Matt D Posted January 9, 2014 Report Share Posted January 9, 2014 We really didn't come out of this knowing anything that wasn't already suspected except for some of the new shows. I'll be more interested in a few days/weeks/months when we learn more about the old B/C shows and the territories since that's most of what I watch. Link to comment Share on other sites More sharing options...
Bix Posted January 9, 2014 Report Share Posted January 9, 2014 Bryan: Monthly billing, but it's a 6 month commitment so likely if you try to cancel early you will be billed remainder #WWENetwork @WWE Link to comment Share on other sites More sharing options...
kjh Posted January 9, 2014 Report Share Posted January 9, 2014 We really didn't come out of this knowing anything that wasn't already suspected except for some of the new shows. I'll be more interested in a few days/weeks/months when we learn more about the old B/C shows and the territories since that's most of what I watch. All the new shows had been reported as possibilities long ago too. Link to comment Share on other sites More sharing options...
Grimmas Posted January 9, 2014 Report Share Posted January 9, 2014 Six month commitment from February 24th means, there is a chance it will run out right before SummerSlam, depending on when SummerSlam is. A smart ploy there. Link to comment Share on other sites More sharing options...
kjh Posted January 9, 2014 Report Share Posted January 9, 2014 Six month commitment from February 24th means, there is a chance it will run out right before SummerSlam, depending on when SummerSlam is. A smart ploy there. Summerslam is August 17th, 2014. Link to comment Share on other sites More sharing options...
JerryvonKramer Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. Link to comment Share on other sites More sharing options...
Kevin Ridge Posted January 9, 2014 Report Share Posted January 9, 2014 There will be 1500 hours of video on demand from the start and they will add over time. They mentioned all the WWE/WCW/ECW PPVs will be available right away so that will take up a huge portion of the VOD available. I'm sure someone can mention exactly how many shows but from conference they mentioned over 300 PPVs. Not every one is three hours but you are talking over half of the VOD for PPVs. There will be Raw and Nitros and ECW TV. But I think there will be a sample of AWA, WCCW and SMW. I think the older stuff will take a while to get updated. Link to comment Share on other sites More sharing options...
goodhelmet Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. I was just trying to figure this out... you have to subtract the losses from monthly PPV being free. Since we are looking at domestic numbers only for the 1st year, what is the money generated from Mania until the July PPV for WWE? Link to comment Share on other sites More sharing options...
Matt D Posted January 9, 2014 Report Share Posted January 9, 2014 There will be 1500 hours of video on demand from the start and they will add over time. They mentioned all the WWE/WCW/ECW PPVs will be available right away so that will take up a huge portion of the VOD available. I'm sure someone can mention exactly how many shows but from conference they mentioned over 300 PPVs. Not every one is three hours but you are talking over half of the VOD for PPVs. There will be Raw and Nitros and ECW TV. But I think there will be a sample of AWA, WCCW and SMW. I think the older stuff will take a while to get updated. i'm actually a little worried this will do me more harm than good in the short term depending on crackdowns on stuff that they're not planning on adding anytime soon. I figure, worst case, it'll lead me to helping someone afford an even better helmet and watching a lot of Jerry Lawler or something. Link to comment Share on other sites More sharing options...
Steven Posted January 9, 2014 Report Share Posted January 9, 2014 <_> Link to comment Share on other sites More sharing options...
JerryvonKramer Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. I was just trying to figure this out... you have to subtract the losses from monthly PPV being free. Since we are looking at domestic numbers only for the 1st year, what is the money generated from Mania until the July PPV for WWE? It's not total WM buys though is it? Just the buys you lose from the subscribers. Unless I've missed something. Link to comment Share on other sites More sharing options...
goodhelmet Posted January 9, 2014 Report Share Posted January 9, 2014 Right, but I am interested to see how many people actually buy the PPV. The low point is like 70 or 80 thousand domestic. Wrestlemania can hover around 1 million. So you are looking at 6 - 60 million in people picking up the channel. over 6 months time. Here are some questions that jdw, mookie, kjh or bix or somebody can answer for me... 1. What percentage does WWe get from its current PPV deal? 2. Since the first 6 month installment goes through 5 PPVs, how many people need to order this thing just on lost PPV revenue from their cable PPVs, assuming that each subscription bought is a PPV purchaser? 3. How many additional non-PPV purchasing subscribers are needed? Link to comment Share on other sites More sharing options...
