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Is PPV A Dying Business?


David

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Although not strictly wrestling-related, the UFC debuting on FOX Sports tonight signals a landmark in their business plan as far as the future goes. Their deal with FOX is a seven year deal, widely touted at being worth $100 million per year to the company.

 

Now, whilst this is by no way comparable to deals that the likes of the NBA ($930 million per year) or MLB ($702 million per year) have with their network providers, it's a starting point.

 

By going down this avenue it would be hoped that by the time the initial seven year period comes to an end the UFC would be in position to secure themselves a television deal much like the NFL, NBA & MLB have, which sees the interest in their product being so high that they really have no need for the PPV model anymore financially. They can still use the PPV system for certain fights if they so wish (even if whichever network they're with may be asking why a certain fight isn't being shown on their platform rather than PPV), but no longer find themselves having to rely on it.

 

The UFC made somewhere in the region of $200 million via PPV revenue in 2011 (I'm not really sure how much WWE made either domestically or internationally last year) so I seriously doubt we'll see the demise of PPV for the UFC in the next ten years or so, but it is surely on the agenda.

 

It could be said that the switch from network television to PPV is what kickstarted the decline in boxing. Back in the golden era of the sports, when the likes of Frazier & Ali were at the top of the sport, network television played a major part in beaming these fights & fighters into homes all over the US and parts of the world.

 

I guess the question as far as pro wrestling goes, is where are they going in the next ten years or so? The UFC have started laying the groundwork to become less relaint on the PPV business model down the line.

 

Unless I'm mistaken WWE have seen their PPV numbers drop consistently for years now, haven't they? It's a trend which I don't see being reversed any time soon.

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As far as pro wrestling goes, I can't see how it can gain consistantly high pay-per-view buys again in the near future. They've over saturated the market with so many PPVs and there isn't much worth paying for that you cant see for free everyweek (and a lot of people aren't even doing that). Even the big ones aren't doing well anymore (apart from WrestleMania). The old thing was that if the WWF did 200,000 buys on a pay-per-view, Vince McMahon would be smashing shit up in his office. They've lost some big stars and special attraction wrestlers over the years as well, and have yet to replace them. Jeff Hardy, Batista, Jericho, Shawn Michaels and Edge aren't there anymore. Undertaker is a part timer now and only does one match a year. No Rey Mysterio. This poor cunt was getting carried to his car even before his went down with an injury a few people are saying he might not come back from. There's no Hogan, Foley, Flair or those types to do a special hype match like they'd do in 2005 and increase a SummerSlam buyrate. Austin doesn't make a difference when he comes back, Bret Hart means less each time you see him and The Rock is a glimmer of hope, but he's only a quick fix. You only have to look at WWE's roster. Nobody is over to a large degree. Punk and Del Rio is probably the worst World title feud ever. They are both losers. One's a coward who cant win a match, so has to bully his way into the title picture when a man is injured (he's the babyface by the way) and the other bloke we are told is a boring, greasy, unentertaining champion, and its hard to disagree because he is.

 

I think they've lost perspective, when it comes to building stars. They dont seem to build new characters. In 2011, you have like-for-like replacements, but they are just shoved down the average viewers throat and you cant grow to like them as much as the ones before. You have the Miz, who I suppose is the new Jericho type character. He wears the suit, he does the rambling promos but he's shoved into high profile feuds and never gets his shit in. Jericho had that feud with Michaels which established him in that heel role. Miz is just ... there. Getting slapped about everyweek. You have a new Kurt Angle, in Jack Swagger who does all the moves and wears the same shit Angle wears but doesn't measure up. We have a new Rey Mysterio, in Sin Cara who is fucking rotten, but Mexicans like him (even though they dont build up his return to Mexico on TV and they hate putting him on live TV). Del Rio's JBL, I'd imagine. Mason Ryan's Batista. I suppose they are trying to slot CM Punk into Jeff Hardy's old role of being the person the fans are desperate to see, but contrary to popular belief, he doesnt come close to drawing what Jeff Hardy was drawing in 2008/09 in terms of merch sales or PPV buys. And all the ones mentioned usually just swap wins back and forth and nobody remains over. Its like Kevin Sullivan said, having heat is like a balloon. You have to keep letting it inflate, but once you let the air out, your fucked. There needs to be more consistancy and actually build the stars instead of the insider reference shite and playing it all for laughs.

