Friday, February 15, 2013
Winter Olympics v NHL
There are undoubtedly two marquee events at the Winter Olympics: figure skating, and men's hockey. For figure skaters, the Olympics is a tremendous marketing opportunity for them. They can parlay that exposure into skating "tours". Hockey however is much different. They already have their own league. The exposure helps when they can show the games live and in normal viewing times. Socchi, Russia doesn't help them so much.
In addition, the IOC has broadcast and distribution rights. Whatever "Olympic ideals" is supposed to exist in the utopian world has to come face-to-face with the "absolute power corrupts absolutely" with our real-world Bayesian prior. The NHL, and NHLPA, want their cut of the action. So, now it seems they're trying to figure out the value for each party:
In return for sending its players to the Sochi Olympics, the NHL is trying to acquire video, photograph and website rights for the games. The IIHF and the IOC retain those exclusive rights now.
The NHL began sending its players to the 1998 Games in Nagano, Japan, and continued through the 2010 Vancouver Games. Even though the NHL received great exposure by having its players take part in an Olympics in North America, disrupting the season does come with a cost.
The stopping of the season, the potential injury risk to players, and no tangible upside for the NHL are all factors that create doubt about whether the investment is good for the league.
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