DirecTV wants exclusivity to lure subscribers. If it's not exclusive, I don't see them paying any more than they do for HGTV. I think ultimately this would be less money for the NFL even for multiple carriers at that rate.
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Google CEO in Talks With NFL Commissioner for Sunday Ticket Deal
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DirecTV wants exclusivity to lure subscribers. If it's not exclusive, I don't see them paying any more than they do for HGTV. I think ultimately this would be less money for the NFL even for multiple carriers at that rate.
Yes please! NFL Sunday Ticket on the Apple TV would be such a great addition! It already has MLB and NBA.... all it needs is NFL!
I agree that DirecTV uses their exclusivity to lure customers, but by going with multiple, non-exclusive partners, I think the NFL could make a lot more money. And if there are multiple partners, we could see the rates drop (because each partner has to invest less money), which is good for consumers.
with streaming here and the success that MLB and NBA have had with their apps, i don't think the NFL is going to sign another exclusive contract
when they signed the last contract with direct TV, streaming wasn't very popular
Somebody at work said the NFL is listed as a non-profit organization. Wow.
MLB.TV is available on over 350 devices.
C'mon mannnnn!!
MLB.TV is available on over 350 devices.
C'mon mannnnn!!
You guys are both forgetting that the exclusive rights benefit both parties. Its netting the NFL a huge payout, and it is giving the purchasing company a hot product which is in high demand and GUARANTEES them no competition in pricing. It does seem plausible that more companies in the mix = more money for the NFL. However that concept doesn't take into account the fact that if any cable/TV provider can offer NFL Sunday Ticket there is less money to be made by each of those companies which offer it. The pricing of the Sunday Ticket package would have to drop as the different companies compete to sell it to their customers. In return, the cable providers are taking in less money on it so they will not be willing to spend as much on it.
In other words, imagine you have a pie made out of sweaty football players and cash. You can either sign an exclusive deal and have the whole pie to yourself -or- you let pie be cut it into smaller and smaller pieces each time another provider comes along and wants a piece....sooner or later there's nothing left on your plate but your fork (and a sweaty jock strap).
Talk to DirecTV retention (not a regular CSR) if you are an existing sub. Probably too late for this year since they have started billing. Take a look at the ST thread on DBStalk: http://www.dbstalk.com/forum/7-directv-general-discussion/ to find out deals people were able to negotiate. I've has ST since '98 & never paid list price, though sometimes my price reduction was in monthly credits.
I understand why companies choose to market their product exclusively through a retail channel. Look at Apple and the iPhone. The iPhone was a hot product that consumers wanted, and as a result, they had AT&T and VZW by the balls.
It's think it's a little more complicated here, because it's not entirely exclusive. The NFL is also getting nearly $5bn from other sources (FOX, NBC, CBS & ESPN) for the right to broadcast some games. Sunday Ticket competes against "free", so it's really only going to appeal to diehard football fans.
Turning your statement around, if it's non-exclusive, providers pay less, and therefore would have to charge less. Monopolies can usually charge more, while open competition charges less. In this case, open competition is good for the consumer, and depending on how deals are structured, it could be good for the NFL.
Finally, the viewership landscape is changing. When the last deal was structured, we didn't have the viewing options we have now. Even DirecTV, while slow, is accepting this, and allowing people to watch on their computers and/or mobile devices. And with all of the other major sports allowing people to subscribe directly, it feels like the NFL is stuck in the last century ("You mean I can only watch football on my TV?").
I'm not saying it will happen; I have no inside information. I'm only saying that it should.
I understand what you're saying, but I think its a faulty analogy. A pie is a finite resource; rebroadcast rights to TV is (theoretically) infinite. The NFL can sell as many pies as it wants (and already has sold different kinds of pies to FOX, NBC, CBS & ESPN). DirecTV would like to have bragging rights, saying that it's got the pie and you don't (they even say as much in their advertising).
Also, eww. Need eye bleach.
We are talking about NFL Sunday Ticket here, not network and/or cable broadcast of select games. I don't think its fair to say that "Sunday Ticket competes against free" because the free option doesn't get you the access that ST does (not to mention that free doesn't include the game broadcast on ESPN). They are not the same thing. Sunday Ticket is an exclusive product, as to my knowledge no other offering gives you access to any NFL game on any weekend. If you don't have Sunday Ticket then you watch what is being broadcast on your local network affiliate or ESPN (or you go to a bar).
Now, I do understand that if prices of the ST package dropped due to competition it would increase the market since more people could afford it. However I don't necessarily believe that equals more revenue being generated. I think it might wind up being a lot closer to breaking even with what is generated now. You have to remember that DirectTV is not in business to do what is best for the consumers. They are in business to make money.
You also need to consider something you yourself pointed out: the networks pay big $$$ to the NFL for the rights to air select games too. If ST became too affordable and every other NFL fan bought it the networks would see massive declines in their viewership = huge loss in advertising funds = goodbye to huge money going to the NFL.
I most certainly agree that the TV landscape is changing quickly and as such it will inevitably impact these types of things and hopefully it will mean more choices and better options for the fans.
The pie in my analogy was representing the viewership which is a finite resource (limited of course to the number of human beings with money and a TV). True the NFL can license broadcast rights until they're blue in the face, but they can't directly control the number of viewers. Hence, the more companies they license to the smaller their piece of the viewership pie.
Perhaps I didn't explain it quite the best way though.
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I'm not even sure how Sunday Tickey works anyway, so I will start off by saying that. But how much overlap is there between Sunday Ticket and what the other networks broadcast? Is Sunday Ticket all-inclusive or does it cut out the network/ cable broadcasts? I do understand what you are saying that it's not a direct comparison, ST vs. free, but I think the majority of football-watching America is content with whatever games they get as part of their TV package, myself included (given that its limited to DirecTV and quite expensive).
Is DTV is just a means to an end for the NFL? As long as the check clears, does the NFL really care who signs it? Does the NFL really care if DirecTV makes less money?
Also, I'm not completely disagreeing with what you say, so I hope it's not taken that way. It's just that licensing negotiations can be very complicated, especially one as complex as this (multiple partners, advertising and subscription revenue, exclusivity deals, etc., not to mention profit sharing with the teams, owners and players). Personally, I think the NFL will get along just fine with non-exclusive partners, and hopefully customers will see lower subscription rates. I think the biggest potential loser with a non-exclusive deal will be DirecTV.
Given its current incarnation, I will continue not subscribing to ST, but I'm interested in seeing the direction things go during the negotiation.
Is DTV is just a means to an end for the NFL? As long as the check clears, does the NFL really care who signs it? Does the NFL really care if DirecTV makes less money?
Also, I'm not completely disagreeing with what you say, so I hope it's not taken that way. It's just that licensing negotiations can be very complicated, especially one as complex as this (multiple partners, advertising and subscription revenue, exclusivity deals, etc., not to mention profit sharing with the teams, owners and players). Personally, I think the NFL will get along just fine with non-exclusive partners, and hopefully customers will see lower subscription rates. I think the biggest potential loser with a non-exclusive deal will be DirecTV.
Given its current incarnation, I will continue not subscribing to ST, but I'm interested in seeing the direction things go during the negotiation.
If you have a full cable package so you can get every available game each week in your area, you will get between 4 and 7 games per week. Some get fewer than that. ST gives you every single game, 14-16 per week, you choose which you want to watch. There is, of course, overlap. But that isn't the point. The point is you get all the other games.
ST is valuable to those that want to watch a team which is not their local team, to those that are crazed fantasy football players, or those that are just crazed NFL fans.