THOUGHTS

Sports facing huge challenges, OTT provides optimism

24/06/2020 01:40 AM
Opinions on topical issues from thought leaders, columnists and editors.
By :
Dr Nurzali Ismail

A recent study conducted by the Pew Research Center reported that nine out of 10 adults in the United States are affected by the coronavirus. The same research also revealed that 44 per cent of Americans think that their lives have changed dramatically due to the pandemic. The situation is similar everywhere else as people across the globe continue to struggle adapting to changes in their lives.

Embracing the new normal is not easy, considering that there is a huge void left by our ‘old’ way of life. In relation to sports, many of are still adjusting with the new norms. There is only limited live sports action to watch. Participating in our favourite sports also is difficult and, in many instances, is still not possible due to the social distancing.

Charting a way forward

In April, the Football Association of Malaysia (FAM) submitted a formal request to the government, seeking permission for the games to restart after the Movement Control Order (MCO) is lifted. In response, the Malaysian government decided not to allow football to be played as it is a team sport that involves physical contact. It is deemed to be against the standard operating procedures (SOPs) related to social distancing, movement and mass gathering.

Many other sports events also suffer a similar fate, as they are either cancelled or suspended for the time being. Even if sports resume in the near future, the way these events are organised will be different compared to what we were used to.

As Malaysia and other Asian countries begin their recovery plans, sports in the region are charting a way forward too. The Korea Professional Football League (K-League) was among the first competitive sports action to start following a two-month delay. Global interest in South Korean football shows that fans are desperate for live sports action. This is in line with ESPN survey findings which indicate that fans are keen for sports to resume even without fans in attendance.

The prospect of having to play in an empty arena is not ideal for every stakeholder involved. But that may possibly be the best option for now, rather than witnessing sports collapse. The multibillion dollar industry has already suffered a huge loss due to the pandemic; hence, it could not afford to succumb further.

The rise of OTT

As fan attendance is not expected for the foreseeable future, the attention is shifted to the role of digital media in bringing sports live. In recent years, sports live-streaming and on-demand videos have grown enormously, disrupting the conventional model of sports broadcasting. The coronavirus situation pushes its importance further and over-the-top media streaming (OTT) is set to become the cornerstone for sports in Asia for years to come. The significance of OTT is evidenced in the massive surge of the consumption of streaming media content during the lockdown period.

While pay television is still holding the cards due to the existing broadcasting rights of many major sports events for now, the landscape is about to change. The Premier League that has a huge following in Asia is set to implement a new business model beginning 2022, by offering its own Netflix-style streaming content direct to consumers. In fact, amidst the coronavirus situation, it was recently reported that selected Premier League games will be streamed for free on YouTube when the competition resumes.

Closer to home, the K-League opening match between Jeonbuk Hyundai Motors and Suwon Samsung Bluewings was streamed on YouTube and Twitter, making it available to a worldwide audience. Similarly, in Taiwan, the Chinese Professional Baseball League (CPBL) has also been streamed live. CPBL attracted the attention of American baseball fans who are missing the Major League Baseball (MLB) action.

One very interesting point about OTT is that it allows every sports action, however big or small, to be streamed live to a worldwide audience, satisfying niche interests of sports fans. This is made possible by the lower cost of the OTT content production. Whereas, in pay television, broadcasting is expensive and the decision to broadcast sports action is made mainly based on the return of investment (ROI) principle.

Online streaming

Based on sports fans’ perspectives, many believe that online streaming service provides a greater value compared to pay television. OTT also offers a wide range of sports choices and flexibility. Sports fans have the opportunity to access high quality sports content of their interest and at their own convenience.

Sports fans appreciate the adrenaline rush, emotional charge and excitement of watching actual sports action. OTT has the capability to enhance sports fans’ experience by offering comprehensive information and analysis and, at the same time, provide two-way communication which is lacking in linear television. After all, sports are a social institution that connect people and promote the sense of community.

The prospect of OTT is appealing to brands too because it provides them with the opportunity to target sports fans strategically through their online behaviour. This allows advertisers to segment the market and to perform personalised marketing efforts using artificial intelligence and machine learning algorithm.

Amidst the difficult situation, changes are inevitable. The new normal may change many aspects of sports including the way how they are consumed, but OTT provides optimism, a silver lining for sports fans.

-- BERNAMA

Dr Nurzali Ismail is the Dean of the School of Communication, Universiti Sains Malaysia (USM). He occasionally writes on sports communication.

(The views expressed in this article are those of the author(s) and do not reflect the official policy or position of BERNAMA)