The leaders in the sports business world are constantly on a quest to get bigger and better. They’re studying, predicting, measuring, analyzing, evolving. And many of them came together for the 2017 Sloan Sports and Analytics Conference. While the conference is very much about athlete and team performance, there is also a wealth of sports business stats and insights shared.
Here are 29 quick sports biz bytes from the conference, shared via Twitter from #SSAC17:
[See full recaps of Day 1 and Day 2 here. Lots more.]
*Leagues are evolving in their relationships with sponsors. The NFL talked about actively collaborating with corporate partners on all facets of the business of the league and he game. The success with Microsoft Surface was highlighted as a win.
*Fanatics has become such a dominant player in the sports merchandise space because of its robust digital offering that can act upon demand in an instant. An example cited was that after just five games into his breakout career, with his name hotter than ever, Joel Embiid’s jersey was one of the top-selling in the NBA, thanks to the speed of Fanatics.
*While this principle was stated from the NFL and MLB, it was a theme (and has been) for thought leaders for a while – content must be disseminated to reach fans at the places and on the platforms on which fans are consuming their content. Simple enough, right?
*Also from the NFL and MLB [and another recurring lesson] – a major key to the growth of any sport is youth participation. Get them playing, make them a fan while they’re, and there’s a better chance they’ll be fans for life.
*It’s great if you can collect data, but it’s all about what you do with it. Casey Wasserman clearly shared a lot of wisdom to SSAC attendees and this one resonated, as it should.
*Teams and leagues are now seeking to serve every fan, regardless of where or how they’re consuming and engaging. That means focusing during games on digital engagement, on the in-venue experience, and on the TV broadcast. Each offers an opportunity to engage, and treats every fan of the team with care.
*The FOMO acronym seemed to be another common consideration. It’s still about making others want to be there, at the game.
*Lots of talk about personalization. Ticketmaster envisioned reaching a place, soon, where every experience for fans is personalized – discovery, purchase, amenities. Team execs are similarly focused on personalization, particularly with fan messaging and in-venue experiences. The new norm is personalization, and it’s only going to get better.
*A stat that certainly stood out – 50-70% of Fanatics listings on Amazon are counterfeit. Bad news for consumers, perhaps fodder for teams to convince fans to buy from their stores. Or maybe teams should sell directly on Amazon.
*Every league is worried about the waning attention spans, and desire for ‘content snacks,’ of Millennials and Generation Z. The objective is not so much focused on shaving minutes off games, but more so about reducing dead time in games [NFL, MLB, NBA]. Less time between action. The NFL also noted adjusting their commercial ad structure, for something more fan-friendly.
*Some interesting findings from stats around Los Angeles Dodgers concessions – alcohol comprises 49% of concessions revenue. Perhaps not surprising, but interesting. Also from the Dodgers – fan cart size increased with self-serve kiosks, and the Dodgers saw concessions revenue and sales decrease when Clayton Kershaw pitch, because his starts were so much shorter. (And fans likely want to be in their seats to see the ace in action)
*Stats to consider from WWE – While we focus on so much on mobile TV viewing, just 15-20% of WWE Network viewing is on mobile devices. Even on the digital-only WWE Network, fans still seek out the big TV for their sports. Another eye-popping stat from WWE – 70% of their content consumption comes from outside the US.
*Wasserman Managing Partner Elizabeth Lindsey noted the need for sports leagues to focus on international growth, despite so much attention at home paid to driving youth, female, and minority viewership growth. The NBA has their eyes on India (looking for India’s version of Yao Ming), while the NFL is hoping to crack China. The NBA, in discussing their success growing the game and the league in China, noted that content was provided for free to a Chinese network to show on TV, building in exposure for the NBA and the game.
*Pretty impressive user and user engagement stats from Twitch. The esports and video game streaming platform boasts 100 million monthly active users, and their users average a mind-blowing 140 minutes per day on Twitch.
*The aspects of personalization are also of increasing concern when it comes to content and digital marketing. As more data is collected and put into action, greater degrees of custom experiences with content is a goal for the sports business industry, as well.
