How Much Will Fans Spend on Sports Content? $39/Month: Deltatre
For two-thirds of sports fans, their devotion has a financial limit of $39 per month. That number comes from sports media services company Deltatre, which analyzed the streaming sports market in the U.S. and U.K. Two-thirds of fans refuse to pay more than $39 per month for content from their favorites teams, while the other third will go higher.
Sports operators are increasing their investments in over-the-top (OTT) video spending, now partitioning 15% of their total budgets. That investment is paying off, as the new wave of OTT services has led to a 24% increase in subscribers.
As they develop their OTT offerings, many organizations are starting with freemium or family packages as a low-cost entryway for casual fans. This brings new customers into the organization's ecosystem, where they can be incentivized to upgrade their service.
“The sports OTT KPIs have changed. It's no longer just about streaming the match," notes Giampiero Rinaudo, CEO of Deltatre. "Encouraging viewers to come back day after day is the gold standard, even when there’s not a live match taking place. That means maximizing engagement on the shoulders of the game itself. Tailoring video and editorial content to different types of fans and reconfiguring the UI and UX based on time of day, user insights, or the latest developments in the sports world that week is how brands can create a better ecosystem around a sport.”
Deltratre also found that 39% of sports fans watch 4 or more hours of content per week on a mobile device, and one-third believe 5G connectivity will have a large impact on their viewing.
This data comes from Deltatre's report "Where the Money Is Going: The Future of Sports Entertainment," available for free download (no registration required).
OTT services are growing quickly, but many people still feel tethered to pay TV for access to live sports, news, and events.
While it offers no network or sports channels, the $16 per month price is attractive, and comes with an on-demand library and cloud DVR.
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