EA Sports MMA and UFC Undisputed 2010 Updates Plus Black Friday Deals

Posted in MMA Payout, opinion and analysis, video games on November 25th, 2010 by MMAPayout

In the spirit of the holidays, I would like to share some great deals for MMA and video game fans who have held off buying any titles until the holiday deals to save a couple of bucks.  I will also discuss the recent EA Sports MMA and UFC Undisputed 2010 iPhone/iPad releases along with overall sale figures.

Best Buy Link:

http://www.bestbuy.com/doorbusters

GameStop Link:

http://www.gamestop.com/gs/weeklyad/current/112610US/default.aspx

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EA Sports MMA and UFC Undisputed 2010 Updates:

UFC Undisputed 2010 was released on the iPad and iPhone by THQ Wireless on Nov 12, 2010 (selling for $6.99) just a few weeks after EA Sports MMA was released by EA Mobile (selling for $4.99) on the same platforms on October 20, 2010. As of today, EA Sports MMA has had 405 customers review the app, while UFC Undisputed 2010 has only had 17 customers review the app.

Both games have received good customer feedback, but it appears that after 12 days of being available on the Apple Store, UFC Undisputed has not taken off with the fans.  It is currently not in to the top 50 most popular apps or in the top grossing apps, where EA Sports MMA was ranked in the top 35 most popular paid apps and ranked as the 12th most grossing app for apple a week after it was released. Not exactly sure why Undisputed has not taken off on the iPhone/iPad yet considering the good reviews so far, but the $2 dollar pricing difference between the games could be impacting the sales, along with THQ releasing the mobile version of the game months after the console version was already released.

On the console side, after 4 weeks, EA Sports MMA has sold roughly 80,000 (XBOX 360) and 74,000 (PS3) copies  of the game worldwide, not yet taking into account sales from Japan since they are not available at the time.  That is roughly about 154,000 total copies sold on both consoles worldwide according to VGChartz.  On the other hand, UFC Undisputed 2010 has so far roughly sold after 10 weeks,  614,020 (XBOX 360) and 570,549 (PS3) copies worldwide, for a total of 1,184,569 copies sold.

The year has been a tough one for MMA video game releases, where analysts attributed the weaker than expected sales to releasing the games around the same time blockbusters like Red Dead Redemption (6.57 million copies sold worldwide) and Fallout: New Vegas (2.50 million copies sold worldwide) became available. GameSpot reports that “… a number of analysts–Wilson included–circulated notes to investors offering their takes on what did and didn’t live up to expectations. While NBA 2K11 and Fallout: New Vegas both exceeded Wilson’s expectations, many of the month’s other high-profile games did not. In particular, Wilson called NBA Jam for the Wii and EA MMA “dismal failures so far.”

THQ’s bottom line was heavily impacted this year due to lower than expected game sales, including the UFC Undisputed 2010 sale figures expected for this year compared to last years release, as the company saw their shares sharply drop from $8.29/share to $5.01/share as it currently stands this year.  In response, THQ has pushed out their release cycle from 12 months to 18 months, hoping to get better results on their next release. EA Sports MMA, originally set to release every other year, has said it is too early to make any decisions on whether we can expected another EA Sports MMA title in the future, as they will see and analyze how the sales go during the holiday season.

Pacquiao Payout: PPV numbers and other observations

Posted in boxing, gate, MMA Payout, opinion and analysis, pay-per-view on November 20th, 2010 by MMAPayout

According to early estimates, PPV buys for the Margarito/Pacquiao fight were estimated at 1.4 million viewers. This is double the amount for Pacquiao’s fight with Joshua Clottey in March. It also is the number for the Floyd Mayweather/Shane Mosley fight in June.

Lance Pugmire of the LA Times posted a tweet stating that the attendance figure of 41,734 was a disappointment. At the post-fight press conference, Bob Arum citedtough economic times as a factor for the low attendance. In comparison, the attendance for the Pacquiao/Joshua Clottey fight in March at Cowboys Stadium was 50,994.

Payout Perspective:

Preliminaries

Jones/Soto-Karas action. Admittedly, the establishment I went to watch the fight had multiple televisions so I was watching the Oregon-Cal game during most of the prelims. However, I did catch the Mike Jones/Jesus Soto-Karas fight. The fight was highlighted by a flurry of action in the 2ndround as Jones hit Soto-Karas with punches in bunches. However, Jones expended so much energy it allowed Soto-Karas to get back into the fight. In the end, Jones won a controversial decision.

Missing the Ghost. It would have been great if Kelly Pavlik was on the card. Pavlik pulled out due to injury. Although on the downside of his career, he is a known fighter and his presence would have complemented the card.

Main Event

There was some pre-fight drama as the hand wrap controversy came into play. But, it was the Margarito camp taking issue with Pacquiao’s hand wraps. Not to be outdone with the gamesmanship, Pacquiao’s camp believed that Margarito was drinking something with the banned substance Ephedra. It appeared to be coffee with Splenda. The broadcast did a good job of investigating the issue by sending Max Kellerman to the back. Although comical, Kellerman provided an up to the minute account of the issues going on in the locker room. While it distracted viewers from the Jones/Soto-Karas fight, it kept people apprised of what was going on in the back. It would be nice to see MMA broadcasts take a page from this from the perspective of providing backstage interviews and more shots of the preparation going on in the back.

Pacquiao/Margarito– A dominating show by Pacquiao. The fight could have been stopped multiple times and it looked like the referee was hoping for a flurry of punches to stop Margarito similar to the end of the Pacquiao/Cotto fight. In his past few fights, it seems that Pacquiao gets bored during the fight (see e.g., the curly shuffle or taking breaks during rounds by putting up his hands and absorbing shots).

Miscellaneous Observations

-  The marketing for the fight has been examined hereand here. Also, Tecate remained a constant presence at the fight.

-  If you watched HBO’s 24/7, you noticed that Affliction sponsored Antonio Margarito. Nike adorned Pacquiao and entourage with various t-shirts coming to a store near you. I would be interested to know if there was any difficulty for Margarito to find sponsors. Secondly, did Affliction have any concerns with sponsoring Margarito.

-  HBO 24/7 is one of the best shows in hyping fights. UFC’s version is a good runner-up. The 24/7 series will be hyping NHL’s annual New Year’s Day outdoor hockey game. Although not a big fan, I will be tuning in. 

-  Buboy Fernandez:  Pac-Man’s success has made this second a noticeable figure. On Saturday, he was adorned with more sponsor patches than anyone in the entourage. As long as Buboy gets a cut of what he wears, I am happy for him.

-          Nelly: His mini-set was met by boos where I was watching. Its good publicity for Nelly, but frustrating to all that were waiting for the main event. It is customary that the main event occurs immediately after the national anthems. When Nelly was announced by Buffer, it deflated the crowd.

-  Max Kellerman: Nothing against Larry Merchant, but I think Kellerman does an all around good job in analysis and interviewing (despite his run-in with Mayweather after the Marquez fight). He also was a good offset to Jim Lampley and Emmanuel Steward who tend to wander. I noticed he stuffed Lampley’s attempt to go with the consecutive “Bangs” a la the Clottey fight.

-  Post Fight Interview: I thought it was interesting that Kellerman asked and got an honest answer from Manny Pacquiao as to whether he took it easy on Margarito in the last round. You could see Kellerman taken aback that Pacquiao admitted to easing up. It was interesting to see how he hesitated in considering whether or not he asks a follow up question. While some may think this shows a lack of killer instinct, it also shows the compassion Pacquiao has for his fellow fighter.

Future Fights

There is much debate as to whether Floyd Mayweather and Manny Pacquiao will ever fight. This would be the only fight that makes sense and would draw huge PPV and attendance numbers. Mayweather (Floyd and Roger) legal troubles and failed negotiations are hurdles to this superfight.

Despite Shane Mosley’s pleas, it would be hard seeing him winning a fight with Pacquiao. Also, his recent fights aren’t cause to be excited about this matchup. Juan Manuel Marquez could be an option but I am not sure if that is the fight the Pacquiao camp wants since he lost to Mayweather.

Other fighters such as Timothy Bradley, Devon Alexander or Andre Berto are not marquee names that would excite the casual boxing fan.

UFC 122 attendance figures and gate

Posted in gate, marketing, MMA Payout, UFC on November 16th, 2010 by MMAPayout

MMA Junkie reportsthat this past Saturday’s UFC 122 in Olberhausen, Germany drew 8,421 fans for an estimated gate of $600,000. The figures were revealed in the post-event press conference.

The numbers were less than the UFC’s last visit to Germany in June 2009. UFC 99 at the Lanxess Arena in Cologne drew 12, 854 and a live gate of approximately $1.3 million.

From MMA Junkie:

Due to a government ban on UFC content broadcasting in the country, past negative press, and a ban on minors from attending shows, the organization has faced hurdles in Germany. UFC president Dana White and UFC-Germayn promoter Marek Lieberberg both said it simply will take time to continue growing the sport in the country.

Despite the success of the UFC’s debut, the event was met with stiff opposition from the beginning. Questions about the barbaric nature of mixed martial arts, fueled mostly by outdated and simply false information, troubled the UFC prior to UFC 99, and the promotion was forced to ban fans under 18 years old from attending. (MMA Junkie)

MMA Fightingspoke with UFC VP of Regulatory Affairs Marc Ratner about UFC 122:

“To grow the sport, you have to keep educating,” Ratner said. “We want to do business in Germany. We want to show the people and the newspaper people…that’s the only way to do it. If you just walk away and say, ‘Gee, they won’t let us be on TV,’ it doesn’t make sense. So we’re just going to keep pushing. It was the right decision and I’m glad we did it.”

