Sports

What An NFL Lockout Could Mean For Media

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Chicago Bears

Chicago Bears (Photo by Jamie Squire/Getty Images)

An extension to the NFL’s deadline for a new collective bargaining agreement gives some hope that something will be done in the next 24 hours. If no one can come to an agreement and we don’t see football in 2011, or even just part of the season, the effects would be seen beyond the sport.

According to a report by MSNBC, media companies could take a huge hit in revenue. The audiences of the networks that carry the NFL had grown 7.4% in 2010 and the sport’s popularity makes televised games prime TV real estate for advertisers.

If there is a 2011 football season, there could be record TV revenue from advertisers. Nearly $4.2 billion could be made from advertising with the NFL. Where would that money be spent if an agreement can’t be made?

To fill the gap of missing games, advertisers would push their advertising on college football games and post-season baseball games more.

Prime-time TV could benefit as a higher demand of original shows could rise to replace a season without football.

If you’re a fan of the Madden NFL video games, Electronic Arts could also feel the effects of a season without football. Without football on TV and generating the interest that it does, EA is expecting to sell 30%-45% fewer Madden games.

Revenue isn’t the only thing at risk either. A lockout could turn people’s interests elsewhere and it may take a while for the NFL to rebuild it’s audience.

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