Bix Posted January 9, 2014 Report Share Posted January 9, 2014 From the AP story of all places: More than 1,500 hours of archived programming, that includes the WCW and ECW video libraries, will air uncut and uncensored, so references to the World Wrestling Federation, old logos, or matches involving former wrestler Chris Benoit or former announcer Jesse Ventura will no longer be scrubbed from history.Also in that article are some money quotes from Michelle Wilson: "I'm just not convinced the pay-per-view platform is in it for the long term," Wilson said. "It's not the best consumer experience." "Most people don't think fond things of cable or satellite providers," Wilson said. "We think we can overdeliver like we always have."They are trolling the cable/satellite companies hard. The best part is that they can justify it being more than spin because it IS a much better service than it would be via traditional distribution. Link to comment Share on other sites More sharing options...
kjh Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. I was just trying to figure this out... you have to subtract the losses from monthly PPV being free. Since we are looking at domestic numbers only for the 1st year, what is the money generated from Mania until the July PPV for WWE? PPV revenue in the second quarter of 2013 was $37.1 million. PPV revenue from Money In The Bank and SummerSlam was $9.6 million. So in over the same period in 2013 they grossed $46.7 million in PPV revenue. Link to comment Share on other sites More sharing options...
goodhelmet Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. I was just trying to figure this out... you have to subtract the losses from monthly PPV being free. Since we are looking at domestic numbers only for the 1st year, what is the money generated from Mania until the July PPV for WWE? PPV revenue in the second quarter of 2013 was $37.1 million. PPV revenue from Money In The Bank and SummerSlam was $9.6 million. So in over the same period in 2013 they grossed $46.7 million in PPV revenue. Is that domestic or worldwide? Link to comment Share on other sites More sharing options...
kjh Posted January 9, 2014 Report Share Posted January 9, 2014 Really interested in how they worked out the $10 price point here. That seems smart to me. Can see 100,000s paying that. If let's say 100,000 people do it, that's $1million a month income. Pretty amazing. I was just trying to figure this out... you have to subtract the losses from monthly PPV being free. Since we are looking at domestic numbers only for the 1st year, what is the money generated from Mania until the July PPV for WWE? PPV revenue in the second quarter of 2013 was $37.1 million. PPV revenue from Money In The Bank and SummerSlam was $9.6 million. So in over the same period in 2013 they grossed $46.7 million in PPV revenue. Is that domestic or worldwide? Worldwide. Link to comment Share on other sites More sharing options...
kjh Posted January 9, 2014 Report Share Posted January 9, 2014 The best part is that they can justify it being more than spin because it IS a much better service than it would be via traditional distribution. *IF* there's no streaming problems. Link to comment Share on other sites More sharing options...
Bix Posted January 9, 2014 Report Share Posted January 9, 2014 The best part is that they can justify it being more than spin because it IS a much better service than it would be via traditional distribution. *IF* there's no streaming problems. With MLBAM behind it, streaming problems are really unlikely. Link to comment Share on other sites More sharing options...
anarchistxx Posted January 9, 2014 Report Share Posted January 9, 2014 Providing the service is quick, easy to use and reliable, this really is a quite incredible deal. I'm amazed they would offer Wrestlemania as part of the package, especially since the entire cost of a six month subscription is equatable to ordering that one show. They should do huge numbers, at least for the first six months. Surely they are going to drip feed the 'On Demand' content to keep people interested for more than the first few months? Although their library is so huge that nobody has time to watch everything in a short time period anyway. Still, every WWE, WCW and ECW PPV EVER on demand is pretty crazy. The Wrestlemania number this year will be very interesting. Link to comment Share on other sites More sharing options...
