TapouT-UFC announce new sponsorship deal
February 7, 2012
Longtime sponsor of the UFC, TapouT announced a new multi-year deal with the company and new title as “official lifestyle apparel partner” of the Ultimate Fighting Championships.
Via TapouT/UFC press release:
The multi-year deal gives TapouT exposure at UFC® events broadcast on Pay-Per-View, FX and FUEL TV via canvas logos, bumpers and billboards. In addition, TapouT will present the “Submission of the Night” feature on UFC broadcasts, as well as take part in on-site activation at UFC events globally. The agreement also includes an extensive digital media plan, with TapouT gaining visibility across multiple social media platforms and at UFC.com. Furthermore, TapouT obtains the rights to use “Official lifestyle apparel of UFC” on hangtags, point-of-sale and advertising.
TapouT, which is owned by New York-based ABG Tapout, LLC a division of Authentic Brands Group LLC, has a long history of sponsoring UFC athletes in the Octagon®.
“TapouT has been a big supporter of the sport and its athletes for a long time,” UFC President Dana White said. “We’re excited to have them as our official lifestyle apparel partner as we get ready for some of the biggest years in UFC history.”
“It’s been a dream of ours ever since we watched the first UFC to be an official partner of the best MMA organization in the world,” said TapouT co-founder, Dan “Punkass” Caldwell.
“The UFC is a world class professional sports organization with an aggressive global growth strategy in line with ours,” said James Salter, CEO of Authentic Brands Group. “This partnership with the UFC further reinforces TapouT’s commitment to supporting the sport, its athletes and beloved fans.”
“TapouT and the UFC have had a long standing relationship over the years, which would explain why many fans already consider us as the lifestyle brand of the UFC,” said James Ling, Authentic Brand Group’s SVP of Marketing and Global Brands in an email to MMAPayout. “We made it official so there’s no doubt in the minds of retailers and consumers that TapouT is the leading lifestyle brand in the space.”
“TapouT and the UFC’s goals are in alignment as both continue to expand international reach and market penetration,” Ling added, “As the sport continues to grow and gets further ingrained into mainstream culture, we hope to see more fans wanting to represent the sport they love by supporting the brands that support the sport.”
UFC announces quarterly twitter bonuses
February 7, 2012
The UFC announced via twitter its second set of quarterly twitter bonuses. Each fighter received $5,000 for their use of twitter.
Most Followers: Junior dos Santos (@Junior_Cigano), Anderson Silva (@SpiderAnderson), Brendan Schaub (@BrendanSchaub) and Cung Le (@CungLe185).
Biggest Percentage of Growth: Jake Ellenberger (@EllenbergerMMA,) Cung Le, Roy Nelson (@RoyNelsonMMA) and Rodrigo Nogueira (@MinotauroMMA)
Most Creative: Tim Kennedy (@TimKennedyMMA), Pat Barry (@HypeOrDie), Joseph Benavidez (@JoeB135) and Duane Ludwig (@DuaneBangCom)
Specifically, Pat Barry won most creative for his video with former opponent Mirko Cro Cop. I’ll let the video explain:
Payout Perspective:
Interesting that Cung Le won in two categories and its not known whether he’ll be back in the UFC. You may recall that Le garnered a $350,000 base for his loss to Wanderlei Silva at UFC 139. The wins in most followers and biggest growth for this quarter shows that Le is still a commodity in the UFC. Le tweeted that he would use some of the money toward prizes for his followers for upcoming UFC and Strikeforce fights.
UFC 143 salaries released
February 6, 2012
MMA Junkie reports that the salaries for UFC 143 with Nick Diaz and Josh Koshcheck heading up the list. Diaz earned a reported base of $200,000 while Koscheck received $146,000 for his win.
The Nevada State Athletic Commission released the salary information today. The total UFC payroll for Saturday night totaled $880,500.
