Netflix Wins SAG Awards. Is sports the next target for streamers?

Netflix has been trying a lot of new things lately in an attempt to stem the subscriber bleeding that started in mid-2022.

But now there are signs that the streamer may be changing its approach to content as well. This is a departure from the long-standing approach of making movies first and airing them later. and yesterday’s NetflixNFLX
said it has acquired rights to the 2024 SAG Awards. This is his one of the second tier shows of awards season. Yes, but still has some fame attached.

This makes me wonder how far Netflix will go to pave new avenues in programming. Analysts say this could be a gateway. They note that live events, especially sports, have revitalized traditional television over his decade-plus. This is because linear programming has lost viewers to other distractions such as phones, video games, and DVRs.

Rounding out its approach to live TV with the SAG Awards allows Netflix to set the table for sports acquisitions. “We have seen live events, traditionally dominated by linear channels, go partially or fully digital. Sports and entertainment will continue to be linear channels as the major networks dominate these deals. It’s a bright spot for us,” said Matthew Engstrom, VP of Marketing at ad tech company Digital Remedy. “What we are seeing is the continuation of the digitization of live programming, especially important media events.”

Netflix has long insisted it has no interest in sports. But the company has also long insisted on running no ads, most recently in 2019, when he called the lack of ads “an important part of our brand proposition.” But when subscriber numbers fell for the first time in a decade in 2022, he decided to revisit what he had been sick of for a long time, including making some changes and adding a low-cost, ad-supported tier. I was forced.

The acquisition of SAG Awards may signal a similar shift in direction, analysts say.

“Netflix securing the rights to live stream the SAG Awards is a little disconcerting. No,” said Hunter Terry, Vice President. Data He is solution consulting and his CTV commercial lead at solutions company Lotame. “The SAG Awards show is a little different than a multi-fight sports deal, and yet Netflix seems unsure of their stance when it comes to live streaming.”

When Netflix joins the race for sports rights, it joins the biggest competitors of all.Amazon prime video aired thursday night football This year is the best programming package. Hulu offers an extensive package of live sports thanks to its partnership with another Disney property, ESPN. Peacock also streams many sporting events, including the Olympics, thanks to its parent company NBCUniversal.

Sports leagues are benefiting from increased competition to play matches between more digital and non-digital players. Terry predicts that if Netflix maintains its non-sports stance, it could hurt streamers in the long run.

“Their first livestream event will feature a Chris Rock comedy special on March 4th. I wasn’t in a good position,” he says. “This is just a step away from Netflix’s position in the streaming wars.”