8.6m TV viewers lost due to Bernie's deal with Sky - how will Liberty respond? | FerrariChat

8.6m TV viewers lost due to Bernie's deal with Sky - how will Liberty respond?

Discussion in 'F1' started by Marco Polo, Dec 31, 2019.

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  1. Marco Polo

    Marco Polo Rookie

    Jan 14, 2017
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    Cheshire, UK
    https://www.msn.com/en-gb/sport/formula1/f1-tv-audience-crashes-by-86m-viewers-following-switch-to-exclusive-sky-sports-coverage/ar-BBYuEiF

    Formula One lost 8.6 million television viewers in Britain in 2019 fuelled by a new contract which gives Sky Sports exclusive rights to show all but one of the races live.

    The deal was signed by F1’s former boss Bernie Ecclestone and saw Sky’s annual fee doubling to around £120m. It is a winning formula for F1 financially but has driven fans away from the sport just when the on-track action began revving up.

    Although Lewis Hamilton won his third consecutive championship in 2019, he faced fierce competition from Max Verstappen and Charles Leclerc, who became the first Ferrari driver in nine years to win the Italian team’s home race at Monza. It was a commanding drive but the only way British viewers could watch it without paying was to tune in to delayed highlights on Channel 4. They began three hours after the chequered flag fell and by then the race result was common knowledge on social media.

    Channel 4’s tally of live races reversed from ten last year to just one in 2019 – the British Grand Prix in July. The dent this has made in the audience of its F1 show has been revealed by the Broadcasters’ Audience Research Board (Barb) which is partly owned by six TV stations, including Sky and Channel 4.

    Barb’s data is considered to be the industry’s gold standard and is the official estimate that channels use to sell advertising. The data shows that Channel 4’s highlights were watched by a cumulative total of 34.7 million viewers this year which is a staggering 10.8 million less than in 2018.
     
  2. william

    william Two Time F1 World Champ
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    So, what's the solution ?
     
  3. Marco Polo

    Marco Polo Rookie

    Jan 14, 2017
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    Cheshire, UK
    Well, that's the challenge for Liberty because they are stuck with it through to the end of 2024 and I can't imagine the teams and sponsors are happy with the figures for obvious reasons.
     
  4. Sig. Roma

    Sig. Roma Formula 3
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    Dom T.
    I use a satellite connection to Astra 1, and watched a number of races on RTL live. In other cases, I watched Channel 8 from Italy when the channel (part of the Sky network) broadcast the races live.
     
  5. sf_hombre

    sf_hombre Formula 3
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    Here in Italy I could see all of them live including practices on Sky. Makes for nice Saturday & Sunday afternoons, though some were time delayed depending on the location of the race.
     
  6. Nembo1777

    Nembo1777 F1 World Champ
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    Nov 4, 2006
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    Same here in France where Canal Plus has exclusivity (except for four races: F, MC, B, I) and charges but I usually find a live stream (with the Sky commentators) that is not blocked by France and free. Usually someone here helps me find it too so thanks again:)

    The whole situation is ludicrous and bad for the sport, let's see how liberty takes that curve in the next few years in all the markets...
     
  7. william

    william Two Time F1 World Champ
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    Liberty has to strike a balance between free viewing (larger audience, lesser income), against pay-viewing (reduced public but more revenue).
    Equally, if Sky pays £120M a year, as you say, it rightly expects some exclusivity for that fee.
    If the teams want to be paid at the end, they have to accept that GPs can't be broadcasted to the public for free.
    I don't know if Liberty has any leverage to renegotiate that contract, but I guess not.
    In the end, F1 is a show, and the public has to pay for it; at the circuit or at home in front of the TV.
     
  8. DF1

    DF1 Two Time F1 World Champ

  9. Jack-the-lad

    Jack-the-lad Six Time F1 World Champ
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    Nembo1777 likes this.
  10. DF1

    DF1 Two Time F1 World Champ

    A perception problem but it’s something that has impact. I’m certain F1 can continue as a sport somehow. FE is having an impact to F1 future identity
     
    william likes this.
  11. Mitch Alsup

    Mitch Alsup F1 Veteran

    Nov 4, 2003
    9,265
    Don't use social media until you watch it on <recorded> TV
     
  12. Robb

    Robb Moderator
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    Feb 28, 2004
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    Pay $80 per year to F1.com and get all the races... was my solution unless I am going to a race. Seemed cheap to me to get all the angles and content.

    Robb
     
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  13. william

    william Two Time F1 World Champ
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    That's my solution.
     
  14. william

    william Two Time F1 World Champ
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    At that price, it seems like a bargain.
    I really don't know what people are complaining about !!!
     
    Robb likes this.
  15. DeSoto

    DeSoto F1 Veteran

    Nov 26, 2003
    7,494
    But it doesn´t work in many countries. And even then I´ve read around here that the streaming crashes more often than Andrea De Cesaris.

