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Yahoo invests US$17 million to air an NFL game
Manuela Walfenzao| 26 de octubre de 2015
Ken Fuchs, VP de Productos Editoriales de Yahoo
Yahoo broadcast via streaming a game of the regular NFL season between the Jacksonville Jaguars and the Buffalo Bills. According to Bloomberg, the investment for the company totaled US$ 17 millions, with the rights to distribute the game on their main page, Yahoo Sports, Tumblr and Yahoo Screen. The experts consider it impossible for the company to recoup the investment through ad sales. Yahoo stated that they sold out their entire inventory for the game. They had 32 advertisers, including Toyota, Dairy Queen and American Express. According to Reuters, the company had to lower the price per ad from US$200 thousand to less than US$100 thousand per advertiser in order to sell out the entire inventory. Although the conditions are different, the price of 30 second ads on NBC, CBS or Fox is US$600 thousand or higher. “This game is something we have been building toward for a long time” said Fuchs. We look at this as if we can execute on an NFL game at the scale that its going to occur, it will open the door for us to do more in this space said Ken Fuchs, VP of Publisher Products at Yahoo.”Its kind of a novelty, not a must-watch game” said Bernard Gershon, president of GershonMedia. “I give props to everybody for trying, but I think the issue is should Yahoo be in a position at the moment to throw money away while its core business falls off a cliff?”. Yahoo is increasing its alliances for live programming. In 2015 it partnered with Live Nations to air concerts and have already done more than 135 million broadcasts.
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