How NBA Jerseys Are Boosting the Fan Experience

When the NBA Jersey Patch Program was mentioned over a decade ago, deputy commissioner Adam Silver believed it would bring in a combined revenue of $100M across all 30 NBA teams. At first, fans feared this would merge the NBA with the corporate world. Critics drew comparisons to European soccer teams and worried brand placements would overshadow the team or city across the players’ chests. But sponsorship was nothing new within the sport: companies already sponsored basketball venues like the United Center, Barclays Center, and the Kia Center. It was only a matter of time before sponsored NBA jerseys became the new norm.

jersey sponsors

Teams and Sponsors Win Big

In the current NBA landscape, the program is projected to bring in over $250M annually, with innovation occurring year by year within jersey patch sponsorships. Last season, these sponsorships comprised nearly 15% of overall NBA sponsorship revenue, which netted a total $1.6B. And the benefits are mutual: companies with their logo on an NBA jersey win, too. They generate constant brand exposure to the millions of fans watching worldwide and earn opportunities to directly impact the fan experience at NBA games.

Fostering Fan Connections

The NBA first rolled out jersey patch sponsorships back in 2017, with two-thirds of teams joining this new-age marketing mechanism. Flash forward to this season, and fans will notice only three teams without them. Teams like the Orlando Magic and the Toronto Raptors have remained loyal to their sponsors for all seven seasons. Although teams may change sponsors, they typically stick with local brands and resonate with their fans and culture. For example, the Utah Jazz are in their first year of a jersey patch sponsorship deal with LiveView Technologies, a Utah-built and based national provider of innovative life safety and security technology. Ryan Smith, governor of the Utah Jazz, said, “We’re excited to feature the LVT logo on our jerseys and continue using that prominent space to celebrate the innovative, hard-working mindset that Utah is all about.” Sharing similar goals and mindsets is a key factor in developing a sports partnership, which is why LVT was a slam–dunk sponsorship fit for the Utah Jazz.

nba jerseys

Netting Engagement Among Younger Audiences

NBA teams are also utilizing jersey patch sponsorships to cater to younger audiences. By appealing to younger age ranges, typically 18–32, these teams are building longevity for their brand. The Charlotte Hornets’ new jersey patch sponsorship with MrBeast’s snack brand, Feastables, exemplifies this tactic. The sponsorship signifies the first creator-led company to partner with an NBA franchise. With over 230M subscribers on Youtube– the most by an individual creator– MrBeast has made a substantial impact in the content creator space. Considering 77% of internet users 15–35 years old watch YouTube, there’s a high probability this demographic either consumes or is familiar with MrBeast’s content. With the increase in influencers on YouTube and other social media apps like TikTok and Instagram, the Hornets could be the first franchise of many to wade into influencer marketing. Sponsorships could become less about showcasing faceless brands and instead move to elevating the platforms of online creators. In this new era, we can expect to see more NBA teams follow suit by placing a special focus on how younger audiences identify with their sponsors. Capturing the next generation not only ensures that the NBA maintains its millions of viewers each season, but also increases the revenue within the Jersey Patch Program.  

nba jerseys

Innovative Tech in NBA Jerseys

As technology becomes more prominent in our lives, we are bound to see innovation within jersey sponsorships on and off the court. We have already seen this from the Indiana Pacers, whose jersey patch sponsor, Spokenote, debuted their QR Code feature this month. This allows Spokenote to deliver content from within a live game, showcasing their “digital sticky note” product. For the Phoenix Suns, their jersey patch sponsorship deal with PayPal will elevate the fan experience by offering innovative payment solutions at the arena as well as online. This new agreement at the beginning of 2023 includes a Jersey Giveback program, where a portion of proceeds from jersey sales will be donated to non-profit organizations in the Phoenix area. This not only benefits the team and its sponsor but also the local communities of these teams, showcasing technological innovation and sports sponsorship centered around fan engagement.

While NBA jersey sponsors were initially met with skepticism, they now give significant boost to team finances and the NBA at large. Across professional sports, partnerships are increasingly embraced by companies aiming to leave their mark on one of the world’s highest revenue-generating industries. In just seven years of jersey sponsorships, there has been tremendous growth. With more teams switching to tech, financial sponsors, and even entertainment entities like MSG’s Sphere, there is promising improvement in not only delivering live content to fans but also in the overall fan experience at NBA games.

Sources:

  1. https://www.sportsbusinessjournal.com/Articles/2024/01/03/indiana-pacers-spokenote-jersey-ad-patch
  2. https://www.dailymail.co.uk/sport/nba/article-11792607/New-York-Knicks-eye-record-30m-year-jersey-sponsorship-rival-league-high-Nets-deal.html
  3. https://analyticsblog.blinkfire.com/blog/2022/10/26/2022-23-nba-jersey-patch-sponsors/
  4. https://www.forbes.com/sites/mikeozanian/2023/10/16/nba-sponsorship-revenue-hits-record-166-billion/?sh=326dfa972279
  5. https://www.sportspromedia.com/news/us-sports-sponsorship-revenue-2023-sponsorunited-mlb-nfl-nba-mls-nhl-wnba/#:~:text=National%20Basketball%20Association%20(NBA)%20franchises,over%20the%202022%2F23%20season
  6. https://www.marketingbrew.com/stories/2023/10/27/some-of-the-newest-nba-jersey-sponsors-are-brands-you-might-not-expect
  7. https://neoreach.com/feastables-sponsorship/#:~:text=The%20Feastables%20sponsorship%20could%20potentially,to%20a%20brand’s%20marketing%20strategy.
  8. https://newsroom.paypal-corp.com/2023-04-12-PHOENIX-SUNS-AND-PAYPAL-EXTEND-PARTNERSHIP-AGREEMENT-THROUGH-2026-NBA-SEASON-WITH-A-FOCUS-ON-ENHANCING-FAN-EXPERIENCE-AND-COMMUNITY-INVESTMENT#:~:text=As%20one%20of%20the%20largest,donated%20to%20local%20non%2Dprofits.
  9. https://www.nba.com/jazz/news/utah-jazz-announce-utah-based-lvt-as-jersey-patch-partner
  10. https://www.theshelf.com/the-blog/youtube-user-habits/

