Dana White to CNBC: UFC First Quarter up 20%
May 18, 2009
UFC President spoke with CNBC’s Darren Rovell and touted the UFC”s First Quarter results for 2009:
White gave us a never before released number to prove it, saying that business was up 20 percent in the first quarter of 2009 compared to the first quarter of 2008.
Much of the increase in quarter over quarter results can be traced back to the PPV success of UFC 94: Penn vs GSP 2, which generated nearly a million buys on PPV. This was a net increase of around 300k buys over the highest selling PPV in the First Quarter of 08 (Lesnar vs Mir). The UFC also benefited from higher than normal numbers for their Franklin Henderson card from their UK Division. Other items, like their deal with Topps also came to fruition during this time period, opening up additional revenue streams. The UFC can also look forward to a higher than normal result for the second or third quarter of 2009, depending on when revenue from the UFC Undisputed 2009 video game is booked.
White also hinted at his strategy when enticing sponsors on the corporate level for the UFC:
“Look our ratings in the 18-34’s,” White said. “We outrated Monday Night Football in that demo four times last year.” White also said he thinks that even in this environment the UFC….. can land another big sponsor. “Especially now we can do it,” White said. “The price of an NFL sponsorship is so high and we hit the same market at a lower price.”
The UFC can sell itself as a value play, giving more bang for the buck. The UFC make a very attractive option, especially now when the ad/sponsorship market is in something of a free fall. The value play doesn’t come without some risk for the sponsors, as evidenced by the videoblog brouhaha that erupted recently.