DAZN, which recently acquired almost all the broadcasting rights for Ligue 1, is experiencing a rough start. Despite high expectations, its subscriber count falls significantly short of projections, raising concerns about the future of the platform.
Amazon co-founder MacKenzie Scott has donated over $19 billion to charity in just five years
Diamond batteries powered by nuclear waste promise 28,000 years of clean energy
A Disappointing Launch
As the new primary broadcaster of Ligue 1, DAZN had generated significant buzz after purchasing the broadcasting rights for 400 million euros per season. However, two months following its launch, the platform is struggling to attract subscribers. Reports suggest that DAZN has just over 100,000 subscribers, well below the number needed to be profitable. This figure, disclosed by various independent journalists including Abdellah Boulma, highlights the commercial disaster the company is facing.
Controversial Pricing Strategy
A major criticism of DAZN revolves around its pricing strategy. With a monthly subscription cost of 29.99 euros with a commitment and 39.99 euros without one, many soccer fans consider these rates too steep. In an attempt to adjust, DAZN has offered several temporary discounts, but these efforts seem insufficient to boost subscriber numbers. Additionally, the lack of certain expected features, such as a multiplex or renowned analysts, has further tarnished the service’s reputation among soccer enthusiasts.
A Concern for French Football
If the situation does not improve, DAZN might consider an early exit from the French market, an option made possible by a termination clause. This scenario sadly mirrors the failure of Mediapro, which also had to relinquish its rights after a financially unstable period. For Ligue 1, which hoped to stabilize its income through this deal, DAZN’s potential departure could be an additional blow, following several years of uncertainty regarding television rights. It’s hard to see how the situation could improve in the coming years.
A Business Model in Question
DAZN’s struggles raise questions about the sustainability of its business model. The service finds it challenging to balance profitability with affordability for fans, while also needing to satisfy clubs and sports authorities with high-cost rights. The competition with other broadcasters like Canal+ and BeIN Sports makes DAZN’s offer even less appealing to subscribers.
What are your thoughts on this issue? If you are a soccer fan, what changes to the offers would have convinced you to subscribe?