Why DAZN needs a Pay-Per-View Boxing option…and FAST!
DAZN has been the subject of several articles over the last few weeks questioning the sustainability of the streaming service long-term.
Huge contracts handed out to Canelo Alvarez and Gennady Golovkin have pushed the need for subscriptions to an imperative point.
Despite statements from the likes of Eddie Hearn on DAZN’s increasing successes, it’s a well-known fact that purchases are not on target.
Around 650,000 in the United States is way below the standard needed as DAZN push for longevity in a crowded marketplace.
ESPN already boasts 3.5 million subscribers to their app module, which is half the price and recently reached a collaboration deal with Disney.
Add to that the fact ESPN has a clutch of pound for pound stars in their ranks and DAZN is falling behind.
Canelo is its main asset. The Mexican commands the majority of new eyes on the platform. Whilst his big rival Golovkin is yet to fulfill the promise a mammoth deal had hoped for.
At 37 and signing a six-fight deal, it’s hard to see why ‘GGG’ was handed such a long contract in his twilight years.
DAZN should have pushed for Canelo vs GGG III and maybe even IV as part of the deal, as opponents are now commanding vast fees way outside of the usual spectrum.
So how do they move forward? – Well, it’s quite obvious…and it doesn’t mean hiking the price to $50 as Hearn suggested. That would be nigh on business suicide.
A much more viable option would be for DAZN to launch a PPV service of its own.
For example, if they charged $69.99 for non-subscribers and $19.99 extra for those signed up to the current module, it surely would be more viable.
Any move of that ilk would need to see the $19.99 per month on offer right now and up from an original $9.99, reversed.
Paying $9.99 for standard shows each month (doing away with the $99.99 yearly) and an extra $19.99 for say four to six events per year would be the order of the day.
Those not signed up could then have the option to either sign-up and pay the combined cost of around thirty bucks to view the PPV and the rest of the month, with the added bonus for DAZN that they may well stay on when the price goes back to ten bucks the next month.
This would mean never having back-to-back PPV’s in consecutive months but is very, very doable.
It’s just a thought. Maybe one that could result in a lot more revenue over a 12-month period than simply relying on a product that isn’t fully matured yet.
There are too many mediocre shows going down on DAZN at the moment, which means a precarious future until fully resolved.