Transcript Document

David Pillsbury
President, PGA TOUR Golf Course Properties
PGA TOUR Fans &
Growth of the Game
• Fan growth converting into growth of game
• Update on PGA TOUR fan growth initiatives
• Connecting PGA TOUR initiatives and
industry initiatives to maximize number of
fans and players
Objectives of GOLF 20/20
• Increase participation
• Increase rounds of golf
• Fan base expansion
Viewers vs. Participation
Claimed Golf Participation
Low
Less than
once a
month
Once a
month
2-3 times
a month
Once a
week
2+
times a
week
Viewed 1-5
256
359
335
271
193
Viewed 6-10
278
380
657
882
779
Viewed 11-20
250
328
728
1009
991
Viewed 21+
226
446
458
874
1927
Claimed
TOUR Viewers
Index vs. US Avg.
(US Avg.=100)
Low
High
High
Source: MRI, Doublebase 2005
Expand Breadth and Depth
Core Golfers
Golfers
Fans
Changes for PGA TOUR Fan
Current Fan Experience
2007
No clearly-defined season
•New era in golf
•True season with playoffs
•Energized fan base
Broadcast has become
fixed and somewhat
predictable
•New initiatives
•Broadcast strategies
•HDTV
•Long term TV partnerships
Evolving media platforms
•Ability to consume product
in the way fans want it
Inconsistent tournament
experience
•Consistent execution
•Standards & best practices
Fan/Golfer Lifecycle
Build
Awareness
Create
Connection
Trial/
Introduction
Golfer/
Retention
PGA TOUR
Broadcast
Play Golf America
Golf Operators
FedExCup
pgatour.com
Free Lesson Month
Golf Professionals
PGA of America
pga.com
Corporate Golf
USGA
Local events
Link Up to Golf
Other Media
The First Tee
Local Programs
Executive Women’s Golf
Broadcast Consumption
1996
2007
Primarily network broadcast
•Expanded six year agreement
•Higher quality telecasts
424 network hours
•538 network hours
Golf Channel in 7.4 M homes
•Golf Channel in 70 M homes
•Primetime replay of events
Inherent Limitations of TV
• Less than 2% of tournament play
is on TV
• Airs only 25% of competition
• Cannot cover all players/shots
• Fan access to the broadcast not
always possible
New Media Landscape
• Broadband means increased consumption
of Internet content
Broadband Driving Internet
Consumption
U.S. Broadband Internet Penetration
90
Internet
Millions U.S. Households
80
70
Broadband
40 Million US
Households
60
50
40
30
20
10
0
2002
2003
Actual
Source: Forrester Research 2005
2004
2005
2006
2007
Projected
2008
New Media Landscape
• Broadband means increased consumption
of Internet content
• Media platforms are fragmenting and
proliferating
Time on Internet
• Time spent on
Internet has
increased
dramatically and is
comparable to TV
• Pressure on TV due
to increased
fragmentation and
DVRs
• Additional pressure
on traditional media
sources
U.S. Percentage Time Spent by Media
Internet
TV
Radio
Newspaper
Magazine
0%
10%
20%
30%
Note: Internet = Home + Work
Source: Forrester Research 2005. Online consumers
40%
New Media Landscape
• Broadband means increased consumption
of Internet content
• Media platforms are fragmenting and
proliferating
• Media consumption is changing; we are
moving to an on-demand content world
Mobile Phone
• 207 million wireless
subscribers in US
U.S. Mobile Phone Users
250
– Up 50% YTY
• Total 2005 carrier data
revenues of $8.6B
– Up 86%
200
Millions
• 50 billion SMS
messages in last 6
months of 2005
150
100
50
0
2002
2003
2004
2005
Actual
Source: Yankee Group 2005
• Early as a content
platform
2006
2007
2008
Projected
2009
2010
3G – High Speed Mobile Networks
• Analogous to Broadband
Internet
• Carriers invested $200B
to secure licenses and
deploy networks
U.S. 3G Mobile Users
90
80
70
60
50
• 3G adoption driven by
handset turnover every
18 months
40
30
20
10
0
2004
• Carriers focused beyond
commodity voice traffic.
Video content is critical
2005
2006
Source: Yankee Group 2005
2007
2008
2009
2010
New Media Landscape
• Broadband means increased consumption
of Internet content
• Media platforms are fragmenting and
proliferating
• Media consumption is changing; we are
moving to an on-demand content world
• Consumers expect content whenever,
wherever, and however they want it
Where the PGA TOUR is going
• Experiment with alternative distribution
• Adjust strategies and business models
• Future: 3-screen video world
Television
Broadband Internet
Mobile
Golf Well-suited to Leverage
New Platforms
• Nature of Sport
– In-office audience
– Significant play outside
telecast window
– Inability to provide full coverage
within telecast window
• Significant “fan-favorites”,
interest around individual
players
• Fans are consuming content
from new platforms
There is fan demand for coverage beyond the TV window
pgatour.com & pga.com
pgatour.com
•
•
•
•
Largest non-TV audience
30% yr-to-yr growth over five years
5.1 M unique users
Over 31 minutes spent per user
per month
pga.com
• Leading instructional golf site
• Access to 28,000 dedicated
professionals promoting the game
• Direct link to local instructors
Leverage synergies in new media landscape
PGA TOUR New Media Platforms
Internet/Broadband
Mobile
Fan Database
PGA TOUR Highlights
•First Round
•Second Round
•Third Round
•Final Round
PGA TOUR Interviews
•Tiger Woods
•Ernie Els
•Phil Mickelson
 Rich content delivery
 Anytime, anywhere
 Increased mobility
 Interactive
Non-Standard TV* Sat. Radio/Radio
 VOD/DVR
 Data channels
 Two-Screen interaction
 HDTV
 Mobile medium
 Multi-programming
formats
 Direct marketing
 1:1 fan communication
On Venue
 Information demand
 Multi-platform
deployment
Video Game
 Rapidly growing
 Wired home
Close the Loop
FAN
Broadcast
Media
• Fan-centric broadcasts
– Contests
– Voting (i.e. American Idol)
• Content links from Broadcast
• Fantasy Golf
• Play Golf America
• The First Tee School Program
pgatour.com
Fan Activation 2007
Core Golfers
Golfers
Fans
Apply programs in new media environment
Focus in 2007
• Leverage energy from FedExCup: “New era in golf”
• Growth opportunity with Baby Boomers
• Reach more fans with richer content through new media
• Maturity of national golf development programs
• “Close loop” for fan experience
• Challenge to Industry Operators and Media:
– Continue to support player development programs
– Build and promote a development calendar
– Create innovative ways to convert fans into golfers