Many people were skeptical when the WWE went to a subscription based business model and pretty much left behind relying on Pay-Per-View buys from consumers. It was a risky decision but looks like it has been a great idea so far.
According to a report by FoxBusiness.com, the WWE has shown a large revenue increase since last year:
“WWE Inc. is expected to report revenue of $161.27 million for 4Q 2015, according to consensus estimates. That’s a 14.80% increase from the same period one year ago, when WWE generated sales of $140.50 million”
Also, talks about the impact that network subscribers is having on their business model:
“CEO Vince McMahon’s sports entertainment company surpassed all expectations in 3Q, buoyed by its announcement that WWE Network, a key growth driver, had more than 1.2 million paid subscribers”
SOURCE: FOX BUSINESS
Good news for the WWE as it looks like their business strategy is working. I really believe that going to the network was a fantastic decision. No one in this day and age wants to spend $50 dollars plus to buy a Pay-Per-View.. There are just too many alternatives out there for consumers to either pirate it online or skip the show and catch the highlights. $9.99 is a great deal considering all the extra content you get along with the monthly shows.WWE