Via MMA Junkie:
Carlos Condit: $110,000 (includes $55,000 win bonus)
def. Nick Diaz: $200,000
Fabricio Werdum: $100,000 (no win bonus)
def. Roy Nelson: $20,000
Josh Koscheck: $146,000 (includes $73,000 win bonus)
def. Mike Pierce: $20,000
Renan Barao: $22,000 (includes $11,000 win bonus)
def. Scott Jorgensen: $20,500
Ed Herman: $62,000 (includes $31,000 win bonus)
def. Clifford Starks: $8,000
Dustin Poirier: $24,000 (includes $12,000 win bonus)
def. Max Holloway: $6,000
Edwin Figueroa: $16,000 (includes $8,000 win bonus)
def. Alex Caceres: $8,000
Matt Brown: $30,000 (includes $15,000 win bonus)
def. Chris Cope: $8,000
Matt Riddle: $30,000 (includes $15,000 win bonus)
def. Henry Martinez: $6,000
Rafael Natal: $20,000 (includes $10,000 win bonus)
def. Michael Kuiper: $6,000
Stephen Thompson: $12,000 (includes $6,000 win bonus)
def. Dan Stittgen: $6,000
Payout Perspective:
Notably, Diaz and Werdum had flat fees for their work. Condit earned $110K with a $55K win bonus which means that he was only guaranteed $55K in a title fight. In comparison, Condit’s last fight before 143, he earned $34K plus $34K win bonus for a total of $68,000 (UFC 132 versus Dong Hyun Kim). Hopefully he received a locker room bonus for his fight. It looks like $6K was the bottom pay for the night for four fighters while three others received $8K.
UFC 143: Payout Perspective
February 5, 2012
Welcome to another edition of Payout Perspective. This week we take a look at UFC 143 at the Mandalay Bay Events Center in Las Vegas, Nevada where Nick Diaz took on Carlos Condit for the interim welterweight belt.
Condit frustrates Diaz for interim belt
We saw the Stockton Slap but Carlos Condit executed his game plan to perfection in eluding Diaz’s boxing skills and a last round submission attempt to win the interim title. The bout was reminiscent of Frankie Edgar versus BJ Penn at UFC 112 in Abu Dhabi. In that one, Edgar executed a game plan to perfection that by Round 5 you knew that the favorite was in trouble. Same here with Condit.
For Condit, a date with GSP is in the future. Despite his post-fight interview where he quit MMA, Diaz will likely be back and a Josh Koscheck fight seems about right. Even in defeat, a Nick Diaz post-fight interview is always entertaining.
Werdum outlasts Big Country
A solid debut for Fabricio Werdum who edged out Roy Nelson in a battle of BJJ black belts. A very good fight that won Fight of the Night honors. Werdum may not be ready for the top tier of this division but maybe a couple more impressive victories could earn him a return bout against Junior dos Santos.
Koscheck defeats Pierce
A closer bout than most thought. Arguably, Pierce could claim he should have won. Not sure why Josh Koscheck is such a hated man but Nick Diaz is gaining fans for being about as bad. Of course, Koscheck’s post-fight “salute” to the fans won’t help his plea for fans.
Attendance and gate
MMA Junkie reports that UFC 143 drew 10,040 fans for a gate of $2.3 million.
Bonuses
MMA Junkie also reported the fight night bonuses for UFC 143. Each fighter received $65,000.
Fight of the Night: Fabricio Werdum versus Roy Nelson
Submission of the Night: Dustin Poirer
KO of the Night: Stephen Thompson
Poirer and Thompson were the clear cut winners for their divisions as Poirer had an impressive submission and Thompson’s educated foot won him a KO.
Sponsors
The octagon included a couple new logos including the UFC’s new official corn nuts sponsor, Corn Nuts. Also, the History Channels’ new show, Full Metal Jousting. The show is from the producers of the Ultimate Fighter. It also included MetroPCS which also ran commercials during the prelims. In addition, UFC Undisputed 3 was featured as the UFC is pumping up the game for its release as you can purchase the game via GameStop. The Octagon also had its usual mainstays of Harley Davidson, Musclepharm, Tapout, Dodge and Bud Light.
The Corn Nuts sponsorship included a “corn”er cam. A nice play on words. It will be interesting to see what future activation plans it has with the UFC. MetroPCS also sponsored the Judge’s Call which occurred right before the judge’s decision.