Payout Perspective:

The attendance figures were low but this can be explained by the issues with the German government. It will be interesting to see the number of fans that viewed the event online. That number could be telling in determining how many German fans want to see UFC in their country.

Notwithstanding the barriers, with the growing popularity of MMA and the various countries that could host a UFC event, it’s interesting that the UFC is expending this effort in Germany. Based on the numbers, it will take additional events (and lobbying efforts) before MMA is accepted. A lawsuit is still pending and the results will indicate how much the UFC wants Germany and vice versa.

Strikeforce Challengers 11 Payouts, Attendance, and Ratings

Posted in MMA Payout, payouts, Strikeforce on October 30th, 2010 by MMAPayout

The California State Athletic Commission has released fighter payouts for Strikeforce Challenger 11. Billy Evangelista ($10,000) and Lavar Johnson ($10,000) were the top earners of the event. In total, Strikeforce paid out $52,000 in disclosed payouts.

Payouts

Note: that the money reported below is only the money required to be reported by the commission.

Courtesy of MMAJunkie.com:

Main Event

Bobby Voelker: $9,000 (includes $4,500 win bonus) def. Roger Bowling: $3,500

Main Card:

Lavar Johnson: $10,000 def. Virgil Zwicker: $3,000

Billy Evangelista: $10,000 def. Waachiim Spiritwolf: $2,000

Julia Budd: $3,000 ($1,500 win bonus) def. Shana Olsen: $3,000

John Devine: $4,000 ($2,000 win bonus) def. Brandon Cash: $3,000

Under Card:

David Douglas: $3,000 ($1,500 win bonus) def. Dominic Clark via TKO (punches): $1,500

Gate and Attendance

MMAJunkie reports that Strikeforce Challengers 11 drew 3,656 attendees for an official live gate of $60,885.  The numbers were much lower than the Challengers 7 event held in the same venue back in March, where it drew 4,963 attendees for a $109,222 gate.

Ratings

MMAJunkie also reports that Strikeforce Challengers 11 ratings peaked with 260,000 Showtime viewers. Overall, the show averaged 178,000 viewers (0.59 rating) and peaked during the main event  between Bobby Voelker and highly touted Strikeforce WW prospect Roger Bowling, which pulled a 0.86 rating.  In contrast, the  Challenger 10 show averaged 237,000 viewers, peaking at 280,000.

This event was the lowest rated Strikeforce Challengers event this year, but it is of no surprise considering the competition they had surrounding them.  They went up against the Rangers vs Yankees MLB Playoff game head-to-head on that day, plus had the Bellator Eddie Alvarez vs Roger Huerta fight on the day before, and the HUGE UFC 121: Lesnar vs Valaszquez card the following day.  Not surprisingly, it received little buzz going into the event.  The silver lining here is that the show peaked at 260K with no real big names on the cards and had some serious competition from MLB, Bellator, and the UFC, which is a good number for a Challengers card.

EA Sports MMA Addresses “One-and-Done” Rumors

Posted in MMA Payout, opinion and analysis, Strikeforce, video games on October 28th, 2010 by MMAPayout

Rumors have been floating around for the past couple of days involving the recently released EA Sports MMA title being “one-and-done” and “dead on arrival” according to Cowen & Company analyst Doug Creutz, but when MMAPayout reached out to EA Sports marketing manager Randy Chase, he told us that the report is a bit premature.

The video gaming website ComputerAndVideoGames was the first to report Crutz analysis of EA Sports MMA, which was then picked up by many MMA websites, eventually reaching ESPN’s MMA blog and other big name online media.  Crutz went on to say in his report:

“EA’s recently released ‘MMA’ appears to be more or less DOA at retail, while UFC recently announced an extension of its license with THQ, likely putting an end to EA’s efforts to expand into the mixed martial arts genre,” the analyst said in a research note this morning.

The ComputerAndVideoGames article also goes on to note that EA Sports MMA debuted at No. 23 this week, just edging out another competitor which was released on the same day, Activision’s DJ Hero 2 which debuted at #25.  The key factor for the disappointing debut for both titles was the the same week release of Fallout: New Vegas, which finished #1 on the chart and was highly anticipated by many video game enthusiasts.

EA Sports released the following statement regarding the rumors:

“EA SPORTS MMA has been in stores for less than a week and it has been well received by critics and consumers for bringing innovation to the genre.  We are confident the game will connect with fight fans.”


Contrary to what Crutz said on his report, PastaPadre, a well known sports video gaming news and analysis website within the industry, believes there is a future for EA Sports MMA.

Just one week after the release of EA Sports MMA there are analysts predicting that the company will cease making an MMA game going forward. Sales are reportedly soft and with THQ locking up the UFC license through 2018 the thought is being perpetuated that there is no room to grow and pushing forward would prove futile. That really isn’t the case however and EA is not likely to abandon a growing sport when they have now established themselves as players in the market even as that comes from an underdog role.

Keep in mind these are the same analysts who just recently discussed poor sales coming in for Madden 11 only to have the official sales numbers release and the game show a 12% year over year increase. Basically take anything an analyst says with a grain of salt because they are not tied into the goings on of the sports gaming world and may not be even using official data. They are just looking at numbers and not taking into consideration the context of them.


Payout Perspective:

The low initial sales was something that  MMAPayout noted in the EA MMA perspective write-up, and something that should be expected as realistic expectations for this title release.  We also mentioned that the game was well received with good scores from respected video game websites/publishers and also garnered positive user feedback.

As PastaPadre points out, EA went into this project with full knowledge of being the underdog in the market and had realistic sale expectations for sales.  The key here, if they choose to continue the franchise in 2012, is to establish the base for an MMA franchise that can be released on alternating years with their Fight Night boxing franchise. Though we must point out, releasing the game on the same week as highly anticipated Fallout: New Vegas was released was a big mistake (just as THQ did with releasing UFC Undisputed 2010 in the same week as Red Dead Revolver) and affected their sales.

Despite the low sales this year for both MMA franchises, there is no doubt that the MMA market is still growing and is predicted to keep growing in the next several years, so it is well worth their while to stay in the market. There is no doubt that the UFC brand creates an almost impossible hurdle for EA as they continue to dominate the market, but they also don’t have the pressures of having high licensing costs attached to the game, which ultimately lowers the expectations of the game.  Only time will tell what EA decides to do with the franchise, but I believe it is just too early to make decision’s of this magnitude based on the current conditions.  When MMAPayout asked EA Sports if there were any existing plans for a 2012 release, they said we were already working on it.

UFC 121: Payout Perspective

Posted in booking, Featured, financial, gate, mainstream, marketing, MMA Payout, pay-per-view, UFC on October 25th, 2010 by MMAPayout

Welcome to another edition of Payout Perspective! This week we’re taking a look at UFC 121: Lesnar vs Velasquez which was held at the Honda Center in Anaheim, California on Saturday, October 23rd. The event featured a heavyweight title clash between Brock Lesnar and Cain Velasquez, but also featured the debut of Jake Shields in the Octagon as well as the return of Tito Ortiz.

Velasquez punishes Lesnar, vaults UFC into new territory

Cain Velasquez was able to negate Brock Lesnar’s tremendous size and athleticism with his combination of wrestling prowess and stand-up acumen. He then displayed a great deal of patience and poise in picking Lesnar a part on the ground to finish the fight. Velasquez is the real deal. He may not be the best pure wrestler or pure striker in the division, but he’s the most well-rounded. Perhaps even scarier is the fact that he’s only 28 and still got room to improve just about everything.

The business implications of this fight are several and involve a bit of a trade-off between the short and long term. Lesnar is the sport’s top draw and best mainstream enabler, but he’s likely to lose a bit of his appeal without the belt. Certainly the 1 million buy guarantee is probably gone unless he fights Mir in a rubber match or lands another title shot. However, it is my belief that we’ve witnessed the birth of the next big draw in the UFC in the form of Velasquez. He may not be the most stirring interview or imposing physical specimen, but he finishes fights and that is ultimately what the fans care about most.

Velasquez also happens to bring a new demographic to the table. Say what you want about the UFC’s marketing tactics for this fight, but it knew it had to hedge its bets when promoting this fight. Velasquez may not sell 1 million PPV buys every fight, but he will prove to be a solid draw for the company on the merit of his 89% stoppage rate and the fact that he gives them a somewhat credible entry point into the Hispanic market both North and South of the border.

I also like this new heavyweight reality from the perspective of asset management. Velasquez is likely to fight more often than Lesnar, which means a quicker turnaround for lucrative heavyweight title fights for the UFC. Lesnar is also now unquestionably the biggest non-title draw in the UFC and someone that can anchor a successful PPV card without title fight support. This single fight has just given Joe Silva a host of new options to play around with when booking fights over the next 6-12 months.

Shields earns win, not fans

Jake Shields did what he does best on Saturday and that’s smother his opponent. It wasn’t an endearing performance and it seems reasonable to assume the UFC was looking for a little more from him last night. However, he did get the job done and remains the front runner to challenge the winner of GSP-Koscheck II, according to Dana White. The choice between Shields and Fitch – both of whom have similar styles – has likely come down to providing the welterweight division with a fresh-faced contender. Shields has been hyped for so long as the best welterweight outside the UFC that he’ll likely generate more interest than a guy like Fitch.

