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re: ESPN loses another 453,000 Subscribers from June to July

Posted on 7/11/16 at 3:17 pm to
Posted by LSUFanHouston
NOLA
Member since Jul 2009
37080 posts
Posted on 7/11/16 at 3:17 pm to
quote:

without being subsidized I think ESPN costs anywhere between $20-30. I doubt many cord cutters are on board for that


It only costs that because that is what the Mouse wants to charge. The Mouse could always lower the price to get more subscribers, and may have to.
Posted by Dr RC
The Money Pit
Member since Aug 2011
58058 posts
Posted on 7/11/16 at 3:27 pm to
quote:

It only costs that because that is what the Mouse wants to charge. The Mouse could always lower the price to get more subscribers, and may have to.


They wont and they cant

They cant just all the sudden tell all the sports leagues that they cant come up w/the money they promised in all the deals they signed.

They are going to have to come up w/that money AND the money needed to keep the same profit levels they currently have.

There is no way in hell the ESPN channels will be sold that cheap if they suddenly lose 90 million subs from cable/satellite.
This post was edited on 7/11/16 at 3:28 pm
Posted by PhiTiger1764
Lurker since Aug 2003
Member since Oct 2009
13856 posts
Posted on 7/11/16 at 3:37 pm to
From article I posted earlier
quote:

Right now ESPN pays $1.9 billion a year to the NFL for Monday Night Football, $1.47 billion to the NBA, $700 million to Major League Baseball, $608 million for the College Football Playoff, and hundreds of millions more to the SEC, the ACC, the Big 12 and the Pac 12. At an absolute minimum it would appear that ESPN presently pays out nearly $6 billion a year to sports leagues just in rights fees. The money from those rights fees comes from our cable bills. And, significantly, from tens of millions of people who will never watch a single game on ESPN.


ESPN has 90mil subscribers through people with cable/satellite packages. And data shows that roughly HALF of them wouldn't even be willing to pay $8/month!!! Go read the article I posted on the 2nd page. It explains everything in pretty good detail how much of a bind they are in.

I don't think it's a coincidence that they are losing their media talent/personalities left and right..
This post was edited on 7/11/16 at 3:41 pm
Posted by SoDakHawk
South Dakota
Member since Jun 2014
8564 posts
Posted on 7/11/16 at 4:42 pm to
quote:

The world is going to be in for a rude awakening when they realize 80 channels will cost the same as 5 if everything is sold a la carte.

You are living in a dream world if you think a channel like ESPN will only be $20-$30 or channels like FX and AMC will be $5 if they no longer have millions of bundled cable subs to fall back on.


This. So much this.

One way or another the media companies are going to get their money, whether it is increased prices for ala carte, increased prices for internet, capped speeds, capped data, etc. You want to consume you are going to pay.

The TV world will be a worse place due to all this cord cutting. Lack of programming and lack of quality to shows is on the way.
Posted by NOLA Bronco
Member since Dec 2014
1898 posts
Posted on 7/11/16 at 4:54 pm to
quote:

They wont and they cant

They cant just all the sudden tell all the sports leagues that they cant come up w/the money they promised in all the deals they signed.

They are going to have to come up w/that money AND the money needed to keep the same profit levels they currently have.

There is no way in hell the ESPN channels will be sold that cheap if they suddenly lose 90 million subs from cable/satellite.



Pricing is a fluid game of supply and demand.

They are selling at the price they are because financial forecasts and economic models output it.

I don't know what the pricing model would look like if they continue to hemorrhage or if they have the ability to adapt. If they don't, the empire will collapse. Thats just the way of it.

Frankly the entire TV/Internet infrastructure needs a reboot anyways.
Posted by chalmetteowl
Chalmette
Member since Jan 2008
47562 posts
Posted on 7/11/16 at 4:55 pm to
Ironically it's happened bc tv has gotten too democratic with all this streaming, etc...

Let's use a college football example... Saturday Sun Belt Conference football

Back in the day their viewers were either at the game live or watching LSU

Now that they're on "TV" (ESPN3) for those who want to watch, that's more games being produced, but the number of viewers haven't expanded to keep up. The audience fragments and the network suffers bc ULM and Troy thought they had to be on TV
Posted by NOLA Bronco
Member since Dec 2014
1898 posts
Posted on 7/11/16 at 4:55 pm to
quote:

One way or another the media companies are going to get their money, whether it is increased prices for ala carte, increased prices for internet, capped speeds, capped data, etc. You want to consume you are going to pa


Thats why you vote and learn to vote responsibly and productively.

