Welcome to Culture Shauk ⭐️
Netflix's Newest Bold Bet- Live Sports!
“Are you watching the fight @Sehyr?” is the exact message from my dad, that made me start this substack.
Last weekend my dad (a 50-something Indian man in Mumbai), my friend’s boyfriend (a 20-something med student in London), and seemingly everyone on NYC public transport was gearing up to watch Jake Paul fight the legendary Mike Tyson.
So how did I miss knowing about such a large pop-culture event? As someone who is actively interested in Marketing (isn’t that my whole job?). I am constantly and passively consuming media, how did this event not make it to my feed?
I watched the fight by peering into the screen of the person sitting in front of me on my bus back home from dinner. That’s when I started to notice all the men on the bus banded together to see if the GOAT Mike Tyson could defend himself against the young YouTube sensation Jake Paul- sports creates community, and what is a large group of people interested in the same thing? A marketer’s dream!
Scripted or not, the fight garnered 108 million global viewers for Netflix, making it the most-streamed sporting event ever.1
The women’s bout between Amanda Serrano and Katie Taylor, which was on before the main event, became the most-watched professional women’s sports event in the U.S.2
Is sports the key to upholding a successful streaming platform? Netflix definitely thinks so! They recently announced Beyoncé as their halftime performer for their Christmas Day NFL matches. They also closed a 10-year deal worth more than $5bn for exclusive streaming rights of the wrestling entertainment franchise WWE Raw.
Netflix, originally known for its ad-free viewing experience, is now succumbing to the more traditional streaming model by doing things like including a cheaper ad tier. This ad tier works well with their move towards live sports events as they can leverage their large audience base and high global viewership numbers.
The Netflix universe itself is extremely expansive, with various IP that allows the streaming giant to creatively market their own products. During the fight, Netflix wasted no opportunity to show off its library. In the Netflix logo-covered arena, the match started with a performance from the Dallas Cowboys cheerleaders who were the subject of their documentary series “America’s Sweethearts”, before cutting to people dressed as “Squid Game” guards to promote their upcoming season.
What makes live sports so valuable to streaming services?
It’s simple: Streaming services can leverage their advertising spots at higher rates as sports bring
1. high viewership
2. immediate engagement
3. regular content
This golden trifecta assures advertisers that their spots will be seen by their target consumers.
This is why Superbowl Sunday is the Met Gala for advertisers. (No one wants to watch a match the next day if they already know the winner) In 2024, 123.7 million people tuned into the Super Bowl3, which is why advertisers spent around 7 million dollars for a 30-second spot.4
Streaming services such as Peacock (owned by NBCUniversal) and Max (owned by Warner Bros) have an advantage in this race to live sports, their broadcast counterparts already have an established relationship with these sporting leagues. Earlier this year, Peacock had their first-ever streaming-only playoff match, which had a record number of 27 million viewers5. This match indicated that streaming live sports games was a viable business model and one that would draw new subscribers and retain them.
The future of streaming is uncertain and exciting, with a need for constant innovation and rapid adaptation to consumers’ wants. Do you think live sports could save the streaming model or, just like its predecessor- traditional broadcast, will it crumble under the next new innovation in technology and media?
I find that Sports + Reality TV is the way to win the streaming game, in the age of information and social media where spoilers are almost a guarantee, hardcore fans of these two genres will subscribe to almost anything to get their fix. These two genres also represent very widely different audiences, traditionally sports appeals more to men, and reality TV appeals more to women. If a platform can make itself the hub of everything reality and sports, along with having an engaging library of movies and TV shows, it could be on top.
As for the longevity of streaming, it seems as though history is repeating itself- the bundling of streaming services feels similar to how broadcast channels consolidated and came together after starting independently. I believe it’s human nature to want everything at the lowest cost, learning how to provide the audience with their needs at the lowest cost might save individuality of services but is not an immediately profitable business model.
So until the next technological innovation comes around American consumers will continue to spend an average of $61 per month on streaming services6 because entertainment is an essential part of people’s day-to-day lives.
* To answer my initial question, the reason this fight didn’t make it onto my feed is easy: my social media bubble is completely different!
I fall more into the category of reality TV-obsessed watchers and less into the sports kind.
The last time Jake Paul was actively on my feed was when I was watching Hype-House tea spill videos.
This pop culture event has made me realize, that if I want to be successful in marketing I have to burst this social media bubble and forgo my perfectly curated fyp (TikTok is listening to every word I say… help!).
So the next time my dad sends reel links to the family group chat on who has the better uppercut, I will open them. Pop culture, by nature, is everywhere you just need to open your eyes, and ears to it!
Why Culture Shauk?
Shauk or ‘शौक’ is the Hindi word for hobby or interest. As a psychology major, understanding why people resonate with some aspects of pop culture more than others interests me. Having an understanding of people’s decision-making, behaviors, and preferences allows me to create my own hypothesis’ of why some aspects resonate more than others.
This substack will encapsulate my shauk for pop culture and aim to answer larger questions about other people’s shauks!
https://www.cnbc.com/2024/11/19/mike-tyson-jake-paul-fight-was-most-streamed-sports-event-netflix-says.html
https://www.si.com/boxing/katie-taylor-amanda-serrano-netflix-bout-womens-sporting-event#:~:text=Netflix%20reports%20that%20the%20Taylor,history%2C%20not%20just%20in%20boxing.
https://www.npr.org/2024/02/13/1231058556/most-watched-super-bowl-2024#:~:text=Trump's%20Terms-,The%202024%20Super%20Bowl%20becomes%20the%20most%20watched%20NFL%20championship,game%20that%20went%20to%20overtime.
https://www.npr.org/2024/02/08/1229964925/a-30-second-spot-to-air-during-the-2024-super-bowl-costs-7-million#:~:text=A%2030%2Dsecond%20spot%20to,Bowl%20costs%20%247%20million%20%3A%20NPR&text=Trump's%20Terms-,A%2030%2Dsecond%20spot%20to%20air%20during%20the%202024%20Super,the%20ad%20space%20price%20tag%3F
https://www.sportsvideo.org/2024/01/16/peacocks-nfl-playoff-exclusive-sets-live-streaming-records/#:~:text=According%20to%20Nielsen%2C%20the%20Peacock,live%20event%20in%20U.S.%20history.
https://variety.com/2024/digital/news/us-average-video-streaming-services-pay-deloitte-study-1235945991/
Amazing first read! Thoroughly enjoyed 👏🏼
this is epic