PointsBet, NBC Extend Gambling DealSports Betting Site Gives Up Exclusivity |
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Online sports betting Company PointsBet and NBCUniversal have deepened their gambling content relationship.
Under an amended agreement, the remaining committed marketing spend for Years 3 to 5 of the original deal will be invested over an additional two years, now representing Years 3 to 7. The change will “significantly reduce” the average annual marketing spend to match PointsBet’s “optimum desired level of investment under its more localized, targeted strategy.”
“NBCUniversal has been a wonderful partner to work with since the inception of this agreement,” said Sam Swanell, Managing Director and Group CEO at PointsBet.
“PointsBet has trialed and learned a lot since going live in the US market. We are thrilled to have agreed with NBCU on mutually beneficial adjustments to our agreement that fit perfectly within our more targeted, localized strategy, which is informed by those learnings. We very firmly believe a dollar spent in marketing on any other platform does not go close to rivaling the terms and efficacy of the partnership we have with NBCU. We are fortunate to have access to unrivaled media properties via NBCU, and they are an integral component of our overall strategy that is contributing to PointsBet’s strong US growth.”
PointsBet is a top-10 sports betting operator in the US, but it trails far behind industry giants like FanDuel, DraftKings, BetMGM, and Caesars.
Under the amended agreement, PointsBet maintains preferred pricing benefits and integration exclusivity in the sports betting category at a local and regional level, including across NBCU’s Regional Sports Networks. PointsBet also maintains its online casino integration exclusivity at a local, regional, and national level.
PointsBet has relinquished sports betting integration exclusivity over NBCUniversal’s national media assets. However, PointsBet retains a “second look” for all national NBCUniversal assets. NBCUniversal will be permitted to appoint one additional “Official Sports Betting Partner” of NBC Sports.
The total committed marketing spend for the remaining five years (August 2022 to August 2027) is $294 million, with $25 million already being paid as of the end of 2022 (leaving $269 million remaining). The total commitment for the current year (ending August 2023) is $50 million (a reduction of 43% from the original agreement).
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