I gotta say that those figures are a pretty grim assessment of the current future. To me the numbers don't shock me much. WWE has been steadily declining in PPV buys for the last number of years. Vince is basically the creator of the concept of Pay Per View and it's a shame that WWE is falling way behind things like Boxing and the ever rising UFC.
UFC is the easy answer to blame for the WWE's numbers. They took the bulk of the teen and young adult demographic from WWE who once held it proudly during the Attitude era. The WWE has done what it has to survive, by targeting the kids instead, but there are a few problems with that demography. One, the kids don't have as much spendable cash as teens do. Parents are more likely to buy their kids T-Shirts and other souvenirs, but 50 bucks for a PPV that they can watch that's similar on free TV? Not often. Teens have another wonderful ability that kids don't have, they can go to bars. Bars once proudly hosted Wrestling PPV's, but that has now shifted more towards UFC. The teen and young adults are into UFC, not WWE, and will gladly pay 20 bucks to see it in a bar, or pay more at home.
So UFC took away the teen and young adult demography, so what's the next problem. Well another easy one is the price, 50-60 bucks is a lot of money is todays economy. And unlike say a group of tens who can split it 10 bucks each, a bunch of kids who come over to watch it ones house, who's stuck with the bill. Mom and Dad. Again, the economy is shit, and Mom and Dad aren't likely to fork over $60 when their kids can watch something similar Monday, Tuesday, Thursday, and Friday night. But I'm not here to judge the price change. The WWE is a professional business, and obviously feel that if they raise the prices they will make more money at the expense of a few thousand less buys. The real problem, is that it's becoming a lot more than a few thousand less buys.
You know what else can be to blame. The quality of the shows. Not saying RAW is always amazing, with all the pointless comedic bits and annoying plugs, but I'm saying we are seeing way too many main event matches given away on free TV. We never saw Rock vs Austin much on RAW during the Attitude era, they saved those for the PPV's. HHH and Austin as well, even going as far forward as Angle vs Lesner. They didn't give those matches away often on free TV, they saved them for the big PPV matches that people buy. WWE is starting to do less of that now that they are pushing more young talent. But the fact is I'd see matches like Cena vs Big Show, or CM Punk vs JBL, or Kane vs Mysterio, all the time on free TV, so when they fight on a PPV not apart of the Big 4, it doesn't inspire me much to shell out cash to see it again.
And then there is the frequency of the PPV's, which I see as WWE's only solution to curbing the low buys. In all honesty, I'm sick of seeing the quick 4 week build where aside from 1 or 2 matches, I have no idea what the others will be heading into the final week. Sometimes matches are randomly announced at the PPV. So instead of spending the time to build a feud slightly and announce it before the PPV to encourage a few extra buys, you surprise us with say Miz vs Kofi for the US title and get nothing extra out of it. I don't know how much money WWE makes off each PPV, but aside from the Big Four, I don't think they make much off the others. To give you an idea, on the main site.
WWE released the second quarter numbers for 2010, announcing $106.8 million in revenue with $6.3 million in profits. Those figures are down from last year, which saw $138.8 million in revenue and $19.9 million in profits.
Clearly that is enormous drop, although WrestleMania fell in the second quarter of last year (first quarter this year), which obviously changes things by leaps and bounds.
Without WrestleMania, the numbers would have been $106.6 million in revenue and $10.2 million in profits. So despite the WrestleMania factor, there is still a sizeable decrease.
So Wrestlemania last year brought in 30+ million in revenue and turned in a 9.7 million profit on it's own. So that means RR and EC PPV's, and 3 months of TV and house shows brought in 10 million. The same stretch from Over the Limit to Fatal 4 Way made 6.3 million. That is a significant difference. Again, I don't know how much each minor PPV brings in, but if they had fewer ones, I'm sure they might each do much better.
So my only advice for the WWE. Fewer PPV's, scale it back down to 6 (WM, RR, SummerSlam, Survivor Series, and 2 others) and make them 4 hour shows. Take the time to build all the matches on the card and make them exciting. He don't need single gimmick PPV's. The original concept of wrestling was that of a three ring circus, that there is something for everybody. A PPV with 3 Scramble matches, or 3 Submission, or 4 Fatal Four Ways, is basically the equivalent to a man continuously being shot out of a cannon. It gets boring after a while.