Note: Keep a close eye on the payouts this week. It’ll be interesting to see what kind of guaranteed money Shields received from the UFC to defect from Strikeforce.

Ortiz classy in defeat, but that may not help him

Tito Ortiz may have been all class on Saturday night, but I’m not sure that’s going to help him stay in the UFC. He’s now lost four of his last five bouts and is no longer a relevant player within his division – not even as a gate keeper. Furthermore he isn’t the PPV or live gate draw that he used to be which calls the nature of his sizable contract into question.

The new relationship between Ortiz and the UFC was founded upon mutual benefit, but I can’t see it lasting if Ortiz no longer brings something to the agreement. This is simply the nature of the business.

UFC 121 draws the smallest gate of Brock Lesnar’s career

The UFC drew 14,856 to the Honda Center on Saturday night for UFC 121, which generated $2.15 million at the gate. Here’s the paradox: UFC 121 has come in as the lowest gate of Brock Lesnar’s career but on an event that will likely become the second or third highest-grossing PPV card of his career.

It’s difficult to reconcile the above, but I think it’s largely reflective of ticket pricing. The range for this fight was $75, $125, $200, $300, $400 and $500. While the demand for this fight may have been there at lower ticket levels or on PPV, the $300+ tickets may have exceeded the Anaheim MMA area reservation price.

I’d be very interested to learn whether the UFC is experimenting with any sort of ticket pricing sensitivity models, because from what we’ve seen over the last few years it appears as though the company is leaving money on the table with some of these inflated prices. Sure, the UFC comps a couple thousand tickets every night and that’s great from an exposure perspective, but at some point you want to maximize ticket revenue. I’d also argue that there are benefits to making the consumer purchase a product that go well beyond short-term revenue: the consumer is far more engaged with a product when they’ve had to sacrifice something to get it and it’s certainly difficult to get someone to pay for something after they’ve been consuming it for free.

Sponsorship watch

UFC 121 marked the official debut of Boost Mobile as an official UFC sponsor. They had a host of cage and mat signage, cut graphics through the telecast, and a presence on the UFC promotional material in the weeks leading up to the fight. It’ll be interesting to see what they drum up in terms of activation. The company has already initiated a nationwide sweepstakes entitled Your Town, Our Fighter, which offers a UFC viewing party with the fighter of your choice. Interestingly, the promotional partner for this activation is Samsung. I’ve said for a while now that the consumer electronics industry ought to seriously look at a partnership with the UFC, and Samsung might be able to use this promotion with Boost as a way to test the waters.

UFC 121 Storylines: The Cain Velasquez Marketing Campaign

Posted in marketing, MMA Payout, UFC, Zuffa on October 23rd, 2010 by MMAPayout

The UFC has not been shy in how they are promoting Cain Velasquez.  From the UFC 121 commercial stating that Cain could be the first Mexican champion, to the promotional videos shown below, the UFC is clearly banking on the Mexican fans to rally behind their potential Mexican HW champion Saturday night.


El Guerrero – Cain Velasquez (fan made but endorsed by the UFC):


Fight Hub – Cain Velasquez Gets Mobbed In LA


NOTABLE QUOTES:

StitchDuranWeigh-ins was jammed packed with rabid fans. When I started the only Chicanos interested in the UFC where me and Tito. Not any more.

E. Casey Leydon (All Elbows)The brown angle is working well right now judging by the crowd here at the weighins.

Wrestling Observer (subscription)There is interest in the Mexican community in the main event. It’s funny because they really don’t know Velasquez, but because of all the commercials, people do know that a Mexican is challenging for the world heavyweight title and that has piqued interest.


Payout Perspective:

Boxing promoters have tried for many years to discover a Mexican HW champion that people could rally behind, knowing that the potential payoff in such a find would be huge due to the heavy Mexican support for their fellow fighters.  The strategy is nothing new to Boxing, who tried doing the same with John Ruiz (born in Massachusetts), who became the first Latino Heavyweight Champion after he defeated Evander Holyfield to capture the WBA HW Championship back in 2001.  Earlier this year, boxing was trying to do it again, though this time with newcomer Chris Arreola, but he was completely over-matched in his title bout against HW champion Vitali Klitschko.

The UFC is now trying to do something boxing has failed to do in the past, and that’s to find their “first” Mexican HW Champion (though Cain was born in the USA).  The potential payoff is huge again here, and if Cain were to win, the UFC can always come back to Southern California or Mexico, where Cain would become a huge draw.

This marketing strategy has irked quite a few fans and many have complained about the UFC “over doing it”, but these opportunities don’t present themselves very often in combat sports, and the UFC is looking to be one of the first to be able to cash in on the opportunity.  The weigh-ins for this event have already been reported to having more Mexican/Latino fans than ever before.  The only question now is if Cain can deliver and give the Mexican fight fans someone they can rally behind, which will ultimately mean a growing audience in the coveted Latino demographic.

THQ & Zuffa Extend Video Game License Agreement Through 2018

Posted in MMA Payout, press release, UFC, video games, Zuffa on October 22nd, 2010 by MMAPayout

THQ and Zuffa have officially announced an extension of their exclusive video game licensing deal to continue publishing their UFC branded franchises through 2018.

THQ Inc. today announced that it has extended its exclusive, worldwide agreement with Zuffa, LLC to publish videogames based on the Ultimate Fighting Championship(R) (UFC(R)) brand through 2018.

“We’re very excited to extend our relationship with Zuffa and the Ultimate Fighting Championship,” said Danny Bilson, Executive Vice President, Core Games, THQ. “Working closely together with Dana White and the incredible team at UFC, we plan to continue to deliver outstanding interactive UFC experiences to gamers around the world in all new ways, including social, mobile and brand extensions.”

“THQ has delivered the quality demanded by UFC and its fans with the first two Undisputed(TM) games and we are about to broaden the UFC brand experience among gaming fans through social and mobile apps,” said Dana White, UFC President. “We are impressed by the passion that THQ brings to making great games and we look forward to working together to create even greater gaming experiences for our fans in the future.”

Under the terms of the agreement, THQ has obtained the rights to create videogames for all current and next-generation consoles, PC and handheld platforms, in addition to certain social media and wireless rights, including iPhone and iPad. Rights also include online, downloadable and multi-player capabilities in connection with the various gaming systems.


Payout Perspective:

The deal was struck just a few months after UFC Undisputed 2010 fell short of expectations, shipping 2.7 million units for gaming consoles, trailing UFC Undisputed 2009 who shipped 3.5 million units the year before.  Due to the drop in sales, THQ decided to delay the next UFC Undisputed release and move the development for the title into a 15-to-21 month cycles instead of the originally planned yearly release. Since the next Undisputed release is not scheduled until the first quarter of 2012, THQ and Zuffa are planning to release UFC Trainer (a motion-sensored workout game) in January of 2011 for the Wii, PlayStation Move, and the Xbox 360′s Kinect.

The move to extend the licensing agreement with THQ was a bit of a surprise for some industry insiders, who expected Zuffa to shop around for the highest bidder.  Instead, UFC and THQ agreed to an extension which would guarantee at least 4-5 more Undisputed titles and plenty of other side projects such as the UFC Trainer game within that period.   The deal also guarantees exclusivity for the UFC brand to be developed into video games for the PSP, iPhone, and iPad mobile devices, which will be a vital market to target within the next few years.  Last month, THQ released the mobile version of Undisputed 2010 on the Sony PSP mobile platform.

American Top Team teams with exercise manufacturer

Posted in marketing, MMA Payout, press release on October 18th, 2010 by MMAPayout

Florida-based, mixed martial arts American Top Team (ATT) has partnered with exercise equipment manufacturer VertiMax.

The VertiMax uses resistance to condition the athlete. To use the VertiMax, the athlete puts on a waist harness that is secured by resistance-like bands that are tethered to a flat 3 or 4 foot platform. Various exercises can be performed but the most common exercise is a quick jump which forces the athlete to jump against the resistance of the bands. According to the web site, models retail from $1,7995 and up.

ATT’s press release:

We are excited to align ourselves with a top-notch company like VertiMax whose expertise and know-how in the field of strength and conditioning equipment will help our athletes maintain that competitive edge. The VertiMax has been utilized by manyof the world’s premiere athletes in the sports world such as the NFL, MLB and NBA to develop explosive power and speed.

Payout Perspective:

ATT’s strategic partnership with VertiMax is an intriguing relationship that other gyms and teams will follow to determine its success. For ATT, there is the likelihood of VertiMax sponsorship for its fighters. It is another training method that can work on strength and explosion.  For VertiMax, it opens its product to more athletes. It’s unlikely that many MMA athletes would use VertiMax but for the partnership.

Currently, the VertiMax web site states that Jon Jones, Rashard Evans and Frankie Edgar have implemented the VertiMax in their training. An impressive list. The success of the partnership will eventually be based upon the success of ATT fighters in competition. If ATT fighters win in competition, one may infer that the training works. If not, it will not. If ATT fighters succeed, VertiMax can approach other MMA gyms and teams to sell its product.

Strikeforce Diaz vs Noons II Payout Perspective

Posted in MMA Payout, payouts, ratings, Strikeforce on October 14th, 2010 by MMAPayout

Welcome to another edition of Payout Perspective! This week we’ll be taking a look at the Showtime event headlined by Welterweight Champion Nick Diaz, as he makes his first title defense and tries to avenge his only loss in the past 3 years against challenger KJ Noons.

