Major Leagues’ Major Efforts to Mesmerize Younger Fans (2024)

It’s often said that exceptional organizational leaders can "see around corners." Generally speaking, this refers to one's ability to recognize future conditions before their reality exists.

For the bull market of sports to continue, seeing around corners will mean getting ahead of new realities of technological disruption. Ultimately, we believe that the leagues' ability to aggregate valuable audiences across an omnichannel ecosystem will drive increasing rights fees – the revenue bedrock underlying multi-billion-dollar team values.

Considering that, an important trendline to watch is the rising average age of fans who consume long-form sports content through traditional television. According to Sports Business Journal , the average age of fans watching live MLB, NFL, NHL, and NBA games through TV in 2021 was 57, 50, 49, and 42, respectively. One-third of "engaged" sports fans aged 18-24 prefer to watch highlights rather than full live games. It's difficult to assess what impact, if any, these emerging trends will have on the next round of media rights negotiations, but it's also clear that getting in front of the critical 18-35 demographic will be crucial to ensuring ongoing growth.

Innovation will be key. With the security of long-term media rights deals in place (excluding the NBA), we believe that leagues are going to push the envelope around broadcasts and viewing experiences. For example, when Bruin ran NFL Game Pass internationally, the team produced "Game in 40, " a consolidated version of the games in which fans who missed the action – especially because of the time difference – could download an entire game and watch it on their morning commute.

Right now, operators leading each of the major leagues are actively experimenting with new formats and initiatives that reflect younger fans' distinct priorities and media consumption habits. Today's #ChannelChange unpacks some examples.

NFL’s Spectacular Simulcasts

Having already collaborated earlier in the season, the National Football League (NFL) and Nickelodeon brought their kids-targeted simulcast to the Super Bowl for the first time. The augmented-reality-filled production featuring green slime, SpongeBob SquarePants and Dora the Explorer averaged 1.5 million viewers, despite the game’s overtime finish clashing with most kids’ regularly scheduled bedtime.

Ironically, the league is very serious about these playful ‘alt-casts’. The strategic decision to lean into SpongeBob and Toy Story (a separate collaboration with ESPN/Disney) makes sense on several levels. Not only are these incredibly strong brands proven to resonate with children, they are also part of media conglomerates with which NFL is already partnered. Another important detail is that SpongeBob, Dora and Woody/Buzz Lightyear debuted back in 1999, 2000, and 1995 respectively. Their 20+ year ‘operating histories’ means these characters are known commodities to the parents of young children. That nostalgia, and the intangible goodwill it creates between parents and children, reinforces the NFL’s place as a cross-generational family brand in ways that traditional broadcasts simply cannot.

NBA’s Diverse Brand Partnerships

The National Basketball Association (NBA) is known, and often celebrated, for taking a stand on social and cultural issues, using its popularity to raise awareness around topics that aren’t directly related to on-court activity. The league’s NBA Mind Health digital campaign and alliances with the likes of CARE Counseling are great examples of mental health advocacy. These efforts are commendable in their own right, but they also build brand affinity by focusing on issues that specifically impact younger consumers.

A study from Gallup and the Walton Family Foundation found that only 15% of people in Gen Z consider their mental health to be excellent. This is a massive drop from 10 years ago, when 52% of millennials in the same age range said they had excellent mental health. With half of all Gen Z consumers acknowledging that they are “likely” to purchase from brands that support and act upon causes they believe in, we believe that the NBA’s authentic and well-intentioned lean into topics that transcend sport builds a deeper connection with this purpose-driven generation.

While the league doesn’t shy away from difficult issues, it also creates a sense of fun, as demonstrated by its collaborations with media/fashion brands. The NBA’s decision to partner with Kim Kardashian’s SKIMS underwear line, for example, introduces the league to a large sphere of global, younger and primarily female consumers – not unlike Taylor Swift’s recent impact on the NFL. With more than 364 million followers on Instagram alone, Kardashian’s global fanbase is larger than the entire US population. The NBA can also tap into her ‘institutional knowledge’ regarding how to harness new media to stay relevant. This “two-way” value exchange, which is becoming increasingly common in professional sports, is something I previously unpacked when the NBA’s Charlotte Hornets agreed on a jersey patch sponsorship with Mr. Beast.

