Although the LIV Golf TV deal with the CW Network was not perfect, it was considered the next step to making them “legitimate,” according an expert in sports management.
Lisa Neirotti is a George Washington University professor of sports management. She specializes in sports entrepreneurs and media rights for start-up leagues. Neirotti admits that LIV’s partnership deal with CW – believed to be a revenue sharing deal without a right fee being paid – is not a “great deal,” however, it is sometimes necessary to give away a product in order to grow that product.
Neirotti said, “We can critique it all we like but they have been successful in getting themselves onto a network.” Neirotti has been teaching at George Washington for 32-years and has closely studied LIV Golf over the past year. A network is a key step in any sports property that is growing.
It’s now up to the property to get the attention of the network. They will only be able do this if they can promote it on different shows. People who watch CW news and people who watch CW other shows need to see promos saying “Tune in Saturday at 1!”
Thursday’s announcement of the multiyear broadcast agreement was made. The CW Network has more than 200 affiliates across the country and will broadcast LIV’s 14 events starting in February in Mayakoba, Mexico. Greg Norman, the head of the breakaway golf league, held eight events during its inaugural season in 2022. You could only watch the events on YouTube or LIV’s web site.
Neirotti stated that it was a way to test market. “I know that YouTube has more viewers or a larger audience, but YouTube isn’t as popular for appointment TV right now.”
LIV is funded by Saudi Arabia’s Public Investment Fund. It invested $1.3 billion to fund the league’s launch. LIV paid $255 million to eight events for prize money in 2022. This number will increase by approximately 63 percent in 2023, with purses totaling $405 millions for 14 events.
Late last summer, a report claimed that LIV was close to a deal with FS1 where LIV would buy time for events and cover production costs.
Neirotti stated that it is difficult to get media companies to pay for a product that has not been proven to be effective. They tried other sources but didn’t get it. You have to start somewhere.
“CW has nothing to lose, and LIV can gain something.”
It is still far from over. LIV’s success on a non-traditional channel – CW is well-known for its teen dramas, superhero shows, and LIV will become its first sports property – could be determined by the amount of promotion CW’s parent company Nexstar Media Group gives to its new product.
Neirotti stated that “you have to grab people’s attention.” “How will they get people to watch the show now that it’s on?” They weren’t able to get people to visit YouTube.
Sponsorship is crucial. LIV can attract companies by offering not only signage, tickets, and commercial time, but also hospitality.
Neirotti stated that if they are a mainstay or legal, then more people will be looking at it as an advertising medium.
She said that it was not a big win for LIV in terms financial windfall. It’s the next step to making them legitimate. They now have a network. Now, the next step is to get people to subscribe. However, they must promote it through Nexstar’s consortium.
Tom D’Angelo writes for The Palm Beach Post’s sports column. He can be reached at tdangelo@gannett.com.
