Stephanie McMahon: " Vince does better than any is listen"
Mar 1, 2018 1:19:05 GMT -5
A Platypus Rave is Correct likes this
Post by Final Countdown Jones on Mar 1, 2018 1:19:05 GMT -5
No but again it's not how much everything is down in terms of raw viewers; it's about how much WWE specifically is down further than the general downward trend of everyone else. WWE is getting more from TV rights, but there's a limit to how far things can slide before that stops being the case; this can't be hard to get. WWE right now still holds value to networks because of what the rating they're pulling means for their numbers, but if WWE's ratings continue to sink and slip further down as viewers tune out, then the bottom will fall out. WWE is right now excelling at squeezing a dollar out of each individual fan/viewer/attendee, and making the audience they do have worth a lot of money to outside parties, and they can keep that going because they're not a dead and dying brand. But if they continue on a downward trend where they lose interest, lose viewers, lose ticket sales, then one day it will reach a point where their audience isn't worth that kind of dollar.
Every time someone points out how much they're making right now on their TV deal or how much profit they made this quarter, it's a statement ignoring that the bigger picture of what this continued trend means for the future. Vince's bad ideas aren't going to kill his company overnight, but there's no excuses for the way numbers are slowly bleeding them to death over time.
Advertisers DO NOT want to be associated with Wrestling, so networks get less money for ads running during the show.
The only trade off is if Wrestling does well enough that it pushes them up a few slots in the weekly ratings.
If the WWE dips so low that it is no longer helping them out... they are either A. dropping it completely or B. paying them considerably less when it's time for contracts to be negotiated.
and with the really low profit margin they made last year that could be pretty disastrous.
Thing about wrestling and advertising is that yes that is true, but one thing that also works for WWE in spite of dwindling numbers is in one of the advantages they can offer an advertising partner over most of what they perceive to be their competition. WWE is one of the rare television products that can do branded avertising with their own stars and will happily work with partners like KFC to produce commercials they can run during their shows, like the stuff they do with KFC or the Up Up Down Down tournament to promote Rocket League. You don't really see that kind of thing with most other prime time TV shows, but do see it a lot with Youtube. WWE has that big advantage, and shit like KFC and Rocket League might not be the most prestigious ad partners in the world, but the way they have pushed for product-integrated ads like that shows WWE being pretty f***ing smart with what they're doing.
But that also only matters while there's an audience for it. KFC will happily get WWE to produce a commercial at their taping and pay them for the value it brings, because advertising where the person you're watching the show for is shilling the product is more effective, but if Network subs dwindle, then KFC may not see them as that attractive a partner anymore. Their value to USA Network is important and there is a more complicated relationship there than something as simple as "We'll pay you based on weekly viewership numbers", but there's a lot of other areas where that is far less ambiguous. WWE made 52 million last year through licensing because their brand has meaning. They chase away too many viewers and those numbers are the ones that'll start declining.