Hey NFL! You can call this an ‘economics lesson’.
Cause, meet Effect.
Did you think you could endlessly politicize sports without ever paying a price?
And the collateral damage could go WAY beyond the NFL.
Remember how the TV networks thought they could dump on Trump with impunity? Now that Sports has taken sides in the culture war, even JP Morgan is betting against Media Companies.
According to Bloomberg Markets:
JPMorgan Chase & Co.’s Shawn Quigg is encouraging investors to bet against CBS Corp. stock ahead of this weekend’s NFL broadcasts. The bank recommends buying an option that gives you the right to sell the shares at $57.50 on the likelihood that the stock will fall below that price after the company discloses ratings for the games. CBS closed at $58 on Tuesday. –Bloomberg
In Trump’s ‘get that SOB off the field’ comment, a referendum on patriotism began.
Players and teams did what THEY wanted to do, and the Fans did what THEY wanted to do.
If JP Morgan is right, the league has miscalculated. Badly.
In the balance between the players and the fans, NFL management forgot which was ‘profit’ and which was ‘overhead’.
Now that advertisers have begun to pull their support, and customers have begun to cancel their cable packages, and the ratings are in… they are in the process of learning who REALLY holds the reigns.
And in the process, the networks may want to re-think taking sides in the culture war.
Quigg also cited NFL jersey sales to see whether fans are souring on the sport.
“NFL-related revenue is not trivial to CBS, and any decline in NFL viewership related to the National Anthem debate may negatively affect future results,” he said in a note to investors Wednesday. “We view this weekend’s viewership results as a cleaner proxy in determining whether the Anthem debate may be a larger issue for the NFL, and CBS, or not.” —Bloomberg
And it’s not hard to figure out whether this drop is due to a protest, or other factors.
He pointed to that surge in sales for the one player who bucked the trend when his entire team capitulated.
But then again, Americans in that ‘little sliver of America’ between New York and LA already knew that, didn’t we?
The media picked a fight with Trump. Again.
However hard they try to hit him, the media seem to be the ones who walk away licking their wounds… again and again.
The sports side of the media have been slow to figure this out, and may pay a heavy price for it. As for the future of CBS, and the other left-leaning ‘sports’ outlets?
They’re going to have to choose between their politics and our entertainment.
Because trying to both isn’t working.
Want to show the world EXACTLY what you think of these clowns? You can!