Shaping the Future of Ads: The Las Vegas Sphere’s Impact on Marketing

Ever since the $2.3B Las Vegas Sphere launched in September 2023, it has rapidly become a marketing and advertising sensation. Known as “The Exosphere,” this architectural phenomenon is the world’s largest spherical structure, reaching 366 feet and 516 feet wide. Illuminated by over a million LED lights, it cast a mesmerizing glow over the Las Vegas skyline, drawing the attention of consumers and visitors. Advertising on the Sphere is a hefty investment with costs ranging from $450K a day to $650K a week. Despite this, the Sphere has hosted innovative brand campaigns and high-profile engagements, heavily impacting social media. The diverse collection of brands that have utilized the Sphere has transformed it into a hub of creativity and a new benchmark in digital advertising.

Las Vegas sphere

YouTube was the first to capitalize on this unique opportunity, promoting their NFL Sunday Ticket package by transforming the Sphere into giant football helmets. This highlighted YouTube’s partnership with the NFL in a distinctive way. Following YouTube, the NBA leveraged the Sphere’s capabilities to turn it into a massive basketball, reinforcing its brand in an eye-catching combination of sculptural and graphic advertising.

Microsoft’s Xbox campaign, featuring huge “X” logos circling the structure, mirrored the futuristic spirit of gaming. Sony also promoted its game, using the Sphere to promote Spider-Man 2 for the PlayStation 5. Autodesk and Marvel Studios teamed up to showcase Autodesk’s significant contributions to filmmaking and visual effects. This collaboration resulted in a compelling advertisement highlighting the intersection of technology and creativity in the movie industry.

Major players in the beverage industry have also utilized the Sphere to capture audiences. In their campaign, Coca-Cola’s use of generative AI presented a futuristic vision, promoting their Y3000 Zero Sugar soda. Heineken, aligning with the Formula 1 Grand Prix, transformed the Sphere into a spinning disco ball that turned into ice blocks before collapsing to reveal their new Heineken Silver beer. This created a buzz and expanded brand visibility while fascinating a broad audience of event attendees. 

According to Sussex Innovation, the Sphere has an estimated 4.7 million daily impressions and has skyrocketed its social media presence. The follower counts on the Sphere’s Instagram and TikTok saw a dramatic increase in just the first week after the opening, and they continue to rise as more innovative events and brand campaigns are introduced. These impressive statistics highlight the Sphere’s effectiveness in driving significant return on investment (ROI) for brands, achieved through its innovative content delivery and trendsetting capabilities in digital advertising.

Las Vegas sphere

The Las Vegas Sphere is at the forefront of a transformative shift in Out-Of-Home (OOH) marketing and advertising, challenging and redefining traditional approaches with cutting-edge technology and scale. Its digital canvas elevates advertisements to new heights of vibrancy and detail, surpassing standard displays. The Sphere’s unique spherical shape opens up endless creative possibilities, allowing brands to envelop the entire structure with their message for a 360-degree experience that blends art and cinematic elements. This innovation sets the stage for future OOH advertising trends. Its success inspires the integration of architectural innovation with digital marketing, potentially leading to the emergence of similar structures globally.

Looking ahead, the future of the Las Vegas Sphere is filled with exciting prospects. It’s even venturing into the world of live sports with plans to host a UFC event in 2024. This indicates a new era for the venue, where its unique blend of advanced technology and innovative design will provide immersive experiences across various events. Whether it’s high-energy sports matches, captivating concerts, or groundbreaking digital advertising, the Sphere is set to reinvigorate Las Vegas entertainment, promising every visitor a blend of sensation and innovation.

Sources:

  1. https://www.marketingbrew.com/stories/2023/11/16/sphericals-happen-las-vegas-s-largest-roundest-billboard-explained
  2. https://www.thedrum.com/news/2023/11/16/bleeding-money-gaining-advertisers-sphere-the-story-so-far
  3. https://lasvegasweekly.com/news/2023/oct/05/vegas-sphere-primed-to-be-game-changing-marketing/
  4. https://www.adweek.com/brand-marketing/inside-f1-las-vegas-grand-prix-sponsors-sphere/
  5. https://www.billboard.com/music/concerts/vegas-sphere-msg-venue-u2-darren-aronofsky-1235427196/
  6. https://www.sussexinnovation.co.uk/news-resources/las-vegas-sphere-the-future-of-marketing-or-just-another-trend/#:~:text=The%20impressions%20comprise%20of%20300K,the%20Sphere%20on%20social%20media.
  7. https://ftw.usatoday.com/2023/11/ufc-vegas-sphere-live-sports-2024

The Winning Playbook: Securing Success in Sports Influencer Marketing Strategy

With the influencer marketing industry expected to top $21B by the end of 2023, we’re seeing more and more athletes get in on the action. In fact, the sports vertical’s presence in the influencer space has grown three times in the past year alone! AG athletes like lacrosse star Alex Aust and CrossFit powerhouse Dani Speegle are actively showing us how it’s done by blending athleticism with an influencer charm that fosters relationships and captures audiences. It’s clear that at the exciting intersection of sports and influencer marketing, nailing long-term success means establishing authenticity, fostering engagement, and connecting consumers with a personal brand. As a result of these efforts, brands and athletes can unlock the full potential of sports influencer marketing strategy.

