US Markets
Friday, October 6th, 2023 1:46 pm EDT
Key Points
- Streaming platforms are actively pursuing live sports rights as a means to expand their audiences, with a particular focus on the Spanish-speaking market.
- Both media companies with a pre-existing Hispanic audience and traditional English-language streamers are investing in sports content, including simulcast offerings in Spanish, to diversify viewership and advertising opportunities.
- The popularity of soccer, especially among Hispanic audiences, is a key driver for the acquisition of sports rights. Streaming platforms are benefiting from this trend, with Spanish-language broadcasts helping to grow their subscriber bases and enhance ad customization for Spanish-speaking viewers.
Streaming platforms are increasingly targeting live sports rights to expand their audiences, particularly in the Spanish-speaking market. Companies catering to Hispanic audiences, like TelevisaUnivision and Canela Media, are acquiring sports rights and content. Traditional English-language streamers, such as NBCUniversal’s Peacock, Disney’s ESPN+, and Amazon’s Prime Video, are also offering simulcast content in Spanish. This strategy aims to diversify viewership and advertising opportunities while capitalizing on the growing Hispanic streaming audience.
Hispanic viewers spend nearly nine hours per day consuming media, with a significant portion dedicated to TV viewership. A study by Nielsen highlighted that Hispanic audiences are at the forefront of cord-cutting, making them a growing segment of streaming viewership. Hispanic viewers spend over 50% of their time consuming TV through streaming, surpassing the general population’s 40%.
Soccer’s popularity in the U.S., especially among Hispanic audiences, is a key driver for streaming platforms’ interest in sports rights. Disney’s ESPN+ recently secured the rights to the Spanish league LaLiga in both languages for eight years. Leaning into Spanish-language broadcasts allows streaming platforms to build subscriber bases across demographics and create personalized ad experiences for Spanish-speaking viewers.
Peacock, for example, experienced significant growth, adding 5 million subscribers during the fourth quarter of a year due in part to its Spanish-language sports offerings, including the 2022 FIFA Men’s World Cup. Streaming accounted for 30% of total viewership during the tournament, compared to 9% in 2018, with Telemundo Deportes and Peacock broadcasting the matches in Spanish.
Various streaming platforms, including Amazon Prime Video, also offer Spanish-language simulcasts for sports events like “Thursday Night Football.” TelevisaUnivision plans to air the Super Bowl in Spanish in 2024, expanding its sports rights portfolio to reach a broader audience.
TelevisaUnivision has been acquiring more sports rights to broaden its audience, using streaming as an additional platform to air games, especially high-profile soccer matches that often overlap in schedule. Streaming allows them to cater to different fan bases and national leagues simultaneously.
Overall, streaming platforms are investing heavily in sports rights to drive audience growth and subscriptions, particularly focusing on premium rights that attract viewers. Sports content plays a crucial role in their growth strategies by offering a compelling reason for viewers to return to their platforms regularly.
For full original article on CNBC, please click here: https://www.cnbc.com/2023/10/06/streaming-companies-chase-spanish-language-sports-rights.html