MLB’s Social (Media) Experiment

With the oldest average fan base among the four major sports, baseball arguably has the most ground to cover to reach younger audiences. As such, Major League Baseball (MLB) has taken a more comprehensive approach than other leagues, even going so far as to adjust the rules (e.g., introducing a pitch clock) to make games more appealing to a generation known for having a shorter attention span. With the league’s median age of ticket buyers dropping from 49 in 2019 to 43 in 2023, it appears progress is being made.

In tandem with changing its on-field product, MLB is winning hearts and minds on social media. The MLB Creator Class, first launched in 2021, is an annual program whereby the league collaborates with influencers on Instagram and TikTok to amplify its presence beyond traditional baseball fans. These influencers are drafted from industries including food, fashion, music, technology, gaming and travel to create content around the World Series and teams in their home markets.

This initiative demonstrates that MLB is willing to relax its tight grip on how the league’s IP is used, which falls right in line with younger consumer preferences (83% of Gen Z agree that brands should allow fans to use their IP to create content online). We believe that the rationale for this program is two-fold. The influencers have their own audiences who could be converted into baseball fans, but the real value-add for MLB here is enlisting highly qualified short-form storytellers who can synthesize team narratives into bite-sized content that aligns with Gen Z’s digital native tendencies.

The league’s lean into social media appears to be paying dividends. TikTok posts using the #MLBCreatorClass hashtag gained 217 million views in the program’s first two years. On Instagram, 71% of MLB followers are now under the age of 35 – an especially impressive statistic when one considers that 61% of Instagram’s total US user base is under 35.

NHL’s Metaverse Endeavors

The National Hockey League (NHL) has taken the idea of meeting young fans where they are even further by creating NHL Blast on Roblox - the online game platform that currently boasts 300 million monthly active users, more than half of whom are below the age of 16.

Roblox was one of the biggest beneficiaries of the global pandemic. This wasn’t because it had the flashiest game titles (it didn’t). We believe that it was because the platform was accessible, flexible and empowering, providing tools for users to create their own games and invite others to play them. It allows people to express individuality while also fostering a sense of community. At a time when more than 70% of Gen Z consumers agree that online communities feed their need for belonging, the NHL identified a partner with a large, captive audience.

As an immersive and “hypersocial” virtual environment, NHL Blast on Roblox allows players to compete in a variety of ice hockey-themed games and obstacle courses. Players can also customize their avatars using NHL IP, including team jerseys and mannerisms that mimic the style of specific NHL players. More recently, the league has fused this initiative with its on-ice data collection capabilities. While the primary driver for its investment in puck and player tracking (PPT) systems has been to observe in-game performance, scout talent and monitor athlete health, theNHL is repurposing the technology to provide animated recreations of key moments from real-life matches inside Roblox – not, in our opinion, dissimilar from the NFL’s animated simulcasts.

Final Thought

Each league is applying what we view as strategic creativity to reach and engage younger fans. The common thread across most of these tactics is recognition that newer members of society crave being part of a community that complements their value system. Indeed, 36% of all Gen Z consumers (not just sports viewers) agree that sports fandom helps define their identity.

Not all of these ideas will be home runs. Some will inevitably fail or fizzle out. We believe that maintaining a culture of fan engagement experimentation is the ultimate priority. Yes, live games will always be a key asset for sports leagues and teams, but recent history has shown us that the next wave of fans want companionship and experiences too.

Disclaimer: There can be no assurance that historical trends will continue. Information included herein relating to market characterization is based on Bruin Capital’s subjective determinations that it believes are reasonable, but others may disagree with such characterization. Other market participants may make different determinations based on the same underlying data. There can be no assurance that Bruin Capital will be able to source partnership opportunities, successfully implement its business strategy or that any holding will generate a return of or on capital. Our views and opinions expressed herein are current as of the date of this article and are subject to change.