The event took place at the HP Pavilion in San Jose, California and featured 4 fights (2 title fights): Nick Diaz vs. KJ Noons [WW Title] Sarah Kaufman vs Marloes Coenen [Women's 135 lbs Title], Josh Thomson vs “JZ” Cavalcante, and Tyron Woodley vs Andre Galvao.

Fighter Disclosed Payouts

MMAJunkie reports that Strikeforce: Diaz vs Noons II had a disclosed fighter payroll of $211,500.

Nick Diaz: $50,000
def. K.J. Noons: $10,000

Josh Thomson: $50,000
def. Gesias Cavalcante: $40,000

Marloes Coenen: $3,000 (includes $1,000 win bonus)
def. Sarah Kaufman: $20,000

Tyron Woodley: $15,000 ($7,500 win bonus)
def. Andre Galvao: $10,000

James Terry: $3,000 ($1,500 win bonus)
David Marshall: $1,500

Josh McDonald: $3,000 ($1,500 win bonus)
def. Ron Keslar: $1,500

Jess Bouscal: $3,000 ($1,500 win bonus)
def. Luis Mendoza: $1,500

DISCLAMER: These are the base salaries reported to the commission and do not reflect the total amount earned by each fighter.

Attendance and Gate

MMAJunkie reports that Strikeforce: Diaz vs Noons II achieved an attendance of 7,559 which places it near the bottom of their “Arena Series” events (a disappointing number) and a gate of $528,446.50 (which is on par with other similar Strikeforce events). The attendance number stands as the 5th  most attended event for Strikeforce this year.

- 11,757 spectators, “Strikeforce: Fedor vs. Werdum” (June)
- 8,635 spectators, “Strikeforce: Houston” (August)
- 8,196 spectators, “Strikeforce: Nashville (April)
- 8,136 spectators, “Strikeforce St. Louis: Heavy Artillery” (May)
- 7,559 spectators, “Strikeforce: Diaz vs Noons II (October)
- 7,010 spectators, “Strikeforce: Miami” (January)
- 5,259 spectators, “Strikeforce: Los Angeles” (June)

Ratings

MMAJunkie reports that Strikeforce: Diaz vs Noons II averaged 350,000 viewers for a 1.16 rating on Showtime this past Saturday night, but peaked at half a million viewers (509,000) for a 1.64 rating for the main event between Nick Diaz and KJ Noons. The average number is the third lowest rating for a major show this year but the peak number is very good for an event that didn’t feature any big names like Fedor, Gina Carano or Herschel Walker.  A key number to observe here is the peak number, which means more for Showtime because of the correlation between how many current and new subscribers are watching Strikeforce, which differs from the UFC, WEC, Bellator, and other promotions with TV deals (non-subscription channels) which are ad and rating dependent.

The average viewer numbers stands as the 4th  most watched event for Strikeforce this year but the peak number is a good indicator that fans tuned in to see the main event between Nick Diaz and KJ Noons.

- 517,000 viewers (peak not available), “Strikeforce: Miami” (January)
- 412,000 viewers (700,000 peak), “Strikeforce: Fedor vs. Werdum” (June)
- 367,000 viewers (470,000 peak), “Strikeforce: Houston” (August)
- 350,000 viewers (509,000 peak), “Strikeorce: Diaz vs Noons II (October)
- 308,000 viewers (448,000 peak), “Strikeforce St. Louis: Heavy Artillery” (May)
- 164,000 viewers (197,000 peak), “Strikeforce: Los Angeles” (June) [Special Wednesday Show]

Storylines Coming Out of Event

There were 6 major story lines coming out of the event this past weekend.

1) Heyman Hustle Signs with EA Sports to Promote Strikeforce Fighters for MMA Video Game Release

Note: Scott Coker recently told Fight Magazine in an interview that he is looking forward to working with Paul Heyman in the future.  MMAPayout has learned that due to some existing projects that Heyman is working on, he has to wait until those are completed before he could sign with Strikeforce.  He is currently working with EA Sports and is very possible he may join Strikeforce in 2011.

2) Strikeforce Officially Unveils New Logo, Product Line, and Online Store


World championship Mixed Martial Arts (MMA) promotion STRIKEFORCE will pre-launch its forthcoming online apparel store, StrikeforceStore.com, tomorrow/Saturday, Oct. 9, the day of its the world championship doubleheader STRIKEFORCE: Diaz vs. Noons II event live on SHOWTIME® at 10 p.m. ET/PT (delayed on the West Coast) from HP Pavilion in San Jose.

The pre-launch will provide fans with the opportunity to purchase apparel sporting STRIKEFORCE’s new, revamped logo. The complete, new online store is expected to officially launch at the beginning of December, just in time for the holidays.

3) Strikeforce Unveils Lineup for First DVD Release

A hard-hitting collection of brutal battles and thrilling knockouts featuring some of the greatest fighters of the world championship mixed martial arts (MMA) league, STRIKEFORCE MMA slams its way onto DVD October 12 from Showtime Networks, CBS Home Entertainment and Paramount Home Entertainment. This two-disc set is a must-have for MMA fans and includes the hottest fights of 2010—previously seen only on SHOWTIME®—along with rare bonus features including never-before-broadcast fights and exclusive interviews. (Strikeforce Press Release)

4) Strikeforce, Sherdog, and EA Announce “MMA Fighter Exchange” Project

Watch worlds collide as Strikeforce MMA giants Gegard Mousasi, Jacare Souza, Jason “Mayhem” Miller and Luke Rockhold take four up and coming fighters under their wing. See these fighters grow as they fly across the globe to train in new fighting arts in foreign countries. Follow each fighter’s page as they post daily blogs, photos, video and live twitter feeds about what it’s like to push their bodies and minds, learning from top fighters and famous trainers in unfamiliar lands, striving towards their dream shot at fighting in an upcoming Strikeforce Event!! (Sherdog)

5) Backstage Altercation Between Nick Diaz and Jason “Mayhem” Miller

- There was a backstage altercation between Nick Diaz and Jason “Mayhem” Miller, who were the main participants in the Nashville CBS brawl back in March.  There was a war of words between the two and Nick Diaz threw a water bottle at Miller, who was with his manager Ryan Parsons.  Allegedly, security had to step in and pull the two apart, escorting Miller out of the arena. MiddleEasy.com was said to have video of the altercation but nothing has surfaced yet.

6) A New Beginning for Strikeforce


- The Strikeforce regional promotion era, which began in 2006 and continued on even after signing their deal with Showtime and CBS is now gone.  The regional promotion that once set the North American record for the most attended event and first sanctioned event in California is all but gone.  For the past 18  months, it has been struggling to make the transition from regional promotion to worldwide brand, and it did so by finally changing their logo and appearance, which it debuted in this event. There are a number of ventures which Strikeforce is currently working on to grow and expand its brand, but the great regional support Strikeforce once had from its San Jose fanbase appears to be diminishing, partly due to local heroes such as Cung Le, Frank Shamrock (retired), and Cesar Gracie (retired) exiting the fight game.  Look for Strikeforce to move on to markets such as St. Louis, Texas, Southern States, and eventually the East Coast (New Jersey) by the end of next year.

Sponsor, Promotion and Marketing Watch

- As the norm, we always want more marketing and promotion from most every Strikeforce event, and its a topic that they juggle everyday regarding their budget, resources, and strategic planning for each event, but this time they hired AllElbows to produce the “Diaz vs Noons II -Collision Course” three-part documentary series.  This is something that fans were very receptive of, and hopefully something that Strikeforce, Showtime, and AllElbows will continue to support.

- All the usual sponsors where there for this event: FullTilt Poker, Rockstar, GoDaddy, ClinchGear, etc. As we like to point out here on MMAPayout, we always like to see more synergy between big sponsors and the promotions.  GoDaddy.com once again hosted their Strikeforce ticket contest, as they held a giveaway for lucky fans to win 2 tickets to the Strikeforce Diaz vs Noons II event. The HP Pavilion, EA Sports MMA, and Showtime, twitter feeds also did a commendable job at promoting the event.  Scott Coker himself (@cokersf) even started to tweet more around the event and looks like will continue to do so to promote his company from here on out.  We definitely want to see more of this from all of Strikeforce’s partners and sponsors.

Twitter Trends

Good news for Strikeforce here, as the key words “Marloes #Coenen“, “Tyron #Woodley“, KJ “#Noons“, and “Nick Diaz” were all top trends during the evening of the Strikeforce: Diaz vs Noons II event. In fact, “Nick Diaz” was one of the top trends that night, trailing just “Denzel Washington” ‘s Saturday Night Live appearance.  This event now holds the record for most Strikeforce fighters trending in one event.

That would make it 4 out of the last 5 events that have trended on Twitter for Strikeforce, with the latest having “#Strikeforce” and “#Jacare” trending from the Strikeforce Houston event, where Jacare won the vacant MW title when he defeated Tim Kennedy in the evenings co-main event.

Zuffa sues British PPV pirate

Posted in legal, MMA Payout, pay-per-view, UFC on October 12th, 2010 by MMAPayout

The Las Vegas Sun (H/t Bloody Elbow) reports that Zuffa filed a lawsuit in the United States District Court of Nevada on Friday against a British man, Daniel Wallace, for illegally streaming UFC PPVs over the internet. The UFC has filed a temporary restraining order prohibiting Wallace’s website, livevss.tv (associated with livevss.net), from streaming this Saturday’s UFC 120.