The US Marines, as always, sponsored the Tale of the Tape for Koscheck-Pierce. RYU was also a featured sponsor although its signage was not featured.
Every time Josh Koscheck fights I’m reminded that Lugz is still around.
Roy Nelson was sponsored by the History Channel’s new show for his fight. Maybe it was fitting that his white shorts were stained with blood for “Full Metal Jousting.”
UFC Primetime
Good reviews for this set of shows. It was a little weird for the show to feature GSP’s rehab but this may have compensated for the lack of Diaz information. An interesting snippet from the last episode of Primetime: Nick Diaz didn’t know who was playing in the Super Bowl. We will try to update you with ratings if we can obtain them.
Post-UFC 143 Headlines
Condit versus GSP. Its not the matchup that most, including GSP, wanted. But we will see this fight sometime later this year. Perhaps, this is Montreal’s fight to have since its spring card was delayed. It should be a good battle although the UFC could have marketed a Diaz versus GSP fight easier. Nonetheless, the UFC could get Diaz versus Koshcheck which could get a lot of interest albeit not for a title.
What would Nick do? UFC Primetime got more out of Nick Diaz than most have seen. But, how likely would Diaz do another behind-the-scenes look after this loss. His disdain for any type of media coverage is evident. But, he’s a compelling figure that many have grown to like (or hate). Regardless of what fans think, he’s an asset for the UFC that they must manage.
Dustin Poirier may be the only hope for the 145 division against Jose Aldo. An impressive fight with some great jiu jitsu. We’ll see how he progresses.
Odds and Ends
- I liked the new intro to the PPVs. I’m wondering why they didn’t go with something like this earlier. Long live Gladiator Man.
- Good move by the UFC and Fox to go back to the weigh-ins without commentary. I think for those that tune in to watch them, they like to see and hear the whole thing rather than get analysis.
- What do you think Nick Diaz was saying to Lorenzo Fertitta right after the fight?
-Diaz said he was paid way too much for MMA in his post-fight in Octagon interview. I thought his complaint was that he wasn’t paid enough.
- It will be interesting to see the numbers for the UFC in 3D in theaters. Based on twitter, there were very positive reviews but we’ll have to see if that equates to good attendance.
- We saw the first commercials for TUF on FX.
- For those watching the Super Bowl, here’s the Kia ad with Chuck Liddell. He’s in the commercial briefly around the 1:00 minute mark.
Conclusion
A good night of fights but Diaz-Condit didn’t have the star power of GSP. The co-main events and undercard featured good match-ups but only for hardcore MMA fans. How many casual viewers knew Mike Pierce? It will be interesting to see how much the 3D in theater attendance takes away from the PPV buy rate. A buy rate above 250,000 should be considered a success.
Rampage enters phone app market
February 4, 2012
Rampage Jackson has signed a three app deal to develop mobile games. His deal with Fountain Valley, California’s MEDL Mobile includes an executive position with the company.
Via MEDL press release:
Jackson, an active gaming enthusiast, has been appointed to the role of Creative Game Development Executive at MEDL and will work closely with its team of creative executives and programmers to develop three games based on his ideas. The first app is slated for launch in Spring 2012.
The three-app deal signifies a continuing trend of celebrities who are marketing their own mobile apps to connect with their fans and extend their brands into the fast-growing mobile apps market. Jackson is known for being exceptionally engaged with his fans, which is partly why his role in creating the apps will be much more in-depth and hands-on than what is typical of a celebrity-branded app. While the apps will bear Jackson’s name, they will not necessarily reflect his UFC or acting endeavors; rather, they will be based on his original ideas as a gamer.
“Rampage is a long-time avid gamer with great ideas that he’s been interested in developing for some time,” said Todd Jacobs of William Morris Endeavor. “This isn’t a case of a celebrity stamping his or her name or brand on a trendy product, but of a serious creative talent who is looking to chart new territory for himself and for his fans who share his passion for gaming.”
“With Rampage’s acting career taking off and his UFC achievements well established, now is a perfect time for him to expand into mobile and connect with his fans in a new way,” said Dave Swartz, MEDL Mobile co-founder and chief creative officer. “In his case, it’s going to not only provide another avenue for his brand, but an opportunity for him to validate yet another one of his talents – creative development.”
