More On PPVs To The WWE Network, Price Point

4-Traders.com has a new interview with WWE Chief Financial Officer George Barrios. In it, he discusses the future of pay-per-view and the WWE Network.

Below are the highlights:

Sure. So on the first part, continuing on with our core products, we’re going to keep them fully distributed. We think that’s a great platform for a network. And we think there’s a lot of value as those shows come up for renewal. Our four biggest contracts will be renewed over the next three years. We think that’s a great opportunity for us because of the value we deliver. Then to the network, we said we’re going to take our pay-per-views. We’re one of the preeminent pay-per-view providers today and our pay-per-views are priced anywhere between $49.95 and $59.95 today and we’re going to make that the core of a value proposition with a lot of other new content and put it on a premium network so that our fans can subscribe. We said the price will be somewhere between $12.99 or $14.99, to be determined as we go to market but we think that’s a real great opportunity. And to your question about breakeven, about a million subscribers because the pay-per-view buyers will migrate over to the network. That’s our belief. About a million subscribers, we breakeven at 2 million, it’s a really good business; at 3 million to 4 million, for us it’s transformative.

We believe over time. We believe the value proposition will be much more powerful to subscribe to a network at $12.99 to $14.99, 24/7, you have the pay-per-views, a lot of great content, our library, a lot of retrospective programming that we’re doing that’s testing really, really well, we’re producing it right now so over time, I think the pay-per-view does go away.

This is nothing we haven’t heard (or reported) before but if you do check out the piece at 4-Traders.com please be aware they have a typo in their price points. The WWE Network will be priced between $12.99-$14.99 per month and will include all pay-per-views except for Wrestlemania.

You can watch the interview embedded in the video below:

[youtube id="YSve2vXRJfc" width="620" height="360"]

See also - WWE Network Expected To Struggle – What WWE Is Doing To Prepare Investors & Potential Partners For The Worst

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  • http://www.facebook.com/scott.davies.391 Scott Davies

    Ha he has big ears

  • Snap

    While PPV content does add value to the network, there are still many questions which would need to be answered. Does the $12.99 – $14.99 price include an HD feed alongside a standard feed? What, exactly, is the model of the network? I cannot speak for other carriers, but on my cable provider no single channel commands a price WWE is asking and the specialty packages that DO include at least four dedicated channels (in this example, it would be WWE1, WWE2, etc.) TWO HD feeds for the primary channels and an on demand service.

    I bring this up because WWE is comparing the WWE Network to HBO and if you look up the details for HBO on Wikipedia, there are EIGHT dedicated channels and the aforementioned HD and on demand services. While the WWE Network does not need to be anywhere near eight specialty channels, with their library they could provide a channel for current programming including PPVs, another for classic WWF/E and WCW programming and PPVs and another for the territorial libraries they have acquired. With that, the price they are asking is definitely reasonable but if they are simply going to try and replicate their Classics on Demand model, offering a single channel with a limited amount of material each week, then I cannot see them getting anywhere near the 1 million subscribers they are hoping for.

    There is so much potential with the WWE Network, it just remains to be seen if WWE will actually take advantage of it.

    • Gary Robert

      Its worth it JUST for the PPVs. I spend $50 a month buying them so why wouldn’t I buy the network for $12-14.99 and get extra programming? Even if you only buy 4 PPVs per year….thats the same as a full year of FULL programming PLUS the chance to see the other 8-9 PPVs. Easy decision for me.

      • KingKongBrody

        Agreed

      • Snap

        I agree that the price per month compared to the price of PPVs alone provides value, but you’re looking at it from the perspective of a hardcore wrestling fan. Not every PPV card is appealing and with the PPVs still being available on PPV, the casual consumer can still pick on choose which once they want. Some people may only be interested in one PPV per year and that PPV may be WrestleMania, which isn’t included with the network.

        There simply has to be more content in order to make the investment worth it, because what is there to prevent people from ordering the network when the PPV they really want to see is going to be on and then canceling afterwards? I’m not sure what it is like with other cable providers, but there does not appear to be any additional charge other than the cost of the channel itself for adding or removing content from your service.

        The worst thing people can do is be complacent with WWE offering a potential substandard network based solely on the inclusion of all PPVs other than WrestleMania. Yes, you would be saving money if you regularly buy each and every PPV but WWE also intends to raise the price of the network over time. If they’re going to charge such a premium for the service they had better provide premium content because it is a 24/7 service, NOT a choice selection like Classics on Demand which you could essentially watch within a day or two.

        Like I said, they have so much potential and it remains to be seen if they actually deliver on that potential. So… as potentially PAYING customers, we certainly do have the right to expect quality programming and when I can look at other services with comparable price points and see a wealth of programming, I expect nothing less of WWE especially since they HAVE a wealth of material to capitalize upon. There will be no excuses for WWE if they fail.

  • PFElton

    Don’t use the term “great content” in the same sentence as “WWE”. Lol.

    • phenix2032

      shut up you suck lol

  • http://twitter.com/BollyMexCPhT Carlos Nunez

    People still pay for PPV?

  • Kacie

    The WWE Network is going to flop, just like the xfl. I dont know why anyone would pay for their pay per views when you can watch them for free.

    • http://twitter.com/d93andr5 Dale A.

      NOT TO SOUND LIKE A NO BRAINER, BUT WHERE DO YOU REC. PPV FOR NO CHARGE LEGALLY?

      • Kacie

        I wouldnt know. I dont record them. I just watch them online.

      • http://twitter.com/d93andr5 Dale A.

        Kacie, Not to be a wise ass but I too would watch where you do, at no charge, but please tell me who the provider is.