Sunday, October 2, 2016

Ch. 5 - Developing a Global Vision

BT Sport is the largest sports media distributor in the UK
Ever since the success of the "Ultimate Fighter" show in the USA, the Ultimate Fighting Championship has shown astronomical growth both domestically and globally.  However, the distribution model for countries outside of the USA is very different.  The UFC largely makes its profits from pay-per-view buys, but this model is not very popular for other countries, especially for emerging markets like the Philippines, China, and Europe.  In a perfect world, the UFC would want global marketing standardization of their products as they would stand to make more money from pay-per-view.  Realistically, however, a UFC fan in the Philippines is not gong to spend $50 to watch an event, especially when the UFC is now producing atleast two shows a month.  

In order to distribute their product in a way that would reach the most amount of consumers, the UFC signed distribution deals with media companies throughout the world.  For example, the UFC in 2016 signed an exclusive deal with BT Sports, the largest sports media distributor in the UK until 2018.  In doing so, the UFC is able to reach a vast amount of households in the UK, which in turn helps them sell tickets when they hold shows in various locations in the United Kingdom.  

Another way in which the UFC is adjusting to a growing global market in their industry is by creating products catered specifically for that region.  The "Ultimate Fighter" a show where young unknown talents compete for a UFC contract, has become so popular that the UFC decided to create a season of the show in different countries all over the world.  By creating a show in specific countries of a said market, the promotion is able to foster local talent and enable these fighters to garner national interest in their respective country.

Ultimate Fighter Japan
Ultimate Fighter China
Ultimate Fighter Latin America

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