Payout Perspective:
Its nice to see UFC fighters expanding their business ventures and the phone app market seems to be a growing industry. We’ve seen from the UFC Countdown shows that Rampage is an avid gamer. We’ll have to wait and see what Rampage develops and at what price point. His name alone should be able to garner his fans to get the app.
NFL stars pick Condit-Diaz
February 3, 2012
One of the UFC’s benefits of partnering with Fox is the unfettered media access to NFL stars. In this video, NFL stars make their picks on this weekend’s UFC 143 the eve before the Super Bowl.
Eli Manning, Michael Strahan, Dhani Jones, Kurt Warner and others make their picks, based on very vague reasons, on the big main event.
Payout Perspective:
Let’s put aside the fact that most of these guys don’t watch the UFC and wouldn’t know who Carlos Condit is if he walked up to them and told them. Does the fact that the UFC can utilize NFL players to promote its card help promote its product? We saw the Fox synergy last week when Kevin Harvick appeared on UFC on Fox 2 to promote NASCAR. How much credibility did he have to the UFC fan? We shall see if the synergy between Fox sports properties will add value to each property.
FTC Ends UFC Investigation Regarding Strikeforce Purchase
February 1, 2012
Earlier today, Josh Gross from ESPN.com broke the news that the Federal Trade Commission has closed a non-public investigation into the UFC’s purchase of Strikeforce as of last week.
ESPN reports:
Documents published on the FTC website dated January 25, confirm the FTC’s Bureau of Competition conducted an investigation to determine whether the $34 million acquisition of Explosion Entertainment, LLC, by UFC’s parent company, Zuffa LLC, violated Section 7 of the Clayton Act or Section 5 of the Federal Trade Commission Act.
…
In closing letters issued to counsel for Zuffa and Explosion Entertainment, FTC secretary Donald S. Clark stated, “Upon further review of this matter, it now appears that no further action is warranted by the Commission at this time. Accordingly, the investigation has been closed.”
The full letter from the FTC is below (H/T: FightOpinion.com):
UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION
WASHINGTON, D.C. 20580
Office of the Secretary
January 25, 2012
Stephen Axinn, Esq.
Axinn Veltrop, and Harkrider LLP
1330 Connecticut Ave., NW
Washington, DC 20036
Re: Acquisition of Explosion Entertainment, LLC (Strikeforce) by Zuffa, LLC (UFC)
FTC File No. 111 0136
Dear Mr. Axinn:
The Federal Trade Commission’s Bureau of Competition has been conducting a nonpublic investigation to determine whether Zuffa, LLC’s acquisition of Explosion Entertainment, LLC may violate Section 7 of the Clayton Act or Section 5 of the Federal Trade Commission Act.
Upon further review of this matter, it now appears that no further action is warranted by the Commission at this time. Accordingly, the investigation has been closed. This action is not to be construed as a determination that a violation may not have occurred, just as the pendency of an investigation should not be construed as a determination that a violation has occurred. The Commission reserves the right to take such further action as the public interest may require.
By direction of the Commission.
Donald S. Clark
Secretary
UFC on Fox 2 Averages 4.66 Million, Peaks at 6 Million
January 31, 2012
Saturday night’s UFC on FOX 2 event from the United Center in Chicago posted a 2.6/5 national rating/share, averaging 4.66M viewers and peaking at just over 6 million according to figures released by Nielsen Media Research today.
Fox Sports Media Group Ratings Press Release:
As expected, FOX dominated the night on the important younger demographics. FOX’s 2.4 among Adults 18-49 nearly beat the combined ratings of ABC, CBS, and NBC (2.5 combined) and FOX’s 2.5 among Adults 18-34 easily beat those three network competitors combined (1.4). The three-bout broadcast on FOX averaged 4.7 million viewers from 8:00 PM – 10:19 PM ET.
The two-hour event, the first official network broadcast of FOX’s partnership with UFC, is off slightly (-16%) from the UFC on FOX premiere in November (3.1/5), which was only one hour and featured a highly-anticipated heavyweight championship fight. When comparing similar time periods for the two events, FOX posted a 3.0/5 from 9:00 – 10:15 PM ET, off only a tenth from the November UFC fight.
