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The Jets next regional/local TV Contract - What will it be worth?

blueandgoldguy

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Oct 8, 2010
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It's hard to believe that it has been 8 years since the NHL returned to Winnipeg. At the time, when the tv contract was negotiated with TSN there were no definitive numbers released on the as to what the team received on an annual basis. All we were certain of was the term - 10 years. This included radio rights with TSN 1290.

Jets & Bell Media announce 10-Year broadcast deal

I can't confirm this, but the numbers I heard floated around at the time were either $7 million or $10 million per year for the rights.

Ottawa may be the best comparable for a new tv/radio contract. In 2014 the teams signed a contract with BellMedia worth up to $400 million over 12 years ($33.3 million per season).

WOW! Ottawa Senators TV deal worth up to $400M

I was unable to find the values of the current media deals Sportsnet has with the Oilers and Flames.

With that said, I am hopeful the Jets may negotiate a local media rights deal similar to the one in Ottawa. It appears the bubble has not burst for the acquisition of media properties with many recent record signings lately. Winnipeg's ratings are similar to those in Ottawa as well. On the other hand, Ottawa is the larger market and True's North leverage in negotiations will also depend on competition for the Jets' media rights. Will Sportsnet or another broadcaster be interested to allow the rights to be bid up?

If initial negotiations have not commenced soon, I fully expect they will next off-season. Of course, with a looming threat of a lockout they may be delayed further.
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iannn

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Jan 7, 2010
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I expect sports media rights to continue increasing in value for the time being as it's one of the main things that traditional cable packages still have over online streaming services
 

Briscodog

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May 2, 2016
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I think the 7-10 mil number is high. I was told 3.5 mil was accurate. The ratings for Jets on TSN 3 are around 300,000 per game. That is not very high. That is why we see the same four commercials every game, that is why we get no studio intermission show like all the other Canadian teams, and that is why the Jets games on TSN 3 have no presenting sponsor. This also explains the very limited budget for on-air personnel for both tv and radio. No other NHL market in Canada has re-runs during the day on their radio rights holder either I believe. Unfortunately the Jets have made their bed with Bell re: the arena naming rights, so a jump to Rogers seems unlikely.
 
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blueandgoldguy

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Oct 8, 2010
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Briscodog said:
I think the 7-10 mil number is high. I was told 3.5 mil was accurate. The ratings for Jets on TSN 3 are around 300,000 per game. That is not very high. That is why we see the same four commercials every game, that is why we get no studio intermission show like all the other Canadian teams, and that is why the Jets games on TSN 3 have no presenting sponsor. This also explains the very limited budget for on-air personnel for both tv and radio. No other NHL market in Canada has re-runs during the day on their radio rights holder either I believe. Unfortunately the Jets have made their bed with Bell re: the arena naming rights, so a jump to Rogers seems unlikely.
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That seems awfully low even when you consider the market size and how long ago the deal was consummated. If they actually average 300,000 per game on their regional network that is actually excellent. I think it is lower....around 150,000. Similar to Ottawa and a little lower then Calgary.
 
Board Bard

Board Bard

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blueandgoldguy said:
That seems awfully low even when you consider the market size and how long ago the deal was consummated. If they actually average 300,000 per game on their regional network that is actually excellent. I think it is lower....around 150,000. Similar to Ottawa and a little lower then Calgary.
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IIRC in a Forbes magazine story on NHL financials a couple of years ago they estimated the Jets' local TV deal to be worth somewhere in the $6-7M range annually. I think TNSE would want to at least double that next time around.
 

jimsabo21

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Jul 2, 2011
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It's for certain closer to 10m per season, which includes the radio rights. Absolutely no way they avg 300K per game on TV. The Jets on TSN3 would be closer to 100K per game, which is very good when you consider a national broadcast gets anywhere from 350K (two american teams on a Wednesday night), 700K (Sunday Night Hometown Hockey) to 2mm (leafs vs habs on a Saturday night).

Rogers paid 5.2bn for the national rights over 12 years. That is 433mm per season. They get a Wednesday game, three Saturday games, and a Sunday game broadcast coast to coast. That's 120 games per year. They also get each playoff series, which adds about 80 games. So, let's say they broadcast 200 games for 433mm. Let's assume the avg audience is 700K (splintered viewers saturday night, etc).

433MM / 200 GAMES = $2,165,000 / GAME
$2,165,000 / 700k viewers = $3.10 per viewer

So, if 65 games per year are on TSN 3, and they get 100K viewers per game, and each viewer is worth $3.10 per game the TV contract should be worth:

65 games x 100,000 viewers x $3.10 = $20,150,000

That sounds about right relative to what other teams are getting
 
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Gil Fisher

Gil Fisher

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Mar 18, 2012
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jimsabo21 said:
It's for certain closer to 10m per season, which includes the radio rights. Absolutely no way they avg 300K per game on TV. The Jets on TSN3 would be closer to 100K per game, which is very good when you consider a national broadcast gets anywhere from 350K (two american teams on a Wednesday night), 700K (Sunday Night Hometown Hockey) to 2mm (leafs vs habs on a Saturday night).

Rogers paid 5.2bn for the national rights over 12 years. That is 433mm per season. They get a Wednesday game, three Saturday games, and a Sunday game broadcast coast to coast. That's 120 games per year. They also get each playoff series, which adds about 80 games. So, let's say they broadcast 200 games for 433mm. Let's assume the avg audience is 700K (splintered viewers saturday night, etc).

433MM / 200 GAMES = $2,165,000 / GAME
$2,165,000 / 700k viewers = $3.10 per viewer

So, if 65 games per year are on TSN 3, and they get 100K viewers per game, and each viewer is worth $3.10 per game the TV contract should be worth:

65 games x 100,000 viewers x $3.10 = $20,150,000

That sounds about right relative to what other teams are getting
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Mmmmm....talk dirty to me.
 
ps241

ps241

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Wow this thread is actually different and fun to read. What a breath of fresh air.

To add some personal context to what is being posted I know 8 years ago my cable tv consumption habits were entirely different than they are today and (kids not withstanding) live sports broadcasts (the Jets) are the last thing that are stopping me cutting the cable. Apple TV and Netflix are 0ver 90% of my non live sports viewing and I am a baby boomer.

I really don't watch traditional cable tv anymore unless it’s a sporting event. I have also always hated the bundling package and pricing model of cable providers and am looking forward to breaking up soon.
 
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Jeti

Jeti

Blue-Line Dekes
Jul 8, 2011
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Is it actually a smaller market than Ottawa though? The Jets get all of Manitoba, plus (some? all? of) Saskatchewan, plus some of northern Ontario. Ottawa would be squeezed out on both sides by the Leafs and Habs.

Maybe there's an upside to being in the middle of nowhere?
 
nobody imp0rtant

nobody imp0rtant

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May 23, 2018
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Derfel said:
The Jets are moving to Sportsnet - mark my words.
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source.gif
 
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