• Loading stock data...
Thursday, March 28, 2024
2024 Best Venues nominations are open now through April 8! Submit Now

In-Stadium Video Advertising Gains Traction Across MiLB and NASCAR

  • In-stadium advertising is largely viewed as one piece of the overall fan experience puzzle. But to reach as many fans as possible, a strong digital strategy is also required, experts say.
  • Industry newcomer SV Sports estimates a potential audience of 35 million people for brands to target across all of its league partnerships for the upcoming 2020 season.
nascar kansas city
Credit: Adam Hagy-USA TODAY Sports

Fans’ in-stadium viewing experience is one already filled with advertising by brands looking to attract new consumers – with activations spanning static logos, animated graphics, and even pop-up events around games.

A select number of teams and leagues are also looking to sell additional inventory that would allow brands to reach fans via video format on jumbotrons, concourse screens, and other screens across the stadium.

Recent examples of this trend include Minor League Baseball, The American Hockey League, the New York Mets, and ISM Connect, which handles digital engagement for NASCAR. Each has signed multi-year deals with SV Sports – a newly launched sports vertical of Screenvision that made its name in the cinema industry, selling ads on behalf of movie theaters.

In the case of MiLB, the new deal starting in 2020 is sure to grow the amount of advertising dollars its clubs can attract, according to David Wright, the league’s chief revenue officer.

“Our teams have done a really good job at managing their inventory locally,” said Wright. “SV Sports now offers us the opportunity to reach 80 to 90 other markets, which is very appealing.”

Offering video advertisement opportunities should also improve fan engagement by telling stories that resonate with families attending minor league games, he added. In addition to sponsored content sold by SV Sports, on-screen materials produced by the league will span from work done in the community by clubs to more lighthearted blooper reels.

“It’s all about creating deeper engagement,” said Wright. “The beautiful thing about video content is that it strikes an emotional cord and peaks interest in a much deeper way than static advertising, which can lead a brand to become wallpaper overtime.”

On-screen video advertising will be available in about 80 to 100 MiLB ballparks across the country. The league is working exclusively with SV Sports to offload inventory, but it does house an internal ad sales team that offers broader packages to big brands.

MiLB declined to share revenue expectations from its new venture.

READ MORE: Nationals ‘Baby Shark’ Craze Paid Off On And Off The Baseball Field

NASCAR, meanwhile, operates its in-stadium video advertising through technology partner ISM Connect. The vendor has worked with the organization for three years, using its screens – which are moved from venue to venue each week – to communicate messages to fans around scheduling, recaps of the prior week’s event, and planned driver appearances before upcoming races.

As part of ISM Connect’s agreement with SV Sports, the latter will sell additional unsold inventory on behalf of the startup. ISM Connect’s 17 screens taken on the road throughout the season are utilized at all NASCAR tracks, except for the Indianapolis Motor Speedway – home of the Brickyard 400, according to Trent Staley, EVP of network partnerships and marketing.

“NASCAR is thoughtful about innovation,” said Staley, who worked at NASCAR as part of its partnership and marketing teams for over a decade before joining ISM Connect this spring. “They realized the opportunity to improve technology at race tracks in an economical way, and took it.”

Similar to MiLB, ISM Connect sports an internal sales team, but welcomes a partnership with SV Sports which has a larger sales force. ISM Connect’s television screens come equipped with cameras that capture demographic information about NASCAR fans, and engagement data the company leverages to sell inventory.

“We play video loops that are half advertising and half content produced by NASCAR,” said Staley. “We report data after every weekend to brands about how many fans pay attention, including a breakdown of age groups, gender, and other metrics.”

READ MORE: NASCAR, Coca-Cola Driving Deeper Bond Around Support For Military

In-stadium video advertising is not a new phenomenon, according to Michael Neuman, managing partner of Scout Sports Entertainment. These types of third-party ad sales companies have additionally existed for more than a decade, with a number of them folding or pivoting on their market strategy.

The underlying issue for these businesses has been that agencies or brands large enough to have personnel dedicated to working with individual teams directly did exactly that, he said. 

Even today, despite SV Sports forming lucrative partnerships, the company faces much competition in the video advertising space from the likes of InStadium, Access Sports Media, and Tagboard.

“This [form of advertising] remains an important piece of the fan experience,” said Neuman. “What I love about this model is the fluidity of having brands move in and out, without the need to purchase [intellectual property] rights. This allows advertisers to be very strategic and surgical in what time of the year they want to advertise.”

Selling leftover inventory on the part of leagues and teams to build incremental revenue is a win-win scenario for all parties involved. But Neuman warned in-stadium offerings do require a digital component to help reach as many fans as possible. 

“SV Sports thinks this is a great way to augment lower TV ratings. But in some sports, attendance has also been declining as people consume more content in more of a digital environment,” he said. “Without digitally engaging sports fans, you are not reaching the full complement available that advertisers will want to target.”

