NFL Sunday Ticket Pricing Varies Based on Perspective
In a significant move for sports streaming, YouTube has secured the exclusive rights to distribute NFL's Sunday Ticket, starting from the 2023 NFL season. This deal, valued at $2 billion annually, marks a new era for football fans seeking an online viewing experience.
New users, regardless of whether they are YouTube TV subscribers, will pay a flat rate of $276 for Sunday Ticket. However, the cost for existing YouTube TV subscribers can vary, ranging from $119 to $522, depending on various factors.
The NFL retains control over the potential packages offered to customers for Sunday Ticket on YouTube. This means the league will decide which games are included in each package, providing fans with a curated selection of matches.
Interestingly, the exclusive rights do not include control over the pricing of the package. This allows for a range of pricing options, catering to different budgets and preferences. For instance, students can enjoy a substantial discount on Sunday Ticket, paying around $119 or $129 per year, including NFL RedZone. This discount represents a savings of at least $80 compared to the regular price paid by other customers.
Partnerships with Verizon, DraftKings, My Best Buy Plus, and offers for military and medical workers also provide discounts on Sunday Ticket. In a unique promotion, DraftKings offers a free Sunday Ticket to new users who are near the top of the company's rewards program.
Amazon Prime, which airs Thursday Night Football, offers a student rate at $70 per year, providing an alternative for budget-conscious football fans.
YouTube is putting an emphasis on getting users to tune into the platform on TVs. As such, they are offering a free Sunday Ticket for the Week 1 contest between the Kansas City Chiefs and Los Angeles Chargers, played in Brazil on a Friday, Sept. 4. This game will be exclusively streamed by YouTube, offering fans a taste of the service's capabilities.
The Week 1 contest will not be the only free offering from YouTube. New DraftKings users can also enjoy a free Sunday Ticket. Partners might receive per-user referral fees for generating signups with discounts, further incentivising them to promote the service.
Most of YouTube's expenses for Sunday Ticket are paid up-front, meaning each marginal subscriber represents a financial benefit for the company, even if they come in at a lower price. This approach suggests that the cost for future seasons of Sunday Ticket on YouTube for subscribers who have been convinced of its worth may be higher.
The data gathered from the first run of Sunday Ticket on YouTube might be informing the offers now being put out in the marketplace. As such, fans can expect a dynamic and evolving pricing structure for Sunday Ticket on YouTube, reflecting the company's goal to ensure that the offering is of outsized value, so that even as the price increases, customers still think it's worth retaining.
In the words of Octagon SVP for global media rights consulting William Mao, YouTube's goal is to ensure that the offering of Sunday Ticket is of outsized value, so that even as the price increases, customers still think it's worth retaining. This approach suggests that fans can expect a high-quality viewing experience, balanced with competitive pricing options.
