Many people want Conor Bedard's work.
The trading card community is looking for him. The NHL has already put him in the biggest game. National television stations have already witnessed the power of his draw. It's largely thanks to him that attendance at the United Center has jumped by an average of nearly 2,000 people from a season ago.
The Chicago Blackhawks have felt Bedard's impact in many ways, and they can imagine his future impact in even more ways. But there's one area where the Blackhawks are still figuring out how to get the most out of Bedard. Like many sports teams across North America, the Blackhawks are exploring the best way to televise or stream their upcoming games.
“They're going through what everyone else is going through,” said Patrick Crakes, a former Fox Sports executive and media consultant.
The Blackhawks' contract with NBC Sports Chicago expires later this year. The Blackhawks and NBC could face off again, but that hasn't happened yet. Both teams and regional sports networks are trying to navigate a changed market as viewer viewing habits have shifted in recent years.
The Blackhawks have several options on how to broadcast their games next season and beyond. Let's explore.
Try it alone
The Blackhawks, like other teams, are trying to focus on how best to reach specific fans. Gone are the days when everyone subscribed to cable TV, making it more difficult to reach your target audience. In response, the network and team have been experimenting with direct-to-consumer platforms.
The Chicago Cubs did this by creating an app to watch their marquee TV network. ESPN and other networks have been exploring the idea in recent years. The Dallas Stars have been exploring a direct-to-consumer model.
In the marquee example, the Cubs gave fans multiple ways to watch the game. Marquee serves as the Cubs' personal regional sports network (RSN) and sells those rights to television broadcasters such as Comcast. These contracts can be complex and time-consuming. The Cubs and Comcast didn't come to a horse-drawn deal easily. The Cubs also offer the option to subscribe to marquee programming as a standalone product, but the price must be higher to avoid direct competition with television broadcast companies. So Marquee costs $19.99 per month.
The Blackhawks have been exploring this path, and in some ways it makes sense. It cuts out the middleman and gives your app another way to reach your fans. But it's also a gamble. There's no guarantee that more fans will sign up for the new one. There are so many people cutting the cord and going in different directions with how and what they watch. Nielsen's latest TV data trends from February show that 37.7 percent of people watched TV through streaming (this category includes 12 different streaming services), 27.6 percent watched through cable, and broadcast television. 23.3% of viewers watched through other means, and 11.3% watched through other means.
A stumbling block for direct-to-consumer platforms is that digital broadcasts don't always reach large audiences.
“The problem with digital productions is that they get high ratings within pay-TV bundles,” Crakes said. “You don't get the same ratings on digital. Amazon acquired 'Thursday Night Football,' but even with this year's games and viewership factored in, it's still about 30 percent below Fox. They'll never catch it, and that's because as soon as you move to the internet, you're segmented. ”
If the Blackhawks go it alone, they will be responsible for their own production. They will be in charge of equipment, studio sets, talent, etc. It wasn't that big of a hurdle, but there was one more thing to do.
“That's another cost,” Crakes said. “Costs aren't going to go up by 50 percent, but they're going to go up by 10 to 15 percent. And one of the problems we have today is that because of advances in technology, which is great, You need to upgrade your equipment. …It's not impossible, but it can be a headache if you're not an expert, and it can be another price you have to pay.”
The Blackhawks are expected to remain with the Chicago White Sox and Chicago Bulls wherever they go. These three teams together will attract more subscribers and help fill the program throughout the year. White Sox and Bulls owner Jerry Reinsdorf purchased control of the sports network's stadium, but it does not appear to be connected to RSN and is not planned to be used that way in the future. .
Find another regional sports network to join
NBC Sports Chicago has become the go-to regional sports network, but other networks may consider joining the field. WGN has transported the Blackhawks in the past. Could local ABC or CBS affiliates also consider covering the Blackhawks or other teams?
ABC and CBS probably won't put those teams on their main channels. You probably want to continue your regular programming during prime time, but you can also add it to your supplementary channels. It won't be any different than going to NBC Sports Chicago. These networks should be able to deliver the Blackhawks to viewers on most of the same platforms. It would just be a matter of people finding them.
Crakes wasn't sure how realistic that option was for the Blackhawks.
“They can do it, and some teams like the Jazz and Vegas Knights have done it,” Crakes said. “The problem is that by doing so, we would lose broadcast rights fees from NBC Sports Chicago. , could be given some kind of revenue share on ad sales. Station owners like Nexstar and Sinclair could be given retransmission fee increases if the station group secures future retransmission fee increases from pay-TV distributors like Comcast. If they succeed, they will probably also promise an opportunity for increased rights fees.In reality, however, this has not happened so far, and to be fair, there is still only one. It's only been a year, but even if the station group was able to secure some retransmission fees for the Blackhawks, that multiple would be even lower (assuming it's lower) than the current RSN rights fee. It’s expensive.”
Re-signed with NBC
The Blackhawks and NBC Sports Chicago aren't necessarily unhappy with the deal, but the landscape for regional sports networks has changed since the last deal. As people cut the cord and have so many different options, audiences are shrinking at the same time as opportunities for growth.
The Blackhawks' local rights fees aren't worth what they once were. In the new contract, NBC will no doubt want to pay the Blackhawks less than they did in the previous deal. The Blackhawks are worth more than many NHL teams, but regional sports networks aren't paying as many people as they did in the past.
“I'm not talking about zero local rights,” Crakes said. “What I'm talking about is the problem of being reset, but not seeing growth for a while. Finding the dial and twisting it is something the team has to do, but in the short term it's not going to be a 5. Within a year, there's going to be more disparity between teams than ever before. I think the Blackhawks are at the top of the NHL structure, so they're in a good position, but at the same time it's not good for anyone. ”
The Blackhawks obviously don't want to cut money, but that's the reality of the situation and they probably understand that too. Most importantly, NBC Sports Chicago already has a deal with Xfinity and also broadcasts on FuboTV, YouTube TV, Hulu, and DirectTV. Also important, as Crakes explained, is the fact that NBC Sports Chicago doesn't require you to subscribe to a separate, more expensive package to watch Xfinity.
“This affects advertising because you can reach more people when you're not tiered, like the Blackhawks or selling sponsorships,” Crakes said.
In the future, the Blackhawks may want to further explore other options as the situation continues to evolve. With Amazon, Apple, and other tech companies and streamers also deciding on their course, we may soon find a better way to reach consumers. NBC Sports is also likely to consider better ways to grow its digital audience. If the Blackhawks want to choose their own RSN or a variation thereof, they could also have a better plan in the coming years. But for now, NBC Sports Chicago may be your best bet.
(Photo: Patrick Gorski/Icon Sportswire, Getty Images)