The Complaint alleges that Wallace operates a web site that illegally streams UFC PPVs for free. Wallace’s site makes a profit through the use of “pop up” ads shown throughout the streaming. Zuffa’s lawsuit (obtained via Pacer) claims that Wallace’s web site illegally streamed UFC 119. As evidence, it attached a screen grab as an exhibit to its Complaint.

Although UFC 120 is free in the United States, it will be available on PPV in Australia.

In conjunction with the lawsuit, Zuffa filed an Emergency Temporary Restraining Order and a Motion for Preliminary Injunction to stop the site from illegally streaming this Saturday’s fight card. It is requesting that the domain name registrar shut down the web site prior to Saturday’s UFC 120.

Payout Perspective:

The complaint and request for injunctive is an example of the crackdown vowed by the UFC against internet piracy of its PPVs. The following may seem familiar, it text is shown prior to UFC PPVs:

Warning: The unauthorized reproduction or distribution of this copyrighted work is illegal. Criminal copyright infringement, including infringement without monetary gain, is investigated by the FBI and is punishable by up to 5 years in federal prison and a fine of $250,000.

Although no criminal violations have been filed as suggested from the warning, the legal action reflects Zuffa’s aggressive legal strategy in enforcing its product. This lawsuit suggests that Zuffa is monitoring web sites that illegally show its content and will exercise its right to sue. In this case, Zuffa is requesting statutory damages up to $150,000 as well as legal costs, attorney fees and further monetary damages.

It is understandable that Zuffa is flexing its legal muscle in order to protect its brand as well as making sure that potential internet streamers (and those that may patronize pirate web sites) know that the UFC is monitoring the web. As a result, Zuffa hopes to deter pirated PPVs.

Strikeforce Inks Latin American TV Deal With SPACE TV

Posted in MMA Payout, Strikeforce, TV on September 28th, 2010 by MMAPayout

It was reported earlier this year that Strikeforce programming distributor Shine International had inked a deal with Turner to televise events in Latin America. MMAPayout has now learned that SPACE TV (Canal SPACE) will be televising Strikeforce programming exclusively in Latin America and the Caribbean starting with the Shamrock vs Diaz event this Wednesday, September 29 at midnight, with a replay set for Sunday morning at 10 AM.

SPACE TV Schedule:

September 29, 2010 : Frank Shamrock vs Nick Díaz
October 6, 2010: Evangelista Billy vs Mike Aina
October 13, 2010: Robbie “Ruthless” Lawler vs Jake Shields
October 20, 2010: Joey “Smokin” Villaseñor vs Evangelista “Cyborg” Santos
October 27, 2010: Gina “Conviction” Carano vs. Cristiane “Cyborg” Santos
November 3, 2010: Tim Kennedy vs Zak Cummings
November 10, 2010:  BillyEvangelista  vs Jorge Gurgel
November 17, 2010: Tyron “T-Wood” Woodley vs  Rudy Bears
November 24, 2010: Cung Le vs Scott “Hands of Steel” Smith
December 1, 2010: Marius Zaromskis vs Evangelista “Cyborg” Santos
December 8,  2010: Sarah Kaufman vs Tayako Hashi
December 15, 2010: Lavar Johnson vs Loloho Mahe
December 22, 2010: Dan Henderson vs Jake Shields
December 29, 2010: Alistair “Demolition Man” vs Overeem Brett Rogers
January 5, 2011: Roger “Relentless” Bowling vs Bobby Voelker
January 12, 2011: Robbie “Ruthless” Lawler vs Renato “Babalu” Sobral

Payout Perspective:

Strikeforce has had it’s mind set on expanding as a global brand after they inked a deal earlier this year with Shine International, when Shine made an announcement that they would be selling more than 70 hours of Strikeforce’s mixed martial arts (MMA) programming in six markets across Europe, Australia and Latin America.

SPACE TV is distributed in all of Latin America and the Caribbean, including countries such as Brazil, Argentina, Chile, Columbia,  Peru, Ecuador, Bolivia, Uruguay, and Mexico.  SPACE not only shows high level combat sports such as world class boxing and now Mixed Martial Arts, it also has a deal with the NBA and televises Hollywood blockbuster movies and various TV shows. SPACE TV was acquired by Turner Broadcasting Systems (a division of Time Warner) in 2007, in a package deal with channels such as Fashion TV, HTV, Infinito, I.Sat, Much Music, and Retro.  It is now currently being packaged with the previous mentioned channels along with TNT, TCM, truTV, and Tooncast.  The deal with SPACE will open up the Latin American and Caribbean market for the Strikeforce brand, set to reach millions of new viewers and for the most part, introduce the sport of MMA to new fans.

UFC 119: Payout Perspective

Posted in booking, Featured, mainstream, marketing, MMA Payout, pay-per-view on September 27th, 2010 by MMAPayout

Welcome to another edition of Payout Perspective! This week we’ll be taking a look at UFC 119: Mir vs. Cro Cop which was held at the Conseco Fieldhouse in Indianapolis, Indiana on September 25th. The event was headlined by a heavyweight tilt between former UFC Champ Frank Mir and Pride OWGP Champ Mirko Cro Cop.

Mir finishes Cro Cop in otherwise uneventful main event

Frank Mir ended a fairly lackluster main event with a bang when he delivered a crushing knee to the chin of Mirko Cro Cop. To that point neither fighter had managed to do much damage. The crowd booed consistently throughout the match, seemingly to break with applause only when referee Herb Dean intervened to separate the numerous stalls in the clinch along the cage.

If you subscribe to consumer psychology and believe in the recency effect, this event may be remembered for the dramatic knockout in the main event. However, given the volume of discontent currently visible on many blogs and MMA forum boards, it’s more likely to be remembered as an average event at best.

The win over Cro Cop won’t be enough to immediately establish Mir as the next in line after dos Santos, but it does provide the UFC with a solid fighter for a contenders bout in the future. He’ll also be available for a rubber match with Lesnar should Lesnar be defeated by Velasquez next month; an event that would provide the UFC with an extremely lucrative non-title PPV event.

TUF winner Bader takes next step, defeats Nogueira

The Ultimate Fighter has had a difficult time developing top-tier talent over the last few seasons, but Ryan Bader appears to be an outlier. Bader is 12-0 (5-0 UFC), an excellent wrestler with solid ground and pound, and an evolving stand-up game with decent power. His victory over Rogerio Nogueira wasn’t overwhelming, but he showed that he definitely belongs in the UFC’s top ten.

Prior to UFC 119, it was largely speculated that Jon Jones would face the winner of Nogueira-Bader. However, I’m not sure that makes a lot of sense at this point in time. Jones is not only at another level than Bader, but a win over Bader wouldn’t advance Jones’ career as much as a fight with someone like Forrest Griffin or even Thiago Silva. Plus, if you look at this from the perspective of continuing to develop Bader, it might be in the UFC’s best interest for him to fight someone else (perhaps also a Griffin or T. Silva).

UFC 119 meets mixed reviews

The jury is still out on UFC 119. I’ve heard and read everything from it was the worst UFC event of all-time to it was a solid card given the names and caliber of fighters involved.

I, myself, don’t think it was even close to the worst UFC show of all-time — I still think that’s UFC 72 — but I do see where some people are coming from. The card featured a host of decisions and a few grappling matches towards the end of the night that probably tainted how the entire show was perceived by most.

In fact, I’d argue the card was probably at a disadvantage to begin with. I’m inclined to believe that most people wrote the night off before it even began due to its lackluster main event and the absence of any truly compelling match-ups. Sometimes that’s a good thing, because it takes the pressure off the fighters and removes some of the expectation placed on an event. UFC 108 and 109 come to mind as events without great main events or compelling match-ups that ended up delivering entertaining fights. UFC 119 just wasn’t on that level.

However, I don’t think the performance of UFC 119 — the value it provided for fans or PPV buys it generated for the company — is an issue or cause for concern. The UFC is going to have bad, good, and great events just like any other sports property. The fans will continue to return so long as the UFC can consistently deliver a compelling reason to purchase the events. For example, this show certainly won’t prevent anyone from watching UFC 121 next month or dissuade them from UFC 124 in December.

This is interesting to me, because I think it underscores the continued development and growing sophistication of MMA fans. The hardcore fan is obviously quite well educated about the sport, but we’re now seeing similar levels of awareness from the average and casual fans (i.e., they are able to discern fights with good potential from fights with bad potential).

There’s definitely both a glass half-full and glass half-empty view to this trend for the UFC. If you’re an optimist, you see growth and a deeper level of awareness which should translate to an eventual expansion of the dedicated/hardcore fan base (your bread and butter). If you’re a pessimist, you’re perhaps disappointed that the influence of the UFC brand is slowly waining – people are no longer buying just because it’s a UFC fight.

Strong Prelim Show May Boost PPV Buys

The UFC 119 buyrate is expected to be relatively weak compared to the last eight events that have all done over 500k buys, but the stellar set of preliminary fights broadcast on Spike might help to boost the show’s bottom line. The Mitrione-Beltran slug fest went all three rounds and likely gained pretty well on viewership; and, despite the rather short nature of the Dolloway fight, his submission of Joe Doerksen was also impressive.

If you combine theose two bouts, it’s more than possible that the UFC did enough to convince additional households to purchase the fight card. It’s very tough to quantify any of the Prelim’s potential impact, but we’ll at least have an idea if it might have helped when we get the quarterly ratings this week.

