(Bloomberg) — Kevin Mayer, the former chief strategy officer for Walt Disney Co., said sports TV rights in Europe have been “flat to down in every major market” because consumers pay directly for the leagues they want to watch. That model may eventually come to the U.S., Mayer said.
“In the U.S., sports rights defy gravity,” Mayer said. “Europe, where people have to pay for sports rights, that’s really dampened the upward trajectory of sports rights.”
Mayer, who is currently chairman of Europe-focused sports streaming service DAZN, said consumers in the U.S. will eventually pay directly only for the content they want, as they currently do in Europe.
“It’s inevitable that the same dynamic will happen in the U.S.,” he said.
DraftKings Inc. Chief Executive Officer Jason Robins said sports NFTs need to be more than just collectibles, they need to have utility, such access to a video game or online content to make them more valuable.
“My kids love Pokemon cards,” Robins said. “They just like the cards. Other people might want to use it to play a game. The more we tie utility to these things the more there’s long term value to it. It isn’t just a collectible.”
Atlanta Falcons owner Arthur Blank weighed in on the controversy surrounding former Miami Dolphins coach Brian Flores, saying minority hiring levels in the National Football League, particularly among coaches, are “not acceptable.”
The billionaire co-founder of Home Depot Inc. said Friday that while the league has added more women and minorities in some roles, only three of its 32 teams have a minority as head coach. By comparison, people of color make up 75% of players.
The NFL needs to particularly focus on hiring minorities for offensive coordinator and quarterback coaching positions that can lead to head coaching jobs, he said, noting “this is a quarterback-driven league.”
Blank, 79, has been an advocate for people of color in the front office serving on the league’s social justice committee. Last year, the team hired its first African-American general manager, Terry Fontenot.
Read more: Blank Discusses Changing the Overtime Rule
Mayer, Robins and Blank all spoke at the Bloomberg Power Players conference in Beverly Hills, California on Friday.
Luminaries from the worlds of media and sports are gathering in Los Angeles for the Super Bowl this Sunday, a battle between the hometown Los Angeles Rams and the Cincinnati Bengals, gunning for their first-ever victory in the big game.
ESPN President Says He’s Interested in Sunday Ticket (6:57 pm NY)
Jimmy Pitaro, chairman of sports broadcaster ESPN, said the Disney-owned channel is interested in acquiring the rights to the NFL’s Sunday Ticket offering currently held by DirecTV.
“I don’t where it’s going to net out,” Pitaro said. “That is a product that was made for a digital platform.”
Pitaro said his network produces content for social media sites including Instagram, TikTok and Snap, because that is where younger viewers are, but the content has to be customized for them.
“It’s not just taking what’s on linear TV and cutting it up,” Pitaro said. “It’s got to be native. We have dedicated teams who are creating different content.
Pitaro said he was rooting for the Bengals because he has a personal connection to quarterback Joe Burrow. Investor George Pyne, also on the panel, said he’s rooting for the Rams.
Mayer Says He Misread Demand for Home Fitness (6:21 pm NY)
DAZN’s Mayer, who also sits on the board of the BeachBody Co., said at-home fitness companies, including Peloton, have struggled because “people are going back to the gym.” Another challenge at-home fitness companies have faced is privacy changes by Apple that made it harder to target people with online ads, he said. Such companies rely on digital media to find new customers.
“That’s really made customer acquisition costs skyrocket,” Mayer said.
Amazon Calls NFL Deal a ‘Gamechanger’ (6:00 pm NY)
Marie Donoghue, Amazon’s vice president of global sports video, called the company’s purchase of NFL rights “a game-changer for us and the industry.” She said Amazon had spent several years earning the NFL’s trust, particularly when it successfully streamed the Premier League in Britain.
“That was very important to the NFL because they saw we could do it,” she said. “We weren’t putting the fan experience at risk.”
Amazon will broadcast Thursday night NFL games exclusively for the first time next season.
Focus Was Behind WWE Deal with Comcast (5:50 pm NY)
Stephanie McMahon, chief brand officer for WWE, said the professional wrestling company licensed its streaming service to Comcast Corp.’s Peacock last year because it didn’t want to be responsible for the technology problems that often come with streaming live events.
“We’re content producers and that’s what we want to focus on,” McMahon said.
She said WWE plans to announce more international licensing deals “soon.” McMahon added that WWE is trying to grow its audience through video games. About 85% of WWE’s audience self-identifies as gamers. McMahon said her 13-year-old daughter, for example, often plays minecraft.
