Generating revenue

Technological advances are transforming the way people watch sports events and their expectations - not just at the stadium but also on their way to and from

Spectators attend live events to see live action. That may seem obvious, but major sporting arenas around the world are finding that the same spectators are also happy watching the events on TV screens, whether they be giant displays in the stands showing the game as it happens – with instant replays of key moments – or smaller screens in the bars, restaurants and even toilets so the customer never has to miss a moment.

DLP technology can let a video projector be attached
to a mobile phone

The welcome side effect of this for the organiser is that these same screens can also be used as a means of generating extra revenue, either through advertising or sales of DVDs made from the broadcasts.

This is growing to such an extent that some are looking at putting the video feeds directly in front of the fans. No longer will it be just the luxury boxes that have their own private screens, but already there is the possibility of fans renting out personal devices that can show them action in their laps while they watch the live action on the field.

This may not seem as silly as it first sounds when you consider some events are spread over more than one venue – major tennis tournaments are a good example where games will be played on different courts. The recent FIFA World Cup had the two final matches in each group played simultaneously. And, of course, the Olympics have events on at the same time at stadiums around the country.

The opportunity is thus there for such equipment to allow supporters to stay up to date with all the action. And as well as the money from renting such sets out, they also provide another medium on which to sell advertising.

Already, in some stadiums the sets in the luxury boxes are becoming more interactive with viewers able to call up statistics when they want them, and this too is likely to spread. Interactivity also provides an outlet for gambling as the game is progressing. This is being seen in football matches in Europe where the besides-the-pitch hoardings can change the display during the game, and so new odds can be shown relating directly to the current score on the pitch.

Arsenal’s new Emirates Stadium will have HD screens
in its bars and restaurants

For example, in football, if Barcelona go one-nil up early in the second half, the display could suddenly put up the online gambling odds of, say, Barcelona winning two-nil at the end, or of Ronaldinho scoring the next goal.

The arrival of high-definition (HD) television has also created a boost in demand for HD LCD sets because of the quality that comes with them. Larger screens will normally be plasma, but this is not suitable when a screen may show a lot of text – such as with results and statistics – because of its image retention problems. Over time, rows of text can burn into the screen leaving lines and thus poor quality. Plasma screens also use more power.

“LCD brings the quality,” says Gene Sanders, general manger of C4-Sports, a sports technology exhibition in the USA. “Fans want the best image, and the LCDs are the newest sets out there.”

Some of these screens will show multiple images and the customer can just blow up the one where something interesting is happening.

While many stadiums will use fibre optics or other high-speed networks, the technology exists for new displays to use the current network that handled the old CRTs. Control cards in the screens will let existing RF feeds turn them on or off or change channels. Such technology is already in use at the San Francisco Giants baseball stadium. As well as showing feeds of the game, at San Francisco this uses the gaps between play to promote other events in the stadium.

The opportunities are even better when a stadium is being built from scratch, as is happening with Arsenal football club in north London. Its new ground has 300 monitors showing an HD video stream.

“This will let them show games footage and promotions before and after the game and at half time,” says Jeff Johns, product manager at Sony.

For very large screens, rear projection is probably the answer. These give very good contrast and brightness and can be seen from around the stadium. And some do not need a screen because the technology exists to stick a film onto an existing window and turn it into a back projection screen. The film can even hold an advertiser’s logo that would be visible when no video is being shown.

This mini system was small enough for skiers to wear
at the Winter Olympics, enabling spectators to see
events from a skier’s perspective
Photo: Fast Forward Video

These can also be used for generating revenue in bars and restaurants around the ground, and elsewhere. For example, during last year’s FIFA World Cup, a bar in Newcastle in north-east England put such a film onto one of its windows to show matches to people sitting on the patio outside.

“These can also be used to provide information to the crowds as well as advertising space,” says Lloyd Cole, marketing manager for 3M Optical Systems. “And modern stadiums normally have lots of windows.”

The advent of digital light processing (DLP) technology also opens up the possibility of selling live sports events to cinemas. The technology can even create 3D images, giving more scope for advertisers.

“It does still require the audience to wear special glasses,” says Yoram Solomon, director of strategic marketing at Texas Instruments, “but you only need one projector. So you can show live sports events at cinemas in HD and have 3D adverts in between.”

Some of the latest technology can bring fans closer to the action, as happened at last year’s Winter Olympics in Torino where downhill skiers were wearing digital recording devices that could be played to the audience so they could see the events from the skiers’ perspectives.

“The mini system is small enough for skiers to wear on the slopes,” says Scott Keating from Fast Forward Video. “This produces the crystal clear images that viewers want.”

And sporting events create the chance to use the technology that customers bring with them. Most supporters will be carrying at least a mobile phone. Others will have a PDA with a wireless link. Some will have Blackberry type devices.

At baseball games in the USA, they are using a service called Scorepad that can let the users see the current scoresheet on such devices. Baseball is known for some fans filling in their own paper scoresheet as the game progresses; this replaces that.

“The Atlanta Braves and some other teams are doing this now,” says Sanders. “It is all about enhancing the fans’ experience.”

Supporters can either be charged for using the service or the service can carry advertisements.

“There is nothing like a live event,” says Sanders, “but this provides more access to the event. You can even get updates on your way to the game, on team selection, injuries, gossip and so on.”

On the way home too, the experience doesn’t end as the fans can watch video clips of key moments from that game or other games on their mobile phones. During the match, they can get text alerts about goals scored and the like from other matches.

“The value of just selling games to TV stations is limited,” says Solomon. “If you add mobile phone users, they can generate more revenue. This is happening already. There were people watching the World Cup on their cell phones.”

And this is not just highlights. A whole game can last two hours, which can be easily handled by the battery life of modern phones. The DLP technology mentioned earlier can also come in the form of a small projector that can be attached to the phone and projected onto a wall creating a screen up to 51cm diagonal. “This is very cool technology,” says Solomon.

The success of mobile phones during the FIFA World Cup can be shown by the figures, where overseas fans travelling to Germany generated an average of EUR 36.50 each on roaming charges alone.

Finally, a good example of a stadium that has it all is the Rose Garden in Portland, Oregon, USA. This is the home of the Portland Trailblazers basketball team and is also used for tennis. The set up with optical fibre wiring and the latest digital equipment is so up to date that the owner rents the stadium out for concerts when the artists want a venue to record live DVDs.
This stadium was built in the late 1990s and has a TV production studio next door which runs round the clock.

“Any stadium can follow this example and become a production studio,” says Gerry Kaufhold, principal analyst with market research firm In-Stat. “This increases the revenue generating opportunities.”