Sponsorship Watch

This is often my favorite segment, but today I’m going to keep it short.

The one thing I really wanted to mention was the addition of Boost Mobile as a sponsor on the mat and cage padding. Boost has been slowly increasing it’s investment in MMA over the last year; most notably with it’s sponsorship of Rampage Jackson back at UFC 114. It appears the brand will be the presenting sponsor for UFC 120, so look for plenty of signage that evening. I’d also expect, seeing as it’s a Spike TV broadcast, that Boost will purchase some additional ad inventory to further activate it’s new found relationship with the UFC.

I’ll be watching this with a keen eye over the next couple of months to see where this relationship goes. The UFC is a potentially incredible platform for a mobile phone operator to advance on that coveted 18-34 demographic; especially one such as Boost that doesn’t require users to sign contracts.

Shark Fights CEO Talks PPV Expectations, Amarillo, and Financing

Posted in MMA Payout, Promoters, Regional on September 16th, 2010 by MMAPayout

Josh Gross over at Sports Illustrated interviewed Shark Fights CEO Brent Medley after making their PPV debut this past Saturday night with MMA veteran fighters such as Keith Jardine, Trevor Prangley, Houston Alexander, Rameau Sokoudjou, Paul Daley, and Joey Villasenor.

It’s no secret how successful the regional promotion has been in it’s home-base of Amarillo, Texas where they recently drew 10,918 MMA fans to their Shark Fights 12 Unfinished Business event.   Shark Fights also touts holding the attendance record for an outdoor MMA event in Texas set in 2009 with 10,603 fans.

Medley gives his thoughts on what he is trying to accomplish with Shark Fights, and what his reasoning is behind having single-fight contracts,  and borrowing other promotions fighters such as Strikeforce (Trevor Prangley, Joey Villasenor, Tarec Saffiedine, etc) for this event:

Waldburger, the Shark Fights 170-pound champion, heads to Austin on Wednesday for his UFC debut against highly regarded Californian David Mitchell. And while Medley would have happily promoted the 22-year-old welterweight Saturday night, he says he’s interested in raising talent that “makes it to the next level.”

What Medley believes will set Shark Fights apart from the crowded MMA promotional field:

Few, if any, have ever had a mascot (for what it’s worth, Shark Fights is set to unveil one in a few weeks), which Medley sees as a way to reach mainstream viewers with a product he wants to believe is family friendly.

Medley on Shar Fights 13 PPV expectations and keys for a successful event:

“I knew eventually we’d push to a network or pay-per-view,” said the promoter, who hoped for 30,000 to 50,000 buys. “I wanted to do it backward from some of the other promotions we’ve seen. I wanted to make sure we had packed houses and the live gate was built up enough. The only difference is you come in and plug your cameras into something that shoots it out across the nation.

Medley also spoke to MMAJunkie before the event took place, answer questions about how this event was put together and how they were able to finance it:

“One of the great things is that I’ve got great, great investors who are committed,” said Medley, a former pro fighter who owns a 1999 victory over WEC contender Leonard Garcia. “They’re big fight fans themselves. … So I went to them, and we got separate money for this show. I said I want it (the event costs, including fighters salaries) paid for before the event.

“I’m a fight fan then a promoter. … Are we trying to play with the big boys? Is this event going to leverage our company? The answer is no. The event is separate from our day-to-day profile.”

***

MMAJunkie reports that Shark Fights gave Alexander and Sokoudjou Fight Of The Night Bonuses:

Light heavyweights Houston Alexander and Rameau Thierry Sokoudjou were each awarded $2,500 “Fight of the Night” bonuses for their performances at “Shark Fights 13: Jardine vs. Prangley,” which took place Saturday night at the Amarillo Civic Center Coliseum in Amarillo, Texas.

Payout Perspective:

Shark Fights and Medley are following the keys to success for a regional promotion, which is first to build up a fan base and a home town (Amarillo), slowly building up your promotion with key strategic partnerships and deals (Sherdog, TapouT, Coor Light, ClearTalk, Hooters, Picture Lab Entertainment), and finally having enough backing and investors who are committed to your product where putting on a big show like they did Saturday night would not damage the company’s financial health or bottom-line.

It looks like Shark Fights has a good thing going here, using a footprint similar to what Strikeforce utilized to catapult to the #2 promotion in North America.

San Antonio News Paper Calls Bellator Event A “Bust”

Posted in Bellator, MMA Payout, sponsorships on September 10th, 2010 by MMAPayout

John Whisler, a sports reporter from the San Antonio Express-News was lucky enough to attend Bellator 27 and witness the great come from behind win against Joe Soto to win the Bellator featherweight title. The problem? There weren’t many other spectators there to witness a great main event.

San Antonio may have seen the last of the Bellator Fighting Championships.
The Chicago-based mixed martial arts company’s return to the Alamo City on Thursday was a box-office bust, as only about 600 fans showed up to see Bellator 27 at the Majestic Theatre.

This comes on the heels of the promotion’s first show in May at the Majestic that drew an estimated crowd of 1,000… The facility seats 2,300.

“It’s something we’re going to have to reassess,” Bellator CEO Bjorn Rebney said. “I still think this is a great fight town. I’d love to come back here.”

John, then went to address the issue in the article, stating that not much promotion was done for the event.  He then attributed Bellator’s biggest problem to be over-extension, as they schedule events around the country on a weekly basis during their seasons.

“It’s an interesting dynamic,” [Rebney] said. “Kansas City was sold out, Louisville (Ky.) was packed. Sales are going well for Philadelphia (on Oct. 21). But when you’ve got a bunch of events back-to-back, it puts you in a tough position as a promoter. Sometimes you’re going to knock it out of the park, and sometimes you’re not.”

In another interesting move, Bellator announced FullTiltPoker as a new sponsor, mysteriously sweeping their previous poker sponsor as of February of this year, UB.net, under the carpet in mid-season.

Full Tilt Poker.net is pleased to announce its sponsorship of Bellator Fighting Championships – a continuing series of televised World Class Mixed Martial Arts (MMA) action presented in a unique tournament format. Now in its third season, Bellator Fighting Championships has established itself as one of the most entertaining and talent-filled mixed martial arts promotions in the world.

The next event for Bellator Fighting Championships – Bellator 28 – will take place at the Mahalia Jackson Theatre in New Orleans, Thursday, September 9, 2010. This will mark the first time the fighting series has visited the Big Easy, and all the action will be broadcast live on the FOX Sports Network, along with action-packed highlight shows on NBC Saturday nights.

The series is viewed by millions of fans each month and the Thursday, September 9th event will be the first of eight nationally and internationally televised events sponsored by FullTiltPoker.net.

Payout Perspective:

The attendance numbers for Bellator being labeled as a “bust” are a bit misleading.  Though their attendance dropped from 1,000 to 600 in their last two events in San Antonio, their bottom line is not affected due to Bellator’s site fee contracts signed, where it leaves the venue in charge of distributing and selling tickets.  The problem lies in trying to build San Antonio into a favorable market, which by looking at the numbers, doesn’t look to happening.

The news doesn’t get any better today for Bellator as they go into New Orleans to host their event tonight, the same night that the NFL season opener kicks-off with the defending Super Bowl champions Saints take on Brett Favre and the Minnesota Vikings.  One would expect a low attendance number again, but like Rebney said, with the week-to-week grueling season schedule Bellator has, sometimes you are going to knock it out of the park, and sometimes (which has been the case for their past two events), you’re not.

Strikeforce Not For Sale Despite Rumors, SVS&E CEO Stepping Down

Posted in MMA Payout, Strikeforce, Uncategorized on September 3rd, 2010 by MMAPayout

Rumors floating around today involved a Strikeforce sale within the next couple of weeks.  Those rumors started swirling yesterday, when Greg Jamison stepped down from his position as CEO and president of Silicon Valley Sports & Entertainement, a group which manages among other entities the San Jose Sharks, HP Pavilion venue, and the MMA promotion Strikeforce.

MMARising was the first to quell the rumors, as Strikeforce president Scott Coker told them there was no truth behind the budding MMA promotion being for sale. MMAPayout contacted the former SVSE CEO and president regarding his resignation and whether the move would impact Strikeforce or any other SVS&E entities in any way.

“As is the case with all properties owned and operated by Silicon Valley Sports & Entertainment, Strikeforce is not for sale and the day-to-day operations of Strikeforce will continue under the direction of President Scott Coker,” said outgoing SVS&E President Greg Jamison.

In the midst of the rumors floating around, Paul Heyman’s name came up as a potential buyer, most likely due to the fact that Scott Coker recently mentioned that Heyman may be involved with the company in some capacity in the near future and that a potential announcement could be made in the following weeks.  Heyman also told MMAFighting that he and some financial backers almost purchased Strikeforce a few years ago, and only last minute changes in the contracts resulted in the deal falling through.  An official announcement regarding Heyman has yet to be issued by Strikeforce.

MMAterial Facts 08/19/10: MMA in Cowboys Stadium?

Posted in MMA Payout, MMAterial Facts, Strikeforce, UFC on August 20th, 2010 by MMAPayout

- Texas Two-Step? Like UFC, Strikeforce Considered Cowboys Stadium Show

- Is Paul Heyman on the Verge of Entering the MMA World?

