[opendtv] Re: Value of Broadcast to NASCAR
- From: Craig Birkmaier <craig@xxxxxxxxx>
- To: opendtv@xxxxxxxxxxxxx
- Date: Fri, 2 Aug 2013 12:20:03 -0400
On Aug 1, 2013, at 7:37 PM, dan.grimes@xxxxxxxx wrote:
> So I found the recent NASCAR events to be interesting, where TNT and ESPN did
> not bid on NASCAR so NBC bought the rights:
>
> http://www.sportsbusinessdaily.com/Journal/Issues/2013/07/29/Media/NASCAR-NBC.aspx
>
>
> I wonder if the sag in NASCAR ratings isn't related to the fact that it is
> not on a broadcast channel for the second half of the season. Take a look at
> the last graphic, comparing FOX, TNT, ESPN and ABC viewership. Fox is always
> broadcast while TNT and ESPN are not. ABC is broadcast but only a few races
> a year and they are during the ESPN portion. I usually miss the ABC
> broadcasts because I forget.
It is hard to determine what is in play here. The fact that NASCAR ratings have
been in decline for a decade is clearly a concern, but the fact that NBC just
paid a premium for a property in decline says a great deal as well.
It is clear that NBC needed more good sports programming to rebuild a "sports
franchise" that has been in decline, other than the Olympics. It is also clear
that the synergy of NASCAR feeding into NFL Sunday Night Football was a big
factor in NBC's willingness to pay the premium for NASCAR.
It is also clear that the broadcast networks are still able to charge more for
less - the fact that they now have an extra revenue stream from retransmission
consent is helping to make this possible.
In time we will see if the availability via broadcast makes a difference in the
ratings.
> Then, there are several sentences in the article that suggest the value of a
> broadcast:
>
> "But NBC still made its pitch. It promised NASCAR more promotion, more
> storytelling, more broadcast TV and, perhaps most importantly, a return to
> the Fox-NBC days when the sport posted its highest ratings in history."
>
> "But where others saw danger, France saw opportunity. He trusted Lazarus and
> believed the upside in promotion and broadcast exposure for NASCAR outweighed
> the downside of leaving ESPN."
>
> "And they will hope that NBC will be able to fulfill its promise that a
> return to the broadcast pairing of Fox and NBC will bring a return of the
> ratings growth the sport last saw a decade ago."
>
> I, personally, think that the downward turn had much to do with taking NASCAR
> off broadcast. But that is based on my own viewing habits. It will be
> interesting to see if NBC puts the NASCAR productions on broadcast or their
> new NBC Sports Network cable channel. And then it will be interesting to see
> if ratings go back up.
NASCAR has also faced the scorn of some in the political class because of the
"demographics" of its most ardent supporters. I don't know if this has been a
factor in terms of the ratings - but it might be a factor in why the sport has
been losing ratings.. I would also add that I believe NASCAR "outgrew" the
regional origins of the sport decades ago, leading to it becoming a sport of
national interest.
Personally I prefer a good dirt track race to the modern asphalt track high
speed chase.
Regards
Craig
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