influencer marketing strategy

Authenticity

Authenticity in content creation within the sports landscape is essential to foster compelling storytelling. Athletes-turned-influencers embrace this authenticity by sharing the highs and lows of their journeys, exposing vulnerabilities, and presenting a multifaceted view of their lives that shares their unique identity. Simone Biles is an excellent example of an athlete that has shared her vulnerabilities. Biles has a huge social media platform, with 1.7M followers on Twitter alone. Over the years, she has used her platform to take a stand and enact change. In 2021, she spoke out to stop the governing body of USA Gymnastics from turning a blind eye to sexual assault allegations. Biles’ courage captivated her audience and helped cultivate a lucrative brand partnership with Athleta. Her transparency illustrates the human behind the athlete—a relatable figure navigating challenges, celebrating victories, and embodying resilience.

Another athlete to utilize authenticity is Baron Davis. After a career-ending injury left him wheelchair-bound and in chronic pain, Davis decided to dress up as “Black Santa” for Halloween. Based on the reaction he received from fans, he created The Black Santa Company in 2015. His media empire has dedicated itself to celebrating diversity in storytelling content ever since. Initiatives like Davis’ show how influencer authenticity builds trust and credibility with audiences. When people feel that an influencer is genuine, they are more likely to engage with their content and see them as a reliable source. 

Impactful Partnerships

When brands team up with athlete-influencers, they also seek authenticity in their partnerships. By investing in genuine, enduring relationships, brands bank on winning the sustained loyalty of their consumer base. Under Armour, for example, partnered long-term with Steph Curry back in 2013. Curry explained to his fans that “Under Armour bet on me, and I bet on them.” The partnership is rooted in authenticity and impact with an underlying goal to fund community initiatives that boost opportunity, access, and equity for the next generation of athletes.  Brands like Under Armour that invest time and resources into nurturing these relationships often reap the rewards of consistent collaborations that evolve over time.

In a similar fashion, Nike partnered with French basketball star, Rudy Gobert. Together, they spearheaded a new basketball court in Paris Levallois-Perret and created a space that offers academic support in disciplines such as writing, music, community outreach, and athletic development. Dedicated investments like these not only ensure a steady stream of engaging content but also build a foundation for long-lasting, meaningful partnership in the ever-changing world of sports influencer marketing. 

influencer marketing strategy

Diversification

Long-term success in sports influencer marketing also thrives on cross-market diversification. Brands often choose a diversification strategy either to reach niches within their industry or to extend operations into new markets. Red Bull and GoPro employed this strategy in 2016 to diversify partnerships across a spectrum of influencers, each with their own unique reach and audience. Netting audiences in two different verticals, Red Bull and GoPro could impact both the action sports and energy drink space. This strategy not only broadens brand exposure but also taps into various niches within the sports landscape, allowing for a more comprehensive and diverse engagement with audiences.

Measuring Results

After employing an influencer marketing strategy like diversification, it’s critical to measure efficacy. Beyond social media likes and shares, analyzing metrics like engagement rates, audience demographics, sentiment, and conversion offers a comprehensive understanding of campaign impact. These metrics reveal audience response, highlighting what resonates and what doesn’t. By dissecting these data points, brands learn how to better refine future campaigns and how to best select sports influencers.

Ultimately, success in sports influencer marketing is not always a clear-cut playbook. Every athlete has a unique personal brand with an audience to match, but it’s the impact and authenticity of their brand partnerships that truly resonate with audiences. As the sports influencer marketing space continues to expand, we can look forward to the exciting new partnerships and figures that are sure to emerge in 2024.

Sources:

  1. https://aicontentfy.com/en/blog/importance-of-influencer-authenticity-for-effective-content-sharing#:~:text=Influencer%20authenticity%20is%20important%20because,a%20reliable%20source%20of%20information.
  2. https://fastercapital.com/startup-topic/Impact-through-Influencer-Marketing.html
  3. https://www.business.com/articles/why-influencer-marketing-should-focus-on-relationships/#
  4. https://www.business-standard.com/article/sports/social-media-has-helped-gen-z-athletes-find-their-authentic-voice-121081700694_1.html
  5. https://www.ypulse.com/article/2019/07/02/athletes-to-influencers-how-social-media-has-changed-the-game-for-pro-sport/
  6. https://www.prnewswire.com/news-releases/gopro-and-red-bull-form-exclusive-global-partnership-300273533.html
  7. https://www.prnewswire.com/news-releases/under-armour-and-stephen-curry-enter-long-term-partnership-301785333.html
  8. https://hypebeast.com/2022/12/nike-athlete-partnership-future-of-sport-campaign
  9. https://influencermarketinghub.com/influencer-marketing-benchmark-report/

MLB Pitch Clock & NFL Global Games: How Leagues Adapt for Fans

It seems in an age where entertainment is always at our fingertips, U.S. professional sports leagues are under more pressure than ever to capture the attention of new audiences and cater to fans. As a result, leagues like the NBA, NFL, MLB, and NHL have all taken steps to attract new fans, create a more exciting game experience, and increase audiences abroad. From MLB rule changes to international NFL games, let’s break down some of the biggest shifts in recent years and how it has directly affected U.S. professional sports and their fans. 

nfl international games

How Fan Engagement Drove MLB’s Evolution

MLB’s pitch clock implementation is one of the most widely-discussed enhancements to occur in sports this year, and it’s quickly creating positive results. Back in the 2010s, MLB was facing a 7% decline in attendance per-game. Heading into the next decade, MLB knew something had to be done to right the ship. A big complaint amongst MLB fans was that the games were too long and oftentimes boring. In response to the criticism, the league implemented a pitch clock to speed up game play. This strategy was an immediate success as the MLB saw a nearly 10% increase in attendance from the 2022 season to the 2023 regular season. In addition, MLB regional sports networks saw a 7% increase in ratings and the games were on average quicker by 30 minutes. The league’s revenue also soared, with MLB estimating a $500M increase as a result of its implementation. The NFL and NBA have taken similar approaches as well. The NFL, for example, added rules to better protect receivers and quarterbacks that result in more exciting offensive play for fans. The NBA added a play-in tournament before playoffs and made small tweaks to improve flow of play.

