WWE Inc: Will the WWE Network be a title pinfall or force the company to tap out?

Dec 10, 2014 - MarketLine - 22 pages - USD $495
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This case study explores why World Wrestling Entertainment Inc. (WWE) has decided to back a transition to an online subscription service, examining wider media industry trends. It explores the potential benefits and hazards of the strategy.

Features and benefits
  • Analysis of the current media landscape, and the factors which may have influenced the WWE to go online.
  • Evaluating the strengths and weaknesses of transitioning to an online on-demand offering.
  • Discussion of how successful the WWE has been so far in implementing the network, and the consequences of the strategy.
Highlights

WWE's recent financial performance has seen net income shrink and the share price perform below its peers' average. Furthermore, the company's traditional methods of distribution have lost ground against subscription services. The WWE network was launched in January 2014, and has spread to 170 countries available through a plethora of mediums.
Wrestling has one of North America's largest followings, and the company has shown it is capable of adapting to new platforms and market trends and monetizing them. The network has an advantage in that the company already has hundreds of thousands of hours of content available with both current and historical matches.
The move is not without difficulties. The network needs at least one million subscribers to break even. The network has also been stalled indefinitely from the UK, one of WWE's largest markets. The reaction of broadcasters has also not been favorable; some have equivocated on airing PPVs and may have been behind the delay in the UK market.

Your key questions answered
  • How have changing consumption habits affected television broadcasters?
  • Why is the WWE going online with the network?
  • What are the advantages of the WWE network?
  • How successful has the WWE network been so far?

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