Innovate to protect: transforming sports media to defeat piracy

In July 2023, Vladimir Guerrero Jr. made history by hitting no less than 72 home runs at the T-Mobile Home Run Derby, becoming a social media sensation in the process.

This moment marked a dramatic shift. Just a few years earlier, Major League Baseball’s (MLB) content policies would have led to the swift removal of this online viral video. But thanks to MLB’s revamped content strategy, the footage stayed online, attracting thousands of views. It stems from the introduction of the MLB Film Room platform in 2020, empowering fans to curate and share clips legally to redefine the rules on content sharing.

Historically, sports brands have tightly controlled their media assets. But the digital age and new generations of fans are demanding a different approach. The decision by MLB to allow users to disseminate content may have enhanced the fan experience, but it also poses new challenges. How do brands maintain control over content when it’s freely accessible and widely distributed? This question is key as the landscape of media consumption continues to evolve, with implications for content control that stretch far beyond individual highlights.

It is important to recognize that piracy often flourishes due to two reasons: access and cost. Fans can be lured to pirated streams when they can’t access content in the way they want, or the cost of access is deemed prohibitive. In addition, technology that allows widespread dissemination of sports content also enables piracy, which costs the global sports industry around $28 billion annually. But assessing the ultimate impact of piracy is complex.

Most obviously, it undermines rights holders and frustrates paying customers. The pirating of live sports events is the simplest example. Its premium comes from its immediacy and time limited window, making variability of format or timing immutable. But what about highlights or clips? And what if fans are already spending heavily elsewhere? Manchester City ticket prices are up 582% since the Premier League started, with its stadium full.

Furthermore, in the 2022/23 season, the top 20 soccer clubs generated an average of $240 million in commercial revenues, eclipsing the $213 million from broadcasting. So, understanding the value of the fan and their overall relationship with a sports brand is crucial, since sport is more than a game – it is an entertainment experience. If anything, the ultimate goal may lie in converting those who turn to piracy into genuine paying consumers.

Initiatives like MLB’s Film Room can provide a template for how to strike the balance between engaging fans and protecting content. At the same time, conventional anti-piracy measures remain necessary, but should be deployed as part of a broader strategy to monetize content, build a fanbase, and gain insights into followers.

Rights owners could consider innovative ways to enhance matchday experiences and make content more flexible or appealing. For instance, hybrid season tickets could combine live streaming, highlights, and team merchandise, with pricing tiered to demographics. Last year, Apple and Major League Soccer adopted a similar approach with MLS Season Pass. It is complimentary for MLS season ticket holders and combines live content, highlights, and further material that is accessed via the Apple TV app. Subscription options cater to different user preferences.

Of course, there is still a need for effective anti-piracy measures that work across languages and geographies. For example, rights holders can take action against ISPs to tackle pirated streams, including dynamic injunctions. These are court orders that block access to pirated streams in real-time and can be tailored to address specific jurisdictions. Search delisting can also prevent pirate websites from appearing in search results, thereby reducing their visibility and accessibility to potential viewers. This enables rights holders to identify and address piracy threats before they escalate and take hold, ensuring more secure distribution of sports content globally.

Once again, robust anti-piracy measures must form part of the response as both legal and illicit content reaches a greater range of digital channels and platforms. Proven responses that combine scalable technology and global analysts to monitor and enforce during live events are effective. Search engine delisting can again play a role in reducing links to pirated media. Together, innovation and security can make piracy a less appealing option.

Younger fans consume content in distinct ways, favoring social media platforms and short-form content. 58% of MLB fans aged 18-34 prefer watching highlights over full games, a stark contrast to the 24% of MLB fans aged 50 and above. But how can rights owners adapt to capture the attention of a young, tech-savvy audience and the loyal supporters of the future? It means engaging them with content early, which means making it accessible.

The shift to short-form content has given sports media value long after the final whistle, offering rights holders lucrative opportunities to monetize content across diverse formats and channels. Online sharing has bolstered the viral appeal of sports media, as evidenced by MLB’s Film Room, which saw a 253% surge in user searches upon launch. Burnley Women FC has seen their live home games amass over one million views on TikTok.

However, changing consumption habits and technologies bring challenges. Viewing pirated media has arguably been normalized, or its social acceptability can at best be described as variable. This change is partly due to the relative ease and perceived low risk of streaming pirated content in comparison to the real-world experience of purchasing pirated DVDs. Ultimately, viewing pirated streams is now less involved, and the act of engaging with infringing media more transient than it once was. New norms are arguably more important than new laws.

In response, measures such as content monetization can redirect ad revenues from pirates, without harming the online viewer experience. This chokes off funding for pirated content, without alienating younger generations of fans. Moreover, anti-piracy measures can offer valuable consumer insights, from identifying fan locations and uncovering untapped legitimate audiences, to informing the search optimization strategies of rights owners.

Beyond conventional anti-piracy responses, it’s clear that a more nuanced approach to content access and sharing is required. Rights owners will increasingly consider how to segment their audience and charge based on ability to pay, while at the same time following the lead of MLB to selectively allow legitimate sharing of content.

Innovation and adaptation are also crucial. By integrating unique interactive features and fan experiences, sports franchises can attract and retain audiences. One example is exploiting the popularity of second screens, with fans using another device, typically a smartphone, while watching sports. 76% of fans aged 43 years and younger use a second screen while streaming sports, with the most popular activity (41%) being social media browsing.

Sports brands can capitalize on this trend by offering real-time social content that reacts to in-match moments or targeted advertising campaigns on social media platforms. For instance, promotions that provide unique access or fan experiences can change the dynamic of the viewing experience and are difficult for pirates to replicate.

Finally, sports brands must explore innovative ways to enhance the matchday experience, make genuine content more appealing, and combine the stadium and digital. This could include hybrid season tickets or unique offers on team merchandise or live streaming and highlights – along with tiered pricing to accommodate different demographics. Ultimately, it is all about harnessing unique assets and experiences to outcompete the pirates.