Maximizing NIL During March Madness
DAZN Falls Back on Promise. Within An Ace Of Success. Stand Out During March Madness.
Our thoughts are with the country and people of Ukraine, hoping a peaceful end is near.
On Today’s Agenda:
Canelo’s Next Two Fights Will Air On DAZN but With A Catch
What Canada Is Facing With Sports Betting
How To Stand Out In All Of The Madness
DAZN Falls Back On Promise To Eliminate PPVs
Canelo’s Next Two Fights Will Air On DAZN but With A Catch
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For boxing fans around the world, a Canelo Alvarez title fight is as exciting as it gets. The 31-year-old Mexican fighter has been crowned the pound-for-pound champion by just about every ranking and is seen as the face of boxing. Last year, after knocking out Billy Joe Saunders and Caleb Plant, Canelo became the first-ever boxer to unify the Super Middleweight division. This year, he plans on moving up to light heavyweight for the second time in his career to try and reclaim the title while also making plans for a blockbuster trilogy fight with Gennady Golovkin. As long as he keeps being as dominant as he has been, it’s safe to say that Canelo’s stock will only continue to rise.
This is why boxing fans we’re thrilled to hear that Eddie Hearn’s Matchroom Boxing signed a 2-fight deal worth over $100m with Canelo’s management. Matchroom Boxing regularly partners with DAZN to host the fights on their sports streaming platform that has tried to redesign the way North Americans consume sports by eliminating the pay-per-view model.
It all started in 2019 when DAZN posted a video on their social media pages of the famous scene from the 1999 film “Office Space” where workers beat up a printer from their office. They photoshopped Canelo’s face onto a worker’s face and added “PPV” on top of the printer, implying that there would no longer be pay-per-view events involving Canelo. This was done after Canelo signed a historic 11-fight deal with Golden Boy Promotions and DAZN. The video went viral and many boxing fans were thrilled to hear the news that they no longer had to pay $100 to see the star in action. Unfortunately, the deal only lasted three fights before Canelo sued Golden Boy Promotions and DAZN in order to get out of his agreement and fight under other promotions. Although they lost their superstar, DAZN stuck to their decision and continued to stream other high-awareness boxing fights without pay-per-views.
Fast forward to last week and that decision has finally been reversed. It seemed like the only way for Canelo to rejoin DAZN was if they were to have his fights sold as pay-per-views, a decision that obviously increases the amount that he’ll take home from his two-fight contract. After recording losses of over $1 billion in the pandemic, DAZN couldn't afford to lose the face of boxing once again. The return of pay-per-view on DAZN brings up an important question for combat sports fans: will we ever see a post pay-per-view world? Do promotions like the UFC, Golden Boy Promotions, Matchroom Boxing, and Top Rank Inc. really expect consumers to keep spending over $80? DAZN proved that eliminating the pay-per-view model is a lot tougher than expected and may take time for promoters, managers, and athletes to get used to. Combined with the ever-increasing issue of illegal streaming, promoters must find a sustainable way to sell fights without bankrupting fans.
Unfortunately, it seems like pay-per-view events are not going anywhere anytime soon, at least for cash-cows like Canelo Alvarez, Tyson Fury, and the UFC.
Within An Ace Of Success
What Canada Is Facing With Sports Betting
When the Canadian government voted to legalize single-event sports betting in August 2021, the news came with lots of excitement - from sportsbooks, sports bettors, and sports and entertainment organizations. Over 6 months later, provinces like BC and Ontario have started to introduce sportsbooks through their provincial gambling commission. Beyond that… the hype remains unfulfilled.
A recent report released by Deloitte titled “Bettor Perspectives - how Organizations can win in the new world of Canadian sports betting” summarized the firm’s research on the industry. We decided to take a look at the numbers (as we often do) and wanted to share our thoughts and key insights for what the next big step is for sports betting and its marketing. Like every good bettor, the winners and leaders in the space will have an A.C.E. up their sleeves:
Awareness
The market for the sports betting community looks a lot different from the conventional bettor we might expect. Only 8.5% of the community polled would classify as high stakes and high-frequency gamblers, and 58.5% of those surveyed are potential bettors who have yet to be formally introduced to the space. Interestingly enough - 57% of the potential bettors identify as female, and are between the ages of 25-64 years old. The opportunity for marketing is clear - there is a diverse and large group of potential bettors who need to be exposed to this space.