 

Sounds bitter, but it isn't really. I still love watching it, but they seemed to have lost patience these days. I watch TNA, so nobody can judge me for liking a product based on how well business is doing.

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This is perhaps a stretch to ask for but as I'm on my phone and nowhere near a computer at the minute, I'm unable to do so, so here goes - can somebody tally up all of the WWE pay-per-view buys from 2000, 2005 and 2010. Sure, individually the PPV's are attracting smaller buy rates than in year's passed, but I'm just wondering if on an annual basis, WWE are in fact selling more PPV buys than ever. I may well be wrong here but if somebody could check this out it could be quite interesting. Probably not, though.

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I watched Sully's End of WCW Shoot last night. He really does believe in things being built. I think he's right as well. Problem being, I dont think in wrestling in 2011 allows for it with the amount of saturation in the ppv market.

 

Stars are built and destroyed in weeks. Everyones been a world champion almost. They dont build a desire to see a payoff well anymore. They don't do everything wrong but it's like they stumble upon the stuff that goes right. Like Mark Henry, they waited 15 years to give him the title push and he's been incredible. The longer he is champion the more I start to think, "I wonder who's gonna beat him?" So I watch all his matches to see if it happens. Its not rocket science!

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Royal Rumble 2000

590,000

 

No Way Out 2000

480,000

 

Wrestlemania 2000

824,000

 

Backlash 2000

675,000

 

Judgement Day 2000

420,000

 

KOTR 2000

475,000

 

Fully Loaded 2000

420,000

 

Summerslam 2000

570,000

 

Unforgiven 2000

605,000

 

No Mercy 2000

550,000

 

Survivor Series 2000

400,000

 

Armageddon 2000

465,000

 

Royal Rumble 2001

550,000

 

No Way Out

590,000

 

Wrestlemania 17

1,040,000

 

Backlash 2001

375,000

 

Judgement Day 2001

405,000

 

King of the Ring 2001

445,000

 

Invasion 2001

775,000

 

Summerslam 2001

565,000

 

Unforgiven 2001

350,000

 

No Mercy 2001

325,000

 

Survivor Series 2001

450,000

 

Vengeance 2001

315,000

 

Royal Rumble 2002

670,000

 

No Way Out 2002

575,000

 

WrestleMania X8

840,000

 

Backlash 2002

400,000

 

Judgment Day 2002

373,000

 

King of the Ring 2002

320,000

 

Vengeance 2002

375,000

 

SummerSlam 2002

520,000

 

Unforgiven 2002

300,000

 

No Mercy 2002

300,000

 

Survivor Series 2002

340,000

 

Armageddon 2002

335,000

 

Royal Rumble 2003

585,000

 

No Way Out 2003

450,000

 

WrestleMania XIX

560,000

 

Backlash 2003

345,000

 

Judgment Day 2003

315,000

 

Badd Blood 2003

385,000

 

Vengeance 2003

322,000

 

SummerSlam 2003

415,000

 

Unforgiven 2003

280,000

 

No Mercy 2003

240,000

 

Survivor Series 2003

398,000

 

Armageddon 2003

217,000

 

Royal Rumble 2004

582,000

 

No Way Out 2004

266,000

 

WrestleMania XX

886,000

 

Backlash 2004

290,000

 

Judgement Day 2004

220,000

 

Bad Blood 2004

264,000

 

Great American Bash 2004

233,000

 

Vengeance 2004

232,000

 

SummerSlam 2004

387,000

 

Unforgiven 2004

243,000

 

No Mercy 2004

193,000

 

Taboo Tuesday 2004

174,000

 

Survivor Series 2004

373,000

 

Armageddon 2004

242,000

 

New Year's Revolution 2005

275,000

 

Royal Rumble 2005

564,000

 

No Way Out 2005

239,000

 

WrestleMania XXI

983,000

 

Backlash 2005

273,000

 

Judgement Day 2005

236,000

 

One Night Stand 2005

268,000

 

Vengeance 2005

320,000

 

Great American Bash 2005

233,000

 

SummerSlam 2005

534,000

 

