Searching for a Billion-Dollar Deal, NBA Set To Imitate NFL’s “Additional Inventory” Strategy

After the In-Season tournament success, the NBA’s media strategy is looking to replicate the success of the NFL. In-season has been a huge success in terms of viewership and popularity. The finals game between the Los Angeles Lakers and the Phoenix Suns was the most-watched non-Christmas NBA game with more than four and a half million viewers during the regular season on any network. The NBA doesn’t just aim to boost ratings; they are seeking billion-dollar media rights deals. 

NFL under Roger Goodell has generated substantial revenue. Drawing parallels, the NBA seeks to enhance its media rights strategy, taking inspiration from the NFL’s lucrative deals. 

Adam Silver is taking a leaf from Roger Goodell’s book

Joe Pompeliono breaks down the NBA’s strategy of creating additional shows within the regular season on The Joe Pomp Show.  According to him, “What they [NBA] want to do is create this additional inventory that they can go and sell to multiple new partners as part of their new media rights organization. They are trying to get two to three times of current media package with a variety of different partners.”

This is similar to the NFL’s deal, which involves selling diverse media packages in a 10-year, $110 billion deal with broadcasters like FOX, CBS, Amazon, and ESPN. These packages cover various time slots, including Thursday and Sunday night football, along with exclusive deals for playoff games. They are selling playoff games exclusively to Peacock this year.

This method not only maximizes revenue but also provides consumers with a diversified viewing experience without the need for numerous subscriptions. What the NFL has done well is they have created all these packages that they can slice and dice and sell to different bunch of broadcasters. In contrast, NASCAR’s dispersed platform approach has created a challenge for viewers who must subscribe to multiple services to watch every game. 

READ MORE: After the Success of In-Season Tournament, Commissioner Adam Silver Provides Disheartening News About NBA Expansions: “No Commitments to Anyone”

The In-Season is going to be an add-on to attract more partners. Group plays, quarterfinals, semifinals, and finals games will be a single inventory unit that partners can exclusively own, potentially generating billions. NBA Commissioner Adam Silver, known for his astute management balancing consumer, player, and owner interests, is steering the league toward a lucrative future.  

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What do you think of this move? Do you think creating additional segments within a season like this are necessary? Let us know in the comments!