Get ready for another DAZN price hike

[Motorcity Cobra]

i'm starting to think hearn is paying mcc for posting so much about dazn. any press is good press.

I got paid by a company out of NJ to implement DAZN in 2 bars here in Cincinnati. I'm not turning down any money. I can separate business from personal

[Eff Pandas]

You used a mom joke in my last DAZN these.

D- for originality. The only reason it isn't a fair is because you used a different gif

In fairness you aren't being original with your DAZN threads, you've made the same 3 or 4 anti-DAZN threads over & over & over, so I like the Baby Boy angle being used over & over & over as well. Plus that film gots some pretty great gifs.

[Szef]

I got paid by a company out of NJ to implement DAZN in 2 bars here in Cincinnati. I'm not turning down any money. I can separate business from personal

so this is personal to you? lol i think you need need an intervention bro

[Thuglife Nelo]

so this is personal to you? lol i think you need need an intervention bro

He is related to Frederick Hawthorne.

[Motorcity Cobra]

Canelo's deal ain't THAT big to have to worry about buying it out. And if they do fail Canelo would likely be a thing of some value to the buyer so you aren't gonna buy him out of his deal. And if they go under legit then does it gonna matter to buy him out.

So far I think DAZN has about 1.465B+ bookmarked for boxing over the next 8 years. Allegedly 1B to Eddie over 8yrs. Canelo gots $365M over the next 5yrs. And GGG gots $100M over the next 3yrs. Idk how much GBP, WBSS & GGG promotions is bookmarked for so I won't speculate.

But that basically breaks down to $224M for the next 3 years.

All the major sports cost more than that per year to acquire the rights to (think its up to billions per year for the NFL). Boxing is a small player in the business of DAZN succeeding or failing & if they aren't bankrolled to handle some L's in boxing then they won't even be able to get their foot in the water of the real sports. Canelo's contract is a pimple on DAZN's ass of expenses.

Here are the real numbers.

DAZN FINANCIALS HIGHLIGHT DIFFICULTY IN CHANGING SPORTS VIEWING FOR FANS
Posted on 14th May, 2019 by Alistair Taylor in Ads, Amazon, Apple, Brands, Facebook, Mobile Content, Online Video, Paid Content, Sports, Strategy, Streaming, SVOD and Video

DAZN, the sports-centric streaming service which made headlines in 2018 with several high-profile rights acquisitions, and according to documents seen by SportsPro Media, has managed to dramatically reduce its debt burden by 93% in the year up to 2018.

DAZN’s borrowing reduced from $980 million to $275 million from 2017 to 2018, thanks largely to the $2.2 billion in funding which DAZN has received since its 2016 launch. Len Blavatnik’s Access Industries Group, DAZNs parent company, invested $848 million into DAZN in 2018, and Japanese agency Dentsu Aegis has also invested a further $391 million.

SportsPro Media reported that DAZN’s revenue increased 136.2% from 2017 to 2018 to $277.6 million. The DAZN group also saw advertising revenue across its sports properties (including Goal, Sporting News and Spox) rise by 4.4% to $77.2 million. Additionally DAZN looks to increase its revenue generated through advertising in the coming year having announced in March 2019 the introduction of advertising to its streaming service.

DAZN having to play the long game internationally


DAZN WAU Adoption
Having launched in the US in September 2018 off the back of a $1 billion acquisition for 32 Matchroom Boxing fights, its combat sport-centric service has struggled to entice and retain a large subscriber base in the US. MIDiA Research’s Q1 consumer survey highlights this niche proposition struggling to appeal to fans, with only 1.0% of US consumers engaging with DAZN weekly (WAU). Fortunately these are early days for its US operations and DAZN has already built an unrivalled boxing stable with the likes of Anthony Joshua, Canelo Alvarez and GGG (Genady Golovkin) signing long-term contracts with the platform.

DAZN in November 2018 acquired a three-year live rights partnership with Major League Baseball (MLB) starting this year, which is DAZN’s best opportunity to truly ‘disrupt the status quo’ in the US. Owning premium domestic rights, which Eleven Sports’ failings demonstrated, are fundamental to forging a compelling value proposition in the key sporting markets. DAZN will be wary of competition from Disney’s ESPN+ in the US, with DAZN’s WAU penetration five times smaller than the leading US sport-centric streaming service.

DAZN entered its 9th market with its launch in Brazil last week, with a largely soccer-orientated proposition which should be well positioned to resonate with consumers. This could help increase the contribution of the Americas accounts in terms of overall company revenue, with its North American operations generating $14.3 million in 2018.

Key markets for DAZN

DAZN’s largest share of company revenue came from Asia, which saw $65.2 million in growth from 2017 to 2018 and accounted for 42% of all company revenues. Europe is another core market for DAZN, host to two of its largest markets for WAU (Spain and Germany) and subscribers, and accounting for 44% of overall platform streaming sales. If DAZN can continue to acquire premium domestic rights in these core markets, it will offer the best opportunity to disrupt the traditional broadcasters, leveraging its early mover status in these markets for streaming services.

Diversification or overextension?

According to SportsPro, DAZN has four million paying subscribers, but investments in growing out its international rights portfolio has seen outgoings double to $336.6 million. While DAZN has successfully acquired rights from the largest and most valuable rightsholders globally, enticing four million subscribers into its ecosystem does not justify the outlay, with DAZN Group’s total rights commitments as of April 2019 at $6.1 billion beyond five years. Hypothetically, even if DAZN retains all four million over the next five years at the new US annual subscription price of $99.99, subscription revenue would only generate $1.5 billion – allowing for a 25% churn rate in subscriptions with no further growth in subscriptions factored in. A $4.6 billion deficit doesn’t even factor in the cost of acquiring new premium domestic rights which DAZN must employ to improve its acquisition funnel, highlighting the uphill battle DAZN faces.

The pendulum is swinging against DAZN

The magnitude of these undertakings could ultimately force DAZN into making a distressed sale or becoming an acquisition target for a tech major or a company with the appetite and financial resources to acquire DAZN’s assets and endure the losses while it builds (bundles) out a truly viable content proposition for sports fans.

From day 1 i noticed boxing fans say "this is the future. Boxing is ahead of the curve"

But they're really to ****** to realize the reason boxing is attractive is

1. Low barrier for entry

2. Combat sports fans are used to paying for content. So you get boxing fans telling you $10 a month for boxing isn't bad & then months later telling you $20 a month for boxing isn't bad. And if (A BIG IF) DAZN is about to grab rights to a major sport boxing fans will be saying $100 a month for boxing isn't bad

This was never about bringing boxing into the future. This was about grabbing a fan base that will pay for the content. And they know they have a couple more rate hikes to go before they reach the breaking point for boxing fans.

[Motorcity Cobra]

so this is personal to you? lol i think you need need an intervention bro

That was AFTER i already said DAZN would flop. Why would it be personal if I made money off them? You don't make any sense

[Motorcity Cobra]

In fairness you aren't being original with your DAZN threads,

So this information I posted isn't original?

[KTFOKING]

Like I made that thread asking why did Arum give up on Ruiz and you was one of the first who said he didn't and pivoted the blame to Ruiz. Then Ruiz comes out & said Arum gave up on him.

Oh yeah?

Like I was saying, when did I say DAZN wouldn't increase their prices?

[Eff Pandas]

So this information I posted isn't original?

You've said you think the price will go up numerous times. You've said you think they will go outta business numerous times.

The only new thing you said is you think DAZN will be outta the boxing business by 2021.

[Justintimothyko]

If they increase the price again, I WILL cancel!!!