Column: Amazon gambles on Thursday Night Football

Posted on Apr 10 2017 - 7:32pm by Nestor Delgado

Prime Video. Prime Music. Prime Delivery. Now, there’s yet another perk of being a member of Amazon Prime: Thursday Night Football.

Earlier this week, Amazon.com, Inc. outbid Google, Twitter and Facebook to reach a deal with the NFL to stream 10 Thursday Night Football games on Amazon Prime next fall for the steep price of $50 million per season. For comparison, last year Twitter reached a deal with the NFL to live stream Thursday Night Football games for $10 million per season.

Although CBS, NBC and the NFL Network will continue to split national television coverage of Thursday Night Football, the drastic change in price Amazon paid shows companies are starting to value Thursday night games at prices previously only commanded by Sunday and Monday night games. As criticisms of the NFL’s television coverage continue to mount, most stemming from the increasingly prominent number of commercials, Amazon is hoping to strike gold at the right time.

Despite the steep price, this deal holds mutual benefits for the NFL, as well as Amazon. The NFL is able to reach a wider audience, as this deal is projected to increase viewership by an estimated 60 million people.

Amazon also gains an opportunity to utilize America’s passion for sports to further its “e-commerce” platform, as many professional sports leagues have already begun to do. This move will allow Amazon to gain an edge on companies like Netflix, Walmart or even ESPN because its product can be tailored to individual consumers.

Amazon has discussed plans to streamline e-commerce, as an advertising tool, into commercials during Thursday Night Football in order to sell sports gear or other Amazon goods to Prime members. For instance, if an Amazon Prime user has searched for a specific product before tuning into an NFL game, that user could be presented with commercials pertaining to that product.

In the past few years as Amazon has entered into the “streaming” market alongside Netflix and Hulu, it has made unorthodox moves in order to increase its clientele. Amazon’s recent acquisition shows a commitment to innovation; in this economy, “service”-oriented companies can and will collaborate services to maximize profit.

In addition, this deal only supports rumors that Amazon wants to provide a “premium sports package” for members who would be able to live stream sports from professional basketball and soccer to American surfing leagues.

While fans of the NFL will no longer be able to watch Thursday Night Football for free using their Twitter accounts, this move is bold and gives Amazon an opportunity to provide Prime members with the ultimate American football fan experience.