The NBA’s perpetual pursuit to be deemed the professional sports league leader in innovation crosses many sectors. From their official app to their state-of-the-art arenas, these ventures engulf the technological spectrum. Every facet in-between, however, presents business opportunities for exposure, especially due to its popularity and relevance within the digital age.
Three primary distribution platforms that have spearheaded the attention from advertisers to the NBA are NBA.com, YouTube, and 2K Sports’ NBA 2K13. According to MarketWatch.com, their main website garnered 7.7 million unique visitors each day last season through the 2.4 billion video clicks, up 21 and 71 percent, respectively. Earlier this season, their YouTube channel eclipsed 1 billion views and has over 1.5 million subscribers. And NBA 2K13 broke its best sales record with 1.27 million units sold in the first month out on the shelves.
Meanwhile, the traditional broadcasting vehicles of TNT and ESPN saw viewership increases by average ratings numbers as well. Last season’s 1.7 rating represented the network’s highest and most viewed campaign during their 28-year partnership with the league. And ESPN’s Christmas Day triple-header this season drew a 2.1 rating and 17 percent spike overall.
These staggering growth figures in NBA interest mean that every inch on and in the vicinity of the court is precious real-estate amongst advertisers. With that in mind, a common trend has been teams placing their Twitter handle and hashtag on the sidelines by the players’ bench. Also, the teams’ domain site are visible on the top of the backboards. Yet, one of the overlooked spaces that has recently been capitalized on is the basket stanchion arm by ANC Sports.
ANC Sports, a leader in integrated signage, design and marketing solutions for sports venues, developed and launched an LED Stanchion this NBA season. This device directly benefits from the countless media impressions for which league is conducive famous. Now 15 franchises have employed this application in their respective arenas; ten of whom are ANC Sports’ partners such as the Boston Celtics, Los Angeles Lakers, and Washington Wizards. We delve into this latest technological feature with Director of ANC Sports Marketing and Communications, Michael Hopkins, in an exclusive interview below.
SportTechie: How did the concept to develop a “basket profile” surface and why was there a need within the in-arena advertising marketplace for it?
Michael Hopkins: The original concept of the basket profile advertising position was created by Dave Bialek, president of ANC Sports Marketing, a division of ANC Sports Enterprises. Dave conceived the concept while watching ESPN’s SportsCenter. The stanchion arm on the basket was seen in every highlight, sparking the idea the area could be monetized as valuable inventory for teams to offer their corporate partners.
SportTechie: In terms of technology, could you breakdown the key elements that comprise the LED Stanchion, both the hardware and software?
M.H.: ANC’s LED Stanchion system is built using high-quality LED components and specifically designed to attach to a basket stanchion arm. The signage is driven by the company’s patent pending VisionSOFT operating system.
SportTechie: What is the VisionSOFT operating system and how does it function within the stanchion?
M.H.: VisionSOFT is one of the leading signage control systems in the industry, most recently nominated as a finalist for the international 2012 Stadium Business Awards. The operating platform shows real-time graphics and statistical information on the displays through an unprecedented 64-bit engine. VisionSOFT’s unique 64-bit platform creates the opportunity for the operating system to control more displays in real-time at higher resolutions. VisionSOFT was the first software capable of controlling multiple video displays through a 3D interface while distributing uncompressed content, creating resolutions and color depths not seen anywhere else in the industry.
VisionSOFT controls the LED stanchion, sending graphics to the display system. ANC is capable of controlling both digital courtside applications and the LED stanchion through one VisionSOFT consol. This enables for easy synchronization of the displays if a property is interested in providing one sponsor with both locations at the same time.
SportTechie: How many individual LED pixels does a single platform have and does the overall composition differ from other ANC LED systems?
M.H.: Each side of the LED stanchion features 7,680 pixels. Comparing the LED stanchion system to other ANC LED systems, every project features different pixel counts and resolutions. Our LED Stanchion is built specifically provide a great visual for fans in the arena and watching on television while note distracting players. It is attached securely to a basket stanchion, withstanding severe force applied and remaining in place when the basket is shaken violently.
SportTechie: The stanchion debuted during 2006-07 NCAA college basketball season. What schools first carried this inventory and have other universities joined since then?
M.H.: The program debuted with Texas Tech during Bobby Knight’s final approach to the most wins by an NCAA Coach. Initially, the program included 40 locations during the 2006-07 season. The following year, more than 70 schools featured an advertiser on the inventory. Today, almost every major college basketball program places a sponsor on the stanchion location. However, these sponsorships are still static signs as the LED stanchion system has not yet been adopted widely on the collegiate level.
SportTechie: How did these college basketball programs help jumpstart the NBA’s adoption in 2007?
M.H.: We believe the success of the inventory and how sponsors perceived the value of the location contributed to the NBA’s adoption of the advertising medium.
SportTechie: What is the value proposition of this stanchion signage?
M.H.: The LED Stanchion helps increase revenue opportunities by providing teams with the opportunity to sell the popular inventory to multiple corporate partners. At the same time, since the signage is a flexible medium, advertisers can change creative images or select specific times of the season to place their brand on the highly visible platform.
SportTechie: How does this system provide “creative flexibility” and what are the “options surrounding how to market it” for venues?
M.H.: The LED system enables sponsors to change their graphic or promotion costs -effectively. An example might be an automobile company which can promote the overall brand one night and a specific car model the next night without the cost of printing a banner, sticker or other medium. Additionally, the system enables flexibility of timing. Sponsors can run ads during certain games or times of the year (depending on how each team markets the position) to increase brand awareness during important sales periods.
Since the signage is digital, sports properties have unlimited options regarding how to sell the inventory. One team can sell it by quarter, while another in minute increments. Teams can sell pre-game shoot-arounds at different prices than live game action, etc. The only limitation is the amount of time which people will be in the venue or how long the game will be on television.
SportTechie: Out of the ten new partnerships, is there any one site that stands out with respect to uniquely operating or promoting it?
M.H.: We cannot disclose specifics regarding our partnerships. However, since our team partners utilize VisionSOFT to operate the signage system, they each have flexibility regarding how to control the signage. The signage can be controlled through the same system as other digital applications in the venue, from one central location or by itself in a separate location. Each install is customized to meet the specific venue’s requirements.
SportTechie: Are there any challenges or improvements that need to be addressed in the future, technologically and from the advertiser’s position?
M.H.: We are always exploring ways on how to improve all our technologies. How digital signage is integrated into sports venues, including the LED Stanchion, is constantly evolving. ANC works directly with leagues and teams to provide the most advanced solutions that will contribute to each of their respective businesses while improving the fan experience.
SportTechie: What potential market opportunities are available to expand, be it from the NBA, other basketball events, or alternative sports ventures?
M.H.: The signage system itself was specifically built for basketball; therefore any event which features a basket has the potential to benefit from using the technology.