Vice Media introduces UFC online channel this fall
May 4, 2012
Variety reports that digital company Vice Media plans a UFC channel to its offerings starting in September 2012. The UFC online channel will be dedicated to the culture of MMA.
Via Variety:
The network’s lineup includes “Body Shop,” exploring the science of fighting; adventure-travel show “The Coming of Man” documenting fighters as they experience traditional male rights of passage; “Little Big Guys” showing what it takes for a kids to become MMA bruisers; and “Cooking to Fight,” which pairs world-class chefs “with men attached to the most dangerous fists on the planet.”
According to its media kit, Vice Media’s mean age is 27 and male dominated which skews toward the UFC’s demo.
Payout Perspective:
The description of the shows already peaks my interest in tuning in this fall. We will see how the channel will produce content in addition to what the UFC does for FX and Fuel. With these shows, one would think someone could think of ideas for viewers to tune into TUF Live (that is somewhat of a joke). It will be interesting to see how many gravitate toward the UFC channel this fall.
UFC discusses future of PPV
March 7, 2012
One of the more interesting issues that came up at yesterday’s UFC on Fox 3 press conference was the issue of the future of PPV and the UFC. MMA Junkie writes about Zuffa’s perspective on the issue and the possible future for the UFC.
The article addresses the changing landscape of technology and Zuffa’s current pay TV revenue model. Dana White acknowledges the evolution of the business model which may change over time. With the UFC-Fox agreement, there may be a time in the promotion where PPV revenue is not the main producer for company. The Fox deal so far has been a success and according to the article, a success with advertisers. Yet, there is a need to find other sources of revenue.
Via MMA Junkie:
…the UFC also needs other sources to feed the till, and it’s embraced other platforms to bolster revenue from TV and pay-per-view. The promotion’s online business sells fights through the UFC’s website and through online partners. It has yet to replace the revenue brought by pay-per-view. That could change, however.
Payout Perspective:
We have discussed in the past the potential for Zuffa to find alternative platforms to the current PPV model through showing its events on its own web site, Facebook, YouTube, XBox Live and even through your cell phone. It also has toyed with showing events in 3D in theatres. However, none of these have yet to replace the current structure. A portion of the reason the UFC would like to see its events on other platforms is that it could mean more of a cut of the revenue directly to the company rather than share it with PPV providers. Obviously, it may have to share revenue on other platforms (e.g. XBox Live) but the partnership structure could be more advantageous for the UFC.
In catering to a younger demographic, the options are available to the UFC. It has shown to be a company as an early adapter to new technology and willing to try new things for its fan base.
UFC goes 3D for 143
January 20, 2012
The UFC announced that it will be showing UFC 143 in 3D in movie theaters. Tickets for the in theater PPV will go for $25 and can be purchased in advance.The main event Super Bowl Weekend has Nick Diaz battling Carlos Condit for the interim welterweight title.
Via UFC press release:
Las Vegas, Nevada – The Ultimate Fighting Championship®, in conjunction with Cinedigm Digital Cinema Corp. (NASDAQ: CIDM) and NCM Fathom, announced that tickets for the first-ever live, 3-D broadcast of a UFC® Pay-Per-View event on the Big Screen are on sale now. The championship fight card,UFC® 143: DIAZ vs. CONDIT, airs live and in 3-D in more than 100 theatres nationwide on Saturday, Feb. 4 at 10 p.m. ET/7 p.m. PT from Mandalay Bay Events Center in Las Vegas.
The night’s main event pits the fiery and unpredictable Nick Diaz against hard-hitting knockout artist Carlos Condit for the interim UFC welterweight title. An exciting co-main event features heavyweight Roy “Big Country” Nelson battling submission ace Fabricio Werdum.
Tickets for UFC® 143: DIAZ vs. CONDIT are available for purchase now at www.ufc.com/3D, as well as at theatre box offices across the country. Fans can visit the website for information on which theatres will be carrying the event in their respective regions.
“I know the fans love 3-D, so I’m happy to give them this championship fight live and in 3-D in theaters across the country,” UFC President Dana White said. “I cannot wait for this fight between Diaz and Condit to determine the interim UFC welterweight champion!”
UPDATE: The above press release web site takes you to Fandango where you can purchase advance tickets. The cost is $25 per ticket in the Seattle, WA area although I’m not sure if this is region specific.