Unforgiven 2005

225,000

 

No Mercy 2005

219,000

 

Taboo Tuesday 2005

215,000

 

Survivor Series 2005

375,000

 

Armageddon 2005

280,000

 

New Year's Revolution 2006

294,000

 

Royal Rumble 2006

548,000

 

No Way Out 2006

219,000

 

WrestleMania 22

958,000

 

Backlash 2006

213,000

 

Judgement Day 2006

238,000

 

One Night Stand 2006

294,000

 

Vengeance 2006

339,000

 

No Mercy 2006

197,000

 

Cyber Sunday 2006

228,000

 

Survivor Series 2006

383,000

 

December to Dismember 2006

90,000

 

Armageddon 2006

239,000

 

New Year's Revolution 2007

220,000

 

Royal Rumble 2007

491,000

 

No Way Out 2007

218,000

 

WrestleMania 23

1,188,000

 

Backlash 2007

194,000

 

Judgement Day 2007

242,000

 

One Night Stand 2007

186,000

 

Vengeance 2007

243,000

 

Great American Bash 2007

229,000

 

SummerSlam 2007

537,000

 

Unforgiven 2007

210,000

 

No Mercy 2007

271,000

 

Cyber Sunday 2007

194,000

 

Survivor Series 2007

341,000

 

Armageddon 2007

237,000

 

Royal Rumble 2008

533,000

 

No Way Out 2008

329,000

 

WrestleMania XXIV

1,058,000

 

Backlash 2008

200,000

 

Judgement Day 2008

252,000

 

One Night Stand 2008

194,000

 

Night of Champions 2008

273,000

 

Great American Bash 2008

196,000

 

SummerSlam 2008

477,000

 

Unforgiven 2008

211,000

 

No Mercy 2008

261,000

 

Cyber Sunday 2008

153,000

 

Survivor Series 2008

319,000

 

Armageddon 2008

193,000

 

Royal Rumble 2009

450,000

 

No Way Out 2009

272,000

 

WrestleMania XXV

960,000

 

Backlash 2009

182,000

 

Judgement Day 2009

228,000

 

Extreme Rules 2009

213,000

 

The Bash 2009

178,000

 

Night of Champions 2009

267,000

 

SummerSlam 2009

369,000

 

Breaking Point 2009

169,000

 

Hell in a Cell 2009

283,000

 

Bragging Rights 2009

181,000

 

Survivor Series 2009

235,000

 

TLC 2009

228,000

 

Royal Rumble 2010

462,000

 

Elimination Chamber 2010

285,000

 

WrestleMania XXVI

885,000

 

Extreme Rules 2010

182,000

 

Over the Limit 2010

197,000

 

Fatal 4 Way 2010

143,000

 

Money in the Bank 2010

165,000

 

SummerSlam 2010

350,000

 

Night of Champions 2010

165,000

 

Hell in a Cell 2010

210,000

 

Bragging Rights 2010

137,000

 

Survivor Series 2010

244,000

 

TLC 2010

195,000

 

Royal Rumble 2011

446,000

 

Elimination Chamber 2011

199,000

 

WrestleMania XXVII

1,059,000

 

Extreme Rules 2011

209,000

 

Over the Limit 2011

140,000

 

Capitol Punishment 2011

170,000

 

Money in the Bank 2011

185,000

 

SummerSlam 2011

302,000

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found this from 2004 onwards,

 

2004:4.531M buys(average of 323 643 buys)

2005:4.964M buys(average of 354 571 buys)

2006:4.240M buys(average of 326 154 buys)

2007:4.781M buys(average of 341 500 buys)

2008:4.649M buys(average of 332 071 buys)

2009:4.215M buys(average of 301 071 buys)

2010:3.720M buys(average of 286 154 buys)

2011:2.710M buys(average of 338 750 buys)

 

so if that's right they are way down, but then the cost of them has increased so the financials might not be worlds apart.

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I suppose they are trying to slot CM Punk into Jeff Hardy's old role of being the person the fans are desperate to see, but contrary to popular belief, he doesnt come close to drawing what Jeff Hardy was drawing in 2008/09 in terms of merch sales or PPV buys.

