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Streaming Services Are On The Rise For Sports Sponsorships

As streaming services battle for viewing rights and strategic partnerships, key players are emerging on the sports scene.

Amazon has been a key player for years, and they are solidifying their position as such with their newest potential deal.

A recent article by Front Office Sports gives the lowdown on this potential partnership and all that it entails for the sports bidding sphere.

“Amazon is off to a strong start with the NFL’s “Thursday Night Football.” Given its early success, the e-commerce giant is making the case that it can take on the next mega sports rights package: the NBA.

The NBA’s current U.S. media deals with Disney’s ESPN/ABC and Warner Bros. Discovery’s TNT expire after the 2024-25 season.

The league will likely seek $50 billion to $75 billion for its next multi-year package, said sources. Amazon is paying the NFL around $1 billion a year to exclusively stream TNF through 2033.

Amazon has long been cited as a potential NBA bidder. But every week it defies expectations with TNF, that theory becomes more of a reality.

“The (NBA) has certainly done very well for a long time with ESPN and Turner. But interest in the league — and its strategic importance — are only growing,” said John Kosner, the former NBA and ESPN executive turned investor and advisor.

Commissioner Adam Silver’s NBA is the most technology-forward sports league. Amazon believes TNF’s better-than-anticipated performance — and built-in audience of over 200 million Amazon Prime customers — makes it attractive to the global NBA, said sources. 

  • By Nielsen data, TNF is averaging 11.3 million viewers — up 11% from the first four games last year across NFL Network and a tri-cast of Fox Sports, NFLN, and Amazon. 
  • By its own metrics, Amazon Prime Video is averaging 13.3 million viewers for TNF through four games. 
  • Amazon is proving it can draw a harder-to-reach audience: TNF viewers are eight years younger (46 years old) than those on TV networks. 
  • TNF is averaging 2.7 million viewers in the advertiser-coveted 18-34 demographic, up 67% from last year.  

The NBA has already embraced streaming in China. The league boasts a $1.5 billion-a-year deal with Tencent Holdings that enables it to reach over 500 million basketball fans in China. 

Similar to the U.S., that rights deal runs through the 2024-25 season.”

Read the rest of this article here. 

The sports industry is far more than just athletes and their respective teams.

Bidders, sponsorships, advertising agencies, and corporations all play a role in the success of these leagues.

As a largely successful corporation, Amazon has made its impression on the global marketplace, and it appears they are only moving forward.

Expand into prospering areas, and keep aiming for the ceiling.

Amazon is intent on making this deal happen, and their commitment to growth is inspiring.

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