. Personally speaking, TikTok has replaced much of my typical “TV-watching time” as a similar way to wind down and decompress from the day. That’s largely due to the app knowing exactly what I want to watch, which is time much better spent than watching 47 previews on Netflix before I fall asleep without ever managing to select something.

The entertainment factor is largely what’s setting TikTok apart from other social media platforms. This is exactly how Khartoon Weiss, head of global agency and accounts at TikTok, referred to the app during a recent keynote: an entertainment platform. In a way, it’s a bit of a hybrid space – one where highly produced content, viral arguments about the Wizard of Oz, and Charlie Puth’s lengthy album release teases can live in harmony and we’re here for it.

Not only has TikTok become THE hub for short form content, but the way it has driven and built up a strong community amongst creators and followers alike is pretty impressive. Creators are often commenting on each other’s videos, duetting videos with their favorite celebs or peers, and even getting together to collab on content IRL, bringing together their unique audiences and further driving overall engagement. Most of us fans geek out pretty hard when our favorite accounts team up. For me, when @reesewitherspoon duetted @elysemyers in her “Reese’s Toast” recipe, that may have been the ultimate moment.

So, what’s the takeaway, you ask? If you’re a brand, an influencer, an athlete, a public figure, a company, etc., you need to be on TikTok. Too often we hear hesitation about putting content out there for fear of how it will be received. The great thing about this app is that there’s an audience for everything, and in our book, better to try and fail, than not to try at all. You never know what can come out of your content if you never give it a chance. Just ask Emily Zugay and the Detroit Lines.

Sources

1. https://go.sensortower.com/rs/351-RWH-315/images/Sensor-Tower-Q1-2022-Data-Digest.pdf
2. https://techcrunch.com/2022/04/26/tiktok-was-the-top-app-by-worldwide-downloads-in-q1-2022/?guccounter=1
3. https://www.forbes.com/sites/johnbbrandon/2022/04/28/one-reason-tiktok-is-the-most-popular-social-media-app-of-the-year-so-far/?sh=5b0b664e41ed
4. https://www.fastcompany.com/90746981/tiktok-social-video 

By Jakob Fox

Remember the days not too long ago when you could turn on your regional sports network and know that the game you are trying to watch will be on without any blackouts or subscription sign-ins? It appears that these days are behind us, as we continue to see more leagues take advantage of the rising value of media rights deals. This new trend is making it so fans have to buy multiple different streaming services plus the local RSN in order to have full access to their team.

As a fan of European soccer, this is already a struggle that I have been dealing with for some time now. With each league and sometimes even each competition having a different deal with one of the many paid streaming services. Now, this trend is making its way into many mainstream sports in America. From a financial standpoint for the leagues, all of these subscription services are great and have helped make up for some of the impacts that were felt during the height of the pandemic. Just last summer, the NHL entered into negotiations with ESPN and Turner Sports to take control of the league’s television coverage. Deals that reportedly are worth a combined $600 million annually. While these partnerships are great for the league which is now tapping into two different networks, it does have a negative component as well. As part of the NHL’s media rights deal, ESPN is opting to televise some of their games exclusively through Hulu. This is great for the overall reach of the game as it allows those who have completely cut the cord to watch games, but for fans who just want to watch their team on regular TV, it may become an issue. It is typical for teams to have nationally televised games and in the past, this was never a problem, but with games exclusively on streaming services, it is leaving some fans unhappy.

This feeling of frustration that fans have towards missing streamed games is not exclusive to the NHL. As leagues’ media rights deals expire, there is more change and unhappiness. The most recent of these, and likely most limiting, is with Major League Baseball. The MLB has both the luxury and curse of having more games than any other league, with 2,430 total games per season. Recently, the league announced two new TV deals that are leaving many fans feeling frustrated and left out. The league is introducing weekly Sunday morning games exclusively on Peacock and Friday Night Baseball on Apple TV+ in an attempt to bring some fresh promotions and revenue to the league coming out of the lockout. From the league side, these new deals allow two major companies to get involved in baseball without needing to become major players. However, as I’m sure you are noticing a pattern here, it appears to be coming at a cost for the fans. Last Friday, the Dodgers hosted the Reds on Jackie Robinson Day, which is a big deal across the league and more specifically for the Dodgers. The game was aired exclusively on Apple TV+, which left many fans unable to watch the team celebrate the 75th anniversary of him breaking the color barrier. These two new MLB deals don’t just affect fans who want to watch teams on their local channels. It also leaves out fans who pay for MLB TV, despite the league promoting that you can watch every regular-season game with this package. From a big picture perspective, it is not a major issue to restrict access behind paywalls for a few games a season for each team, but this is more than that. The optics here for the MLB appear to be hitting harder than other leagues, and likely this comes with the many narratives regarding the league’s decline despite financially seeing growth. While I understand that these deals are great financially for the league, it is hurting their customers who do not want to pay for numerous services to watch their team. Coming out of a massive lockout, you would think the league would do their very best to retain as many fans as possible, but it just doesn’t feel that way at times.