 

I'd rather have someone like Punk drawing a reasonable amount from his early 30s because his lifestyle could take his career into his late 40s and he could still draw that. Jeff drew really good money in an 8-year spell and is now a wreck trading on what's left of his name.

 

And If Rey is done then with no disrespect to his achievement it was on the cards. He did pretty much the same match 10 years on the trot, he's had several ops on the same limb and he hadn't changed his style a bit. He also had almost no character, he was made to look a complete bitch by the 'giants' and his title reign was a months-long turtle-job that made him look really weak.

 

Other than those points, you're spot-on.

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I'd rather have someone like Punk drawing a reasonable amount from his early 30s because his lifestyle could take his career into his late 40s and he could still draw that. Jeff drew really good money in an 8-year spell and is now a wreck trading on what's left of his name.

I'd rather have that as well. My point was thrusting someone in a role because "he fits" isn't doing the company or the performer any favours. Like when they put Bret Hart in the headline spot out of the blue in 1992 because he didn't look like he was on steroids and they wanted to project a different image.

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Do we think there's an audience for slower builds between PPVs? Or is the more modern audience too used to things moving at a quick pace?

 

I mean is it legitimately possible to lower the amount of PPVs and have more buildup between them? Will people stick with it?

 

I suppose it isn't impossible because say, instead of having Orton/Christian in 3 PPV main events, you just have them in 1. It'd realistically be the same prolonged amount of buildup anyway, right?

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Thanks for that, Ian. A huge help. In 2000 they sold a total of 6,474,000 buys over 12 events, an average of 539,000 per PPV. In 2005 they sold a total of 5,194,000 buys over 15 events, an average of 346,267 buys per event. In 2010 they sold 3,620,000 buys over 13 events, an average of 278,462 buys per PPV. Sorry if it's not too clear, like I say I'm typing this on my phone.

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An ideal move for a company like WWE would be to go back to the so-called "big four" as actual PPV's, and screen the other supershows as 3 hour specials on a network like NBC, or their own network if it ever comes about.

Is'nt that what WWE are doing with the WWE network? I cant remember if I saw correctly but WWE would so most things bar the major PPV's.

 

Wrestling PPV's in find a dying breed

 

For boxing and MMA they going strong

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An ideal move for a company like WWE would be to go back to the so-called "big four" as actual PPV's, and screen the other supershows as 3 hour specials on a network like NBC, or their own network if it ever comes about.

Is'nt that what WWE are doing with the WWE network? I cant remember if I saw correctly but WWE would so most things bar the major PPV's.

 

Wrestling PPV's in find a dying breed

 

For boxing and MMA they going strong

I don't know, I'm not as clued up on this WWE network as others may be. I've been hearing about it for that long that I've gave up on it to be honest.

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Do we think there's an audience for slower builds between PPVs? Or is the more modern audience too used to things moving at a quick pace?

 

I mean is it legitimately possible to lower the amount of PPVs and have more buildup between them? Will people stick with it?

 

I suppose it isn't impossible because say, instead of having Orton/Christian in 3 PPV main events, you just have them in 1. It'd realistically be the same prolonged amount of buildup anyway, right?

It's possible to do it, but I doubt it'd make sense financially. The one Orton/Christian PPV with longer buildup probably wouldn't draw more than the three or four separate PPVs did combined. Plus, I don't think WWE could sustain that length for feuds. Maybe as a one-off, but not on a consistent basis. The lack of creativity is so bad that if they've got three weeks to build an Orton/Christian match, they have them wrestle each other on free TV at least two of those weeks. If they've got a twelve-week build and have them wrestle each other nine times in that (and they fucking would do), by the time the PPV comes around, nobody will be interested in paying for it.

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One point that is usually mentioned when this topic is discussed is that there is a very small "must see" factor with today's pay-per-views. There has been plenty of times where I've skipped watching a PPV because I know I'll be straight back up to date with the following night's Raw. I wonder how it would work if they didn't hold a televised episode of Raw until the week after each PPV, perhaps barring the Rumble and 'Mania. They could recoup some of the losses by holding a house show and filling the TV void by holding some kind of once-per-month new concept show. It may just entice more people to order the pay-per-views if they feel like they won't be getting another fix of WWE until the following week, or at the earliest SmackDown.

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