However, there is still a stigma around sports gambling, and only 19.2% of Canadian adults are aware that single-event sports betting is now legal. Much of the work that needs to be done starts with educating and informing consumers about the new laws and opportunities available to them. Sportsbooks and related organizations that create more awareness and help introduce this space to casual and potential bettors will develop loyalty from the market and dominate.
Community
Trends in sports as an entertainment/experience product expand into sports betting. As audiences continue to crave experiences, the single-event sports bettor needs to feel like they belong to a community beyond the screen they’re betting on. 43.6% of survey respondents indicated that they would be welcome to see a players’ lounge added to sports venues. This is an opportunity that teams like the Phoenix Suns have already capitalized on through a partnership with FanDuel. Early adopters of this model in Canada, and other ways to create a community of sport bettors will sustain brand loyalty, and be able to expand early and often as this space evolves.
Exclusivity
The accessibility of single event-sports betting is both a blessing and a curse, with countless alternatives creating competition in the industry, and sportsbooks will always be at risk of losing their consumers. With only 12.9% of respondents indicating that they are likely to use prior experiences to shape their next bet, brand loyalty is up for grabs.
One avenue for this is through creating an exclusive experience that cannot be offered by competitors. The numbers back up the consumer desire for exclusivity - as 44.7% of those surveyed would welcome sponsorship integrations (giveaways) and in-arena wager options to enhance their experience. Arenas and venues may want to explore introducing in-arena exclusive props and odds, to give fans in attendance a hand in the game that cannot be found anywhere else.
Sports betting organizations, and marketers in this space will be primed for success if they remember to keep their ace handy and keep awareness, community, and exclusivity at the forefront of their decisions. All bets are off - may the best (and luckiest?) organization win.
Maximizing NIL During March Madness
How To Stand Out In All Of The Madness
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It’s 1970. The sun is shining, the temperature warm, and the FIFA World Cup is being hosted in Mexico. With a rumbling tone of excitement around the stadium, Peru is set to take on Pelé and Brazil. The match is about to begin but wait… Pelé, at the half, lowers to a knee and begins retying his shoes. One after the other. A necessity for any high-level athlete, ensuring your equipment is set for peak performance. However, unlike you or I reading this, when we tie our skates, left then right, preparing to skate the Rideau Canal after work as a little cardio session, we don’t have millions of eyes on us, like Pelé.
This moment in time cost Puma $125k – it was planned.
Similarly, to the FIFA World Cup, March Madness also has the spotlight in North America shining on some of the top college basketball players in the world. This leaves the question for athletes to ask, how do I maximize off the madness? Great question.
First, who knows maybe there’s a chance for a moment like Pelé’s to be recreated one day – take Zion Williamson and his ruptured Nike shoe whilst playing at Duke. Although not the greatest look for a brand when trying to serve premier athletes, it earned massive media attention. As they say, all publicity is good publicity.
Let’s get back on topic on how YOU can maximize your time under the madness without having to pull a stunt like the ones mentioned above. The underlying takeaway of building a brand and capitalizing on NIL is dependent on one major factor, YOU. How you come off whether it be successful on the court, relatable in interviews, or iconic in your style all have the potential to strike a chord with someone watching. Your ability to maintain this reputation as a superstar, down to Earth or fashionable person is based on the degree of authenticity. Is it really you?
Developing longevity in a brand is directly correlated with the degree of authenticity. Can you maintain this persona of media darling forever? If so, you’re either an amazing actor and should probably leave March Madness and go to Hollywood, or you’re just genuinely a nice person who can get along with people easily. This is applicable for all descriptors of your brand – fashion, gaming, outdoors, etc. A personal brand needs to be personal which is why if you don’t believe in living an outdoors lifestyle, don’t sell it. Only sell or market something you believe, and in this case, that’s YOU.
There’s your insightful reading for the day, here are some takeaways on how to shine through the madness:
Use products you like to showcase categories that fit within your portfolio.
Enjoy purple-flavoured hydration drinks? Drink a different brand every day on game day, walk up and post it.
Tell a story with your shoes.
Playing for a smaller school? Customize your shoes each round, starting with Cinderella far from the castle and getting closer each round.
Provide a behind-the-scenes perspective.
On TikTok or Instagram? Demonstrate what life is like in the tournament via short-form content.
I had to cut the list short. The list was growing and was going to be too big. If you want more ideas or are interested in chatting pertaining to the ideas above or streaming, podcasting, merchandise, NFTS, etc., shoot us a message via @whitewhalemktg
