Why did WWE's stock take such a beating after such a successful Wrestlemania?
Investors do not understand and do not care about the inner-workings of WWE -- at least from a creative perspective. It's all about the numbers. And while Wrestlemania 31 was record-breaking, the concern from investors had to do with the WWE Network peaking at 1.3 million paid subscribers.
The correction on the stock market has to do with investors believing the number will do nothing but go down now that Wrestlemania is over. WWE realizes this and acknowledged the WWE Network's popularity could be seasonal, as was the case with their traditional pay-per-view buys.
WWE is hoping their rollout of new original programming will help attract new subscribers and retain what they have but let's face it, no show sells like Wrestlemania.
More insider notes…
- For those that have asked, UFC President Dana White approved Ronda Rousey appearing at Wrestlemania 31 on Sunday. White watched the show in London, England as a paying WWE Network subscriber for only $9.99.
- WWE officials have stated that both Royal Rumble '15 and the inaugural edition of WWE Fastlane over performed their internal expectations on the way to 1.3 million WWE Network subscribers.
- WWE's current deal with TapouT is something that has been in the works for years. WWE tried it before and have now found the right opportunity. WWE believes there is a large demand for high performance fitness gear branded with them. The partnership has launched but it will really launch next year.
- With Wrestlemania 31 in the books, we're expecting WWE to officially sign some names they have lined up and there could be some cuts coming too. Stay tuned for specifics but we're told WWE wanted to wait until after Wrestlemania before moving forward.