Why the NRL's next TV deal is shaping up to be VERY bad news for footy fans

Why the NRL's next TV deal is shaping up to be VERY bad news for footy fans

  • 20.03.2025 02:02
  • dailymail.co.uk
  • Keywords: NRL, Peter V'landys

The NRL is considering splitting its broadcast rights to boost revenue, with plans to involve streaming giants like Amazon and DAZN. This could lead to higher costs for fans and reduced viewership due to fragmented access.

Amazon ServicesAMZNsentiment_satisfiedNFLXsentiment_neutralAFLsentiment_dissatisfiedCFLTsentiment_satisfied

Estimated market influence

NRL

Negativesentiment_dissatisfied
Analyst rating: N/A

The NRL is considering splitting broadcast rights to increase revenue, which may lead to higher costs for fans.

DAZN

Positivesentiment_satisfied
Analyst rating: N/A

DAZN is a potential bidder for NRL's broadcast rights, aiming to expand its sports content offerings.

Amazon

Amazon

Positivesentiment_satisfied
Analyst rating: Strong buy

Amazon is in the frame to bid for NRL's broadcast rights, similar to NFL's Thursday Night Football deal.

Netflix

Netflix

Neutralsentiment_neutral
Analyst rating: Buy

Mentioned as a potential bidder but no direct impact yet.

AFL

AFL

Negativesentiment_dissatisfied
Analyst rating: Neutral

The AFL's decision to charge fans more for content has been criticized, setting a precedent that NRL is considering.

Fox Sports

Neutralsentiment_neutral
Analyst rating: N/A

Currently holds broadcast rights but may face competition from streaming services.

Channel Nine

Neutralsentiment_neutral
Analyst rating: N/A

Current broadcaster of NRL matches.

NFL

NFL

Positivesentiment_satisfied
Analyst rating: N/A

NFL's model of selling broadcast rights to multiple platforms is being considered by NRL for potential revenue growth.

Context

Analysis of NRL's Next TV Deal: Business Insights and Market Implications

Overview

  • The NRL is considering a new strategy to maximize broadcast revenue by selling TV rights in a fragmented manner, involving both traditional broadcasters and streaming services like DAZN and Amazon.

Current Broadcast Deal

  • Current value: $400 million annually.
  • Broadcasters holding rights: Channel Nine and Fox Sports.

Next TV Rights Strategy

  • Target revenue: $3 billion for the next set of contracts.
  • Approach: Inspired by NFL's model, where specific games (e.g., Thursday night games) are sold to streaming platforms like Amazon and Netflix.
  • Potential impact: Fragmentation of viewing options could lead to higher costs for fans.

Fan Reactions

  • Concerns: Fans fear increased subscription costs and the inconvenience of accessing content across multiple platforms.
  • Social media feedback:
    • "Horrific idea. NRL isn't big enough."
    • "Cutting up broadcast rights will reduce viewership."

Market Implications

  • Increased competition: Streaming giants like Netflix, Amazon, and DAZN are likely to enter the bidding war, driving up prices.
  • Potential revenue boost: The league aims for a significant jump from $400 million to $3 billion, reflecting the growing value of sports broadcasting rights.

Competitive Dynamics

  • Traditional broadcasters vs. streaming services: The move could shift power dynamics between free-to-air networks and digital platforms.
  • Risk of reduced viewership: Fragmented distribution may lead to lower engagement and fewer eyeballs per game.

Long-Term Effects

  • Industry precedent: If successful, this strategy could influence other sports leagues in Australia and globally.
  • Fan dissatisfaction: The move risks alienating fans, potentially harming the league's long-term popularity.

Strategic Considerations

  • Revenue maximization: The NRL is prioritizing financial gains over fan accessibility.
  • Regulatory considerations: No immediate mention of regulatory impacts, but antitrust concerns could arise if the strategy leads to monopolistic practices.

This analysis highlights the potential risks and rewards for the NRL as it navigates a complex media landscape. While the league aims to capitalize on the growing demand for live sports content, fans and stakeholders are wary of the implications for accessibility and affordability.