Facebook intends to improve the monetization of its Facebook Live product for online live streaming by including the ability to sell views of sports events. Facebook plans to start by partnering with regional organizers and teams looking to make more money from their competitions.
Facebook’s creative team (FB) continues its efforts to increasingly monetize its huge audience of more than 2.85 billion monthly active users and 1.8 billion daily active users.
Facebook’s current plans are to improve the monetization of its Facebook Live product for streaming events online by connecting more paid sports content.
Facebook claims it will help businesses, including sports, make more money in the changing environment of content consumption.
Today Facebook Live already provides an opportunity to earn money for small businesses: various consultants, coaches, music and fitness coaches, presenters of various master classes, etc.
Yoav Arnstein, director of product management at Facebook, believes that paid online sports also has the potential to grow and will enable organizers to make money around the world. Today, these organizers make money in two ways: by selling broadcast rights and tickets to offline events.
Facebook plans to start by partnering with regional organizers and teams looking to make more money from their competitions.
Rob Shaw, Facebook’s director of sports media and league partnerships, noted that the company could benefit from the fact that some users choose to pay a one-time fee to watch a specific sporting event online rather than pay a monthly subscription.
As an example of its already achieved success, Facebook said that 18,300 people watched the Challenge Miami online broadcast in March this year, with users buying tickets for $ 2.99. More than the event would have attracted offline viewing, 70% of viewers were from outside the United States.
It is not yet clear if Facebook will include ads in these broadcasts.
Since the launch of Facebook Live last August, paid online events have become available in 44 markets around the world, including the United States, the company said.
Tech companies like Amazon (AMZN) with Prime Video, Apple (AAPL) with its Apple + service, Google (GOOGL, GOOG) with YouTube have outstripped TV channels and are now competing in the streaming space with Netflix (NFLX) and others. Facebook, in turn, has the potential to occupy a significant niche in online live streaming.