Success Of U.S Olympians Has Helped Boost Ratings, Revenue For NBC

The success of U.S. Olympians at the Vancouver Games has "translated into a much-needed boost in ratings and ad revenue for NBC, and could put a dent in the $250[M] the network expected to lose on the event," according to Sam Schechner of the WALL STREET JOURNAL. The U.S. enters today with 24 medals, the most of any country, NBC said that the slew of medals for Americans "helped draw an average 26.3 million viewers to prime-time broadcasts" of the Games through Saturday night. That is "over a quarter more viewers than NBC averaged at this point in the Games four years ago, and is ahead of some advertisers' expectations." Prior to the start of the Games, NBC "estimated the event would generate" $650-700M in revenue. NBC Olympics President Gary Zenkel said that NBC "now has 'a chance of exceeding' that forecast, as the crush of attention focused on U.S. athletes draws in extra ad revenue." Ad buyers indicated that NBC has been asking between $400,000-500,000 "for a 30-second commercial in prime-time during the Games." But an NBC exec said that the range was "closer to $500,000 to $600,000." NBC noted the Games have had a "halo effect" on its schedule and stations. The percentage of households watching NBC's "Today" are "up 7% from a year earlier," while "Nightly News" is "up 21%, and late news on local stations is up 15% by that measure." However, Schechner notes this week "may be a bigger challenge." While skier Lindsey Vonn and speedskater Apolo Anton Ohno are "serious medal contenders in several big events, not one American is a favorite to win the gold in the women's figure-skating competition" (WALL STREET JOURNAL, 2/22). The WALL STREET JOURNAL's David Biderman notes an analysis of NBC's 3 1/2 hour program Friday night "showed that there were 56 minutes, 41 seconds of commercials over 24 breaks" (WALL STREET JOURNAL, 2/22).

POTENTIAL BIDDERS NOT IN VANCOUVER: SPORTSBUSINESS JOURNAL's Ourand & Mickle report two potential bidders for the U.S. media rights to the '14 Sochi and '16 Rio de Janeiro Games "decided against making the trip to Vancouver, and the ones that ventured north were prepared to tell IOC executives that they will not bid as much as NBC bid on the 2010 and 2012 Games." The IOC is "hosting top executives from ESPN and Turner Broadcasting during the Games." But execs from other potential bidders, Fox and CBS, are "not planning to travel to Vancouver" during the Games, and their absence "deals a blow to one of the IOC's biggest selling points around the Games." An ESPN delegation led by ESPN/ABC Sports President George Bodenheimer Saturday was "scheduled to sit down with IOC President Jacques Rogge and other IOC members at the committee's hotel" (SPORTSBUSINESS JOURNAL, 2/22 issue).