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The Business of Hockey Discuss the financial and business aspects of the NHL. Topics may include the CBA, work stoppages, broadcast contracts, franchise sales, NHL revenues, relocation and expansion.

TV "air time" sales, impact of team doing well

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Old
08-05-2010, 07:34 PM
  #1
LadyStanley
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TV "air time" sales, impact of team doing well

http://www.knbr.com/portals/3/podcas...0805griggs.mp3
Comcast Bay Area GM Griggs on local radio station. (Sister station Comcast California is the channel the Sharks are broadcast on.)

Starting about 12:30 in he talks about selling ads/sponsorship for games and how a team doing well impacts that (answer: it doesn't as they presell most of their stuff before the season; just enthusiasm).

Currently working on selling ads for NBA Warriors and NHL Sharks.

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08-05-2010, 08:01 PM
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skeena1
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Quote:
Originally Posted by LadyStanley View Post
http://www.knbr.com/portals/3/podcas...0805griggs.mp3
Comcast Bay Area GM Griggs on local radio station. (Sister station Comcast California is the channel the Sharks are broadcast on.)

Starting about 12:30 in he talks about selling ads/sponsorship for games and how a team doing well impacts that (answer: it doesn't as they presell most of their stuff before the season; just enthusiasm).

Currently working on selling ads for NBA Warriors and NHL Sharks.
But gains in ratings certainly are reflected in increased ad rates the next year. And if a station has a locked in rights fee, its gravy.

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11-19-2010, 12:16 PM
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Many bring up the fact that the NFL has this huge TV broadcast contract, something that the NHL doesn't have.

But really, and I'm certain this has been mentioned before, there's no way that the NFL can be compared with the NHL, as well as the NBA and MLB, simply because of the number of games played in a Season. Logically more fans are going to flock to the TV to watch NFL games when the opportunity is pretty much only once a week. Take the other major leagues, sure there is more broadcasting opportunity (thus more opportunity to bring in revenue), but once you start spreading it out then the number of viewers watching any particular game logically dramatically decreases (compared to having just a set of games to watch on one particular day of the week). Thus, the revenue gained from a particular NHL/NBA/MLB broadcast is significantly less than that gained from the average NFL broadcast, and then as a result broadcasting such games becomes less attractive to the networks.

On top that, you truly do have to consider the broadcast potential of certain markets (especially for the NHL and the NBA) due simply to the time of the year in which most games are played. In the cold of winter, one would think that it's logical to assume that there might be more TV viewers wathing NHL games in Minnesota or Edmonton than there would be watching games in Miami or Phoenix, for example. Viewers in the southern climes have other activities that would be comfortable to do other than keeping warm in front of the TV. Again, this simply reduces the potential of having a large number of viewers watching a sport on TV that they might be able to catch at various times during a week (assuming a significant number of games are being broadcast in their area).

So, if the League doesn't have an extensive TV contract, in particular a national one in the US, there does seem to be logical reasons why. And none of that is considering the general appeal of hockey in the US.

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11-19-2010, 02:13 PM
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Jonjmc
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Originally Posted by MoreOrr View Post
Many bring up the fact that the NFL has this huge TV broadcast contract, something that the NHL doesn't have.
Another factor that is often forgotten here is that the NFL has no local television broadcast deals (with the exception of pre-season games), it's all national. I'm not certain that all the numbers are available for the NHL teams local deals, but would guess that in total they bring in 300 - 500 mm a year.

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11-19-2010, 03:22 PM
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kdb209
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Originally Posted by skeena1 View Post
But gains in ratings certainly are reflected in increased ad rates the next year. And if a station has a locked in rights fee, its gravy.
Of course, the majority of RSN revenues do not come from advertising. They come from the subscriber fees paid by the CableCos and Satellite Providers - typically ~$1.50 - $4.50 per subscriber per month, whether they ever watch the channel or not.

And those subscriber fees are also typically locked in multi year contracts - and are likely dictated more by the MLB & NBA product that the RSN carries, rather than the NHL.

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11-19-2010, 03:39 PM
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Google provides an on-line facility for booking TV ad time - might be interesting to see what the ad rate differentials really are between the strong and weak markets.

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