    Both teams and Liberty are gettng the quick cash from pay per view channels, but that doesn´t bode so well for sponsors and the popularity of F1. I don´t know how this model will work in the long term.
     
  16. Kiwi Nick

    Kiwi Nick Formula 3

    Jun 13, 2014
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    This stuff has a long term impact on the viewing base. Once habits are established they are hard to break. If a fan knows the outcome and doesn't find it interesting, he will find something else to watch or do. Once he is used that pattern, or if the alternative is better, he could be lost. Now project that on "fans" under 35. They have the attention span of a gnat. And are interested in all manner of silly things. In the US, viewership for all major sports (baseball, football, basketball) are down. Younger viewers are attracted to scores and scores of alternative sports, even ax-throwing competitions.
     
  17. Jack-the-lad

    Jack-the-lad Six Time F1 World Champ
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    And Liberty wants to expand to at least 25 races per season. Don’t they get it? When the product becomes commoditized fan enthusiasm will diminish, not increase. As it is, these are the only races that I make an effort to watch: Monaco, England, Belgium, Austria, Italy and Japan.
     
    william likes this.
  18. jtremlett

    jtremlett F1 Rookie

    Feb 18, 2004
    4,704
    Maybe they do but when it comes down to it they are a business and their primary interest is always likely to be in their profits today not in 20 years time when the current set of executives will be long gone and living off their bonuses and gold-plated pensions. In other words, it is an inevitable consequence of the nice little scam Bernie and Max dreamed up of selling F1 to Bernie on the cheap and then onto whoever came along with enough cash.
     
  19. william

    william Two Time F1 World Champ
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    True that 25 races seem far too much. The ideal should be around 12 or 15 a year maximum to keep some prestige to GPs.
    Too many races dilute a championship, I think.
    I too give priority to traditional tracks like Silverstone, Spa, Monaco, Monza and Suzuka that stood the time.
    Most of the other circuits don't last for long, mostly the street circuits people want to get rid off after a few years.
     
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  20. william

    william Two Time F1 World Champ
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    I wouldn't call it a scam.
    Bernie organised F1 into a business, where organisers pay for holding races, TV pay for broadcasting them, and teams get paid for their participation.
    Before that, it was anarchy where organisers dictated their terms and teams ran threadbare budgets only funded by sponsors.
    Bernie's model worked well for some time, but now Liberty tries to turn it into a money spinning business to recover their investment.
     
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  21. Jack-the-lad

    Jack-the-lad Six Time F1 World Champ
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    This is exactly what is happening to NASCAR: An inherently boring product, made worse, not better, by a seemingly interminable season and gimmicks intended to make it more “exciting.” I wonder if anybody at Liberty and FIA ever said, “Let’s figure out what NASCAR is doing wrong and then do that”? Sometimes it seems that way.
     
    william likes this.
  22. jtremlett

    jtremlett F1 Rookie

    Feb 18, 2004
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    It was a scam. The scam was in cooking up a deal between them (i.e. Max and Bernie) and selling to Bernie at a knock down price. Ecclestone organised the teams when they weren't organised and deserves credit for that. But he ended up a billionaire so he did just fine out of it and they've ended up where it is isn't run by a sporting organisation for the good of the sport, it is run by a business for the good of the business.
     
  23. Etcetera

    Etcetera Two Time F1 World Champ
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    Too many races, and Liberty is going to replace real tracks with street circuits that no one cares about. Liberty is going to milk this cow until there's nothing left but hooves.
     
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  24. william

    william Two Time F1 World Champ
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    I am not saying that Bernie didn't help himself largely by organising F1, but his influence has been beneficial, I think.
    Before FOCA, F1 was very disorganised with circuit owners offering start money only to the teams or drivers they wanted.
    Apart from Ferrari, the teams were grosly exploited by the circuit owners, and many couldn't survive for long.
    Circuit owners pocketed the gate money, and TV rights, whilst the teams got nothing. They had to pay for their logistics too.
    At one GP, 39 cars turned up for qualification for a 20-car grid: it was a complete shamble!
    With FOCA organising F1, successful teams became rich, just look at Williams, McLaren or Red Bull for example.
    Of course F1 is a business, like any other sport !
     
  25. jtremlett

    jtremlett F1 Rookie

    Feb 18, 2004
    4,704
    But you're talking about the 1980s. That really isn't relevant to selling everything to him many years later and then letting him selling it on (more than once) to the highest bidder. In any case, it is entirely possible to argue that, thanks to Bernie, all that happened is that the teams had more money that they then waste. You only have to look at the absurd structures the paddock is filled with to see that. Then they argue about budget caps. Plenty of teams have come and gone before Bernie and after.

    It is possible to have a business that isn't only focused on the short term balance sheet but F1 isn't one of them.
     

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