#MSBLTuesday411 – We’re (almost all) back!

This week’s post is a little delayed because I wanted to see what happened this last weekend with Major League Baseball finally returning. In case there was any doubt and has been proven time and time again since live sports started trickling back, the pent-up demand for live sports continues to be felt. The opening game between the defending world series champions Washington Nationals and the New York Yankees say an average of 4 million viewers; representing a 232% increase in viewers from last year's opening night and the most-watched MLB game since 2011 (according to Front Office Sports.)

Just to throw some other stats at you:

- The WNBA season which tipped-off Saturday (7/25) saw an average of 540,000 viewers on ABC for its opener between the Los Angeles Spark and the Phoenix Mercury – a 20% increase from 2019

- The NWSL (National Women’s Soccer League) opened their Challenge Cup with 572,000 viewers on CBS – beating the previous record of 190,000 from 2014

- UFC’s debut on Fight Island say 1.3 million pay-per-views, the most for the organization since 2018

- MLS saw its opening game of the "MLS is Back" Tournament between Inter-Miami and Orlando SC average 464,000 viewers – the fifth most-viewed regular-season broadcast in five seasons.

- NASCAR’s first broadcast on NBC this year over the Independence Day holiday weekend saw a million more viewers (4.37) then the same weekend in 2019.

These numbers have given the respective leagues the ability to take a deep breath. While sports were canceled, the lost playing time cost them an incalculable amount in revenue. As an example of a league trying to recapture that lost revenue, MLS should have been particularly happy as, during the opening games of their tournament, a trending topic on Twitter was the large Adidas logo was digitally imposed in the center-circle (something most weren’t thrilled about.)

This was part of their new virtual assets for premium partners as the MLS tries to recapture exposure lost during the closure of sports and won’t be the last time we see something similar. While fans weren't happy with the logo, Alexi Lalas (former US Men’s National Team member and Fox Sports broadcaster) told SportsBusiness:

“I have no problem with any of the sponsor elements that the MLS is Back Tournament features, including the center circle Adidas logo. In this moment, leagues have to find creative ways to maintain and satisfy existing relationships with vital corporate partners…it’s just smart business. All sports leagues are looking at ways to limit and survive the damage of the pandemic.”

Especially in the case of the MLS, the Adidas deal (signed in 2017) is worth approximately $117 million a year, which is worth considerably more than the league's domestic broadcast deal of $90 million annually.

We are still yet to see the NBA or NHL return to action. With incredibly high returns by other leagues, both are hoping to capture that same excitement as there is a lot of revenue on the line. The NBA playoffs and Stanley Cup playoffs generated a combined $1.4 billion in revenue ($900 million – NBA, $500 million – NHL) and ensured the viewing public the best experience possible. According to Front Office Sports, through a partnership with Microsoft, the NBA will be featuring more than 300 fans on 17-foot tall LED screens around the court where they can react in real-time (which will be heard live) and including more than 30 camera angles around the court. The NHL will see 32 total cameras (12 more than usual) as well as LED screens and banners featuring fan-submitted content.

As a student of sports business, this pandemic has been very tough to watch as people have been furloughed, laid-off, and contests canceled/rescheduled (see the Ryder Cup.) It has been very interesting to watch is to see the innovation that has resulted from the changing circumstances as organizations seek to accomplish their goals through non-traditional methods; including the fan cut-outs in some baseball stadiums. While Increasingly popular before the pandemic, virtual/3-D signage that now has become a significant vehicle for sponsor exposure as the fulfillment cost is just the design time for the graphic. While we're all looking forward to having a "return to normal," we will very likely see some of these innovations stick around in the sports landscape for the foreseeable future.