NFL's Digital Media Strategy Scenario

The NFL has been a major player in the roles of most of our lives especially most recently, as technology is advancing, they can access and provide to more users at a time. Rolapp and Schroeder soon decided that the NFL would be better served managing the operations of NFL.com and its other digital media properties in-house after realizing how valuable the content they created was. Now that the 2013 season was wrapping up, new TV contracts needed to be discussed and mobile streaming rights could look very valuable to TV networks. When it came to a strategic approach to the wireless market, Rolapp listed three viable possibilities: Pursue An Exclusive Partnership With One Wireless Carrier, Form Non-Exclusive Partnerships With Multiple Wireless Carriers, and Include Wireless Rights In Partnerships With One Or More Television Networks. Before we can make a decision about what option is the best, we have to evaluate what the NFL and Rolapp expect for the years to come.

Rolapp describes the three pillars of their media activities, “First, we want to reach fans through new platforms. Second, by developing rights and products for those new platforms, we can pursue new partners who are interested in buying those rights and in reaching our fans. Third, new platforms force our existing partners to compete, which should make our packages more valuable.” Knowing that this is the focus of Rolapp and his media team makes it easier to make a decision, but how do we frame this around what the NFL and Commissioner Goodell want for the league. In the case study it states, “Significantly upping the ante was a goal that NFL Commissioner Goodell had started to state internally, and would share with the owners at an upcoming Owners’ Meeting—to have $25 billion in revenue by 2027. Reaching that amount would mean adding nearly $1 billion in new revenue on average each year until then.” This is a huge leap for the NFL as they claim to reach for a billion in new revenue each year, but feel confident that through new media initiatives and contracts they can achieve this goal, but in which way?

I believe that including wireless rights in partnerships with one or more television networks would be the most beneficial push from here on forward when trying to create a billion in revenue each year for the next decade. Since it is coming time that TV deals need to be renewed and they have realized how valuable their content has become in house, this could be a huge asset. They need to take advantage of allowing multiple TV providers the option to buy the rights to streaming access to NFL games via mobile device or computer, as well as allowing the highest bidder to have the rights to showing that game live on TV. This will allow multiple sources of revenue for streaming on mobile devices, as well as the revenue they already make for the rights to broadcast on TV. On top of that, the NFL should also take on a deal a with an International TV provider, which will expand their viewer number, as well as a whole new market for streaming and mobile access. Technology is advancing at an extremely high rate and the NFL is trying to keep up and stay innovative coming in to a new age of streaming and mobile access. The NFL knows now how valuable their content has become. This is a great opportunity for them to step back and ask the billion-dollar question, who is willing to pay for this content? Well the answer is simple. Companies like ESPN know that full access to streaming NFL content would significantly enhance their products. So I believe that the NFL should allow multiple TV providers the ability to stream its content via computer and mobile device, and only allow one to have the rights to showing a certain game live on TV. This will increase the number of users viewing NFL content, as well as, still allowing an option of exclusive rights to the TV viewing of a certain NFL games for its sponsors. This will in return create more revenue streams, and still allow a competitive edge to those TV providers who want the viewing rights for certain NFL game. This will be the most efficient an obtainable way toward the NFL’s goal of a billion dollars of new revenue a year.