In several meaningful demographics, the last hour of Saturday’s broadcast rated higher than November’s UFC premiere on FOX with Men 25-49 up +3%, Men 25-54 up +3%, Men 35-54 up +4%.
As anticipation to the night’s main event grew so did the ratings and viewership. The night’s first match between Demian Maia and Chris Weidman scored a 2.2/4 rating/share. The next fight between Chael Sonnen and Michael Bisping grew to a 2.7/5. Fans tuned in to see former light heavyweight champion Rashad Evans take on undefeated former national champion wrestler Phil Davis with that bout posting a 3.4/6. More than 6 million viewers watched the five-round bout where Evans defeated Davis by unanimous decision
The top five metered markets for Saturday’s UFC on FOX event are: Las Vegas – 4.1/8; Louisville – 4.1/7; Indianapolis – 3.9/7; Greenville – 3.9/6; Tulsa – 3.9/6; and Knoxville – 3.9/6.
***
Loretta Hunt of SI.com has more information on the ratings:
The 2-hour and 19-minute broadcast, which started at 8 p.m. EST (5 p.m. PST), peaked with an average 6.080 million viewers (from 10 to 10:19 p.m.) during the five-round main event pitting former light heavyweight champion Rashad Evans against Phil Davis.
…
Last November, the first one-hour UFC telecast on FOX garnered an average 5.675 million viewers for a 3.1 household rating. It peaked with 8.802 million viewers during the 64-second heavyweight championship bout between Cain Velasquez and Junior Dos Santos, making it the most watched fight ever (live or taped).
Ratings by Half-hour Blocks:
- UFC on FOX 2 (8:00 pm-8:30 pm): 3.43 million viewers
-UFC on FOX 2 (8:30 pm-9:00 pm): 3.98 million viewers
-UFC on FOX 2 (9:00 pm-9:30 pm): 4.67 million viewers
-UFC on FOX 2 (9:30 pm-10:00 pm): 5.66 million viewers
- Overall: An average of 4.66M (peak of 6.08M) viewers watched the fight live or via DVR playback within the same day.
Payout Perspective:
Compared to the first UFC on FOX event (5.67M average viewers with a peak of 8.8M), this show (4.66M average viewers with a peak of 6.08M) fell short of those numbers despite having an extra hour of air time and three total fights, instead of just one with only seconds of actual fight time. In fact, this event fell in line with previous MMA telecasts that have aired on CBS. The fact that there was over 2 hours of MMA action (11 rounds total) and no exciting back-and-forth’s or finishes to get the fans and crowd involved really hurt the energy of the event. After casual fans complained that there was plenty of hype for only seconds of fighting, they now got the other extreme.
The top five metered markets for Saturday’s UFC on FOX event were Las Vegas (4.1/8), Louisville (4.1/7), Indianapolis (3.9/7), Greenville (3.9/6), Tulsa (3.9/6), and Knoxville (3.9/6). It’s interesting to point out that best markets in terms of national TV have not always been the best markets for PPV. The only west coast market here is Las Vegas, but other markets such as Los Angeles, San Diego, San Francisco, Seattle, Houston, and Hawaii have historically been top PPV markets but did not make the list here on free national TV.
Notable to point out the counter-programming efforts here by Spike TV, who averaged 828K viewers for a “UFC Fight Night” replay and “UFC Unleashed” episodes that aired from 7-11 p.m. ET/PT. Those episodes featured fighters that were fighting on the UFC on FOX 2 event, which most likely created some fan confusion, but on the other hand, gave those FOX viewers an option to tune in to another channel to watch the same product and see some exciting finishes and fights. By looking at the ratings Spike TV has achieved counter-programming UFC on FOX and UFC on FX specials, MMA fans who have become MMA fans by watching Spike TV are still in fact tuning in.
Tumultuous 2011 Impacts Yahoo! Sports, MMA Coverage
January 31, 2012
Earlier today, Yahoo producer Dave Doyle announced that this was his last day as MMA/Boxing editor over at Yahoo! Sports.
