Op-Ed: The Future of Sports Streaming — Prioritizing Fan Engagement

Byline by Brian Rifkin, co-founder of JWP Connatix

The landscape of sports broadcasting is rapidly evolving. Once dominated by major television networks, the industry is now shifting towards digital streaming platforms.

This change is driven by the rise of cord-cutting, the popularity of connected TV (CTV), and the restructuring of distribution rights. Media companies with sports offerings must adapt to this new digital ecosystem to remain competitive.

It has long been said that there is no one more loyal than a sports fan, and the shift to digital is providing sports teams, leagues, and media companies with unique opportunities to embrace this loyalty, connect directly with the fan, and boost engagement long after a season ends. Here are ways that sports companies can prioritize fan engagement while developing a streaming offering.

Embrace a Digital-First Strategy

Sports content reigns supreme for consistently reaching a mass (and growing) audience. The 2024 Super Bowl became the most-watched telecast in history, drawing an average of 123.4 million viewers across linear and streaming, the WNBA Finals reached their highest ratings in 25+ years, and the World Series saw its largest audience in almost a decade. Last year, sports streaming overtook the linear sports audience for the first time and by the end of 2024, digital sports viewers are estimated to hit 105.3 million, surpassing linear TV’s 85.7 million. As digital viewership climbs higher than ever, prices for game rights are also on the rise. Major streamers and tech giants are fiercely competing for digital sports rights, driven by the unparalleled ability of sports to captivate audiences at scale. This dynamic mirrors the dominance of sports in traditional television, now amplified in the digital era.

For premium leagues like the NFL, digital streaming rights opportunities have opened up the competition for coveted network ad dollars, providing new revenue and higher engaged audiences.  For example, Thursday Night Football is now exclusively on Amazon Prime Video attracting an average of 13 million viewers per night and the NFL Christmas games will be on Netflix for the first time ever.

Go Direct to Consumer (DTC)

As team, league, and game rights continue to evolve, there’s a new trend emerging as sports teams launch their own platforms to connect directly with fans and give them a new, more personal view of the action. Despite reports of consumer subscription fatigue, nearly half of all US fans of the NFL, NBA, NWSL, and Premier League said they were very likely to subscribe to a new streaming service to watch games. Multiple NHL and NBA teams, for example, have recently launched their own DTC streaming platforms. Owning the fan experience enables the league or team to control and enhance engagement through first party data and establish direct and long-lasting relationships with their fanbase.

Additionally, by streaming content directly to the consumer, leagues and teams have opportunities to boost engagement with e-commerce offerings, enhanced sponsorships, and sports betting, an area that is continuing to rise as experts expect to see a record 83.7M sports betting users by 2029.