Payout Perspective:
This will be an interesting experiment to see if the 3D concept will catch on with MMA. Last year, the UFC and Cindegim announced this partnership. The UFC first tried 3D with UFC on Versus 3. Depending on the price of the tickets, this could be a successful experiment and another option from having to pay $50 plus to order a PPV at home. But, I don’t recall past attempts for movie theatre live events doing well. It would have been nice to have had bigger names on top of the card as this could draw more interested fans to this event.
UFC for XBox Live a dud in debut
January 3, 2012
Kotaku reports on the UFC on XBox Live debacle that occurred this Friday for UFC 141. There were difficulties with the system and viewers were instructed by XBox to find alternatives to watching the PPV.
Bitmob has an account of the problem:
Due to technical issues with the 30,000 promotional freebies Microsoft had sent out, the UFC on Xbox Live app wouldn’t load for a lot of people; would continuously crash or reset to an earlier point in that night’s event (with no way to fast forward to live broadcasting); would constantly switch between high definition, standard definition, and Vaseline-all-over-your-TV-screen definition (generally preferring the latter); would stutter and pause while trying to buffer; etc.
Microsoft has issued an apology via Bitmob:
The broadcast of UFC 141 through the UFC for Xbox LIVE application was hampered by technical issues appearing in the hours leading up to the fight. Despite restoring service to some users during the course of UFC 141, there is a great deal of room for improvement. All 30,00 users who registered to view UFC 141 for free will be provided access to a future fight at no cost.
We want to ensure that the 30,000 giveaway recipients for UFC 141 have an optimal experience with UFC on Xbox LIVE, and we are currently working with our partners at the UFC to ensure we deliver just that. The gamertags of the 30,000 users who registered for UFC 141 are being safely kept on file for free access to a future UFC event, and we will have more updates to share in the near future.
Payout Perspective:
Originally, the announcement that the UFC would be on XBox was slated for UFC 140, then it was moved to December 20th. Perhaps there was a reason the start date was moved back.
Have you ever gone to a restaurant and the service was slow and food bad that you declare that you’d never return? This may be a similar case unless Microsoft and the UFC do something to instill trust in its service and make people want to come back.
Not only does this episode cast a cloud on the XBox on UFC, it also makes a statement about XBox’s television service. As we indicated, the difficulties are a blow to the XBox and UFC relationship as the problem hurts consumer trust and they must do something to make good for the many fans that attempted to utilize the new service. Certainly, good public relations must take place for customers to come back to use the service.
UFC 141: Payout Perspective
January 3, 2012
Welcome to another edition of Payout Perspective. This time we look at a special Friday night event from the MGM Grand in Las Vegas, Nevada which featured Brock Lesnar versus Alistair Overeem.
Overeem kicks Lesnar into retirement
There’s a reason why Lesnar went off as the underdog in Vegas. It was uncertain how Lesnar would do considering he came back from diverticulitis once again. The fight was a no contest for Overeem as one kick to the gut and Lesnar was done for the night.
Classy speech by Lesnar at the end of the fight. It was the right thing to do as his last two fights have been very disappointing. For Overeem, JDS is next in what should be one of the bigger cards of 2012.
Diaz boxes out Cowboy
A lot of trash talk before made this co-main event something to watch. Indeed it was the most interesting match of the night. Diaz used the “stockton slap” as the Cowboy just stood in front of him in the first round. Cerrone used some leg sweeps to score some points but did little actual damage to Diaz.
An impressive outing for Diaz as he’s moving up in the lightweight division albeit he came in at 157 pounds.
Hendricks knocks out Fitch
Johnny Hendricks left hand was lethal as he flirted with the UFC’s fastest KO record with a knockout of Jon Fitch. A disappointing end for Fitch who was coming back from shoulder surgery. The stoppage was warranted as Fitch went limp and Hendricks was right on top to deliver more punishment if he the fight wasn’t stop.
Hendricks puts himself in line for a title shot. He’s not in the express line to a shot but is definitely someone that should be taking a step forward in the next year.
Attendance and Gate
MMA Junkie reports that UFC 141 drew a reported 12,158 fans for a reported $3.1 million gate. The figures, as custom, were given by Dana White at the post-fight press conference. The numbers fall well short of the top 5 draws in MGM Grand history but it did much better than last year’s UFC 125.