“That’s how she comes together with her friends,” she said.
FanDuel Says Betting Boosts TV Viewers (5:45 pm NY)
“It is changing the engagement from a viewership perspective,” FanDuel CEO Amy Howe said, saying people are more likely to watch games if they’re betting on it. She also predicted in the future there will be multiple telecasts of games, with less talk of betting odds if you’re watching games with your kids, and betting odds changing in real-time on others.
As more states look to legalize sports betting, FanDuel is educating state regulators “because it’s new.” She also said more states should legalize sports betting because it generates revenue for local governments and protects consumers from the black market.
Crypto.com Wants to be Nike or Apple (5:35 pm NY)
Kris Marszalek, CEO of Crypto.com, said he wants to make cryptocurrency mainstream and striking deals in the sports industry has helped.
“Sports is a canvas on which you can paint a strong brand message that resonates with consumers on a global scale,” he said. “We want to be a top 20 brand along with Nike and Apple.”
Marszalek added that cryptocurrency “is the ultimate level paying field” and startup founders in that industry don’t need to be based in the Bay Area to get funding. He said his company has a “half billion dollar venture fund.”
“Ping me on Twitter,” he said. “We’ll fund you.”
Robins Says NFTs Are Future of Memorabilia (5:23 pm NY)
DraftKings CEO Robins said NFTs, or non-fungible tokens, allow athletes or celebrities to continue making money on secondary sales of their memorabilia because they can be tracked. He likened it to TV show creators gettingpaid when the program is sold into syndication.
“They don’t have to continually give that away for free after the first transaction,” Robins said.
The market will be volatile, he added. “Every market goes up down,” he said. “Just because it goes up or down doesn’t mean there isn’t long term value.”
Monique Brown, chief executive officer of The Amer-I-Can Foundation For Social Change and wife of NFL great Jim Brown, said NFTs allow fans to “not only have a signed football but have ownership of an experience.”
Cowboys Brand Chief Recalls Her Owner-Dad’s Advice (4:37 pm NY)
Charlotte Jones, chief band officer for the Dallas Cowboys, said that when her father first bought the team it was losing money and he asked her to help. “I said, ‘I don’t know anything about running an NFL team. He said, neither do I.”’
Jerry Jones’ other advice to his daughter: “Stop losing money. Whatever you do, don’t tarnish the star.”
Commanders President Discusses Team Changes (4:18 pm NY)
Jason Wright, president of the Washington Commanders, said he couldn’t address sexual misconduct accusations against the team’s owner, Daniel Snyder.
He said the team has “tangible and real momentum” for diversity and has front office that “looks like the fricken United Nations.” He said the Commanders have the most diverse team leadership in the NFL and its all happened in the past year and a half.
It’s a matter of “showing that leadership that doesn’t look like classic leadership.” Then employees start to get over some of that subconscious bias that might exist about: “Are they really as smart as everybody else? Can they really drive revenue like everybody else?’ Yes we can. And I think there’s a little bit of showing and proof on us to be able to do it.”
Read more: How NFL Rules Hold Back Black Owners
Andrew Hawkins Talks About His MBA (4:00 pm NY)
Former NFL player Andrew Hawkins, who now runs sports tech firm Status Pro, said for him it was hard to gain respect on the business front, so he went to school to be seen as a businessperson. More athletes are getting involved in business than ever, especially while they’re still playing full time, he said.
“Now we’re seeing a renaissance,” said Hawkins.
He reached out to people early, when he was still playing, to establish business connections. Status Pro, a sporting training technology company, said “We’re always saying we’re democratizing what it’s like to be an athlete.”
Carli Lloyd, two-time Fifa World Cup champion, said “a simple hello in a one or two minutes conversation may translate into a business opportunity down the road. For me its about building relationships.” She said women’s soccer need more sponsors. “We need support from TV deals.’
Lloyd, who won two World Cups and two Olympic gold medals during her career, said young athletes are starting to get distracted with all the noise around social followings, sponsored posts and endorsement deals as they start getting courted by brands more than ever.
“When we step in between those lines we’re there to win,” said Lloyd. “You’re seeing some of that being skewed a little bit. It’s becoming more about: how can I build my brand up?”
Here’s some more of our recent sports coverage:
- NFL Evaluates Rooney Rule With Teams Criticized on Diversity
- NBC’s Winter Olympics Ratings Are Heading Toward a Historic Low
- Betting Apps Want You to Come for Super Bowl and Gamble Forever
- For Serena Williams, Tonal Super Bowl Spot Is More Than an Ad
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