In another effort to capture new audiences and evolve with changing times, American sports leagues have honed in on globalization. Shifting the sports landscape abroad has opened new doors for leagues, teams, and fans everywhere. Prominent sports leagues have gained a global fanbase by holding regular-season games in various foreign cities. This move not only increases the popularity of these sports but also strengthens the bonds amongst followers throughout the world who have a passion for the same sport. For example, the NBA’s yearly Global Games series has helped to foster an international basketball community by crossing cultural divides and bringing the thrill of live action to fans in nations like China, Mexico, and the United Kingdom. MLB has held international games since 1996 when the Padres and Mets played a 3-game series in Monterrey, Mexico. International NFL games first started back in 2007, and the league just recently held their first game in Frankfurt, Germany where the Chiefs beat the Dolphins. Their approach was met with exciting results: the game was the most-watched international NFL game in history, averaging 9.6M viewers. 

nfl international games

The Business Case Behind the Fan-Focused Moves

American pro sports leagues have also emphasized recruiting foreign talent as a means of globalization. Teams now regularly scout and sign players from all over the world to increase their talent pool and create more competitive play for fans. For instance, the NHL has experienced a surge in the number of gifted European players who have greatly benefited their various clubs. In the same vein, MLB has seen a boost in the number of players from Asian and Latin American nations. In addition to improving the standard of play overall, these international athletes serve as role models for aspiring athletes back home and expand each league’s global reach. 

In addition, leagues have capitalized on the digital era to expand U.S. professional sports audiences worldwide. With streaming platforms like FuboTV, social media content, and international broadcasting deals such as the NFL’s 10-year agreement with DAZN, fans worldwide find it incredibly easy to follow their favorite teams and players. Fans from all over the world may watch live games, participate in online chats, and keep up with the most recent sports news with just the click of a button. These online platforms have surpassed national borders and created a worldwide sports community that is unaffected by linguistic and cultural divides. The NBA has seen an increase in their International League Pass every year. Similarly, NFL Game Pass saw a 10% increase over the past year.

nfl international games

What the Future Holds for Sports Leagues and Fans

Between globalization strategy and rule changes, professional sports leagues will continue to develop and adapt in the future to satisfy the shifting demands and expectations of their ever-expanding fan base. Fans and sports organizations are experiencing an exciting journey towards a sporting world that is even more fan-centric, inclusive, and internationally connected. So, whether you’re watching from home, abroad, or the stadium, the sense that professional sports are evolving to enhance your experience should feel more palpable than ever. 

Sources:

  1. https://www.newyorker.com/magazine/2023/04/24/newer-better-rule-changes-for-baseball-and-other-sports
  2. https://www.si.com/mlb/2019/12/23/baseball-decade-in-review
  3. https://www.sportspromedia.com/news/mlb-world-series-2023-tv-ratings-viewership-fox-texas-rangers/
  4. https://www.mlb.com/glossary/rules/pitch-timer
  5. https://creatitive.com/evolution-of-sports-fan-engagement/

Going for the Gold: The Olympics Are Raising Standards and Growing Their Roster

Whether you’re watching from the couch with your family or experiencing the games in person, you can’t get away from the energy that surrounds the Olympics. Within the next two cycles, 2024 and 2028, that energy is set to be amplified. Not only are the games growing in size, but the International Olympic Committee (IOC) is working to guarantee positive socioeconomic outcomes for the hosting countries. As the games grow, their impact on the surrounding community and beyond grows in tandem. From adding sports to increasing opportunities, the IOC is committed to making the Olympics larger and more equitable inside the events and out. 

what is ioc

Why the Olympics Are Growing Their Sporting Roster

The Olympic Games have been a growing, beloved world event since 1896. With the inclusion of more sports in 2028, they’re gearing up to expand even more. Cricket, baseball, softball, and lacrosse are returning to the Olympic roster, while flag football and squash will join for the first time. These sports were welcomed with open arms as only two people of the 90 IOC members voted “no” to their addition. The IOC voted on the sports as one package, and lots of big enterprises had their hands on the deal. 

The NFL and MLB were particularly huge players in adding these sports to the lineup. Their goal in this development is to propel their players to the world stage. Such an expansive move is a huge jump for the NFL and MLB because it brings two American sports to the international level and taps into a whole new market and fanbase. This, no doubt, will do the same for the Olympic brand. In the U.S., the NFL and the MLB are two of the most popular, successful sports brands. By tapping into the world of baseball and football, the Olympics have made a strategic move into two very powerful fanbases. Americans who were not interested in watching the prior cycles now have their favorite games to watch on on-screen.

