Lesson 1.6 Where Are We Now?

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LESSON 1.6

History of SEM

Ø 200 million Americans, or 7 of every 8 adults, consider themselves sports fans Ø American fans spend an average of 8

hours per week consuming sports content

Ø According to Sports Business Daily, in the month of January alone (in 2014), the Yahoo Sports website had 55 million visitors, while 38.6 million visited the Fox Sports website and 38.2 million visitors to espn.com.

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Ø The fantasy sports industry has an estimated total market impact of $4.48 billion dollars annually

Ø Fantasy sports have grown to include everything from Premier League soccer to fantasy bass fishing leagues

LESSON 1.6

History of SEM

Ø An estimated 3 million American workers spent one to three hours a day during work watching the 2013 NCAA men’s basketball championship tournament, according to a study from outplacement firm Challenger, Gray &

Christmas. American companies lost an estimated $134 million in “lost wages” in the first two days of the

tournament alone. At $122 billion, the amount of spending the NCAA's annual basketball tournament generates is equal to Iceland's GDP.

Ø A study conducted by the European Central Bank suggests that the soccer World Cup (played every four years) significantly slows down activity in the world’s

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MOVIES

Ø The top 10 biggest combined grossing movies in a single weekend at the box office ever were movies released within the last five years.

Ø Actors and actresses are being paid more now than ever, particularly those with proven “star power” who can draw a crowd (Robert Downey Jr. earned a reported $75 million between June 2012 and June 2013)

LESSON 1.6

History of SEM

Where Are We Now?

MUSIC

Ø Over 25 billion songs have been downloaded from Apple’s iTunes store

Ø By contrast, 2006 was the first year to see over 1 billion digital download tracks sold

Ø _{Streaming music is the fastest-growing segment of the} recorded-music industry according to the Recording Industry Association of America with companies like Spotify reaching 40 million active users each month while Beats Music already had 525,000 paying subscribers within five months of the service launch date

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BOOKS

Ø _{The wild popularity of Author Veronica Roth’s Divergent series of} books shows the crossover appeal books have with other forms of entertainment, spawning a box office smash and successful soundtrack sales

Ø _{Amazon reported that the final book in the trilogy, Allegiant,} surpassed sales of The Hunger Games book three, Mockingjay at a pace of nearly five to one

Ø _{First-day sales for Allegiant surpassed 455,000 — a company} record for publisher HarperCollins

LESSON 1.6

History of SEM

Where Are We Now?

BOOKS

Ø Divergent opened with a $54 million weekend at

the box office and took just 14 days to surpass $100 million in sales

Ø The film soundtrack debuted in the top 30 on the Billboard charts in its first week despite being

release well before the film hit the theaters

Ø As of August of 2014 (at the time this text was published), Divergent has crossed the $250 million

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BOOKS

Ø In 2011, author John Locke became the first self-published writer to sell over one million copies of books in Amazon’s kindle digital bookstore

LESSON 1.6

History of SEM

Where Are We Now?

VIDEO GAMES

ØAccording to guinessworldrecords.com, last year’s launch of the video game Grand Theft Auto V broke six world records, including the highest revenue generated by an entertainment product in 24 hours and the fastest entertainment property to gross $1 billion.

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VIDEO GAMES

Ø Following the success of Nintendo’s wildly

popular “motion sensor” technology introduced with its Wii platform, Microsoft launched a controller-free gaming system to rave reviews. The Kinect system sold 1 million units in its first ten days in the

marketplace.

LESSON 1.6

History of SEM

Where Are We Now?

VIDEO GAMES

Ø EA Sports announced that its popular college football video game NCAA Football 12 sold 700,000 copies during its first two weeks on store shelves, a franchise record (sales were up 17% compared with last year's NCAA Football 11)

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VIDEO GAMES

ØIn 2012, it took just 2.5 hours for Angry Birds Star Wars to hit No. 1 in the iTunes App Store.

LESSON 1.6

History of SEM

Where Are We Now?

THEATRE

Ø By the summer of 2012, Broadway smash Wicked had already grossed over $2 million in ticket sales while The Book of Mormon, which has been on Broadway for over three years, is still performing to crowds of 103% capacity

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THEATRE

Ø Broadway raked in nearly $1.3 billion during its 2013-2014, 53-week season, making it the highest grossing season in Broadway's history