The sports league could benefit from increased viewership, advertising, media and data right fees.
US.- According to a new Nielsen Sports study commissioned by the American Gaming Association (AGA), the National Hockey League’s (NHL) annual revenue could increase by US$216 million annually due to widely available, legal, regulated sports betting.
The study analyses the revenue streams that legal sports betting could generate for the NHL: revenue as a result of spending from betting operators on advertising, data and sponsorship, and revenue generated as a result of increased consumption of the league’s media and products.
According to Nielsen Sports, greater fan engagement and viewership could boost the NHL’s total annual revenue from media rights, sponsorships, merchandise and ticket sales by 3.5%, producing US$151 million in new revenue from increased consumption of the league’s products.
Legal sports betting could help the NHL generate an additional US$65 million in revenue as a result of spending by betting operators and data providers. The study projects that gaming operators may spend US$24 million on advertising, which will directly increase the league’s rights fees by the same amount. An additional $35 million in sponsorship revenue and US$6 million in data is also projected for the league and its teams.
“Today’s announcement reaffirms that legal, regulated sports betting will create significant new revenue opportunities for sports leagues,” said Sara Slane, senior vice president of public affairs for the American Gaming Association. “Much like the NHL’s recent successful expansion into Las Vegas, legal sports betting will continue to expand across the country, bringing with it a $216 million opportunity for the league.”