Pink's Bottom Line on Media, Money and Sports
Pay television, consumer confidence and Super Bowl favorites
In today’s newsletter, I discuss pay television, consumer confidence and Super Bowl favorites.
MEDIA: Pay Television
New research shows that more than seven in ten television households in the United States have some type of pay television service — that could be via cable, satellite or via an Internet-delivered service like Sling TV.
(Note: The Leichtman Research Group specializes in research and analysis on the broadband, entertainment and media industries.)
Pink's Bottom Line
Notably, only 64% of television households of those age 18 to 44 have some form of pay tv service compared to 77% of television households of those age 45 and older.
As such, the data from Leichtman shows two important trends that are emerging in the television industry.
First, fewer households in the United States have a pay tv service today compared to the last ten years.
Second, the data also shows that households of younger Americans are less likely to have a pay television service than older households — that suggests that the percentage of households in the future that will have a pay television service should continue to decline.
MONEY: Consumer Confidence
Confidence among the nation’s consumers increased this month, according to the Conference Board’s Consumer Confidence Index released earlier today.
(Note: A reading above 100 of the Consumer Confidence Index suggests that consumers are confident about the future while a reading below 100 suggests that they are not.)
Pink's Bottom Line
Notably, according to that report, consumers were also more optimistic about their short-term financial prospects in October than they were in September — 18.7% in October said they expected their incomes to grow in the short-term compared to 16.9% in September.
A strong and confident consumer — especially one that is optimistic about short-term financial prospects — bodes well for the traditionally important holiday shopping season in November and December.
Additionally, as consumer spending accounts for roughly two-thirds of all economic activity in the country, an uptick in consumer confidence is an encouraging sign for the health of the overall economy.
SPORTS: Super Bowl Favorites
The Buffalo Bills and the Tampa Bay Buccaneers are currently the favorites to win the Super Bowl this year, according to FanDuel Sportsbook.
The Bills are +500 to win the Super Bowl while the Bucs are +550, according to FanDuel Sportsbook.
Notably, the Arizona Cardinals, the only unbeaten team in the NFL who sport a 7-0 record, are the third favorite at +850, according to FanDuel.
Pink's Bottom Line
While the regular season still has a long way to go, the Bills, Bucs and the Cardinals do appear to be separating themselves from the rest of the teams in the NFL.
Importantly, all three of those teams have elite quarterbacks — Josh Allen for Buffalo, Tom Brady for Tampa Bay and Kyler Murray for Arizona.
As such, it underscores the importance of the quarterback position in the NFL and why it’s likely that only a team with an elite quarterback will win the Super Bowl.
Jeremy Pink is currently COO of Geniecast, a leading virtual content and experience company. He is the former CEO of private-equity backed Broadcast Sports International where he helped lead the company to a successful sale and exit during his tenure there. He is also a former CNBC television executive in New York, London and Singapore.
The information contained in this communication is strictly for general informational and entertainment purposes and is not meant to be construed as financial, investment, tax, or legal advice. This communication is not a solicitation to buy or sell any securities. I am not a financial advisor or offering professional advice of any kind. Users should not act upon the content or information found within this communication without first seeking professional advice appropriate for their individual situation. Decisions based on information contained in this communication are the sole responsibility of the user, and use of this communication and its contents constitutes an explicit understanding and acceptance of the foregoing disclaimers.
(Newsletter Editor: Karina Pink)