The Commercial & Brand Implications of New Sports

In addition to garnering more engagement, the inclusion of new sports is sure to draw in more sponsorships and brand deals. It’s likely that football and softball/baseball-centric companies will want to join in on the action. With the inclusion of flag football, we can also expect more sports betting partnerships to emerge. This comes as over 30 states have now moved towards the legalization of sports betting and a record 73M Americans plan to bet on football this year alone. As a result, brands like DraftKings, FanDuel, and Ceasars could find it beneficial to expand into the Olympics. 

what is ioc

Hosting the Games: Legacy, Economy and Infrastructure

The appeal of the Olympics isn’t just brand and industry-exclusive, either. Each cycle, there is a bidding war against countries to decide who will host. Originally, the Olympics were hosted in developed countries able to sustain themselves after such an costly event. Post-1988 cycle held in Los Angeles, when the Olympics saw a $198M increase in revenue, many countries fought to host. However, there is now a debate about whether the Olympics help or hurt the economy of the hosting city. Tokyo, for example, spent $150M to bid in 2016 and didn’t win. In the case of the 2004 Athens Olympics, the city invested substantial financial and material resources to construct venues in record time. While their aspiration to host the event was realized, the huge costs associated with these venues posed significant issues. Unfortunately, after the games concluded, many of these facilities remained largely unused. Despite their aesthetic appeal, the financial losses incurred in the process ultimately played a part in the Greek Debt Crisis that Greece continues to grapple with today.

what is ioc

To address these challenges, the International Olympic Committee (IOC) is actively working to shift the debate by introducing financial opportunities and benefits that accompany hosting the Olympic Games. The primary objective of the IOC in the current cycle is to foster a range of opportunities not only during the events but also extending beyond them. As an example, Paris 2024 is projected to create approximately 150,000 employment opportunities across various sectors. According to the IOC, these job prospects will span event organization, construction, tourism, catering, and more. The IOC also aims to sustain post-Olympic opportunities by establishing permanent community fixtures. Notably, the Paris Olympic Village, currently under construction, will remain as a residential area after the games, providing employment for Parisians through its shops and public facilities. Additionally, the 2024 games will leave a lasting aquatic facility, serving as a versatile multi-sport facility and local gym, ensuring ongoing employment opportunities for Paris residents.

What This Means for the Future of the Olympic Movement

If all goes according to plan, the Olympic Games won’t just be about sports this cycle and the next. The IOC has paid close attention to the gaps that past games have left unfilled and their goal now is to close them. Adding popular sports with financial benefits is a large part of their strategy, and if the IOC can replicate what they are doing for Paris in future cycles, the Olympic Games will become an international financial asset. 

Sources:

  1. https://olympics.com/ioc/news/paris-2024-strives-to-maximise-the-socio-economic-impact-of-sport
  2. https://olympics.com/ioc/news/ioc-session-approves-la28-s-proposal-for-five-additional-sports
  3. https://www.espn.com/olympics/story/_/id/38670676/cricket-flag-football-5-sports-added-2028-olympics
  4. https://www.nbclosangeles.com/news/local/new-olympic-sports-2028-la-games/3244566/#:~:text=The%20International%20Olympic%20Committee%20announced,to%20the%20event’s%20sports%20program.
  5. https://www.cfr.org/backgrounder/economics-hosting-olympic-games https://www.cnbc.com/id/37484301

Cable vs Streaming Sports: Which Is Better for Fans in 2024?

Almost gone are the days of cable TV, a staple in the sports and entertainment community and a time friends and family gather to catch their favorite shows and games. In our tech-savvy world, the invention of digital streaming has given us the luxury of watching whatever we want, whenever we want. As big media companies have seen opportunities over the years to buy media rights to movies and TV shows on-demand, they’re steadily adopting the direct-to-consumer approach to sports. The streaming world has made its mark in the sports industry and given big tech companies the opportunity to channel an untapped market and create unique partnerships. Cable TV is still showing signs of life, as the Super Bowl and March Madness — both provided through linear networks — accounted for over 95% of the most watched programs in 2022. Nevertheless, a new era of sports consumption has enticed millions of consumers to cut the cord, sparking a cable vs. streaming duel in tech and media.

cable vs. streaming

The Big Tech Battle for Exclusivity Rights

The power and market share of big tech companies has certainly kept traditional media organizations up at night. Streaming is slowly becoming the majority TV consumption outlet, as Nielsen data reported broadcast and cable TV falling under 50% of net U.S. TV consumption in July of 2023. On the flip side, streaming services peaked at an all-time high of 38.7% usage. Tech names with newfound streaming services such as Apple TV+, Amazon Prime, YouTubeTV, among others have offered lucrative deals to obtain the media rights of major professional sports leagues. Streaming also offers exclusive highlights, post-game content, and even in-game data for avid sports fans to consume. Cable subscribers are given less variety as they’re left waiting for shows like ESPN’s “First Take” or “SportsCenter with Scott Van Pelt” to broadcast at the top of the hour.

Because some of these tech companies are commercial brands with products to sell as alternative streams of revenue, the investment in streaming and media deals is slowly driving out the bargaining power of cable. Traditional media generates their main source of revenue from ads and promotions on their services. Without sports year-round, it’s hard to turn a profit. Media companies feel the mounting need to keep leagues such as the NBA and NFL around to fill up slots for the year. As the NBA’s contract with Disney and Warner Bros. comes to a close in 2025 which includes ESPN, ABC, and Turner Sports, their media rights will almost certainly be scooped up by one of the big players in the tech industry. The streaming industry expects to see Google, Apple, Amazon, and Comcast make a run for the league, which has expressed desire to obtain a $75B deal.

Alternatively, tech companies know that creating exclusivity among popular sports can drive up sales for streaming service subscriptions. Lionel Messi and his transfer to Inter Miami this past summer is the epitome of this scheme, as Apple TV+ became the official streaming provider of the MLS. Consequently, having arguably the greatest soccer player of all time essentially blocked by a paywall forces consumers to pay top dollar to watch him play. This has not been an issue for The MLS League Pass, Apple’s streaming platform, which saw a 1,690% increase in sign-ups after the announcement of Messi’s transfer. Apple TV+ also debuted Friday Night Baseball in 2022 which was originally free for the first year, but now requires an Apple TV+ subscription. Similarly, Prime Video, the home of NFL’s Thursday Night Football since last season, saw the largest number of Amazon Prime subscriptions in a three-hour period in its entire existence during its inaugural game.

cable vs. streaming

Good for Business, Bad for Fans?