Bonuses
The bonuses were $75,000 each and went to Johnny Hendricks, Nate Diaz and Donald Cerrone. Hendricks was the obvious choice for KO of the night while Diaz and Cerrone earned fight of the night honors. There were no submissions so no sub of the night.
Countdown to UFC 141 debuted on Fuel TV a week before the event and garnered a poor 15,000 viewers. Hopefully, the January 1st UFC marathon helped with marketing of the network as the new place for the UFC.
Salaries were released earlier than normal by the Nevada State Athletic Commission because lawyers for Golden Glory obtained an order to garnish the salary of Alistair Overeem. Of no surprise, Brock Lesnar topped the list. Overeem was set to earn $385K but was asked to garnish roughly 30%. However, it was revealed Monday that no bond was posted to garnish the salary as required by Nevada law. So, Overeem was able to receive all of his earnings. This will make the litigation between Overeem and Golden Glory much more contentious.
Sponsorships
Clothing brand RYU and wireless service provider MetroPCS became sponsors of the UFC this month. RYU was a sponsor to the “backstage camera” and MetroPCS had signage in the Octagon. RYU also sponsored Jon Fitch. Unfortunately for Fitch, the RYU walkout shirt was seen much more than on his shorts as the fight lasted just 12 seconds.
With the addition of MetroPCS and Gina Carano’s new movie, “Haywire,” the regular sponsors (SafeAuto, TapouT, Harley Davidson, Toyo Tires, Bud Light) were in the Octagon. Speaking of Haywire, Carano was in attendance and was interviewed about the movie.
Harley Davidson pumped up its Hometown Throwdown contest again.
MusclePharm had a special graphic shown during the tale of the tape before Overeem and Lesnar.
The Cowboy has used his hat to put sponsors on each side of the hat in the past and now he’s used under the brim. Way to use the real estate. Maybe that’s why he got so upset that Diaz flicked it off his head.
Jimy Hettes had sponsors AzadWatch.com and Palooka.com as sponsors. I noticed these two sponsors since they were on the back of his fight shorts and maintained dominant position on Nam Pham most of their match. Good placement for the two sponsors.
It was announced prior to UFC 141, that Lesnar signed an endorsement deal with Everlast. I wonder what impact his retirement will have on the deal?
Post-UFC 141 Headlines
Lesnar retires, what now?
With the retirement of Brock Lesnar, the UFC lost its top PPV draw. A Lesnar card meant 1 million PPV buys was a certainty. With his departure, and the absence of GSP for most of the year and Anderson Silva out until at least June, the UFC is in a precarious PPV position as its lost its top three stars for the first half of 2012. Jon Jones could be the next PPV breakout star.
But, perhaps as when teams go without its star, it makes the rest of the team stronger and better. This can be a time that the UFC can build up its existing stars (Jones, Edgar, Diaz). Of course, Rashad Evans is another top PPV draw but will be on the Fox broadcast on January 28th. His next fight (fingers crossed) will likely be the long-awaited bout with Jon Jones sometime this summer (maybe Memorial Day weekend). What will the PPV buys look like in the first half of the year?
Young fighters impress
Jimy Hettes and Alexander Gustafsson made statements in their fights on the main card of the PPV. Hettes was impressive in his fight with Nam Phan and Gustafsson took care of the Vladimir Matyushenko. Both of these guys look to be moving up the ranks of their respective divisions.
Odds and ends
-Why no Joe Rogan post-fight interview for Jimy Hettes? He deserved some mic time.
-After Diaz flipped Cerrone’s cowboy hat earlier in the week, Diaz gave Cerrone his beanie after their fight. It looked like Diaz wanted Cerrone to give him his cowboy hat kind of like an exchange of opponent jerseys in soccer.
-The last live event on Spike occurred with little or no mention that the UFC-Spike relationship was ending. Of course, if you are Spike, you are still showing the UFC library so why mention it.
-I was in Canada last week and noticed Rogers giving a top 5 of Lesnar’s greatest fights. It was interesting to me that the number 1 moment was his win over Frank Mir and they showed his infamous rant after the fight (“going to have a Coors Light because Bud doesn’t pay me” and “get on his wife” comments). That’s something they would not play in the US anymore.
