User Spend in DAZN App Grows 9.5 Times Year-over-Year

The DAZN app was the top grossing sports app in the world in May 2019. More importantly for the OTT platform, user spend grew to 11.5 million US dollars.

DAZN has developed into the go to-provider of sports for many a fan. The OTT service is easy to access and offers a wide range of sports in a growing global network. In May 2019, the DAZN app was the top grossing sports app in the whole world, edging out ESPN or Tencent Sports, for instance. Revenue had grown 9.5 times in comparison to May 2018. And the expansion to more countries is only gathering pace.

DAZN is driving up revenue

Ever since the OTT service DAZN entered the sports media stage, it was going to become big, since it disrupted traditional sports coverage and operated contemporarily. For the ability to access their sports package, which you can get for 9.99 Euro a month and which you can unsubscribe from on a monthly basis, is important for the mobile-driven user. That’s why the reception via the app is essential for DAZN, which is owned by the Perform Group. Now, data from Sensor Tower show how much that very app has risen in prominence – and how valuable such a development is for DAZN. According to Sensor Tower, DAZN has been the top grossing sports app, globally, in May 2019 in App Store and Google Play Store revenue. They’ve put ESPN, MLB At Bat, NBA, onX Hunt etc. in their places.

Sensor Tower, top grossing sports app worldwide, May 2019, © Sensor Tower

The App Store from Apple says it’s the number three app in sports, while the Google Play Store states that there are more than five million downloads. DAZN was able to generate close to 11.5 million US dollars in user spending, which is massive and even more impressive looking at the 4.7 million amassed by second-placed ESPN. Compared to May 2018, it represents a growth of 9.5 times for DAZN. The whole Perform Group’s revenue, by the way, had grown to 93 million US dollars for the three months ended 31 March 2019. Interestingly, 37 per cent of the DAZN app revenue came from the US, with also 6.5 percent being generated in Japan. Whilst DAZN has been present in Japan since 2016, the service only launched in the US – with a focus on boxing – last year.

Regarding the revenue numbers, it has been a big success on mobile. And if 6.5 per cent of that revenue come from Japan, the popularity there must be big as well. DAZN are actually the host of the J-League, showing all the games. And indeed, DAZN is kind of a different offer in every market, as trailers tend to show.

New markets, more income

In the last year, DAZN has ramped up their market reach. Currently, they operate in nine markets, with Spain and Brazil the last newcomers. In February, the service announced that the offering was available for just 4.99 Euro in Spain. Apart from a diverse sports offering, ranging from football to MotoGP, fans and viewers will be offered original content, created in cooperation with Neymar Jr. and José Mourinho. Veronica Diquattro, EVP, Southern Europe, DAZN, said:

This is just the start of our journey so our compelling price point reflects that. We will continue to build our portfolio of sports and when we add significant premium content fans should expect that to be reflected in our price, whilst always maintaining our approach of making sport more affordable and accessible. DAZN continues to work with the biggest stars, so I’m also delighted to announce two new ambassadors, megastars of sport: Neymar Jr. and José Mourinho who will also feature in original content on the platform. This is a euphoric moment and we can’t wait to get started.

Mourinho himself, a loved and loathed figure in the football world, commented:

DAZN is giving football fans a new way to enjoy the sport and players they love. Their style of live football coverage is different from what I’ve experienced before. I like their authenticity and pushing the boundaries of sports broadcasting. I’m excited to join DAZN as a global ambassador and connect with football fans around the world with this platform.

All those existing markets, and especially the new ones, will help DAZN further grow revenue. Not least because they give those viewers across the world, who often watch via the app on their smartphone or any other mobile device, always more access to fascinating sports. For example, the MLS, which is generating more attention, due to star players like Zlatan or old heroes like Schweinsteiger and Rooney, will be shown exclusively on DAZN in five markets, including Germany, Switzerland, Austria, Italy and Spain, while it will be shown in Brazil, too, albeit non-exclusively from 2019 to 2022. The service is that prominent, for it often gets important rights for special games such as last month’s Copa del Rey final. And the Champions League lures many viewers as well, of course.

Something DAZN also has to offer, since the end of April 2019, is their global live sports content distribution service for rights holders, called DAZN CONNECT. With that service, DAZN offers clients the opportunity to acquire and distribute the sports they need for their own offering. Gareth Rees, SVP Business Development, said:

We now have more sports content on our network than anyone else in the industry. Combine this with our technological innovation and with customer satisfaction at the core of our service, DAZN CONNECT is well positioned to take some big steps in the coming months. Driven by the demands of sports broadcasting and fans’ viewing habits, DAZN CONNECT offers a faster, more intelligent way of receiving live sport. DAZN CONNECT is built in the cloud to deliver the lowest latency, highest quality and the most secure sports distribution service. With an innovative contribution service, clients can supply live sports back onto the DAZN network, so local coverage can be made available globally, offering up further exposure and coverage for rights owners.

The cloud-native and AWS-integrated DAZN CONNECT is another step, meaning we will only see more content being brought to us by DAZN, in one way or another, in the near future. And their very own app is only going to gain even more revenue, which will probably show, when new statistics are out. Their motto “We’ve got more” is certainly not a mere empty shell for branding.

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