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Tuesday, July 03, 2012

NY Times:  For Baseball, TV Landscape Is Becoming a Pretty Picture

Major League Baseball collects an average of $711 million every year from ESPN, Fox and Turner. It wants more, and in coming negotiations for deals that start after the 2013 season, it should get it.

Mo’ money, mo’ money, mo’ money!

Srul Itza Posted: July 03, 2012 at 06:55 PM | 25 comment(s) Login to Bookmark
  Tags: business, general, media

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   1. McCoy Wilfong for Money Posted: July 03, 2012 at 08:27 PM (#4172735)
And yet the NBA Finals draws better than the World Series.
   2. Srul Itza Posted: July 03, 2012 at 08:31 PM (#4172741)
Yeah, but the baseball watching crowd is a more desirable demographic. As the head of Bloomingdale's once told Rupert Murdoch, "Your readers are our shoplifters."
   3. charityslave is thinking about baseball Posted: July 03, 2012 at 09:23 PM (#4172770)
Sports programming (and all live events) is more valuable since it is not dvr'ed as much as pre-recorded shows, so people still are forced to watch the commercials. Advertisers are now paying a premium for that.
   4. Xander Posted: July 03, 2012 at 09:44 PM (#4172781)
Yeah, but the baseball watching crowd is a more desirable demographic. As the head of Bloomingdale's once told Rupert Murdoch, "Your readers are our shoplifters."
Not sure that's true. Basketball draws a younger audience, which is more desirable.

But it's also true that the Finals' success is less dependent on which teams make it. 1) The NBA is less of a crapshoot and the teams with the stars are more likely to make it. 2) Baseball is much more regionalized and if a national team doesn't make it, a large amount of viewership is lost.
   5. Srul Itza Posted: July 03, 2012 at 10:24 PM (#4172796)
Not sure that's true. Basketball draws a younger audience, which is more desirable.


I've read the NBA thread here. There are a lot of ways to describe the people who post there. "Desirable" is not the first one to come to mind.
   6. Bhaakon Posted: July 04, 2012 at 08:39 AM (#4172936)
And yet the NBA Finals draws better than the World Series.


It's not up against anything. October is the heart of the new broadcast season.
   7. Flynn Posted: July 04, 2012 at 09:12 AM (#4172939)
And yet the NBA Finals draws better than the World Series.


By a tenth of a point on average, and Games 6 and 7 crushed the ratings of any NBA game.

NBA Finals games featuring the Lakers and Celtics will beat up on Texas-St. Louis World Series games...so yay for the NBA, I guess.

Not sure that's true. Basketball draws a younger audience, which is more desirable.


Was more desirable. Advertisers have been rethinking their target audience for a while: People in their 40s and older are practically the only people in this country with any money, and the under-30 crowd that follows the NBA is under a mountain of student loan debt and unemployment. Interest in baseball seems to return when you get older, and that's very favorable for baseball in the long term as wealth is squarely on the side of older Americans.

Baseball's older audience is becoming an advantage, not a hindrance.
   8. Matt Clement of Alexandria Posted: July 04, 2012 at 09:22 AM (#4172940)
The basketball thing is entirely a non sequitur. Baseball and basketball are not locked in a zero-sum struggle. All sports are doing awesome with television money for the same reason - the widespread use of DVRs means advertisers will pay much higher rates for time during live sporting events.

The NBA and the NCAA are also seeing a "pretty picture" in their tv landscape. That doesn't make MLB's picture less pretty in any way.
   9. Russ Posted: July 04, 2012 at 09:27 AM (#4172942)
Not sure that's true. Basketball draws a younger audience, which is more desirable.

But it's also true that the Finals' success is less dependent on which teams make it. 1) The NBA is less of a crapshoot and the teams with the stars are more likely to make it. 2) Baseball is much more regionalized and if a national team doesn't make it, a large amount of viewership is lost.


It's interesting... I can't find 2011 numbers, but it seems that 30-second spots for the World Series cost $450K in 2010 and a 30-second spot for the 2010 NBA finals cost $400K (references here and here).

So just based on those numbers, in 2010 the NBA was valued at about a 12% discount relative to MLB. My guess is that October is a better selling season for TV ads because of what Bhaakon had posted... many people don't like to sit inside and watch television on a June evening (particularly weeknights), whereas they're much more likely to do so in October.



   10. Matt Clement of Alexandria Posted: July 04, 2012 at 09:30 AM (#4172944)
The lede is being buried here under the dumb basketball argument. From the article:
NBC wants to return to baseball, and its cable channel, NBC Sports Network, needs programming that is more powerful than its current marquee properties: the N.H.L. and the Tour de France. Fox is considering turning its Speed channel into an all-sports network, which would need more than motor racing to thrive.

In addition, rights fees for professional and college sports have soared since M.L.B. made its current deals with ESPN, Fox, and Turner. More than ever, big-time live sports are must-have attractions.

Baseball is clearly trying to exploit the networks’ appetites. According to people briefed on the conversations, M.L.B. has been talking with the networks about changing the configurations of the current deal. The strategy could make the three incumbents worried that some of what they have — maybe “Sunday Night Baseball,” an ESPN staple — could be offered elsewhere.
There's a chance that NBC could outbid Fox for the World Series and the Game of the Week. I have no illusions about NBC, but anything to get the game away from Fox is a win.
   11. Flynn Posted: July 04, 2012 at 09:34 AM (#4172946)
Say what you will about Costas but he wants to be there, which is more that can be said for Joe Buck since about 2000. I watched some late-90s Fox baseball and he wasn't that bad...because he wanted to be there.