Doyle stated the following message via social media website Twitter:
Today is my last as MMA/boxing editor at Yahoo! Sports. It’s been an awesome ride working with great folks. Thanks for everything.
Sources tell MMAPayout.com that the cutting back on non-mainstream sports by Yahoo was due to their tumultuous 2011, which saw Yahoo’s stock dip under $17 and saw gross revenues decline by over 20%. Along with Doyle – who had been with Yahoo since 2007 – another key member of Yahoo’s MMA team is long-time MMA and Pro Wrestling reporter Dave Meltzer, who has also been a part of Yahoo since it ramped up it’s MMA coverage in 2007. His contract is also up this week. At this time, it is unsure whether Meltzer will be able to continue his affiliation with Yahoo Sports, as the struggling company tries to workout it’s budget for the new fiscal year. Longtime Boxing and MMA reporter Kevin Iole and Cagewrite Blog members Steve Cofield & Maggie Hendricks are reported to be staying with the team.
Yahoo will now shift their coverage to more mainstream sports ( NFL, NBA, and MLB) instead of those that are more niche such as combat sports (MMA/Boxing), Golf, and NASCAR. Rumors of a possible shakeup within Yahoo! Sports first began around the Summer last year. The dismal fiscal results in 2011 made sure those early rumblings came to fruition.
As for Yahoo’s 2011 fiscal results, Forbes stated the following:
“Even with gross revenues declining by over 20% in 2011, Yahoo’s Q4 2011 results were hardly a surprise, as the company completed a tumultuous year filled with leadership and investor squabbles. For now, CEO Scott Thompson has acknowledged that the company has to deliver more monetization on digital content in 2012, which is a must for Yahoo to stop its shrinking presence in the online ad space.”
Yahoo will now try to focus on it’s core business, which will include selling off foreign assets and letting non-performing Yahoo! properties go, as Yahoo’s CEO Thompson has stressed “effective allocation of capital” is a priority moving forward.
This isn’t the only mainstream sports media shake-up that has impacted MMA recently. In November of 2011, AOL’sMMAFigthing.com was sold to Vox Media – parent company to SB Nation- as AOL struggled to compete with media giants Google and Facebook in the last few years, a problem Yahoo has also been facing. A few days later, USA TODAY Sports Media Group (Gannett) made the announcement that they had acquired MMAJunkie.com, one of the biggest MMA media sites in the industry.
New York files Motion to Dismiss portions of Zuffa’s lawsuit
January 30, 2012
The New York District Attorney and Attorney General filed separate motions to dismiss two claims in Zuffa’s lawsuit in New York City. While the lawsuits seek to dismiss only a portion of the UFC complaint, it appears that the defendants are leaving open a motion to dismiss the entire complaint in total at a later date.
Courtesy of the Fight Lawyer, the two motions are below:
Attorney General’s Motion to Dismiss
District Attorney’s Motion to Dismiss
Payout Perspective:
The crux of both arguments appear to be that despite Zuffa’s claims, the fact remains that New York had a rational basis for enacting the ban at the time it was drafted. And based on this, the statute was not vague and overbroad as it relates to the due process and equal protection claims. They cite to case law which supports the theory that despite changes over the years that may, arguably, antiquate a statute’s purpose, under a rational basis review of a law, so long as there was a rational purpose for it at the time of its introduction it is valid.
Both motions argue that the proper forum for Zuffa’s claims is with the legislature and that if Zuffa wanted to enact change, it should direct its efforts to the legislature.
Via the District Attorney’s motion to dismiss:
…as a proper exercise of judicial restraint, federal courts must uphold a statute that was rational when enacted, even when post-enactment developments cast doubt on the wisdom, logic, or providence of prior legislative decisions
It also argues that legislatures are given “substantial latitude” when it comes to enacting laws under a rational basis review of the law as “imperfections and even inequality must be tolerated.”
The defendants’ motions are persuasive and could set the dominoes in line if the court grants the motion to dismiss Zuffa’s claims. As indicated in its motions, both parties contemplate a further motion to dismiss the rest of Zuffa’s claims if it is successful with this motion.