- Strikeforce MMA event Friday may bring more shows to Arizona

- UFC gearing up for Brazilian expansion

- Tom Huggins Talks Not Paying Impact FC Fighters

Texas Two-Step? Like UFC, Strikeforce Considered Cowboys Stadium Show

But according to both sources, the San Jose, California-based promotion did previously discuss the possibility of staging an event at the showcase facility. One of the sources said that at one time, Strikeforce specifically discussed the possibility of an Oct. 16 show, which might have aired on CBS and featured many of the company’s biggest names.

The event, which likely would have included former Dallas Cowboys’ star running back Herschel Walker as a local drawing card, would also have served to help launch the upcoming EA Sports MMA video game, which will be released on Oct. 19 and has a heavy Strikeforce presence.  (MMAFighting)

Note: Read this MMAPayout Perspective for more info about the big plans Strikeforce had and still has for October.  These talks were on going for months and Herschel Walker was a big part along with CBS.  Also, the goal would have been to break the MMA North American attendance and gate records and use the event as a break out party for Strikeforce.  It would have also served as a channel to promote the EA Sports MMA game which is set to release on October 19.

Is Paul Heyman on the Verge of Entering the MMA World?

After leaving World Wrestling Entertainment in 2006, he got together with a group of investors and former K-1/PRIDE producers in attempt to purchase Strikeforce. That deal never materialized because, as Heyman said on Monday’s edition of The MMA Hour, he felt Strikeforce CEO Scott Coker wasn’t getting a fair deal.  (MMAFighting)

Strikeforce MMA event Friday may bring more shows to Arizona

“Strikeforce wasn’t sure how the market was here,” Sarria said. “But this market just hasn’t been tested with a high level promotion. It will work here with Strikeforce and with the UFC. . . . The ultimate goal with this event is to bring the big Strikeforce events here.”

Said Strikeforce CEO Scott Coker, “I think they’re in the works. We’ve identified Phoenix as a viable market.”  (AZCentral)

***

Note: During the WEC event last night, they announced that the promotion will be headed to Phoenix, Arizona in December.  The event was chosen by the fans during an Amp Energy Drink contest where fans voted for the WEC to come to their hometown.  The event is expected to be headlined by the local product and WEC champ Ben Henderson most likely against Anthony “Showtime” Pettis.  Another fighter who trains and lives in Arizona is former WEC LW champ Jamie Varner, who fights Donald “Cowboy” Cerrone at WEC 51 in September and who will most likely push to fight in his home state.

UFC gearing up for Brazilian expansion

But despite the Brazilians’ success in the UFC, the organization hasn’t hosted a show in their home country in nearly 12 years.

But according to UFC president Dana White, that soon could change.

“We’re spending money in Brazil right now,” White told MMAjunkie.com (www.mmajunkie.com). “We’re spending marketing money, PR money, and we’ve got people down there working for us.” (MMAJunkie)

Tom Huggins Talks Not Paying Impact FC Fighters

“We are using a pool of lawyers from the United States, Australia and Brazil. What bothers me most is that [McManus] isn’t paying because he doesn’t have the money, as do some events here, he is very rich, but mainly because I believe that if the show fails, the damage has to be shared with fighters.  We can not accept this nonsense in any way, because if they did, we would be setting precedents for other promoters in bad faith to act the same way worldwide, “concluded Tom. (PortalDoVT – Translated from Portuguese)

PICTURE OF THE DAY

QUICK HITS

  • WEC 50 ratings result in average audience of 316,000 viewers (MMAJunkie)
  • UFC Fight Night 22 lineup in flux again; Matt Wiman likely out (MMAJunkie)
  • After WEC 50, Jorgensen likely for next shot at Cruz; challenger likes his chances (MMAJunkie)
  • Krzysztof Soszynski vs. Goran Reljic targeted for UFC 122 in Germany (MMAJunkie)
  • Lashley Aims to Debut Standup at Saturday’s Strikeforce (Sherdog)
  • Tachi Palace Fights Signs Top Flyweight ‘Formiga’ (Sherdog)
  • No Hard Feelings at Strikeforce Presser (MMAFighting)
  • Kennedy Learned a Lot From Afghanistan Gunfight (MMAFighting)
  • Grabowski, Konrad Advance in Bellator Heavyweight Tournament (MMAFighting)
  • CHARLES OLIVEIRA REPLACES MATT WIMAN AT FIGHT NIGHT (MMAWeekly)
  • FANS SAY WEC HEADED TO PHOENIX IN DECEMBER (MMAWeekly)
  • Strikeforce: Houston Pre-Fight Press Conference Quotes & Photos (Heavy)

TV LISTINGS

  • Bellator 25: Hornbuckle vs Blackburn on FSN (08/19/10)
  • HDNet Fights Vault: DREAM at 8:00 PM ET on HDNet (08/20/10)
  • Fighting Words with Mike Straka (Jon “Bones” Jones) at 8:30 PM ET on HDNet (08/20/10)
  • Inside MMA (Forrest Griffin, Antonio McKee, Mark Pavelich) at 9 PM ET on HDNet (08/20/10)
  • HDNet Fights: The Voice vs Tito Ortiz at 10 PM ET on HDNet (08/20/10)
  • Strikeforce: King Mo vs Rafael Feijao at 10 PM ET/PT on Showtime (08/21/10)

UPCOMING EVENTS

  • Strikeforce: King Mo vs Rafael Feijao at 10 PM ET/PT on Showtime (08/21/10)
  • Bellator 26 on FSN (08/26/10)
  • HDNet Fights: Sengoku Raiden Championships 14 on HDNet (08/27/10)
  • UFC 118: Edgar vs Penn 2 at 10 PM ET on PPV (08/28/10)
  • Bellator 26 on FSN (09/2/10)
  • UFC Fight Night: Maia vs. Belcher at 9 PM ET on SPIKE TV (09/15/10)
  • UFC 119 : Minotauro Nogueira vs Frank Mir 2 at 10 PM ET on PPV (09/25/10)

Strikeforce Challengers 10 Payouts and Ratings

Posted in MMA Payout, payouts, Strikeforce on August 19th, 2010 by MMAPayout

Strikeforce Challengers 10

The Arizona State Boxing Commission has released fighter payouts for Strikeforce Challenger 10. Miesha Tate ($18,000) and Joe Riggs ($15,000) were the top earners of the event. In total, Strikeforce paid out $53,250 in disclosed payouts.

Note: that the money reported below is only the money required to be reported by the commission.

Courtesy of MMAJunkie.com:

Main Event

Joe Riggs: $15,000 def. Louis Taylor: $2,000

Main Card:

Miesha Tate: $18,000* def. Hitomi Akano: $4,900#
Ryan Couture: $3,000 def. Lucas Stark: $1,000
Hitomi Akano: (see above) def. Carina Damm: $2,100
Miesha Tate: (see above) def. Maiju Kujala: $1,750
Liz Carmouche: $2,000 (includes $1,000 win bonus) def. Colleen Schneider: $1,000

Under Card:

Chris Gruetzemacher: $2,000 (includes $1,000 win bonus) def. Ryan Diaz: $500
Jason Richey def. Edmund Xehili^
Joel Champion def. Sean Scott^
Rob Anderson def. Alonzo Fears^
Andres Acuna def. Edwin Louis^
Frankie Saenz def. Jace Crawford^

+ – $8,000 ($4,000 to show/$4,000 win bonus) for semis and $10,000 ($5,000/$5,000) for finale
# – $2,800 for semis ($1,400/$1,400) and $2,100 for finale
^ – Amateur bout

MMAJunkie also reports that Strikeforce Challengers 10 ratings peaked with 280,000 Showtime viewers.  Overall, the show averaged 237,000 viewers and remarkably, the peak audience was recorded during the Colleen Schneider vs Liz Carmouche reserve bout, though it most likely received a bump in viewership due to those tuning in to see the main event and the tournament finale bout.

These numbers are good enough to fall behind Strikeforce Challengers 7 (316,000 viewers due to the free preview weekend) and Strikeforce Challengers 8 (249,000 viewers).  These Challenger events continue to do well for Strikeforce as they continue to land around or above the 200,000 viewership number, which was something unheard of for Challenger events when they started airing the events on Showtime last year.

MMAterial Facts 08/10/10: Legal Battles Heating Up

Posted in Bellator, legal, MFC, MMA Payout, MMAterial Facts, Strikeforce, UFC on August 11th, 2010 by MMAPayout

- Akiyama Charges Manager with Embezzlement

- MMA promoter sues over canceled match

- XCAP Proud to have Ryan Couture on Board

- President: Announcement of Shark Fights 13 broadcast plans coming next week

- Bellator sues UFC, alleges “tortious interference of contract” of Jonathan Brookins

Akiyama Charges Manager with Embezzlement

Proving once again that the sharks in MMA swim mostly outside of the ring, Bloodyelbow.com and GotMMA.com have unearthed that Yoshihiro Akiyama once accused his (obviously former) manager of embezzlement. Writing in his autobiography, “Two Souls,” Akiyama claims the unnamed party stole anywhere from hundreds of thousands to a million, representing nearly all of his career earnings. That’s bleak stuff.  (Sherdog)

MMA promoter sues over canceled match

Maximum Fighting Inc. has filed a $500,000 lawsuit against the Edmonton Concert Hall Foundation (ECHF) after alleging it suffered losses when the ECHF unilaterally cancelled an agreement for three Maximum Fighting Championship (MFC) events to be held at the Winspear.

