Thank reader TonyDX for sending in the following recap:
Last night, CNN International exclusively in Europe and Asia aired a 3-minute piece on WWE's international business on a show called "Global Office" dedicated to global business strategies. Nothing you wouldn't already know but still interesting.
It begins with footage of Vince McMahon saying "You're fired" to the Coach during last year's Diva Search finale (Ah ! the memories). The journalist says the power suit may scream business executive but the screams in the arena mean this is no ordinary business. Vince is introduced as the chairman and founder of WWE and one of its central characters. He bought it from his father in 1982 and turned the regional circuit into a global business. At this point I was expecting the line about changing wrestling from its "circus sideshow" roots and out of "smoke-filled bars", etc but it never came. A short highlight package of the recent TV shows in the UK and Japan airs although they don't mention specifically that it was taped overseas. They say WWE is a publicly-traded company with a market capitalization of just under $800 million. I have no idea what they mean by "marked capitalization" so who knows if this number is correct or not.
Vince is interviewed somewhere. It's a very small place with a WWE ring, doesn't look like a gymnasium or something like that. You probably don't care where it was shot at but I just love to add as much details as possible. Anyways, he says that in entertainment, you have to think global, not just for the USA. Shane is also interviewed, they say he heads the global TV deals and he's listed on the screen as "executive vice-president". Naturally, they specify he's the son of you-know-who. Shane says something very intelligent which proves all those crazy bumps didn't destroy all his brain cells. He says TV has to come first and once you've got TV in a market, all the other revenue streams come with it such as live events, merchandising licensing or personal appearances.
We then go to John Cena who's doing an autograph session for his CD and DVD somewhere probably in the UK. They describe him as one of WWE's hot properties, Smackdown champion and international celebrity. To prove that, he's seen kissing some Japanese kid. Cena says they perform everywhere unlike the NFL who is more of an American game. He probably ignores the NFL has as much international TV deals as WWE and their own European league: NFL Europe.
In Cena's British autograph session is a Scottish lady called Frances Scott. The journalist says she's been a fan for 18 years and now shares this passion with her grandson. Are we supposed to think grannies are WWE's target demographic or is she just an isolated example ? Anyways, she says she likes it because it's more entertainment than other US sports. She even adds it's family entertainment ! Now I know there was an awful lot of kids in this autograph session and it's not 1999 anymore but still, that's stretching it a little bit.
They say "entertainment" is the key word, it's more entertainment than sports and they illustrate it by showing Coach as a ref taking a bump during the recent UK Raw. Richard Dorfman, a sports media analyst, is interviewed and says that their (WWE's) competition overseas is cinema, rock concerts and other forms of theater-type entertainment, they don't particularly aim at sports dollars.
The journalist says that in April, WWE sold out the UK, Italy, Germany and Ireland. International revenues have grown to $20 million since 2002 but they have to because their domestic revenues have fallen by 8% in 2 years. Vince says WWE is America's greatest export because it's a unique blend of all the forms of entertainment rolled into one. The piece ends with a freestyle by John Cena, something he did specifically for CNN, not something taken from Smackdown. It's a generic freestyle about nothing in particular but "there's more where that came from" he finishes. Ok then my mind is at rest.
Too bad they didn't mention that despite doing good business overseas they're not afraid to alienate some of these fans with such characters as La Resistance, Muhammad Hassan or the original Hirohito gimmick.