Big tech isn’t the only winner of the streaming revolution. Streaming allows for external businesses to more precisely tailor advertisements and place them in areas that have the most compatible consumers. Using precision targeting, advertisers can deploy their advertising during an appropriate game or show where their preferred audience is watching. Whereas businesses do not have the same level of data from the slots purchased on cable TV, streaming allows for the collection of user habits to tailor where an ad received the most attention. Through their analytics-heavy advertising service, Amazon Ads reports a 44% increase in post-ad brand consideration rather than using demographics data alone. 

If there is one blind drawback lost in the transition from cable to streaming, it’s that it’s not going to be cheap. S&P Global reports that U.S. consumers are estimated to spend $25.57B dollars by year’s end, a number that could reach up to $30B by 2025. Though cable itself isn’t cheap in its own right, media exclusivity also means that consumers may have to spend money for multiple streaming services just to watch their favorite sports. Out-of-market fans will soon find themselves spending top dollar in order to tune in. The government’s project on crackdown of illegal streams isn’t good news for those hunting for free entertainment, as the culprits of the piracy, which include the NBA, NFL, and UFC, have estimated a loss of around $28B in additional revenue.

Finding Common Ground

Not all hope is lost for media companies who have taken a hybrid approach to incorporating both streaming and cable. Peacock and Paramount+, owned by NBC and CBS parent companies respectively, have purchased exclusive streaming rights for the NFL and Premier League while maintaining a linear TV presence to reach maximum audiences. Disney and Charter Communications, the parent company of Spectrum TV, recently settled a dispute that shows us how media and tech companies can operate in unison. After resolving a carriage dispute which resulted in the blackout of Disney-owned media, Spectrum TV users have been granted free access to Disney+, ESPN+, and rights to receive ESPN’s standalone streaming service in the near future. This monumental deal suggests that when it comes to cable vs. streaming, the two could possibly coexist. But as cable TV tries to stay afloat, streaming looks to be the new, dynamic reality of how we consume sports which offers opportunities to tune in from anywhere in the world.

Sources:

  1. https://advertising.amazon.com/library/guides/what-is-ott
  2. https://frontofficesports.com/tnf-draws-record-prime-subscriptions-for-amazon/
  3. https://fortune.com/2023/10/08/sports-streaming-apple-amazon-prime-youtube-espn-nfl-nba-mls/amp/
  4. https://frontofficesports.com/challenges-arise-as-sports-streaming-surges-in-shifting-media-landscape/
  5. https://frontofficesports.com/apple-deal-affecting-mls-clubs-advertisers-major-league-soccer-tv/
  6. https://www.cnn.com/2023/09/05/business/leo-messi-apple-tv-signups/index.html#:~:text=MLS%20Season%20Pass%2C%20which%20is,according%20to%20analytics%20firm%20Antenna.
  7. https://www.sportspromedia.com/analysis/sports-streaming-wars-us-rights-amazon-apple-paramount-espn-peacock/
  8. .
  9. https://www.theatlantic.com/technology/archive/2022/08/sports-streaming-makes-losers-us-all/671231/
  10. https://www.theverge.com/23868355/disney-charter-bundle-espn-abc-broadcast
  11. https://www.theverge.com/2023/9/11/23868117/disney-charter-carriage-dispute-espn-standalone-streaming
  12. From the Stadium to the Screen: Examining the Impact of Streaming on Sports Media and 
  13. https://www.spglobal.com/marketintelligence/en/news-insights/blog/from-the-stadium-to-the-screen-examining-the-impact-of-streaming-on-sports-media-and-consumption
  14. https://blog.shuttlerock.com/streaming-tv-advertising-what-you-need-to-know#:~:text=In%20terms%20of%20return%20on,impressions%20that%20their%20ad%20receives
  15. https://frontofficesports.com/illegal-streaming-costs-sports-billions-leagues-want-swift-government-action/
  16. https://www.thestreet.com/sports/experts-nba-next-media-deal-espn-fend-off-amazon-apple
  17. https://www.nielsen.com/insights/2023/streaming-grabs-a-record-38-7-of-total-tv-usage-in-july-with-acquired-titles-outpacing-new-originals/

The Unlikely Union: Travis Kelce and Taylor Swift’s Influence on Sports and Entertainment

A fascinating relationship has emerged that has captivated not only sports fans but also pop culture enthusiasts. Kansas City Chiefs’ star tight end, Travis Kelce, and multi-platinum recording artist, Taylor Swift, have formed an unexpected relationship that has the whole world watching. This relationship is reshaping the landscape of sports and entertainment in ways previously unimagined. It all began when Kelce attended a Kansas City Taylor Swift concert in hopes of gifting her a bracelet with his phone number on it. While he was unable to meet her at the concert, he did message Swift afterward: “I’ve seen you rock the stadium at Arrowhead, maybe you should come see me rock the stadium at Arrowhead.” Swift then made a highly publicized appearance at the Chiefs’ September 24th game, and romance rumors soon flooded the internet.

