NFL teams made more money but only because current contract not affected by ratings decline yet

[Whyjerry]

2 things - the NFL contracts with TV have likely peaked. Also is this data inflation adjusted? Just curious because if not the data means zilch.

 

[Direwolf63]

It will be interesting to see what will happen when it's time to renew these TV contracts. Will they continue to skyrocket? Or will they fall?

If the cord cutting continues, I don't see how FOX/CBS/ESPN can continue to pay what they are today.

Maybe that fall in revenue will be made up by Youtube, Netflix, Amazon or other streaming services. But maybe not.

 

[acr731]

And that's why Goodell continues despite his many foibles.

The owners don't want to upset the apple cart at this point.

Its also why Jerry keeps Garrett. He doesn't give 2 poops about the record while the cash is still flowing. When the profits stop, only then will Garrett be gone.

 

[MarcusRock]

Society is dumbing-down into a me-only world. Less human interaction, less dating, fewer marriages, fewer kids.....and soon, no driving, so I guess more time to spend on the smart phone.

I agree with this. And then we wonder why we have unhinged people trying to take others with them when they end their own miserable lives.

 

[Diehardblues]

this is what the nfl is now its not really about football its about entertainment and the revenue stream that's jerry's life blood

Yep and has been for awhile now.

I waved my white flag years ago.

And to think some fans thought we were nearing the end . Lol

 

[Jake]

Link: https://profootballtalk.nbcsports.c...nal-revenue-increased-by-4-9-percent-in-2017/
Something tells me the Cowboys domain as the most valuable franchise in sports isn't going to be in danger anytime soon.
Also, so much for the NFL is failing. Despite TV ratings being down on TV overall, they're still bringing in that cash.

Any appreciable ratings drop will affect the next round of TV contracts. Obviously, they're doing just fine now.

 

[Diehardblues]

The problem is anybody could do what Goodell's doing.

Correct. He simply the Buffer for the owners dirty work and recieves too much credit and blame.

 

[Reality]

*** NOTE ***

The title of the thread has been updated to better inform those who do not understand the contract situation the NFL has with TV networks.

Currently, the contract payments are pre-defined by the contracts and include escalator clauses that lead to an increase in the amount paid as the contract matures.

When the next contracts are negotiated, that's when you will see the decline in ratings affect the NFL's bottom line.

 

[MarcusRock]

*** NOTE ***

The title of the thread has been updated to better inform those who do not understand the contract situation the NFL has with TV networks.

Currently, the contract payments are pre-defined by the contracts and include escalator clauses that lead to an increase in the amount paid as the contract matures.

When the next contracts are negotiated, that's when you will see the decline in ratings affect the NFL's bottom line.

What about the Fox Thursday NFL deal was signed earlier this year in the midst of all the chatter about declining ratings and lower ad revenue that still represented a 47% increase over the previous deal? 5 years, $3.3 Billion and that was a higher than expected price tag according to some. Not only that, but it's not even an exclusive deal as the NFL retained digital rights to the games to place them online in other places if they want. I know people want to hope against hope, but the next deals will also see an increase.

 

[Diehardblues]

Ratings are falling, but that's not really an accurate assessment. I misread this last year, too.

ALL television ratings are falling. The NFL ratings are just dropping with it.

Millenniels aren't into TV. They are into their phones, social media, video games, and streaming entertainment. They watch everything on a 6-inch screen, which boggles my mind. (I'm into home theater, so I watch games on a 110-inch screen.)

There's a mad scramble going on. The under-35 crowd is cutting the cord. News channel ratings are crumbling, advertisers aren't reaching near the audience, political fundraising is becoming more pointless, movies are gravitating more toward comic-book characters. Society is dumbing-down into a me-only world. Less human interaction, less dating, fewer marriages, fewer kids.....and soon, no driving, so I guess more time to spend on the smart phone.

The NFL and television, in general, have to figure out where they will fit when their current audiences die off.

Correct. Many of us argued the NFL trend was basically following the overall trend. Nice to see you’ve seen the light. The numbers were out there.

Good news is NFL and Live sporting broadcast aren’t declining at the same acceleration.

NFL experimented last year with a game from London on Yahoo steaming only which is probably an example of the future moving forward to gather this growing trend.

Everyone is more diverse in Tech age in how they consume their entertainment. Some segments more than others obviously.

 

[CouchCoach]

The compensation the NFL receives is based on contracts, not ratings. If they can renew these contracts or replace them, they will not feel the sting of the ratings drop. The reason they allowed more commercial time to the nets was to appease them and keep them in the fold, they didn't have to do anything.

The TV contracts are the reason the games are getting harder to watch and there is so much time shifting. The nets overpaid and had to guarantee ratings points, a % of the pop, in order to keep the rates high. There is no feasible way for ESPN to make money based on their contract. They acted out of defense.

