DraftKings lastly introduced a a lot anticipated sponsorship deal with the Final Combating Championship that indicators a dedication by the daily fantasy sportsbook website to getting into the combined martial arts market.
The main points of the deal
The truth that the deal has been within the works has been recognized for weeks; the partnership was truly termed as “imminent” by one supply about two weeks in the past.
Here’s what is understood about how the UFC-DraftKings partnership will work, from the official press launch:
- DraftKings is now the Official Every day Fantasy Sports activities Accomplice of the UFC. With that standing comes “distinguished stadium and PPV model placement for all main occasions, in addition to joint promotion throughout all UFC net properties and social channels.”
- The partnership provides DraftKings the power to award particular UFC-themed experiences through MMA contests, comparable to “The Dana White Expertise,” wherein winners obtain journey and lodging to attend a serious occasion because the visitor of the president of the UFC.
- DraftKings can even offer contests with a prize package deal for UFC Worldwide Battle Week, held in Las Vegas this July, in addition to VIP tickets to different UFC occasions.
What the deal means
When the preliminary stories and rumors surfaced earlier this month, it was apparent that this was a serious offensive by DraftKings to lock down a market that trade chief FanDuel hasn’t even touched but.
Jeremy Elbaum, Vice President of Enterprise Improvement at DraftKings, had this to say within the press launch:
“The UFC is the quickest rising sportsbook group on this planet, pushed by the hundreds of thousands of followers who passionately comply with MMA. We’re excited to companion with the UFC to offer its followers with video games that present super payouts and wonderful, distinctive prizes. This partnership displays DraftKings’ deep dedication to MMA and its followers.”
The financials of the deal aren’t recognized. Clearly, DraftKings is banking on just a few issues with this deal:
- UFC followers will likely be all for enjoying fantasy MMA contests in droves. There may be positively some crossover between MMA followers and the typical daily fantasy sportsbook participant, however it’s additionally honest to imagine DFS will likely be a brand new idea to quite a lot of MMA followers. We already took a have a look at why MMA fantasy sportsbook is poised for development quickly after DraftKings began providing MMA contests.
- DraftKings’ monetary funding within the UFC will repay in the long term. Partering with the UFC ought to give DraftKings higher title recognition and penetration amongst sportsbook followers. The UFC has a number of main occasions each month, together with pay-per-view fights and playing cards broadcast through Fox or Fox Sports activities 1.
What to look at for
Now that the deal is completed, will probably be fascinating to see what occurs within the MMA-DFS market and past:
- First up is the subsequent battle card on the schedule, UFC 184 on February 28 in Los Angeles, headlined by the ladies’s bantamweight championship bout between Ronda Rousey and Cat Zingano. Did the deal occur in time in order that we see the DraftKings emblem within the Octagon this weekend?
- It might seem to be a small factor, however we’ll on the lookout for a tweet in regards to the deal from Dana White. Why is {that a} large deal? He has three million followers.
- Kountermove — which was the primary fantasy sportsbook website that had MMA contests — is the opposite main participant available in the market. It has had report contests by way of entries for its previous two occasions. Will the DFS website counter the DraftKings transfer in anyway, and can it profit from elevated visibility for MMA fantasy contests?
- Will FanDuel problem DraftKings in MMA? DraftKings now has an enormous head begin available in the market, and the backing of the one MMA group that basically issues. One might nonetheless see FanDuel getting into the fray, as nicely.
- DraftKings was on a tear with making sponsorship offers in January and early February, however presumably the main target has been on the UFC deal in latest weeks. Will DraftKings proceed to its pattern of investing cash in sponsorship offers with particular person golf equipment?
- Will different dominoes fall by way of leagues? FanDuel has the NBA, DraftKings has the NHL and a partnership without cost video games with the MLB. The largest prize left is clearly the NFL. Will a deal will likely be struck with the league by both fantasy property this yr?
- DFS has been on the lookout for different verticals to faucet into outdoors of the foremost North American group sportsbook. Different sportsbook — auto racing, soccer, and many others. — could possibly be the brand new battleground in competing for marketshare and for growing participant swimming pools.