John Morgan of MMAJunkie reports that while its likely the WEC will hold another PPV at some point, there remains some uncertainty as to whether it will happen in 2010 or beyond.
As for the future of pay-per-view and the WEC, White said there was much to consider.
“We’ve got to take time and really look at it and hand-pick,” White said. “We’re doing so many pay-per-views, an boxing is going to do a few a year. You’ve got Vince (McMahon of the WWE) doing a bunch of pay-per-views a year. You have to pick and choose.
“We’ve got great partners with Versus and Comcast for the WEC. We know what we’re doing. We’ll do the right thing.”
White said there was no guarantee that the WEC would ever again host a pay-per-view event. But the executive suggested initial reports left little doubt that a second card would eventually be offered up for purchase.
“There would definitely be a number where we (wouldn’t do more pay-per-views),” White said. “But $1 million at the gate and the way it’s tracking right now, it’s not the night.”
Payout Perspective:
I find myself reading this and turning back to our brand vs. product debate from last week.
Zuffa’s task of selling a WEC PPV is unenviable not only from the position of convincing fans to pay for a previously free product, but also entering a crowded PPV marketplace and trying to compete with a less-recognized brand name. The UFC can compete with boxing and the WWE regardless of its card, because its built up that equity over the last 10 years. The WEC is at an obvious disadvantage.
I’m inclined to believe that those watching the WEC are some of the more hardcore fans in MMA. If given the opportunity to watch a boxing, wrestling or WEC event, they’re likely to choose the WEC. In other words, competition isn’t much of a concern for the WEC, if it’s simply looking to break even and sustain its current audience.
However, if the WEC’s goal is to expand its audience and grow its brand into a legitimate competitor on PPV scene, it’s going to need some combination of stellar promotion and the spotlight all to itself.
Then it’s a matter of whether the brand will be able to overcome the handicap of limited exposure due to the Spike-Versus arrangement; not to mention the confusion in the marketplace due to what looks and feels like a UFC card, really not being a UFC card.
What’s the value of running 2 separate brands in the first place? I always get the feeing that Zuffa is too attached to the WEC brand or to the idea that the company should be an independent entity. Perhaps that makes things easier around the cafeteria table when Reed Harris sits down next to DW, but as a brand identity??? What are they drawing from the WEC that they don’t already get from the UFC?
As you’ve implied, WEC viewers are just a subset of UFC viewers. What’s the point in fragmenting their product line and confusing their weight classes (2x LW and WW divisions… why?)
Fold it into the UFC, bantam/flyweight right up to HW (maybe add a 235 CruiserW in there) put 1-2 title fights per card, don’t look back. The fans will quickly learn the names and faces of the LW and smaller fighters.
If they want a second promotion, start a farm league. They’re already out there, paying fighters next to nothing – why not have one run properly by Zuffa (TUF doesn’t count)?
Majors and the minors… except that I’d actually tune in to watch minor league UFC fights.
The UFC isn’t going to add 2 more divisions when they already have too many fighters on their roster now. The WEC works out for them on multiple fronts, it gives the lighter weight fighters a place where they are the draw and they give them another source or revenue and give them an in with cable giant Comcast. Thanks to the big success that the WEC ppv was, it only shows that once again nobody knows how to sell mma better than Zuffa does while making money on their shows something no other company has been able to do.
The thing that the WEC brings is the ability for the UFC to be on 2 channels at the same time. You think Spike is going to promote as hard as they do if half the shows are going to be on Vesus? I bet they are pretty steamed at the way things are happening as it is.
No matter what Dana is saying right now I see Zuffa turning down the number of free shows and turning up the number of PPVs. That might have to wait until the end of the current TV deal as Vesus isn’t going to be happy about seeing all the good fights on PPV and them picking up the scraps.
Looks like they didn’t to as well as they thought they would going to PPV? I’d figure 1 million gate + 3.2 million (125K Buys @ 25$ of UFC cut of PPV) for a total of 4.2 million was not enough of a motivator to go PPV for WEC? Surely they don’t make that kind of money on Versus. Even with the primetime, marketing & higher payout costs they should have cleared at least 2 million profit.
I suspect it’s got more to do with the over taxing schedule that the UFC already has on the go. To add WEC to the PPV mix just doesn’t pay as well for the effort going into the event as a UFC event would. I can’t remember the floor for a UFC buyrate, but something tells me it’s at least 300K.
I think maintaining two sep orgs will make easier to establish stars in the smaller weight classes. The UFC would also have to either add 8-10 more shows a year or cut 50-60 guys to make room for the new BW and FWs.
It is my understanding that the WEC is looking to run 2 PPVs a year.
Jeremy,
Unless they can produce another star at the level of Faber, it’s doubtful they would attempt another PPV.
The UFC under the original Spike contract (not sure of current contract) Didnt allow the UFC to be on any other cable network. They can be on premium like HBO or Network like NBC. The WEC allows them to tie up another network and use it to promote not only the WEC but the UFC just as you see UFC ads on Verses. At the same time take a spot on TV away for rival promotions who seem incompetent anyway and only hurt the sport. 3 birds, 1 stone. Not to mention, if the WEC is making money why not run it too? If they arent making money they are not losing much and are close to making it profitable in the future. 2 sources of income are better than 1.
sounds to me like that blow hard dana white is finally humbled. i am making a prediction right now that in the next year to two years he sells his share of the ufc and take on other “interests”. thats what he would do if he was a really smart businessmen. there aint no chuck liddels coming around the corner anytime soon and realistically lets be totally honest. how many more times is brock lesner gonna win (4-1) HEAVYWEIGHT CHAMPION OF THE WORLD!! hes a very good amateur wrestler at best. cant kick, cant submit, untested chin, just a big guy. in individual sports what fuckin guy gets by on SIZE alone??
noway danas a fight game guy he sees the writing on the wall…
Guru,
I would bet we will see Faber/Torres on PPV. I think that most of those that bought this PPV would return as long as there is solid promotion for it and they make sure folks are aware of it.
I would not be surprised to see Varner/Cerone (both guys can talk up a fight), Faber/Torres and at least one title fight.
It is inevitable the WEC will be folded into the UFC. The UFC owes so much of it’s success to building the UFC brand, and it has little to gain by promoting the WEC brand after the SpikeTV and Versus contracts expire. The UFC is large enough now that they can make contracts that let the UFC appear on multiple channels. We already see UFC on Versus, and SpikeTV is still happy and getting TONS of UFC content.
UFC needs lighter weight-classes to enter Japan and China seriously. China is now on the near-term radar with Flash Entertainment distribution/deals in Asia. The UFC needs more champs available to fill their 15+ PPV slots each year, and to have the additional flexibility to adjust cards based on injuries, contract-disputes, counter-programming, etc.
It should also be said that the WEC was promoted by promoting the fighters themselves, mixed HEAVILY with UFC-personalities(Dana, Rogan, Golberg, Buffer) to keep the “WEC” from confusing casual fans. It is not normally in the UFC’s best interest to promote PPVs by putting the fighter’s names above the UFC/WEC brand-name, but in this case it was necessary. I don’t see the UFC wanting to make it a habit selling PPVs without the UFC name being front and center.