According to a statement of claim filed July 28, MFC and ECHF entered into a written agreement on Dec. 15, 2009, whereby MFC would be entitled to hold an MFC event at the Winspear on April 9. (Edmonton Sun)

XCAP Proud to have Ryan Couture on Board

Strikeforce officials announced last week that Las Vegas resident Ryan Couture, son of MMA legend Randy Couture, has agreed and signed a multi-fight deal all in which XCAP (Xtreme Couture Athletic Pharmaceutials) is proud to have Ryan  Couture represent the line and wear its colors. (XCAPNEWS)

President: Announcement of Shark Fights 13 broadcast plans coming next week

“One of the great things is that I’ve got great, great investors who are committed,” said Medley, a former pro fighter who owns a 1999 victory over WEC contender Leonard Garcia. “They’re big fight fans themselves. … So I went to them, and we got separate money for this show. I said I want it (the event costs, including fighters salaries) paid for before the event.

“I’m a fight fan then a promoter. … Are we trying to play with the big boys? Is this event going to leverage our company? The answer is no. The event is separate from our day-to-day profile.” (MMAJunkie)

Bellator sues UFC, alleges “tortious interference of contract” of Jonathan Brookins

The legal battle between the Bellator Fighting Championships and the Ultimate Fighting Championship has taken an unexpected turn.

While Zuffa, LLC – the parent company of the UFC – recently filed suit in Nevada against Bellator due to an alleged theft of “trade secrets and confidential Zuffa documents,” Bellator officials have now fired back with a suit of their own.  (MMAJunkie)

***

Targeted by Bellator lawsuit, Mickey Dubberly says company’s claims inaccurate

Mickey Dubberly, the CEO of K.O. Dynasty Sports Management has a simple message for Bellator head Bjorn Rebney: Stop lying.

Dubberly and his client, Jonathan Brookins, are among the defendants targeted alongside Zuffa, LLC in a lawsuit filed today by Bellator that claim tortious interference was at play in Brookins’ recent run on “The Ultimate Fighter 12.”  (MMAJunkie)

PICTURE OF THE DAY

Strikeforce Challengers 4-Woman Tournament

QUOTE OF THE DAY

Eye Injury Puts Alan Belcher in Career Jeopardy : “I had a detached retina, I just lost the vision in my right eye. It just happened all of the sudden, pretty much overnight. I was training in Brazil, messing around there for a few days and had surgery the day after I came home. I think it happened in training but I don’t exactly know when. It’s gonna take a couple of months to heal, to be at its peak, so then I’ll know how much my vision comes back.” (MMAFA.TV)

QUICK HITS

  • Rafael “Feijao” Cavalcante well-prepared by life lessons for Strikeforce title shot(MMAJunkie)
  • Nick Catone to undergo surgery on re-injured shoulder and back, return date unknown (MMAJunkie)
  • UFC 118 weigh-ins to air live on Spike TV (MMAJunkie)
  • Paul Daley meets Jorge Masvidal at Shark Fights 13 (MMAJunkie)
  • Strikeforce CEO: Fabricio Werdum out until 2011, no opponent set (MMAJunkie)
  • Silva: Submission Was Payback, Injury Layoff Undetermined (Sherdog)
  • Commission: Daley Suspended 30 Days for Koscheck Punch (Sherdog)
  • King Mo Declares Himself Underdog for Title Fight (MMAFighting)
  • Leonardo Santos vs. Sotaro Yamada Announced for SRC 14 (MMAFighting)
  • TRENDING INDICATED BIG PPV NUMBERS FOR UFC 117 (MMAWeekly)
  • STRIKEFORCE WILL HOLD 185 CONTENDERS TOURNEY (MMAWeekly)
  • Bellator Fires Back, Sues UFC Regarding Jonathan Brookins (Heavy)
  • UFC 117: Risks Don’t Outweigh Rewards (Heavy)

TV LISTINGS

  • Bellator 24: Lombard vs Goodman on FSN (08/12/10)
  • HDNet Fights Vault: DREAM at 8:00 PM ET on HDNet (08/13/10)
  • Fighting Words with Mike Straka (Chael Sonnen) at 8:30 PM ET on HDNet (08/13/10)
  • Inside MMA (Ben Henderson, Reed Harris, & Chad Mendes) at 9 PM ET on HDNet (08/13/10)
  • HDNet Fights: KOTC: Imminent Danger at 10 PM ET on HDNet (08/13/10)
  • Strikeforce Challengers: Riggs vs Taylor 11 PM ET on Showtime (08/13/10)

UPCOMING EVENTS

  • Bellator 24: Lombard vs Goodman on FSN (08/12/10)
  • Strikeforce Challengers: Riggs vs Taylor 10 PM ET/PT on Showtime (08/13/10)
  • HDNet Fights: KOTC: Imminent Danger at 9 PM ET on HDNet (08/13/10)
  • WEC 50: Cruz vs Benavidez at 9 PM ET on Versus (08/18/10)
  • Bellator 25 on FSN (08/19/10)
  • Strikeforce: King Mo vs Rafael Feijao at 10 PM ET/PT on Showtime (08/21/10)
  • Bellator 26 on FSN (08/26/10)
  • HDNet Fights: Sengoku Raiden Championships 14 on HDNet (08/27/10)
  • UFC 118: Edgar vs Penn 2 at 10 PM ET on PPV (08/28/10)
  • Bellator 26 on FSN (09/2/10)
  • UFC Fight Night: Maia vs. Belcher at 9 PM ET on SPIKE TV (09/15/10)
  • UFC 119 : Minotauro Nogueira vs Frank Mir 2 at 10 PM ET on PPV (09/25/10)

Strikeforce’s Big Fall Plans: MMA DVD Release, EA Sports MMA, & Hopeful CBS Show

Posted in media, merchandise, MMA Payout, TV, video games on August 6th, 2010 by MMAPayout

Though not much has been heard from Strikeforce beyond their big upcoming shows this month which include the women’s 135 lbs GP in their Challengers 10 event from Phoenix and big card from Strikeforce Houston featuring King Mo vs Feijao Cavalcante and Tim Kennedy vs Jacare Souza for the vacant Middleweight belt, they have plans to make a huge impact in the MMA landscape in the Fall.

Strikeforce MMA ON DVD Ad From Event Program

- Planned Early October Strikeforce Event in San Jose, CA

Strikeforce is planning an October show (rumored October 9th in the HP Pavilion in San Jose, CA) which would hold the first round of their MW Tournament.  Highly touted Strikeforce prospect, Luke Rockhold (7-1), is looking to make his long awaited return to the cage in his hometown and could be a darkhorse to win the tournament.

This show could also host a rumored bout between Dan Henderson and Babalu Sobral, which would most likely be a headliner of the event.  Strikeforce is also in talks with CBS to broadcast the event, and is hopeful that they could rebound nicely from their April CBS event which was marred by uninspiring ratings and the brawl at the end of the telecast.  Both October and November have been discussed as possible months to host the event, and here is what Scott Coker told the Las Vegas Sun about possible LHW bouts:

“Dan Henderson and I had a conversation after LA and he wants to move up to 205,” Coker said. “That led us to think the next fight for Dan will be either Babalu or Gegard Mousasi.

“Calvacante just had an impressive win over Antwain Britt so he deserves the shot. I think the winner of Dan and Babalu or Dan and Gegard could face the winner of that title fight.”

- Strikeforce MMA DVD Estimated Release Set for October 12

Strikeforce fans who have been patiently wondering when Strikeforce would be releasing their events or non-televised bouts to their fans will soon get their opportunity.  Amazon.com and BestBuy is now accepting pre-orders for and upcoming 2 disc DVD release titled “Strikeforce MMA”, at the moment starring Alistair Overeem and Jake Shields and will contain 6 hours of content produced by Showtime Entertainment.  The listing price is $20.99 and will be releasing on October 12, which is just a few days after their October event is rumored to take place.

Here is what Strikeforce said about the release:

It will be particular fights from 2010 and some added never before seen footage that our hard-core fans will enjoy.

- EA Sports MMA Release Set for October 19

The release of the EA Sports MMA video game is something that both EA and Strikeforce have been anticipating for quite some time.   The excitement and synergy between both groups was apparent during E3, and both have high hopes for their video game release, hoping that it could be as influential and monumental as UFC Undisputed 2009 was for the UFC and THQ.  The game is set for release on October 19th on both the XBOX 360 and Playstation 3 platforms.  Pre-orders of the game, which gives fans exclusive content like Herschel Walker, can now be placed at GameStop, Amazon.com, Walmart, and Best Buy.

EA Sports has slowly announced fighters in their video game roster for months, leading up to their release date which is now only a couple months away and around the time of the planned CBS event, which should create buzz for the title release.  Here is their latest announcement regarding complete roster reveal dates leading up to the release date:

Complete roster reveal by weight class starts 8/9 with heavyweights at easports.com/mma…..new update each Monday in August.

MMAPayout Perspective:

October will be a huge month for Strikeforce’s future, pulling all their big guns and hoping to make a permanent mark in the MMA landscape.  The release of DVD set, a video game, and working for their return to CBS prime-time programming is all crucial in terms of their relevance in the MMA landscape, increasing brand awareness, and creating stars in their roster.

Strikeforce signing a deal with Collective Licensing International (CLI), which is now the manager of the Strikeforce brand and provides the rights to license and produce merchandising like footwear, apparel, accessories, and equipment will also be a key component to their growth. It will be interesting to see how that partnership benefits Strikeforce in the upcoming year and beyond, along with their other partners.

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