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CES SPORTS ZONEKEY TAKEAWAYS

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The relationship between sports and technology is one that continues to evolve. And evolve at a pace. This much was clear from the discussions taking place in the Sports Zone at CES last week.

One particularly notable statistic presented by the Sports Innovation Lab in their opening segment was that there’s been a three-fold increase in the number of dedicated sports technology companies entering the market over the past ten years.

What was most encouraging for those of us working on the commercial and marketing sides of the sports business, was that more of these companies and more of the conversation is focussed on the way technology is shaping sport for the audience, the fan, than ever before.

The implications and opportunities this is creating for brands –sports brands, tech companies, sponsors – are significant. Underneath the hood of the relatively well-worn topics discussed in Las Vegas were a few big themes worth taking note of.

Here Jonathan Drakes, Strategy Director, Fuse and Author of Merge Sport: How technology will revolutionise sport for the fans talks us through what you need to know.

INTRODUCTION

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Much of the conversation in the sports industry over the past few years has focussed on the influence of new entrants to the sports media market (Amazon, Twitter, DAZN etc.). Specifically, around the growth of OTT and subsequent fragmentation of both sports rights and viewing audiences.

But, while this is a significant development, those new players and the technology they bring with them are having a far broader impact on sport.

Josh Walker explained how companies, such as Amazon, are investing in a broad range of technologies that are changing how fans consume sports. From platforms that enhance the interactivity of the experience (for example, NFL’s partnerships with Overwatch and Twitch) to game updates and information delivered through voice interfaces and Virtual Assistants such as Alexa.

With these new technologies, comes new opportunity for brands.

Voice provides a highly interactive channel for brands to deliver compelling messages around the sports experience. A beer brand recommending products in a stadium, or a sponsor brand taking ownership of information on a team. O2’s recent “Wear the Rose” Alexa-skill with England Rugby is a good example.

Greater interactivity around sports content can create opportunities for brands to be a bigger part of the conversation. For certain categories, brands will even be able to see direct return from sports content as it becomes clickable or shoppable.

But perhaps the most important lesson for brands is that these new players in the sports market have brought the characteristic “test and learn” mindset of the tech sector to sport. An approach I would encourage all sports brands and sponsors to fully embrace.

NEW PLAYERS AREN’T JUST BUYING RIGHTS, THEY’RE

CHANGING THE WAY WE CONSUME SPORT

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“You can change your wife, your politics, even your religion. But never your football team.” A quote from Eric Cantona that Josh Walker - President of Sports Innovation Lab - used to kickstart the discussion at CES this week. The idea being that, for the first time, there is challenge to this notion of fandom. And it’s a challenge driven by technology.

Social media, gaming, OTT and immersive media are creating a generation of sports fans that aren’t unwaveringly loyal to the team their fathers followed.

Rather, they are fans of individual athletes and of the most captivating experiences. Their preferred sports and teams might be driven as much by their favourite video game as by their home town.

For brands, this has several interesting implications.

Firstly, they will have to re-evaluate what matters to the fan to effectively engage them. Something that, according to IBM’s Elizabeth O’Brien, will only increase the importance of accessing the right data on audiences.

Secondly, the individual athlete may become a more powerful marketing asset than a team or competition. Long-term agreements with sports people could replace some traditional sponsorships and partnerships with teams may be tied more closely to access to specific players.

Lastly, we could see a significant shift in the advertising strategies of brands around sport. A combination of AI and programmatic technologies will enable brands to adjust advertising around games, as they unfold, based on how exciting any match is or the performance of a specific player.

TECHNOLOGY IS AFFECTING THE FUNDAMENTAL

NATURE OF THE SPORTS FAN

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Virtual Reality (VR) has reached the point where it is able to match the expectations of sports fans. That is the view of Danny Keens, VP of Content at Next VR.

VR has, until now, suffered from some fundamental flaws when it comes to sport: affordability, quality, accessibility and shareability. But recent breakthroughs in headsets, camera technology and connectivity are set to tackle many of these issues.

The size and simplicity of the equipment is much improved. The price is more manageable. Screen resolution is higher.

More radically, volumetric video is enabling a far more immersive view of the action. And, according to Geoff Reiss from Yahoo Sports, the portability and interactivity of next gen VR devices will spearhead a “golden age of collaborative viewing”.

The evidence for this can be seen in higher average viewing time (from 7 minutes to 38 minutes over the past 3 years) and increased total use, with some estimates suggesting 10% of sport will be viewed in VR by 2020. That would put it firmly in the sights of the biggest rights-holders, media owners and broadcasters.

Consequently, brands and sponsors should not ignore the potential that VR now has to create a more immersive, interactive point of engagement with sports’ audiences. No longer an activation “gimmick” but a powerful channel for innovative campaigns.

Brands can unlock access to new experiences previously off-limits for fans, offer virtual seats that enable distant audiences to experience every game like a local or integrate VR ready advertising directly in to the virtual environment. We may well see that the most talked about advert at the next Super Bowl is one delivered in VR.

IMMERSIVE MEDIA IS READY TO MAKE A REAL

DIFFERENCE (FINALLY)

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ABOUT FUSEWe’re Fuse, a marketing agency within Omnicom Media Group UK.

We create partnerships and experiences for brands that make a difference, to the people who share in them and the brands that

benefit from them.

We do this by focusing on the things that people care passionately about; sport, entertainment, cause and culture. We are experts in

strategy, negotiation, activation and evaluation and offer seven core services: strategic consulting, partnership marketing, experiences, communications, content, data and insight.

With a team of over 120 in the UK and 250 across Europe, we work with some of the world’s top brands, including McDonald’s,

Nissan, PepsiCo and Royal London.

FOR FURTHER INFORMATION, PLEASE CONTACT ANNA WATKINS