PPV issues
This was the first time that XBox users could purchase a UFC events through its XBox Live platform. As a promotion for this, XBox gave away 30,000 free PPV passes to watch the event. Unfortunately, technical difficulties destroyed the opportunity for anyone to access the UFC on XBox. To make amends, the UFC promised all that purchased the event on XBox, it would be able to see another UFC event for free. The problem with this, is that consumers are now weary of this method of watching the PPV and less likely to use this platform. We see that there are some glitches in the system and the UFC must fix them, restore trust and address this PR problem as well.
In addition to the XBox problem, I received notice that Rogers in Ontario, Canada had technical difficulties as well. People that purchased the PPV were refunded money as the cable operator acknowledged the problems.
These problems do not bode well for the overall viewership of the PPV. Even with Lesnar at the top of the card, the final number could have been better but for these issues.
NeuLion-UFC introduce new UFC.tv phone app
November 26, 2011
NeuLion, Inc. has introduced an all-access mobile phone app for the Android platform. The app allows Android users to stream UFC PPVs.
As one might recall, NeuLion and UFC entered into a partnership which would enhance UFC.tv.
Here are the features of the UFC.tv app via UFC and NeuLion joint press release:
-Live streaming of Pay-Per-View events, weigh-ins and press conferences
-Multiple live video and audio feeds during the broadcast: English, Spanish, Red Corner and Blue Corner
-Ability to score the fight in real-time and get an aggregate of every vote
-UFC fighter index sortable by weight class. Each fighter’s profile has key stats — wins/losses, height, weight, etc.
-Access to the UFC Fight Library of video
-Free videos including: event countdown shows, fighter interviews, press conferences, event previews, fighter workouts and other UFC free video content
TV schedule
-Video highlights and VOD events
-Constantly updated news section featuring articles about the latest UFC fighters, events, interviews and profiles of fighters
Payout Perspective:
The Android app makes sense considering Android made up 44 percent of mobile app downloads in 2010.. While this app definitely allows for continued growth for the UFC audience, the price points remain the same for PPVs. Unless you are on the road, paying for a UFC PPV on your phone for the same price as you would have to pay at home seems disproportionate. Still, it appears that there is access to free content which might make this app something UFC fans may seek to download.
WWE Network will have channel on YouTube in 2012
November 2, 2011
The Hollywood Reporter reports that the WWE Network will be a part of You Tube’s initiative in creating 100 different channels online with the site. Although initial speculation was that the WWE Network would be on cable television, the unprecedented move allows the WWE to circumvent negotiations with cable providers.
Via the Hollywood Reporter (h/t Cageside Seats):
In a low-budget early effort to compete with satellite and cable TV providers, YouTube announced Friday that it has partnered with several entities to roll out television-style channels with professionally produced shows that will strike a sharp contrast to the short videos of crazy cats, skateboard wipeouts and other amateur content that made the site famous.
Insiders said the Google-owned property has shelled out some $150 million in advances for the creation of about 100 channels, with a maximum $5 million going to any single channel. Financial details were sketchy on Friday, though The Wall Street Journal reported that deals call for YouTube recouping its advances then giving as much as 55 percent of the ad revenue to the content creators.
The WWE began airing commercials for a network earlier this year with the start date being in 2012. The network is planned to roll out around the next Wrestlemania this spring 2012.
Payout Perspective:
For WWE fans, this is not what was expected but it is probably the best strategy for the WWE at this point. As we have seen from the Direct TV-Fox contract dispute, the task of placing its network and negotiating a contract with cable distributors would have been difficult especially with its target roll out of this spring. If given the choice, fans would likely check out the channel on YouTube rather than pay extra money on their cable bill.
The bigger story here is YouTube (a Google owned entity) and its move to compete with satellite and Cable tv. How many people will adapt to watching television on their computers? How many will know that they can hook up their computers to televisions?
UFC goes 3D in 2012
October 22, 2011
Variety reports that the UFC has partnered with digital cinema company Cinedigm to bring four events to movie theaters in 3D in 2012. The first event will be Super Bowl weekend, February 4, 2012.
Via Variety:
February’s event will be shown in 120 theaters in the U.S. — a good starting point for the series, Cinedigm chairman-CEO Chris McGurk told Variety. “The important thing is to fill up those theaters, and I don’t think that’s going to be a problem,” he said.
Cinedigm’s goal is to make movie theatres “appointment programming.”
