Adidas To Become First Brand to Live Stream High School Football on Twitter
Adidas (in collaboration with Intersport) will become the first brand to “live stream high school football games on Twitter”, when it kicks off its “Friday Night Stripes” series on September 7th. The 8-game showcase will feature weekly match-ups between nationally ranked programs nationwide. Live streams of the game feed will include a twitter timeline featuring “real-time conversation about the action.”
Howie Long-Short: Game coverage will be accessed by visiting @AdidasFBallUS, so Adidas should see their Twitter following rise. That should suit ADDYY well, as the company has done a good job (at least relative to NKE) converting brand sales once customers are on their site. It's worth pointing out that H1 footwear sales rose +20% (see: retro) and apparel did even better, on the back of a strong World Cup (sold record 8 million jerseys).
Stephen Wilmot (WSJ) made a strong argument that ADDYY shares are undervalued. Even after an 8% jump on August 9th (following earnings), Adidas is trading at just 23x prospective earnings; compared to Nike’s 29x. That’s despite Adidas growing sales (16% vs. 3% in U.S.) and profits faster than their rival, not having to deal with any potential #MeToo backlash or increase employee wages. Shares closed at $119.02 on Tuesday.
For those wondering, Intersport creates sports marketing platforms. While you may know them as the company behind the 3x3U basketball tournament for college seniors (held at Final Four), they own one of the most infamous pieces of video footage in sports history. Intersport was the only production company rolling on January 6, 1994 when Nancy Kerrigan was attacked with a police baton. The company has said it’s earned 7-figures from licensing the footage, receiving $10,000-$15,000 (or $250/second) each time it’s used.
Fan Marino: Fans of youth sports are going to experience a sharp increase in the number of games available to a broadcast audience over the next several years, as OTT platforms give rights holders the ability to reach niche audiences directly. How long before high school kids start complaining they aren’t being fairly compensated for their name, image and likeness?
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