One league that has ventured into streaming territory with little backlash is the NFL. Most NFL games are available on either FOX, CBS, NBC, or ESPN but the league has also introduced games on Amazon Prime. This upcoming season, Prime will be the exclusive home to Thursday Night Football. Just like with baseball, fans would only miss a game or two of their favorite team if they do not have the streaming service, but the mood surrounding the two is very different. The NFL has offered games on Prime in the past, so this is not totally new, but the major difference is the rollout. The NFL change has been a long-time coming and they have gradually pushed for it. The NFL is only behind one paywall right now with Prime and it is estimated that more than 75 million US households already have a Prime subscription. Additionally, Prime is making their NFL product something that those without existing subscriptions would want to purchase by signing Al Michaels and Kirk Herbstreit to call games, plus Prime is more than just a TV streaming service. On the other side, Apple TV+ is attempting to use their MLB deal to bring on fresh faces to kickstart themselves into live sports rather than big names to attract fans. 

There is a connection between Apple TV+’s venture into live sports and the NFL, which could provide an alternate solution for many leagues. Currently, it appears that Apple TV+ is close to signing a deal to land the NFL’s Sunday Ticket Package that could be worth around $2.5 billion annually. DirecTV holds these rights through 2022, which allows their customers with a subscription to purchase this package and be able to watch every Sunday NFL game. This larger deal to sell the entire season’s worth of Sunday games leads to less upset fans and could continue to make fans happier if they can get it without needing a DirecTV subscription. For a league like the MLB which has MLB.TV, this would be a better package to sell to a single streaming provider than breaking up their content. It would also mean finding a partner that wants to take on almost 2,500 games which is unlikely. We have seen smaller leagues like the National Women’s Soccer League have success with selling their TV rights entirely to a single streaming platform. The NWSL Challenge Cup games were exclusively available on Paramount+, with a handful also being broadcast on CBS in the US. While there are still unhappy fans who prefer to just have games on their cable TV, the NWSL is limiting the number of services fans need to just one. 

Not every league has the luxury of having major TV or streaming rights deals. The World Surf League is one of many smaller sports leagues where fans can access events for free without needing cable or a streaming service. The World Surf League has one of the fan friendliest streaming options with their events live-streamed on YouTube. This may not be the best thing from a financial standpoint, as they are not seeing the big bucks roll in, but for a sport that is niche and on the rise this may be the best way to make fans happy and attract new ones too. The WSL does have ties to Apple TV+, but unlike the MLB and (potential) NFL deals it is not for their competitions but rather exclusive behind-the-scenes content so fans won’t miss the action.

The bottom line is that these deals are great for the leagues, but they need to limit how many they sign to avoid leaving fans out for too many games on multiple paid platforms. It is difficult for leagues to find the right balance between making as much money off TV rights deals as they can and ensuring that their fans are happy, but it would be beneficial to work for a solution. While there is no singular right or wrong way to go about this, leagues need to remember who their audience is and the best way to keep their audience happy, while also still bringing in as much money as possible. It is a fine line, but one that must be walked to elevate one league over another. 

Sources

1. https://www.usatoday.com/story/sports/nhl/2021/04/28/nhl-espn-turner-broadcast-media-rights-deals-explained/4857987001/
2. https://sports.nbcsports.com/2022/04/06/mlb-schedule-2022-every-sunday-morning-baseball-game-on-peacock-matchups-what-to-know/
3. https://www.statista.com/statistics/861060/total-number-of-households-amazon-prime-subscription-usa/
4. https://profootballtalk.nbcsports.com/2022/04/18/report-apple-is-likely-landing-sunday-ticket/