SportsGrid, the free ad-supported streaming television (FAST) channel that promises to make sports bettors and fantasy players smarter, is doubling down on its distribution strategy.
Virtual multichannel video programming distributor (vMVPD) DirecTV Stream will start carrying SportsGrid Tuesday.
SportsGrid founder and president Louis Maione told Broadcasting+Cable the channel will launch on DirecTV’s satellite pay-TV service later this year.
“DirecTV is synonymous with sports and they’ve got a great team there,” Maione said.
“We always wanted to get into the traditional linear game,’ Maione said. “Having our channels there is going to be very beneficial to both demographics,” he said, with the channel picking up older sports fans on traditional pay TV in addition to the younger viewers and cord-cutters it gets through streaming.
DirecTV is not paying subscriber fees for SportsGrid, Maione said. The network will reap higher ad and partnership revenues with additional distribution.
SportsGrid wants to add more traditional MVPDs to its lineup. If they don’t like that SportsGrid isn’t exclusive, with its programming available via streaming, SportsGrid is willing to create custom programming for those distributors, he said.
SportsGrid is also looking to program in Spanish through a partnership with Marca. “We’re going to start with a show and we’re going to graduate to a full-blown channel with authentic content in those regions,” Maione said.
Maione said SportsGrid has been a profitable startup by focusing on distribution and keeping programming and marketing costs low.
Its revenue model includes working with companies like FanDuel, DraftKings and BetMGM to produce shows. Those companies pay for those shows to be part of SportsGrid’s schedule and reach its audience.
SportsGrid’s viewing hours in the second quarter increased 43% , Maione said. Viewing sessions increased 68%.
In a tough ad market, revenues are holding steady, he said.
“The audience is a dedicated audience. They just continue to enjoy the content that we’re putting out,” Maione said. “We have a bunch of strategic alliances and partnerships we’re going to announce.”
SportsGrid plans to upgrade its programming. In April it added former DraftKings and Verizon programming exec Brian Angiolet as a strategic adviser.
Angiolet is working on The Grid, which will be SportsGrid’s version of a signature studio show like ESPN’s SportsCenter.
The Grid is one of the new shows SportsGrid plans to launch in time for football season, when betting and fantasy activity really takes off. The channel will also be adding new talent and improved graphics.
SportsGrid is offering its programming capabilities to the distributors and television stations looking to pick up rights to games as the regional sports network business crumbles. It could provide shoulder programming and other shows that could run when games aren’t being televised.
SportsGrid also launched a new app that users will be able to personalize to make it more engaging.
The app will provide live programming while games are going on and enable sports grid to have more contact and engagement with viewers.
“It’s really about content, community, and then commerce. That's the phase we're in right now,” Maione said.