From Gridiron to Pop Culture: The Kelce-Swift Phenomenon

The Kelce-Swift alliance is more than a silly phase; it’s a powerhouse relationship wielding substantial influence in both sports and entertainment. Kelce has reaped the most benefits from this relationship, specifically on social media. Since Swift’s visit in the Chiefs suite, Kelce’s Instagram following has grown by nearly 900K, bringing his total to 3.7M. Sales of his jersey increased by around 400%. He’s even raked in over half a million new followers on TikTok. While not all Taylor Swift fans follow football or the NFL, it seems they’re highly interested in following Travis Kelce. Swift has also benefited from the publicity. According to Front Office Sports, during the Monday Night Football game, Swift was shown 17 times on T.V. and aired 2 commercials for her new Eras Tour movie. This has served to bring more eyes on the pop star and help her retain a presence in the media.

travis kelce and Taylor swift

Even the NFL is leaning into this collaboration across their social media accounts. After Swift’s first game appearance, the NFL changed their header image on X, formerly known as Twitter, to three images of Swift from the Chiefs-Jets game. They also updated their bio to a phrase from her song,”The Best Day.” On Instagram, the NFL changed their bio to: “Chiefs are 2-0 as swifties.” The league did receive some backlash from fans who thought they were taking the romance too far, but the NFL doubled down on their stance, stating: “The Taylor Swift and Travis Kelce news has been a pop cultural moment we’ve leaned into in real time, as it’s an intersection of sport and entertainment, and we’ve seen an incredible amount of positivity around the sport.”

How Their Partnership Boosted NFL Viewership and Female Fan Engagement

If we take a look at the latest trends in viewership, it’s no wonder the NFL is taking advantage of the duo. The Swift-Kelce relationship has had a profound impact on female NFL viewership. Women have always made up a smaller portion of the NFL fan base, keeping it primarily male-centric. 51% of males consider themselves avid fans of the NFL while only 24% of women do. However, there has been a notable increase in female viewership as a result of Taylor Swift’s enormous popularity. Swift’s attendance at games has led to more women tuning in to games just to get a glimpse of her. As a result of her attendance at MetLife Stadium on Sunday Night for the Kansas City Chiefs’ victory against the New York Jets, NBC averaged a U.S. audience of 27M viewers, including an additional 2M female viewers. Girls between the ages of 12 and 17 who are known as “Swifties” exhibited a 53% growth in viewership after Swift attended the Chiefs-Bears game. Women over 35 had a 34% increase in attendance, and women between the ages of 18 and 24 saw a 24% boost.

This will only continue to grow as women become more involved in the sport as both participants and viewers. While the Kelce-Swift relationship may end, the NFL hopes its exposure to this new demographic could lock in a wave of lifelong fans. 

travis kelce and Taylor swift

What This Means for the Future of Cross-Industry Influencer Partnerships

The relationship between Travis Kelce and Taylor Swift represents a shift in the way we view celebrity collaborations. Through their combined efforts, Kelce and Swift are not only reshaping the sports and entertainment world but also inspiring a new era of cross-industry partnerships. As their influence continues to grow, we can only imagine the exciting developments that lie ahead in this dynamic union.

Sources:

  1. https://www.theatlantic.com/ideas/archive/2023/10/taylor-swift-travis-kelce-kansas-city-chiefs-football/675506/
  2. https://www.cbssports.com/nfl/news/inside-how-the-taylor-swift-travis-kelce-romance-has-impacted-the-nfl-honestly-unlike-anything-weve-seen/
  3. https://www.nytimes.com/2023/10/01/arts/taylor-swift-travis-kelce-chiefs-nbc.html
  4. https://www.sportspromedia.com/news/taylor-swift-nfl-nbc-ratings-cfp/?zephr_sso_ott=BB1b6m#:~:text=Taylor%20Swift%27s%20attendance%20at%20MetLife,additional%20two%20million%20female%20viewers.
  5. https://deadline.com/2023/10/taylor-swift-nfl-ratings-nbc-chiefs-jets-1235561852/
  6. https://www.today.com/popculture/news/nfl-social-media-taylor-swift-travis-kelce-rcna118884
  7. https://www.billboard.com/culture/product-recommendations/nfl-abercrombie-apparel-collaboration-1235412849/

Coco Gauff: US Open Champion & Social Justice Advocate

Earlier this month, Coco Gauff hit one final backhand at the U.S. Open and fell to the ground in a flurry of emotions. Fans in N.Y.C.’s historic Arthur Ashe stadium and all around the world rejoiced. Coco had just made pro tennis history by winning her first career Grand Slam. This incredible accomplishment marks the first American teen victory at the championship since Serena Williams almost 25 years ago. Even more impressive than Coco’s win, however, is the inspiring story of how she got here and the sky-high trajectory of where she’s going.

Coco Gauff’s Breakthrough: From Teen Prodigy to U.S. Open Champion

Coco first embarked on her 2023 U.S. Open journey with a thrilling comeback victory over German qualifier Laura Siegemund, overturning a set deficit to progress to round two. Coco didn’t just win the match– she also won over thousands of fans through a viral TikTok clip captured on the court. Siegemund’s attempts to slow down the game and gain an unfair advantage led to a heated exchange between Coco and the line judge. Frustrated by the judge’s refusal to intervene, Coco told her: “I don’t care what [Siegmund] is doing on her serve, but my serve, she has to be ready.” The crowd roared in support and viewers at home grew mesmerized by the 19-year-old’s ability to both advocate for herself and maintain composure. 