*Virtual reality and augmented reality were not surprisingly popular topics. A stat that stood out that either means future growth or stuck in the rut for VR is that the Consumer headset market for VR in the US is currently around six to ten million. One definite positive was the news from sports VR company STRVIR, which reported that it has been profitable the last two years.
*NBA Commissioner Adam Silver talked about how lucky they are to have players that market the league themselves, with all their activity on social media and in the media. The league also focuses on social media education and empowerment, which, along with willing and already social media-savvy players, makes for great success there.
*170+ million fans watched March Madness games in 2016. That’s a helluva number, and is certainly happening on an ever more diverse array of platforms now.
*Uninterrupted, the player-driven and video-focused content network co-founded by LeBron James, is not trying to displace journalism outlets like ESPN. Instead, explained Maverick Carter, their competition is more premium content producers, like HBO.
* This stat just stood out to me a bit…Which sport would you guess has the fifth most estimated fans in the world? I’ll give you a second…
It’s volleyball. I wouldn’t have guessed correctly.
*Good gambling stats to heed, as legalization expands in the US –> In Europe, sports gambling via mobile comprises 80% of the market and in-play [during the game/match] gambling makes up over 50% of total handle. Lots of $$ to come in this space for the US. That said, one limiting factor for such real-time gambling, it was noted, is the slowness/lag of data feeds delivering the stats.
*The CTO of Ticketmaster provided some fascinating insights on a panel at the conference. One that stood out to poder was that 68% of all tickets on Ticketmaster are sold after the original on-sale and presale. This could mean a lot of things, but mainly that most tickets are not bought early, which aligns with notion that fans are waiting to buy tickets.
Another ticket sales stat, that ws quite mind-blowing, was that there is an estimated $7 BILLION worth of arbitrage in the ticket sales market. You think teams want some of that/
*Another stat that opens some eyes for teams (via Ticketmaster) is that the names captured to tickets sold ratio is 1:2.8. Yep, nearly 3 of every 4 tickets are sold without teams knowing the identity of the buyer.
*The point was raised that there are two main cohorts of fans attending games. There are those fans that are there because they’re fans of the team and feel invested in them. And there are those who are there for the experience of attending the event, the spectacle (and, yeah, probably the social media fodder).
* A great insight from the San Francisco 49ers VP of Sales & Serivce Jamie Brandt, as he noted that, for Millennial fans, share-able experiences are valued far more than expensive things/items. Something to keep in mind for memorable fan experiences.
*An interesting stat from the panel on gambling was a study estimating that legalization of gambling would result in an average 10% increase in viewership for pro sports. Fans that are invested, literally, are engaged and don’t miss the game.
*In the ever-evolving world of tickets, paper and paperless, the 49es talked about everything from all-mobile ticketing to even a ‘biometric’ solution for fans of the future to gain entry into the game.
*As teams, leagues, and brands continue to try and do social media the right way, a statement that permeated and penetrated was that ‘Social media is for consuming content, not [conducting] transactions.’ (Though, Facebook Ads do work pretty well). Don’t forget why fans are there in their Feeds in the first place.
*There was a fascinating panel on sports journalism with Adrian Wojnarowski, Adam Schefter, and Ken Rosenthal that was full of good nuggets, some of which you can see in the SSAC recap. The powerhouse reporters talked about the nature of breaking news and how it’s not always so simple when you want to balance confirming vs. getting beat, and throwing in promises to sources to hold info until a certain time. They also spoke about the importance of building relationships and getting to know a lot of people in the industry, as well as getting to know the athletes as people. Other tips included a warning against burning bridges (because word spreads quickly) and when reporting news answer and bring out the why and the how, not just the what.
*It’s a dialogue, not a monologue on social media. This is paraphrased from VP of Wasserman Mike Bernstein, which succinctly reinforces the need to remember the social in social media. If you’re the only one talking, that’s broadcasting, not relationship building. Creating conversation through content is powerful.
I’m always thirsty to learn more and greatly enjoyed picking up on some insights via #SSAC17. Be sure to check out the recaps.