NBC getting baseball also almost certainly means that McCarver will be put to pasture - I can't imagine they would bring back a 70+ year old in favor of a younger analyst. I could see Ron Darling getting that job (not a spring chicken admittedly, but at least somebody who projects a more youthful image).
   12. JJ1986 Posted: July 04, 2012 at 11:13 AM (#4172985)
Is there any reason MLB can't sell the Saturday 4:00 slot to NBC and the Saturday 7:00 slot to Fox? They wouldn't really be competing with each other.
   13. Bob T Posted: July 04, 2012 at 11:35 AM (#4172990)
Costas' work for the MLB network shows that he's mostly interested in complaining about the state of the game today and about how all the bad steroid users should be rounded up and forced to listen him to talk about his Mickey Mantle baseball card.
   14. jingoist Posted: July 04, 2012 at 11:44 AM (#4172994)
Bob Costas, pedantic?
I shocked, I say shocked, to find Bob Costas snarkery going on here
   15. Tripon Posted: July 04, 2012 at 11:57 AM (#4172997)

NBC getting baseball also almost certainly means that McCarver will be put to pasture - I can't imagine they would bring back a 70+ year old in favor of a younger analyst. I could see Ron Darling getting that job (not a spring chicken admittedly, but at least somebody who projects a more youthful image).


This is the same network that got the Sunday Night Football package and said "GREAT. LET'S PUT JOHN MADDEN ON THE AIR." He was 68-69 at the time. NBC Sports loves old people.
   16. TVerik Posted: July 04, 2012 at 12:06 PM (#4173008)
The other interesting thing about sports ads is that they're more visual. The research suggests that a lot of people sometimes gather around one screen to watch a big event, whether it's in a private home or a public place. And in most of those places, the volume is down/drowned out. So watch the ads during a big sports event sometime with the volume off; they are tailored specifically by ad agencies to this "demographic".
   17. Downtown Bookie Posted: July 04, 2012 at 01:07 PM (#4173038)
Fox is considering turning its Speed channel into an all-sports network....


Which would seem to me to be rather redundant, since Fox already has an all-sports network.

DB
   18. The Yankee Clapper Posted: July 04, 2012 at 04:13 PM (#4173118)
MLB is awash in money and will soon have more. Good time to sell for any owner looking to cash out.
   19. Flynn Posted: July 04, 2012 at 04:30 PM (#4173131)


This is the same network that got the Sunday Night Football package and said "GREAT. LET'S PUT JOHN MADDEN ON THE AIR." He was 68-69 at the time. NBC Sports loves old people.


John Madden at 68 was and is a lot more incisive and well-respected than Tim McCarver has ever been.
   20. Tripon Posted: July 04, 2012 at 05:26 PM (#4173147)
Which would seem to me to be rather redundant, since Fox already has an all-sports network.


Not really, they're all regional networks, that are piece meal all together.
   21. Gamingboy Posted: July 04, 2012 at 05:34 PM (#4173149)
Just so long as ESPN keeps it. Not so much because I like/dislike ESPN's coverage, so much as we know that ESPN can and will pretend any sport it doesn't have the rights to doesn't exist and in fact could try to actively put down or ridicule said sport (although with baseball it'd be a ton more difficult than with the NHL- a section of Those Guys Have All The Fun is basically is about how important it was for ESPN to get MLB, that it was a step toward their global dominance on par with getting the NFL and World Cup, simply because baseball provides so much day-by-day material and that there are "no fans like baseball fans").


   22. Pat Rapper's Delight Posted: July 04, 2012 at 05:56 PM (#4173153)
ESPN can and will pretend any sport it doesn't have the rights to doesn't exist and in fact could try to actively put down or ridicule said sport ...

Good. Let 'em. I won't see it because I'll be watching MLB Network where I can get what I want without having sit through endless crap I care nothing about from the NFL, NBA, college football and basketball, soccer, and NASCAR, not to mention all the self-promotion for dreck like the X Games, the ESPY's, and ABC's prime time lineup.
   23. DA Baracus is gritty and hits with RISP Posted: July 04, 2012 at 06:12 PM (#4173156)
Just so long as ESPN keeps it. Not so much because I like/dislike ESPN's coverage, so much as we know that ESPN can and will pretend any sport it doesn't have the rights to doesn't exist and in fact could try to actively put down or ridicule said sport


Let ESPN put MLB on the backburner. It shouldn't matter to you how much time they devote to it on Sports Center, there are so many options available, and they're better. The MLB, NFL, NBA and NHL all have their own networks. The league sites and team sites provide a wealth of highlights, interviews and other content. There are other places to go for breaking news, analysis, highlights, recaps, stats, you name it. The only reasons to watch ESPN these days are to either watch a live game and, if you want, to watch blowhards yell at each other.
   24. AJM Posted: July 04, 2012 at 06:40 PM (#4173163)
The only time I get highlights from ESPN is during college football. And I watch ESPN News so I don't have to deal with most of the ######## on Sportscenter.
   25. bobm Posted: July 04, 2012 at 10:48 PM (#4173272)
[23] Let ESPN put MLB on the backburner. It shouldn't matter to you how much time they devote to it on Sports Center, there are so many options available, and they're better. The MLB, NFL, NBA and NHL all have their own networks.

IMO MLB Network beats ESPN not only on focus on baseball, but also by having the "live look-ins" all evening long. That beats mere highlights any day. (Does Baseball Tonight show you games live in key moments? I've stopped watching it altogether.)

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