On Friday, Dana White answered numerous questions in regards to the possibilities surrounding a network TV deal. Here is a summary of the discussion:
Re: ESPN US
“[Pause] Nope [No comment]. I mean, obviously, we’re always talking to networks, and I’m confident – I’m very confident. I’ve always said that we’ll be on network television, but we haven’t had the right deal yet.
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Re: International TV
“Since Lorenzo’s come on that’s all he’s been working on. Our focus right now is to get the right television deals in all these different markets of the world. Obviously, the UK has taken us a while, but we understand that some of these places are going to take time.
I say it all the time: when we go into some of these markets, it’s like we’re back in 1993 again. It’s an education process and it takes some time with some of these guys, but, yes, we just landed ESPN in the UK and we’re going to continue to open up all the major markets in, in all the major cities, with the right television deals.
Yes, including Russia – everywhere. Japan, too. It can’t be stopped. We’re coming.”
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Re: How much of a hold-up is the battle over who would control production of the shows?
“It’s not an issue anymore with a lot of these networks; it was just an HBO issue. And, really, you all know my position on that: nobody knows how to do it like we know how to do it.”
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Re: Do you have multiple TV network suitors?
“We’ve never had more interested than right now. Obviously, I think that all the hard work we’ve done over the last nine years – UFC 100 was a big part of it too – has helped. I’m very confident that we’ll have a TV deal very, very soon.
I like what I’m hearing now more than I ever did before.”
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Re: UFC in Mexico
“Yeah, UFC 100 was huge down there – nearly 25 million people watched the event. And we also just did a UFC unleashed show down there with all the guys from the UFC 101 card and it did something like a 15.0 rating, which is like 18 million people watching an unleashed.
I always knew that Mexico would be big, but it was just a matter of finding the right partner down there in Televisa. I couldn’t be happier.”
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Re: Network TV changing PPV business model
“I don’t think it would change it much. The thing about us, if we get a network TV deal, we’re putting serious fights on network TV.
That’s one of my big beefs with boxing, that’s I’ve said: once they went to the pay model, they stopped putting great fights on free TV. I’m big into that.
If we get a network TV deal, it’s going to be so awesome for the fans – great for the network, great for the UFC, and great for the fans. I’m really excited about it.”
Payout Perspective:
The UFC is obviously doing very well with its current business model. The combination of its Spike TV programming, online content, and increasing media coverage are helping to drive viewers to its PPV cash cows.
Given the strength of that PPV model, the UFC is right to hold out for a good TV deal – the organization is literally building more and more negotiating leverage with each passing month and its subsequent PPV and Spike offerings.
However, to believe that the UFC can do without a network TV deal and still reach its goal of global dominance and popularity is sheer folly.
In order to get to the next level, and to reach Superbowl-type fame, the UFC is going to need the corollary programming power of a major TV network in the US. The extra marketing power, extensive reach, and access to new, undiscovered demographics are what brands like ESPN/ABC, NBC, CBS, or FOX can provide.
I’ve talked at length before about the different types of business models that exist in MMA – PPV, TV, Event-based – and the UFC is going to need to converge each type of model into one seamless, mega model in order to climb this next mountain.
It seems as though Dana and Lorenzo understand this. While I’m loathe to take any word of theirs at 100% face value – they’re promoters after all – I do believe Dana when he says that the offers are getting better. The UFC is probably much closer than it was a year ago, but whether that means they’ll have a deal by the end of this year remains to be seen.
Separate Note: UFC Unleashed doing 18 million viewers is incredible and speaks to the potential of the market. It seems obvious the brand is destined for success – the Tito signing is also a plus – if it can overcome the initial territorial problems it has encountered in the last few years.
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