As a broadcaster of boxing Showtime has been way behind HBO for quite a while. The TS is correct, he just didn't articulate it all to well. The move to get Floyd is a "Loss Leading" strategy. At the very least Sho knew it had the potential to be that. What i mean by a loss leader in this case is Floyd as boxing's most marketable, recognisable brand is basically being offered to viewers by Showtime at below their profit margin when the number happens to hit less than a million. The reason this is being done is to build the Sho brand as the leader in boxing, attract new subscribers and viewers who watch boxing (they have less than HBO). The idea is to build profitability longer term by offering Floyd at a loss when the numbers don't meet expectation. This is why they made the deal.
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No announcement yet.
Showtimes not focusing on profit with Mayweather.
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Originally posted by [T][B][E] View PostShowtimes past 2-3 years:
Increase Viewership/Subscriptions - Check
Award wining Sports Documentary - Check
Decrease HBO PPV outings securing best dates at venues - Check
Generate More revenue(not-profit) than Rival Network - Check
Limit HBO pool of fighters by acquiring GoldenBoy- Check
Take some of HBOs investments (ie. Steverson) -Check
More exposure for GB/Haymon Fighters (thurman, porter etc.) - Check
That's basically it. Floyd is a loss leader for them. His acquisition was designed to achieve all the things you just listed above.
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Originally posted by check hook View PostAs a broadcaster of boxing Showtime has been way behind HBO for quite a while. The TS is correct, he just didn't articulate it all to well. The move to get Floyd is a "Loss Leading" strategy. At the very least Sho knew it had the potential to be that. What i mean by a loss leader in this case is Floyd as boxing's most marketable, recognisable brand is basically being offered to viewers by Showtime at below their profit margin when the number happens to hit less than a million. The reason this is being done is to build the Sho brand as the leader in boxing, attract new subscribers and viewers who watch boxing (they have less than HBO). The idea is to build profitability longer term by offering Floyd at a loss when the numbers don't meet expectation. This is why they made the deal.
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Originally posted by JoeMan View PostEspinoza is probably the dumbest addition to Showtime. Mayweather is not on Showtime. He's on PPV. If you're a subscriber like me you won't get to see Mayweather's fights. And I don't really care if I don't. What is disappointing is non-PPV fights have become extremely rare when this Espinoza guy took over. You hardly see Bernstein and company anymore.
If you're thinking of signing a Sho subscription, forget it. Fights are extremely rare. You're better off streaming them.
Showtime championship boxing have put on 8 fights with big names, HBO only did 2.
They also had their all star commentators on all of their broadcast, you always hear Bernstein and his fighter's advice points.
You obviously do not have Showtime, and/or you are mixing up what HBO have been doing so far. I admit HBO have been looking second rate since late last year... I still watch it however, Showtime is much better in terms of interest and presentation. They also had the most compelling fights that had drama.
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Originally posted by Deevel916 View PostLosing money was a strategy? I've done heard it all now!
whats so hard to comprehend? frank warren once said he never heard of a promoter who didnt lose money in his first year promoting fights. thats part of business sometimes, you have to reach beyond your grasp even if you lose money at first. but you build a brand which will generate much more money down the line. showtime are building their brand with mayweather as their center piece, when the brand is strong the income will increase (or at least thats the idea).
same thing applies to most businesses, almost everyone who start their own business is in debt up to their ears for several years before the business turns a corner. then they make up for it. again, provided they ever become successful.Last edited by #1Assassin; 05-20-2014, 07:32 AM.
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Originally posted by #1Assassin View Postincreasing their viewership was their strategy, getting more talent was their strategy, establishing themselves as the premier network for boxing was their strategy. temporarily losing money was the expense, but only to get it back with interest down the line through the things i and many before me just mentioned.
whats so hard to comprehend? frank warren once said he never heard of a promoter who didnt lose money in his first year promoting fights. thats part of business sometimes, you have to reach beyond your grasp even if you to lose money at first. but you build a brand which will generate much more money down the line. showtime are building their brand with mayweather as their center piece, when the brand is strong the income will increase.
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If you were a boss would you want one of your employees posing abortion pictures on twitter?
Thats not a good way to promote viewership.
SHO is having buyers remorse. They know the future is Canelo and Floyd's #'s can only go downhill from here on out
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