Is DAZN making any money?

**turnedup** · 11-21-2019, 07:20 PM

Some business models are loss leaders to create market share, you can be worth billions without making a dime profit just because of the chunk of the market you hold. Dazn is one of those businesses that accounted for losing money upfront to get it on the backend

**Monzon99** · 11-21-2019, 07:22 PM

Ruiz vs AJ II is obviously massive. Makes you wonder if the first fight was a dive by AJ. Certainly looked like it and it made business sense to set up this huge rematch. $98m in purses for the two combatants means DAZN and Hearn are making multi millions too, maybe more.

**Redd Foxx** · 11-21-2019, 07:24 PM

Absolutely not. Not yet. It will take a lot for them to become profitable with the amount they're spending. Their hope is that the thing takes off and they make money in a couple years. That's normal for business.

**Inspired** · 11-21-2019, 08:31 PM

Look at Roman Abramovic in football. He came in as a Rusian oligarch, playing fantasy football through Chelsea FC, spending money as he wanted. He isnt as wealthy as Blavatnik, yet it was no problem for him because Chelsea were meant to be his hobby. He spent well over �1billion on Chelsea in that time.
He stopped spending big when he lost money in the stock market dip 11 years back..but he made more money on the recovery. The arabs also made big money on the recovery buying stocks cheap, then got into football (abu dhabi got Manchester City and Qataris got PSG) at which point Abramovic couldnt compete.

Furthermore, due to Britain's strained relationship with Russia, Roman Abramovich couldnt get a british passport and now lives in Israel, so he's not spending on Chelsea, but they're a profitable club all the same.

Dazn don't need to spend big money beyond their original commitments eg the Matchroom 8 yr deal and any deals they have with canelo/ggg.
Aside from all that, the owners of dazn are primarily in the sports betting/data monetisation business. The broadcasting side is only as a consequence of their original business (perform group/opta sports) because they get to own the data outright. I imagine there's way more money in the sports betting industry. They entered boxing in the US only when sports betting was legalised, which ought to tell you where they intend to profit from.
However, boxing has so much potential for global growth..the idea of reaching the middle classes in east asia, the middle east, eastern europe is totally feasible if the prices are reasonable. Those markets are so damn big, esp when people are increasingly ditching regular tv/cable for streaming. We've seen just how big these other markets are for the success of most social media platforms and other apps. eg tik tok, bigo, those type of apps are huge.
imagine dazn got 10m global subs? That's $1b a yr!! imagine they start introducing targeted ads and again monetising subscriber's data.
espn have around 86m subs in the US alone.

plus, i dont know how much money circulates in betting on a single fight card..but since sports betting has only just become legal in the US, it has huge huge growth potential here. It is a long way off from the far east in numbers. Put into context, they only need to fix the odd fight and take their % from the betting companies they work with, to make a killing on the side.

clever bastards.

**giant_king** · 11-21-2019, 08:31 PM

Originally posted by Monzon99

Ruiz vs AJ II is obviously massive. Makes you wonder if the first fight was a dive by AJ. Certainly looked like it and it made business sense to set up this huge rematch. $98m in purses for the two combatants means DAZN and Hearn are making multi millions too, maybe more.

i been saying that from the beginning.joshua took a huge dive.not just business wise but to protect himself from deontay as long as possible to gain more experience.because they know once deontay gets them belts it would be tough for them to get it back without juicing up to the gills

**elfag** · 11-21-2019, 08:33 PM

I was saying they were losing money a year ago and there is no way they could afford the payouts they were making to these fighters.

People here told me I didnt understand their business model. just lol. Now most everyone has seen the light.

**THEFRESHBRAWLER** · 11-21-2019, 09:22 PM

DAZN will be around for a long time but they won’t be in boxing for 10yrs. Their quality is the worst of the networks (Sho Fox ESPN) and streaming is unreliable. They needed help funding the acquisition of live sport rights which is why they sold off some of their assets. They’ve already raised the price, canceled the free trial, discussed ppvs, and vowed to stop the big spending. Everything totally opposite of their original marketing strategy. When you do a 180 that quick it’s obvious your business model isn’t working. The writing is on the wall it’s obvious they aren’t profiting off boxing which is one reason they never release any of their numbers. Canelo recent fight had many empty seats and only sold 10k tickets which is embarrassing. DAZN boxing doesn’t know what they’re doing; they need to steal Espinoza from Showtime tbh.

**.!WAR MIKEY!.** · 11-21-2019, 09:29 PM

Originally posted by THEFRESHBRAWLER

They won�t be in boxing for 10 years. Their quality is the worst of the networks (Sho Fox ESPN) and streaming is unreliable. DAZN will be around for a long time but they won�t be in boxing too much longer. They needed help funding the acquisition of live sport rights which is why they sold off some of their assets. They�ve already raised the price, canceled the free trial, discussed ppvs, and vowed to stop the big spending. Everything totally opposite of their original marketing strategy. When you do a 180 that quick it�s obvious your business model isn�t working. The writing is on the wall it�s obvious they aren�t profiting off boxing which is one reason they never release any of their numbers. Canelo recent fight had many empty seats and only sold 10k tickets which is embarrassing. DAZN boxing doesn�t know what they�re doing; they need to steal Espinoza from Showtime tbh.

and all that doesnt mean **** lmfao.

espn cancelled their free trial are they failing? lmfao.

streams being unrealiable sounds more like user error I never had a issue.

netflix isnt profitable and it not projected to be till 10 years down the road. You think these company jump in and throw billions around with a 1-2 year plan lmfao.

**THEFRESHBRAWLER** · 11-21-2019, 09:35 PM

Originally posted by .!WAR CANELO!.

and all that doesnt mean **** lmfao.

espn cancelled their free trial are they failing? lmfao.

streams being unrealiable sounds more like user error I never had a issue.

netflix isnt profitable and it not projected to be till 10 years down the road. You think these company jump in and throw billions around with a 1-2 year plan lmfao.

This has nothing to do with Canelo. I know that�s the only reason you�re a DAZN fa.

�espn cancelled their free trial are they failing?�

You named one out of four things I listed lol.
Did you read what I wrote? I said they will be in business for a long time but they won�t be in the boxing business for a long time. Not too hard to understand.

Is DAZN making any money?