In the following round, Coco faced a challenging matchup against 16-year-old Mirra Andreeva, ultimately winning 6-3, 6-2. Moving forward, she encountered Elise Mertens, a match that proved to be a seesaw of breakpoints and tenacity. Coco, however, managed to rally and secure a 3-6, 6-3, 6-0 victory, bringing her into the last 16. Her next matchup against Caroline Wozniacki required similar resilience: Coco lost four consecutive games in the fourth match. Undeterred, Coco made an incredible comeback and won 6-3, 3-6, 6-1. 

coco gauff us open

Coco had made it to the U.S. Open quarterfinals for the second consecutive year, where she would win in just 68 minutes against Jelena Ostapenko. This memorable game resulted in Coco’s debut Grand Slam semifinal appearance, where she entered a face-off against Karolina Muchova. In this dramatic match, Coco had to wrestle more than her opponent with an unexpected pause in the game due to climate change protests. Nevertheless, she maintained her composure and left the match with a 6-4, 7-5 victory. This triumph paved the way for her final clash against Aryna Sabalenka from Belarus. Despite starting on the back foot with a 2-6 loss in the first set, Coco displayed immense grit, fighting back to secure the title with a final score of 2-6, 6-3, 6-2. This marked Coco Coco’s first-ever Grand Slam title.

Beyond the Court: Coco Gauff’s Role as a Voice for Change

Coco’s athletic career has been an impressive one from the start. Her trajectory has consistently soared from her stunning victory over Venus Williams as a 15-year-old to clinching her first Grand Slam title this month. Coco’s incredible journey was enriched by the background that shaped her. While her athletic accolades are undeniably impressive, the story of her holistic development, which she attributes to her family, stands out even more.

Corey Gauff, Coco’s father, had a background in collegiate basketball and introduced Coco to a diverse set of sports during her formative years. When tennis became the sport she stuck with, Corey became her coach, honing her tennis skills from a young age. He instilled in her the importance of self-belief, lessons Coco attributes to her significant victories, including defeating Venus Williams in 2019. Beyond tennis, Coco’s mother, Candi, managed Coco’s education and provided emotional support, ensuring a well-rounded development both on and off the court. Candi drew her insightful perspective from her family’s legacy. Candi’s father, Eddie “Red” Odom, significantly contributed to racial equality in sports by founding a Little League that created opportunities for Black children to participate in baseball. Candi’s mother, Yvonne, was the first Black student to integrate her high school. Through such role models, Candi imparted social responsibility and advocacy values, which she instilled in Coco at a young age.

coco gauff us open

Given these values, it’s no wonder Serena Williams is such a monumental idol for Coco – not just for her unparalleled achievements in tennis but for how she has revolutionized a predominantly white sport. To Coco, Serena’s presence in tennis provided representation, allowing her to see herself in the sport’s pinnacle. Growing up, Coco didn’t feel out of place in tennis because the world’s top player mirrored her identity. Beyond her accomplishments on the court, Serena’s interactions deeply influenced Coco. Serena’s refusal to settle for less in both business and sports, especially as a black woman in a challenging world, has always inspired Coco.

The Brand, Sponsorship & Athlete Partnership Impact

Coco has followed Serena’s lead in creating long-lasting, meaningful relationships in the sports sponsorship space. Through the lens of sports management, the strategic partnership between Coco and New Balance epitomizes the potential of athlete-brand synergy, similar to Serena’s partnership with Nike. When New Balance printed their first “Call Me Coco” t-shirt in response to one of Coco’s press conference quotes, it was already a marketing genius. After her U.S. Open triumph, New Balance seamlessly transitioned the slogan to “Call Me Coco Champion” and made the shirt immediately available for purchase. This instantaneous merchandising move is a testament to the foresight, authenticity, and strength of their partnership. Drawing parallels, Serena Williams has been an equally transformative figure in sports marketing. Her long-standing relationship with Nike led to a recent tribute ad encapsulating her legacy, portraying the depth of their partnership. Both Coco and Serena maintain profoundly authentic relationships with their sponsors. While New Balance placed faith in Coco as early as 2018 when she was just 14, Nike forged a bond with Serena in 2003. These alliances demonstrate the commitment and foresight of brands in paving the way for black women in sports marketing.

coco gauff us open

Following her monumental U.S. Open victory, Coco is adamant about showing that athletes can be impactful advocates for societal change. Like Serena, Coco recognizes her unique position as a black female athlete with the power to make influential changes within and beyond tennis. With her newfound global recognition, Coco is passionate about leveraging her platform to inspire the future of black female athletes, standing firm in her values, creating conversations around critical social justice issues, and developing meaningful relationships with her supporters and brands. After her exciting U.S. Open win, it’s no surprise fans around the world have high hopes for Coco Gauff as an enduring figure in women’s tennis.

Sources:

  1. https://www.npr.org/2023/09/09/1198665728/coco-gauff-wins-us-open-tennis
  2. https://www.usopen.org/en_US/news/articles/2023-08-28/coco_gauffs_hot_streak_continues_at_2023_us_open.html
  3. https://www.biography.com/athlete/coco-gauff#who-is-coco-gauff
  4. https://www.cnn.com/2023/08/30/sport/us-open-coco-gauff-win-spt-intl/index.html
  5. https://www.tennismajors.com/us-open-news/us-open-gauff-makes-last-16-710518.html
  6. https://www.espn.com/tennis/story/_/id/38323076/coco-gauff-beats-caroline-wozniacki-reach-us
  7. https://www.usatoday.com/story/sports/tennis/open/2023/09/03/coco-gauff-beats-caroline-wozniacki-us-open-fourth-round/70758879007/
  8. https://time.com/6311939/coco-gauff-us-open-semifinal-win-muchova/
  9. https://www.today.com/parents/celebrity/coco-gauff-parents-rcna104089
  10. https://www.11alive.com/article/sports/tennis/atlanta-coco-gauff-how-grandmother-inspires-her-us-open/85-b649425a-2e70-467c-a035-561370f964e1
  11. https://nypost.com/2022/08/26/us-open-2022-coco-gauff-inspired-by-serena-williams-on-off-court/
  12. https://www.parents.com/u-s-open-winner-coco-gauff-is-using-her-platform-7968209

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