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Inside Look at Strategic Approach to WWE Premium Live Events

Posted By: Ben Kerin on May 09, 2024

Endeavor is enhancing its business strategy following the acquisitions of UFC and WWE, focusing on modifying various operational aspects, including the organization of live events.

Recently, WWE has been actively pushing into international markets with its Premium Live Events (PLEs) and plans to continue this expansion throughout the year, hosting major events in the U.S. This strategy aims to increase market share and secure site fees for its events.

WWE has entered into a decade-long partnership with the Saudi General Sports Authority, agreeing to produce two major PLE events each year. Reports suggest that WWE could potentially bring high-profile events like the Royal Rumble or WrestleMania to Saudi Arabia in January. Financially, WWE reportedly earns around $50 million per event in Saudi Arabia, according to SEC filings.

Dave Meltzer, speaking on Wrestling Observer Radio, elaborated on WWE's strategies for its PLEs and how UFC is also strengthening its ties with Saudi Arabia.

"There were some changes in the Saudi deal. You know, this is Vince McMahon, who put the Saudi deal together.......On the WWE front, they are looking besides the two shows at 50 to 55 million a year that they've been doing, they were looking at a bigger payout for Royal Rumble, WrestleMania, and maybe Survivor Series, but one of those events, they're looking at a giant, you know,, and if they're getting 55, four or 50-55, for what they're doing now, I can just imagine what they're getting, what they would get for a Royal Rumble or a WrestleMania. It's so much more than anything else. I mean, the original idea was to keep WrestleMania and Royal Rumble in the United States and Canada SummerSlam; those are the ones, and Survivor Series, probably too. Basically, sell mostly the other ones all over the world, like they just did with France, and they're going to do with Germany, and they're gonna do, you know, with other places all over the world. You know, that's the new model; the new model is for both UFCs. The basic thing is they could run the Apex for no money. And if you want, if a city wants them, you know, they have to spend however many million dollars to get them.

They're not going to just go out there and do shows. I mean, I'm sure that they will do certain shows in certain places without site fees, but not a lot. Not a lot. It's a completely different situation. And it's good for them. I mean, it's another one of those things where the old idea of marketing to the fans doesn't matter anymore. It's cool that they're successful right now and they're selling less tickets, but there is no giant pressure to do so. And if and when they get cold, it doesn't matter. They're not going to struggle. They may struggle, you know, at certain points, hey that last UFC show, the last UFC show, I'm sure did nothing. The last WWE show from France, as far as interest level with the public. I got the Google number and the pay-per-view number. It's very clear that this show is not for whatever reason; this show did not have as much interest as a normal WWE show. It doesn't matter because they get paid the same either way. And, you know, in Lyon, France, they did a $3 million gate and got a site fee. So even when they put on this five-match show in the afternoon, that obviously as compared to a normal show people were not watching it doesn't matter, because they're fine, they're fine anyway," Meltzer stated. 

 

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