They will get to continue this extortion because we as citizens continue to allow it. End of story.
Posted by NOLA Bronco
Member since Dec 2014
1898 posts
Posted on 7/11/16 at 4:57 pm to
quote:

Ironically it's happened bc tv has gotten too democratic with all this streaming, etc...

Let's use a college football example... Saturday Sun Belt Conference football

Back in the day their viewers were either at the game live or watching LSU

Now that they're on "TV" (ESPN3) for those who want to watch, that's more games being produced, but the number of viewers haven't expanded to keep up. The audience fragments and the network suffers bc ULM and Troy thought they had to be on TV



Sports hasn't though. While the landscape of media consumption is changing, the sports networks and leagues continue to be lagging adapters. Instead of innovation they rather extort the old model until the well runs dry.

Posted by Ken M
New York
Member since Jan 2015
498 posts
Posted on 7/11/16 at 4:58 pm to
quote:

This. So much this.

One way or another the media companies are going to get their money, whether it is increased prices for ala carte, increased prices for internet, capped speeds, capped data, etc. You want to consume you are going to pay.

The TV world will be a worse place due to all this cord cutting. Lack of programming and lack of quality to shows is on the way.


Or maybe the arms race of salaries, stadiums, and television deals actually has to return from the stratosphere that it has gone to over the past 20 years.
Posted by NOLA Bronco
Member since Dec 2014
1898 posts
Posted on 7/11/16 at 4:59 pm to
quote:

Or maybe the arms race of salaries, stadiums, and television deals actually has to return from the stratosphere that it has gone to over the past 20 years.


Bubbles don't expand forever.
Posted by AlonsoWDC
Memphis, where it ain't Ten-a-Key
Member since Aug 2014
8762 posts
Posted on 7/11/16 at 5:10 pm to
The price for internet will just increase if enough people quit watching TV.

There will be no drastic bubble burst.
Posted by Lee to Toliver
Member since Oct 2011
5840 posts
Posted on 7/11/16 at 5:22 pm to
I am one of the 453,000 AMA
Posted by NOLA Bronco
Member since Dec 2014
1898 posts
Posted on 7/11/16 at 5:23 pm to
quote:

The price for internet will just increase if enough people quit watching TV.

There will be no drastic bubble burst.



For sure, but that doesn't really help the networks. Internet price is going to the Internet provider companies.

Frankly the whole thing is an unsustainable mess unless someone like Google really disrupts the market and starts fast-tracking their fiber networks at way below current prices.
Posted by LSUneaux
NOLA
Member since Mar 2014
4490 posts
Posted on 7/11/16 at 9:31 pm to
I want everyone in this thread with the smartass comments to shut the frick up.
Posted by LSUneaux
NOLA
Member since Mar 2014
4490 posts
Posted on 7/11/16 at 9:33 pm to
quote:

For sure, but that doesn't really help the networks. Internet price is going to the Internet provider companies. Frankly the whole thing is an unsustainable mess unless someone like Google really disrupts the market and starts fast-tracking their fiber networks at way below current prices.


This is why I bought Facebook stock. I really think it's part of the future of media, not just social media.
Posted by Roaad
White Privilege Broker
Member since Aug 2006
76472 posts
Posted on 7/12/16 at 7:52 am to
quote:


ESPN loses another 453,000 Subscribers from June to July
well, guess we can get ready for ESPN to become another reality-show channel. . .ala MTV, Spike, Bravo, etc
Posted by DBU
Member since Mar 2014
19059 posts
Posted on 7/12/16 at 8:00 am to
Fox sports is god awful
Posted by Mephistopheles
Member since Aug 2007
8328 posts
Posted on 7/12/16 at 12:36 pm to
Didnt read the article you posted but isn't a large amount of ESPNs income from advertising?
Posted by TigerintheNO
New Orleans
Member since Jan 2004
41179 posts
Posted on 7/12/16 at 12:42 pm to
ESPN had to refund advertisers $20 million back in Feb, because the College Playoff ratings were so low. They were down nearly 40%
Posted by stlslick
St.Louis,Mo
Member since Nov 2012
14054 posts
Posted on 7/12/16 at 12:47 pm to
Dish network tried to get cable companies and Satellite companies to force ESPN hand.

They wanted to tell espn, were not paying that inflated price, but well pay x amount for espn,espn2,and 1 other espn channel. Rest are worthless and don't want.

Well, because the other companies are so worried about stealing each others customers, they wouldnt band together. So they all get forced into shite prices, and we as consumer get fricked.

I see ESPN clean even more house end of this year. ABC told them they weren't playing, cut costs, now.
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