EliteXC’s second show, rating’s wise was ass wipes when compared to their first show(although it was a MUCH better show). All the MMA purists are now on suicide watch because they think the big TV executives will view MMA differently because of the poor ratings. Some of them may…but it doesn’t really matter at this point. EliteXC has another offering in October with all of their stars lined up to fight on that card…and the ratings will more than likely be better. However, at this point…it doesn’t really matter…and I could go on and on about EliteXC and their ratings. So I’ll digress there and state why the UFC will score a TV Network Deal…
The MMA business is driven by PPV…which is responsible for 75% of Zuffa’s revenue. We’ll look at 2006, 2007, and what’s happened so far in 2008. PPV number’s are almost always estimates as the final numbers are never really released…so here we go:
- 2006-5.2 million PPV buys
- 2007-4.8 million PPV buys
- 2008-Around 3 million PPV buys so far…with all the stars lined up to headline UFC 87, UFC 88, as well as the annual stacked end of year card in December…which should push them past 2007’s numbers
Then you must factor in the foreign cards like UFC 75 being televised on Spike TV on a delayed basis. That show in particular did a 3.1(3 million homes) overall…and a staggering 5.7(1.6 million homes) in the 18-34 demographic; a 4.5 for males in the 18-49(2.5 million) demographic; and a crucial 6.2(1 million) in the male 25-34 demographic. Keep in mind that Spike TV is only available in 96 million homes, whereas a giant like CBS is available in well over 100 million homes.
Granted, the Ultimate Fight Night specials haven’t done quite as well as that in the past. However, those shows are not as heavily promoted, nor carry the star power of a traditional PPV card.
TV stations are all about the mighty dollar and the UFC has proven to be a cash cow. If the UFC continues the success they have achieved thus far(looks like they will)…then they don’t really need network TV(as Dana White has stated). They have blue chip sponsors backing them, a new merchandising deal, and expansion in foreign countries operating in the black now. On top of that, Lorenzo Fertitta has thrown his business acumen into the mix at Zuffa full-time.
I don’t see those TV executives leaving all of that money on the table…they may be stubborn…but they are smarter than that.