Payout Perspective:
The last time the UFC flirted with 3D was for UFC on Versus 3. This experiment will be interesting considering the push for 3D in sports. It seems a little early for this but the UFC has always been on the cutting edge when it comes to new forms of media. The price point will play a big role in deciding whether to pay to go to a theatre to watch an event. The February 4th UFC event could have Chael Sonnen facing Anderson Silva in what will be a much hyped match.
With 34 events scheduled for 2012, it seems hard for consumers to consistently purchase UFC PPVs. This can be an interesting alternative than going to a bar. I have always been skeptical about live events playing in theatres so we will see how this will be marketed and how many people take advantage.
UFC debuts on XBox 360 in December
October 8, 2011
Kotaku reports that the UFC PPVs will be available on XBox 360 Dec. 1st and its first live event will be UFC 140. Dana White made the announcementabout PPVs on the game console this past summer at E3.
Via Kotaku:
Watching the the MMA promotion’s fights on Xbox 360 will let you and your XBL friends predict winners, with the results of the pseudo-wagering kept on a leaderboard. The PPVs will stream in 720 and you’ll be able to navigate through the content with Kinect, if you like actually moving your arms.
Here are some more amenities that the Xbox 360-UFC deal will provide. (via Middle Easy through the UFC press release):
- Live and On-Demand Video – Event previews, UFC Countdown, press conferences, weigh-ins, interviews, workouts, highlights, and more, together for the first time on your big screen.
- Streaming HD Quality in 720p – UFC fans demand stunning HD viewing, and Xbox LIVE brings the most premium streaming HD to the big screen.
- Pay-Per-View with Ease – The biggest pay-per-view fights available to all Xbox LIVE members in HD and SD pricing options. Purchase directly with your credit card, Microsoft Points not required.
- Interactive Fight Card with Predictions – Size up the fighters with the tale of the tape and view their past fight results. Predict upcoming fights, compare results with friends for points and bragging rights, and see where you stand against them on the leaderboard, all accessible while watching the fight so you’ll never have to leave the excitement of the Octagon.
- Control the action with Kinect – Focus on the fight instead of looking for the remote. Navigate through the video content, bring up the Interactive Fight Card, or play, pause, and rewind that big punch, kick or submission…all with the magic of Kinect.
No word on the price of purchasing the PPV on Xbox 360 or if you can use XBox points toward the purchase. I’m not up on using the “points” on the system but I will ask a source (my 9 year old nephew) and get back to you.
The initial announcement stated that the UFC PPV would be available only to XBox 360 Live subscribers.
H/t: MMA Metrics
Payout Perspective:
As we pointed out back when the UFC made the initial announcement, the partnership with Microsoft means another mainstream sponsor comes on board with the organization. You may also see more fighters being sponsored by Xbox 360 on the 140 card for branding purposes. No word if Demetrious Johnson (XBox 360’s sole sponsored fighter) will be on the card but it would not be surprising if he made it back in time. Regardless, the UFC-XBox 360 partnership is one reason why Jon Jones was put on this card (as well as it being in MMA crazed Canada) to defend his title. It also is another experiment in finding other platforms for the UFC to air PPVs.
Southern California promotion launches Fight Club OC TV
August 22, 2011
Southern California promotion Fight Club OC is offering its fights online for $4.99. The local promotion’s success has given itself a reason to try to expand to a broader audience.
Fight Club OC offers monthly boxing and MMA bouts in a small, but well-attended venue in Costa Mesa, California.
Via Fight Club OC:
“After just four shows in 2011 the buzz surrounding the launch of Fight Club OC has been tremendous,” said (Fight Club OC promoter Roy) Englebrecht. “We have more media covering the shows than ever before, our 10 All Inclusive VIP Suites are sold out, we have our largest number of merchandise vendors ever, and our Fight Club OC Outdoor Cigar Lounge was packed the whole night, so I made the decision that this unique night of fight action needs to be available to fight fans all over the world, and we decided to launch Fight Club OC TV and boy did we ever pick the right night.”
Payout Perspective:
This is the next step for regional promotions. Fight Club OC’s use of the internet is a good way of broadening its audience. Even if you aren’t in Southern California, you can watch fights online and for a reasonable price. For Fight Club OC, if the online fights are successful, it could look to sell advertising and/or sponsorship for Fight Club OC TV.