David Posted January 9, 2014 Report Share Posted January 9, 2014 Right, but I am interested to see how many people actually buy the PPV. The low point is like 70 or 80 thousand domestic. Wrestlemania can hover around 1 million. So you are looking at 6 - 60 million in people picking up the channel. over 6 months time. Here are some questions that jdw, mookie, kjh or bix or somebody can answer for me... 1. What percentage does WWe get from its current PPV deal? 2. Since the first 6 month installment goes through 5 PPVs, how many people need to order this thing just on lost PPV revenue from their cable PPVs, assuming that each subscription bought is a PPV purchaser? 3. How many additional non-PPV purchasing subscribers are needed? 1. We don't know for sure, since WWE only reports the amount they get per worldwide buy. In 2012, the amount per worldwide buy was $20.60 (http://www.sec.gov/Archives/edgar/data/1091907/000144530513000441/wwe12311210kdoc-use.htm), and using this number, Chris had calculated the average revenue per domestic buy to be $29.92. However, in the third quarter of 2013, the average revenue per worldwide buy was $19.35 (http://www.sec.gov/Archives/edgar/data/1091907/000109190713000015/wwe-9302013x10q.htm), so the domestic number may be lower. 2. In 2013, the five PPVs during that six month period generated 1.243 million domestic buys (using Dave's figures at http://www.f4wonline.com/component/content...-new-inductees). Assuming the PPVs would take a bit of a hit this year and the domestic buys fall by 75% this year, that would mean about 900,000 lost domestic buys. To be on the conservative side, I will assume that the average revenue per domestic buy will be $28, resulting in $25.2 million in lost revenue. During the six month period. The problem is trying to figure out the cut WWE will get on the subscriber revenue, now that there will be additional costs (bandwidth, customer service, credit card fees, etc.). Maybe I'm misunderstanding this, but when George Barrios spoke at the recent UBS conference (http://seekingalpha.com/article/1890451-world-wrestling-entertainments-management-presents-at-ubs-41st-annual-global-media-and-communications-conference-transcript?part=single) he's expecting about $50 million in incremental OIBDA after the network hits one million subscribers. Based on earlier projections given in their investor materials, they seem to believe PPV cannibalized $5-10 million for every additional million subscribers (under the premium cable model). If we assume $10 million, that would seem to indicate they think they will get $60 million per million subscribers per year. As such, I'm assuming their cut will be half. If we have $25.2 million in revenue, divided by half of the $60 ($30), we get 840,000 subscribers on PPV revenue. Note that this will be much lower during the other six months, since there will be no Mania and SummerSlam. 3. Trying to figure out the production budget is difficult. In earlier investor materials, they estimated their production expenses to be $25-30 million annually (which Dave thought sounded low when I asked him about it). Dave has talked about the estimated production budget recently, and if I remember correctly, he said he expected to be around $35-50 million. If we assume it ends up being $40 million, we take half of that ($20 million) and divide it by $30 to get 667,000 subscribers. For the first six months, for just the production budget and lost PPV revenue, my initial estimate would be 1.507 million. Link to comment Share on other sites More sharing options...
Bix Posted January 9, 2014 Report Share Posted January 9, 2014 Providing the service is quick, easy to use and reliable, this really is a quite incredible deal. I'm amazed they would offer Wrestlemania as part of the package, especially since the entire cost of a six month subscription is equatable to ordering that one show. They should do huge numbers, at least for the first six months. Surely they are going to drip feed the 'On Demand' content to keep people interested for more than the first few months? Although their library is so huge that nobody has time to watch everything in a short time period anyway. Still, every WWE, WCW and ECW PPV EVER on demand is pretty crazy. The Wrestlemania number this year will be very interesting. 1500 hours of on demand content at launch. Going by some pretty proflific YouTube uploaders who have looked at their copyright flags, WWE appears to have the vast majority of the last 30 years of domestic TV and home video fingerprinted, as it gets flagged instantaneously with show-specific names for the flags. I suspect they'll add as much as they can as quickly as they can since it's not like people will get through the launch lineup quickly. Link to comment Share on other sites More sharing options...
Timbo Slice Posted January 9, 2014 Report Share Posted January 9, 2014 VERY happy they decided to go above the cable and satellite providers for this. $10/month is chump change. Set them up BIG time for the long haul here. Link to comment Share on other sites More sharing options...
shoe Posted January 9, 2014 Report Share Posted January 9, 2014 Regal tweeted that they interviewed him for a documentary for the network on the evolution if his character. Link to comment Share on other sites More sharing options...
Timbo Slice Posted January 9, 2014 Report Share Posted January 9, 2014 RAW is contracted on USA until the fall, which will give them leverage on whether they can just move it to the WWE Network or not. My bet is on USA offering to renew right away to lock them in, with the Network offering replays the next day much like they do on Hulu. By the way, what ended up happening with SyFy? Their contract with SmackDown! ended a couple months ago. Quiet extension or something? Chris? Bix? Anyone? Link to comment Share on other sites More sharing options...
BlueGuy Posted January 9, 2014 Report Share Posted January 9, 2014 I know some people who travel for business outside of the United States. Will the feed be blocked when they leave American soil? Link to comment Share on other sites More sharing options...
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