Strong Indicator that a Business is Thriving
UFC looms closer to the mainstream is a Yahoo Sports article written by Kevin Iole. Iole writes of one of the most phenomeonal success stories in the business of sports which could be a template for businesses success in any field. The driving force behind the success of the UFC, the leading organization in the world of ultimate fighting, is UFC President Dana White. White is a former fighter who is very familiar with all aspects of the sport but whose business acumen has lead the UFC from obscurity to the verge of joining the mainstream sports world.
One of the markers of the UFC's growing popularity is their fine showing in pay-per-view cards. Some recent events have exceeded a million in pay-per-view sales. This in spite of competition from boxing and another ultimate fighting sponsor. White and his partners Lorenzo and Frank Fertitta have increased the value of the UFC from the purchase price of 2 million in 2001 to a current value of over one billion.
What accounts for the meteoric success of the UFC? There are several factors. One, already alluded to, is the resourceful leadership of the company. Timing is another factor. The sport is on the rise and the UFC is riding a wave while making plenty of waves of their own. The company has been very aggressive yet wise at the same time. Every opportunity is taken to expand the sport into locations not previously exploited. Europe has become a target market. The U.S. has become an established market. Japan and Brazil, which furnish many ultimate fighters, are venues already familiar with the sport.
Yet not long ago ultimate fighting faced numerous legal obstacles within the United States. Legislators threatened to ban the sport and state athletic commissions withheld needed sanctioning. The UFC reacted with key rule changes intended to make the sport safer while mollifying critics. The strategy has worked and while some states are still holding out there are enough big market states available to host events. Ultimate fighting is here to stay and the UFC is a big part of it.
One of the markers of the UFC's growing popularity is their fine showing in pay-per-view cards. Some recent events have exceeded a million in pay-per-view sales. This in spite of competition from boxing and another ultimate fighting sponsor. White and his partners Lorenzo and Frank Fertitta have increased the value of the UFC from the purchase price of 2 million in 2001 to a current value of over one billion.
What accounts for the meteoric success of the UFC? There are several factors. One, already alluded to, is the resourceful leadership of the company. Timing is another factor. The sport is on the rise and the UFC is riding a wave while making plenty of waves of their own. The company has been very aggressive yet wise at the same time. Every opportunity is taken to expand the sport into locations not previously exploited. Europe has become a target market. The U.S. has become an established market. Japan and Brazil, which furnish many ultimate fighters, are venues already familiar with the sport.
Yet not long ago ultimate fighting faced numerous legal obstacles within the United States. Legislators threatened to ban the sport and state athletic commissions withheld needed sanctioning. The UFC reacted with key rule changes intended to make the sport safer while mollifying critics. The strategy has worked and while some states are still holding out there are enough big market states available to host events. Ultimate fighting is here to stay and the UFC is a big part of it.
Labels: Business News
posted by Paul Williamson at
10:04 AM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home