Not every pay-per-view is created equal. Three PPVs always out-perform the rest of the cast of characters: Royal Rumble, SummerSlam and Wrestlemania. One danger of launching the WWE Network was that consumers now believe that the $50+ product is now only worth $10/month. While the lower price helps the weaker PPV events garner larger audiences, it damages the marque value of their biggest events. In addition, launching the WWE Network and putting ALL of the new PPVs on there seriously harmed the relationship between WWE and the MVODs (Multi-channel Video On Demand). Already both Dish Network and DirecTV stopped carrying WWE PPVs. Giant InDemand is wavering. WWEs pricing model for the Network ruined that relationship and those services understandably retaliated. Had WWE been able to offer a real carrot to this companies such as quarterly non-WWE Network aired PPVs they may have had a real opportunity to keep working together. Considering that nearly 400,000 US Homes ordered Wrestlemania 30 via traditional Pay-per-view means, its clear that WWE cannot afford to simply write-off all the existing PPV customers. Much like Monday Night Raw cannot simply be rebroadcast on the WWE Network immediately, it would be possible to pull certain events off being part of the WWE Network package. Fans understand that not everything is going to be immediately available. While the decision may be unpopular, the service is still new enough that its possible to reshape expectations. Key learnings from UFCs Fight Pass have suggested that its possible to have an adequate streaming service which provides replays and B-shows while still maintaining a robust and healthy traditional PPV business. A world where watching WWE Battleground costs the same as WWE Wrestlemania is a mistake.
I'm a professional wrestling analyst, an improviser and an avid NES gamer. I live in Saint Paul, Minnesota and I'm working on my first book (#wrestlenomics). You can contact me at chris.harrington@gmail.com or on twitter (@mookieghana)