The question is will the nets once again give into the owners' demands to keep players like Amazon, Apple, ATT, Google and Microsoft out of the game? Think about this, over 50% of the homes in the US are Prime Amazon members. They and Apple and could buy all of the nets combined if they saw a future in that but they don't.

As much as I hate it, these owners are going to continue to make out like bandits and will just keep on cranking it in.

 

[Diehardblues]

And Millineals are more apt to use streaming to view their television. I have some family in this group which don’t even use a Cable or Satellite provider streaming all of the games and broadcast online so they don’t have to pay for it.

They can’t believe I’m still paying for it. But I’m too lazy and stubborn to change. I’ve had Direct TV for like 20 years and had a 12 foot black mesh Satellite in my back yard going back to early 80’s.

 

[DFWJC]

Link: https://profootballtalk.nbcsports.c...nal-revenue-increased-by-4-9-percent-in-2017/

Something tells me the Cowboys domain as the most valuable franchise in sports isn't going to be in danger anytime soon.

Also, so much for the NFL is failing. Despite TV ratings being down on TV overall, they're still bringing in that cash.

Swimming in$$$$


But correct.
The previous contracts are still in place. Any ratings declines could possibly impact newly negotiated future contracts, not current ones.
I'm not entirely convinced of that impact though

 

[EST_1986]

this is what the nfl is now its not really about football its about entertainment and the revenue stream that's jerry's life blood

It should be about entertainment, that’s why we all watch. To be entertained.

 

[EST_1986]

And Millineals are more apt to use streaming to view their television. I have some in this group which don’t even use a Cable or Satellite provider streaming all of the games and broadcast online so they don’t have to pay for it.

They can’t believe I’m still paying for it. But I’m too lazy and stubborn to change. I’ve had Direct TV for like 20 years and had a 12 foot black mesh Satellite in my back yard going back to early 80’s.

I can’t believe people are still with Dish/Direct or any traditional contract service in areas where high speed internet exists.

 

[Reality]

What about the Fox Thursday NFL deal was signed earlier this year in the midst of all the chatter about declining ratings and lower ad revenue that still represented a 47% increase over the previous deal? 5 years, $3.3 Billion and that was a higher than expected price tag according to some. Not only that, but it's not even an exclusive deal as the NFL retained digital rights to the games to place them online in other places if they want. I know people want to hope against hope, but the next deals will also see an increase.

Those negotiations started a while back, not just when we heard about them. I am sure there was media optimism that all of the negative issues would eventually blow over, but as time goes by, that optimism will be replaced with a new reality that the NFL is no longer immune to the changes in viewing habits that most other entertainment sources have already been dealing with along with the various controversies directly affecting the NFL such as social, health, etc. related issues.

I have no agenda against the NFL and as a fan, I hope the ratings rebound. That said, it has enjoyed an immunity against the things damaging most other media and entertainment mediums and organizations, so at some point it was going to start affecting the NFL as well. I am sure the NFL owners have been aware of this for quite some time and are trying their best to prepare and position the NFL to stabilize somewhat before the next primary contracts are negotiated. It remains to be seen if they will be successful in stopping the decline or if they can only slow it down a little.

 

[cowboyblue22]

I have went to mostly internet tv and have the locals on the smallest package direct tv has dropped nfl network and all but one espn channel andthats to only watch Monday night football if the games are decent if not then I don't watch

 

[Nightman]

I can’t believe people are still with Dish/Direct or any traditional contract service in areas where high speed internet exists.

Streaming sucks

It has lag and comes and goes and gets throttled .......I have no problems with HD Cable

 

[Diehardblues]

I can’t believe people are still with Dish/Direct or any traditional contract service in areas where high speed internet exists.

Because it’s familiar to us. We’re often too stupid or stubborn to change . I’ve seen what they have to do and it’s look like more hassle to me.

It’s bad enough now if we had bad thunderstorms and why I have alternate TVs ready to go with Rabbit Ears. I haven’t missed a Cowboy game in over 54 years. I’m not about to change now to save a buck.

TV is my #1 entertainment at home and an expense I’m willing to incur . I have 2 receivers and 5 Genies in my Sports Cave alone. And with AT&T I get Direct TV on all my devices Free with no data usage applied.

 

[Diehardblues]

Streaming sucks

It has lag and comes and goes and gets throttled .......I have no problems with HD Cable

I’ve seen it in action because I’m always interested in latest tech when it comes to sports but they have to fidget around with it and depends on Internet and WiFi.

I understand the savings and that’s great if that’s an issue . A couple thousand a year I spend is well worth it. If it’s broadcast . I get it. To me that’s on the cutting edge. Lol