If you’ve watched any sporting event, you’ve seen ads for daily fantasy game sites like DraftKings, FanDuel and others. They make a lot of money and the advertising dollars from daily fantasy sites are the one of the fastest growing sectors across the sports networks. And as more sites pop up, they know they need to gain access to fans by advertising on the cable sports channels.
However, there’s one X Factor that could throw a monkey wrench into the growth of daily fantasy sites and that is the four letter network in Bristol, CT. According to Sports Business Journal, ESPN is considering entering the daily fantasy genre either by launching its own enterprise or even buying an established site.
A sports media company investing in a daily fantasy site is not unheard of. SBJ reports that NBC Sports has a stake in FanDuel and Fox has an advertising deal with DraftKings. The whole issue is whether the networks want to keep accepting advertising dollars from the sites or get into the game and make money from one of the fastest growing markets.
Not only do these sites make money, they also award cash prizes and attract big followings. In addition, sports leagues and individual teams are giving their stamps of approval to the sites paving the way for even more money to change hands.
So as more daily fantasy sites pop up, so does the interest. And it’s expected that sports media companies will get more involved in 2015. Will the market bubble eventually burst on daily fantasy or will the genre grow to even higher levels? And if ESPN gets involved, would it promote its own site while banning others from advertising on its platforms?
There are questions that all have to be answered in the coming months. But if ESPN is going to enter daily fantasy, then that is going to be a gamechanger in an industry that is constantly moving and shifting. And if that happens, then the established sites will have to adjust accordingly.