ESPN’s Pitaro takes on changing consumer habits in 2019

HBJ Photo | Sean Teehan

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By Sean Teehan

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In 2019, Bristol sports media giant ESPN celebrated its 40th anniversary but it was only the first full year the company was led by President James Pitaro.

The former Walt Disney Co. executive made his mark in several ways, as ESPN expanded its NBA, ultimate fighting and gambling content, while adding 100 jobs at its Bristol headquarters.

But the broader theme of 2019 was how ESPN had to deal with changing consumer habits.

At the end of last year Pitaro, who took over the Disney-owned network as president in March 2018, said much of ESPN’s focus in 2019 would revolve around expanding digital offerings and appealing to a younger, more diverse audience. Over the course of the year, Pitaro said the network has bolstered its standing on social media platforms, and amassed 3.5 million subscribers to its new ESPN Plus digital streaming service, which offers live sports and other original content.

“We’re expanding our audience and are focused on being relevant to a differentiated fan base,” Pitaro said. “We’ve seen our reach increase across digital platforms.”

ESPN Plus, which costs $4.99 a month, will need to continue attracting a high number of subscribers to partially offset revenue losses the company has felt from a mass exodus of cable subscribers opting for online streaming services.

ESPN in September also ceased its 21-year-old print magazine, blaming changing consumer habits for the decision.

ESPN also launched new sports-betting content. While Connecticut’s legislature didn’t take up any bills that would legalize sports gambling, ESPN last March launched Daily Wager, a 60-minute sports betting news and information program on ESPNEWS. The program was so well received, it was moved to ESPN2 in August, and has a Sunday morning edition, Pitaro said.

ESPN added a number of NBA-centric programs to ESPN Plus, including LeBron James’ “More Than An Athlete” series, Kevin Durant’s “The Boardroom” series, and SneakerCenter — which Pitaro said isn’t directly an NBA show, but appeals to the league’s fans. The network also launched a new marquee on-site pregame show called Hoop Streams, which drew nearly 2 million views per game on social and digital platforms during the NBA Finals, Pitaro said.

Recent controversy surrounding the NBA’s public fealty to the Chinese Communist Party hasn’t affected ESPN’s expansion of NBA content, Pitaro said.

Fighting for viewers

ESPN also tapped into the growing popularity of ultimate fighting. In 2018, ESPN signed a five-year, $1.5 billion deal with UFC to put 30 of the mixed martial arts leagues’ events on ESPN’s cable and streaming platforms in 2019, and each of the following four years.

That content has been well received on ESPN’s TV and digital platforms, Pitaro said.

“Our agreement is truly a cross-platform initiative with ESPN+ at the center — where digital drives linear and vice-versa,” Pitaro said. “It has also been a great way for us to expand our audience and be more attractive and relevant to the younger generation.”

The network’s Bristol headquarters has also become more of a focal point in 2019.

In August, ESPN launched the ACC Network out of Bristol, which covers Atlantic Coast Conference collegiate sports. More than 100 jobs have been added to Bristol over the year to support the network and that number could grow, Pitaro said.

That reverses job cuts the company has made in recent years, including laying off about 150 people at the end of 2017.

“We are currently updating many of our buildings to a more modern design to enhance the work experience for our employees,” Pitaro said. “We will continue to invest in Bristol and are proud to have called it our headquarters for 40 years.”

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