In response to those concerns, Screenvision CEO John Partilla said the company’s new vertical is not intended to replace the at-home experience, and cannot replace all the viewers lost to digital streaming. Still, a large audience of people want to experience games live, as has been the case traditionally with concerts and movies.

“We want to help advertisers and ad agencies replace diminished eyeballs from linear television,” Partilla said.

SV Sports projects a potential audience of 35 million people for brands to target across all of its league partnerships for the 2020 season.

“When we look at it from a brand perspective, we know they spend a lot of money to reach sports viewers and consumers,” said Eric Krasnoo, EVP of business development at SV Sports. “We are providing the opportunity for those same brands to reach avid fans onsite.”

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Mets’ Staffing Cuts Join Growing List of Changes Under Cohen

The new team president of business operations leads a retooling of the franchise’s personnel.
MLB Arizona

MLB Seeks Minimum Wage Exemption in Arizona

The system is for minor league players due to a previously agreed-on labor agreement.
NASCAR Cup Series driver Bubba Wallace (23), in a Star Wars rebel alliance X-wing fighter pilot-inspired race suit, motions to the crowd to get louder during the driver introductions for the Cup Series Championship race at Phoenix Raceway in Avondale on Nov. 5, 2023.

Celebrity Owners, International Ambitions, and $7B Media Deals: Welcome to the New NASCAR

NASCAR boldly keeps pace with the increasingly competitive sports and entertainment world.

FOS With Ryan Blaney: NASCAR Champ Talks Netflix, Racing Changes

NASCAR’s 2023 champion chats with FOS ahead of the Daytona 500.
podcast thumbnail mobile
Front Office Sports Today

MLB Opens Season With MLBPA, Ohtani, and Ownership Dramas

0:00
0:00

Featured Today

March 22, 2024, Brooklyn, NY, USA; Northwestern Wildcats guard Brooks Barnhizer (13) and Northwestern Wildcats guard Boo Buie (0) react in overtime against the Florida Atlantic Owls in the first round of the 2024 NCAA Tournament at the Barclays Center.

‘An Expensive Game’: March Madness and NIL Collectives Are Intertwined

At schools nationwide, collectives are fueling NCAA tournament runs and vice versa.
Iowa’s Caitlin Clark (22) waits to be announced in the starting lineup against West Virginia in a NCAA Tournament round of 32 game Monday, March 25, 2024 at Carver-Hawkeye Arena in Iowa City, Iowa.
March 26, 2024

The Women’s Trading Card Market Is Overlooked. Can Caitlin Clark Change That?

Traditionally, women’s sports cards have been a marginal part of collectibles.
The Sports Illustrated cover signed by Derek Jeter and Alex Rodriguez, February 27, 2019, at Don & Charlie's, 7501 E. Camelback Road, Scottsdale. Don Charlie S
March 24, 2024

Everything You Need to Know About the Ongoing ‘Sports Illustrated’ Saga

Understanding the strange state of affairs for the nearly 70-year-old publication.
March 23, 2024

The Good, the Bad, and the Ugly: Inside the Big East’s Bizarre Online Subculture

Peeling back the curtain on the ‘phenomenally weird’ Big East online ecosystem.

Careers

Powered By

Careers in Sports

Looking for a new job? Check out these featured listings and search for openings all over the world.
Live Nation
Multiple - USA Careers
Adidas
Multiple - USA Careers
Spotify
Multiple - USA Careers

WWE Borrows From UFC, Puts On-Mat Advertising in the Ring

The wrestling outfit is learning from its MMA counterpart’s playbook under the TKO Group.
September 16, 2022

NBA Legend Scottie Pippen Latest Celebrity To Endorse LIV Golf

The former Chicago Bull is part of LIV’s celebrity marketing campaign.
Drew Brees smiling while wearing hat
December 2, 2022

Drew Brees, PointsBet Pull Off Elaborate Lightning Publicity Stunt

The video racked up over 2 million views in about 12 hours.
Sponsored

How Daily Fantasy Sports Solved NBA Fantasy

The remarkable growth of the #1 Discord sports server in the world.
al michaels and kirk hergstreit
September 15, 2022

Amazon’s Advertising Blitz Ahead Of First ‘Thursday Night Football’

‘Thursday Night Football’ has launched massive marketing takeover ahead of Chiefs-Chargers.
June 21, 2022

NBA Finals Broke Records on Social Media

The NBA closed out the season with a bang on social media, eclipsing 2 billion video plays for a 19% increase over last year.
June 21, 2022

Gallo Winery Could Be New Player For Super Bowl Spots

Anheuser-Busch is giving up Super Bowl alcohol exclusivity for first in decades. NFL sponsor E. & J. Gallo Winery might step up with own commercials in the Big Game.
June 13, 2022

NBA’s Latest Floating Court Hits London’s River Thames

Hennessy continued their global initiative with the NBA by creating a floating court in the River Thames.