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Comments Thread For: Hearn on Canelo-DAZN: The Whole Game is About To Change
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Originally posted by Phenom View PostOnly 630k every month for 5 years? They better have Canelo fighting once a month
Canelo is gonna get a nice lil bonus off this sh^t. No way Canelo is walking away with a mere $365M for this deal. With all the money DAZN will be making off of Canelo, that could last well beyond this 5 year deal, I bet Canelo will easily be walking away with half a billion dollars once his bonuses are added into his pay.
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Originally posted by kafkod View PostIt looks even more risky seeing it broken down like that!
Canelo doesn't fight every month, of course.
If he sticks with his usual 2 fights per year schedule, then based on your numbers, he needs to attract 3,779,646 subscribers - who wouldn't have subscribed otherwise - per fight, for his next 11 fights, for DAZN to break even on their investment.
Between one time viewers who'll just pay $20 a year to watch Canelo fights & the cats who'll just sign up to DAZN to watch Canelo, but will enjoy all the other boxing there the true figure needed to break even is gonna be some middle number between 630k & 3.7M.
And I think they will easily find 630k fans, on average, a month with this deal so you won't really need to care about people who'll only show up twice a year. GBP alone might bring half that number cuz I think plenty of bs & low level GBP fights on HBO get that many fans or more watching & they were already paying ~$15 or w/e a month for HBO.Last edited by Eff Pandas; 10-18-2018, 08:32 AM.
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Originally posted by zzat View PostIt's really a great deal for Canelo and GBP.
I think the people running DAZN know what they're doing but based on your calculations there is still some level of risk.
You are assuming that the 629, 941 "Canelo" subscribers will keep their subscriptions paid up for 5 years but the truth of the matter they only need to subscribe for the 11 months that Canelo will be fighting.
If they just use DAZN for Canelo then on the month of the fight there should be at least 3.32M subscribers to break even.
Hell man in general I think a good conversion rate range if you are decent to great at converting is 1%-10% or 33k to 332k people which would translate to a $3.9M-$39M a year boost with subs.
Its not realistic to think that 3.3M people will sign up & then all cancel all those times in a row & base the needs of DAZN to make this deal profitable on that figure. They will have cats who sign up for DAZN for the duration of this deal off the strength of Canelo. And those guys are gonna be the base of this deal making sense for DAZN & they will be why Canelo ends up getting a nice bonus on this deal as is included in the deal. 630k isn't a big number.Last edited by Eff Pandas; 10-18-2018, 08:48 AM.
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Originally posted by kafkod View PostImo, DAZN know that they are overpaying Canelo by a considerable amount, but have decided it will be worth it in the long run.
Getting the biggest PPV star in US boxing on board so soon after launch is going to do wonders for their "brand" in the States.
And it will underline what their CEO said at the launch announcement - the days of expensive PPVs for big fights in the US will soon to be over - DAZN is the future.
I'm sure it's not lost on the DAZN CEO's mind that his competition(ESPN, FOX and Showtime) will see this and also try to make sure that they keep their subscribers happy by giving a quality product.
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Originally posted by Butch.McRae View PostEddie didn't sign anybody.
Why do you people post like Eddie is running DAZN? Lol
Did you miss the pictures of Skipper? You know the guy who actually runs the app that oscar negotiated the deal with.
They have deals with Bellator, Matchroom, and now GBP. Eddie isn't running anything there.Last edited by mrlopez; 10-19-2018, 04:09 PM.
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