Demand For Online Video Fuels Digital Revenue For Sports Programming

Sports leagues are making hundreds of millions in digital revenue from paid content, ads and other revenue streams, according to a new report from eMarketer.The NFL tops the list at about $500 million in digital revenue, MLB at $450 million, the NBA at $225 million and the NHL at $120 million, the study found. Under this backdrop, ESPN expects to amp up the ads it runs in TV Everywhere programming and to charge a higher CPM. For more details, check out this week's New Media Minute.

Digital Revenue For Sports Programming On The Rise

Sports has always been regarded as the programming genre least vulnerable to the changes in digital viewing and new devices, since viewers want to watch sports live. And that's true. But now both programmers and sports leagues are finding even more ways to take advantage of the growing consumer appetite for streaming content.

For starters, sports leagues are making hundreds of millions in digital revenue from paid content, ads, and other revenue streams, according to a just-released eMarketer study that also found that digital viewing for sports can increase overall watching and loyalty--which means more ad opportunities.

• The NFL tops the list at about $500 Million in digital revenue each year.
• The MLB comes in at $450 Million.
• NBA has $225 Million.
• The NHL brings in $120 Million.

Events like the Olympics, World Cup Soccer, and College Basketball have really helped to grow audiences and demand for streaming of sports. And in addition, ESPN is slated to roll out ads next month in live programming that it carries on TV-Everywhere type of digital platforms--such as tablets, mobile phones, and computers. The sports network also plans to charge a higher CPM for ads on those platforms because they are effectively addressable ad environments.