NHL sponsorship revenue surges thanks to new virtual ads and jersey patches

NHL sponsorship revenue surged 21% to $1.28 billion this season, powered by spending on new “digitally enhanced dasherboards,” an expanded field of league advertisers and jersey sponsor patches, according to a new report from SponsorUnited, which noted that “professional hockey is having a moment.” Read more: Behind the NHL's new digital ads And the franchises winning on the ice also won in the boardroom: The four teams that made the NHL Conference Finals—the Carolina Hurricanes, Florida Panthers, Dallas Stars, and Las Vegas Knights—grew their sponsorships by an average of 12 deals in the past year, compared to the league’s average growth rate of 2.5 sponsorships, SponsorUnited stated. The final four teams average 125 sponsorships combined, 21% more than the average NHL sponsorship tally. The Panthers and Knights are currently competing for the Stanley Cup. Cannes Lions coverage Follow our live blog here Sign up here for email updates See all of the Grand Prix winners here Hockey viewership is also climbing, according to the report. ABC and ESPN showed 50 NHL games this season, 22 more than last year, averaging 629,000 viewers—up 6% from last year. (The report excluded “limited windows where the NHL competed with NFL broadcasts.”) ABC averaged around 1 million viewers for this season’s games, up 19% versus the 2021-2022 season. The first round of the NHL playoffs set viewership records—up 18% compared with last season through the first 14 games, the report stated. Though not without some controversy, the introduction this season of what the league calls its “digitally enhanced dasherboards (DEDs)” has led to a new source of revenue for the league. The technology utilizes artificial intelligence to place virtual ads onto the dasherboards during game broadcasts, allowing sponsors to target fans based on where they're watching the games. More than 700 brands were represented in DED ads this year, led by the automotive industry, SponsorUnited stated; the NHL previously told Ad Age that brands had to have pre-existing relationships with the NHL and its teams to be featured on the digital signage. Some teams are “generating as much as 25% more revenue in dashboard signage alone,” said SponsorUnited CEO Bob Lynch in a statement. Several fans, though, have complained that the new ads were distracting, and there have been reports of tech glitches causing issues for those with epilepsy. Lynch credited the NHL with taking a “bold, multi-pronged approach to revolutionize sponsorships,” adding that “their big bet to introduce DEDs is one of the first great examples in sports marketing of how AI is changing how brands interact with consumers.” The NHL this season also introduced jersey sponsorship patches—13 of the league's 32 teams have inked deals so far, according to the report, which could indicate further opportunities for growth next season. Also, seven new leaguewide partners contributed to the NHL’s growing revenue: Bet 99, Hyundai and Purex in Canada; Jersey Mike’s in the U.S.; BioSteel in North America and Caterpillar and Sweet globally.

NHL sponsorship revenue surges thanks to new virtual ads and jersey patches

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