TV viewership for NFL games falls further, but Amazon disruption lies ahead

TV viewership for NFL games falls further, but Amazon disruption lies ahead

 

As we’ve entered the latest season, NFL ratings have continued to fall. While some may attribute it to concussion-related concerns, we see the loss in viewers stemming from the need to compete with consumers being able to watch what they want, when they want, where they want. In other words, it’s the confluence of our Connected Society and Content is King investment theme in a nutshell.

To date, robust streaming solutions have lagged for live sporting events and live news coverage, but that is changings. Last year, Twitter (TWTR) streamed Thursday night NFL games, and this year Amazon is taking over those reigns beginning September 28th.

Given its broader reach, we suspect Amazon (AMZN) will have far greater success with the venture. The larger question, however, is what does all of this mean for TV networks, sports league broadcast rights and advertising dollars?  To date, the networks have been able to weather the shift in advertising dollars away from “old” media, but that could be changing as live sports and live news rides the intersection of our Content is King and Connected Society themes.

On a side note, we here at Tematica always love when something is done in a fun way with a wink and smile. That has us thoroughly enjoying Amazon’s ad for its upcoming streaming efforts. Cue the giggles!

 

The NFL season opener, which saw the Kansas City Chiefs upset the defending Super Bowl champion New England Patriots, earned an overnight 14.6 rating among households. That’s down from the 16.5 rating for the comparable outing last year, when the Denver Broncos battled the Carolina Panthers in a Super Bowl L rematch. The 25 share for Thursday’s game was also down from last year’s 29 share.

According to NBC’s total audience delivery metric, 22.2 million viewers, down from 2016’s haul of 25.4 million viewers, but up from Sunday Night Football’s average for the 2016 season (20.5 million). (While airing on Thursday, the NFL kickoff game is always presented as Sunday Night Football. Thursday Night Football premieres next week on CBS and NFL Network.)

This is the second year in a row the first NFL game of the season has brought diminishing returns.

Amazon is launching its first-ever livestream of an NFL game on Thursday, Sept. 28.To get you very — or at least somewhat — excited about it, Amazon has just released an ad that forced involuntary giggles to emerge through the gaps in my teeth.

Source: Amazon amusingly hypes Bears vs. Packers livestream – CNET

About the Author

Chris Versace, Chief Investment Officer
I'm the Chief Investment Officer of Tematica Research and editor of Tematica Investing newsletter. All of that capitalizes on my near 20 years in the investment industry, nearly all of it breaking down industries and recommending stocks. In that time, I've been ranked an All Star Analyst by Zacks Investment Research and my efforts in analyzing industries, companies and equities have been recognized by both Institutional Investor and Thomson Reuters’ StarMine Monitor. In my travels, I've covered cyclicals, tech and more, which gives me a different vantage point, one that uses not only an ecosystem or food chain perspective, but one that also examines demographics, economics, psychographics and more when formulating my investment views. The question I most often get is "Are you related to…."

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