Profile: World Wrestling Entertainment Inc (WWE)
18 Dec 2013
World Wrestling Entertainment, Inc. (WWE) is an integrated media and entertainment company, principally engaged in the development, production and marketing of television and pay-per-view event programming and live events and the licensing and sale of consumer products featuring its brands. The Company operates in four segments: Live and Televised Entertainment, Consumer Products, Digital Media and WWE Studios. Live and Televised Entertainment ‘s revenue consists principally of ticket sales to live events, sales of merchandise at these live events, television rights fees, sales of television advertising and sponsorships, and fees for viewing its pay-per-view and video on demand programming. Consumer Products revenues consists principally of the sales of WWE produced home videos and magazine publishing and royalties or license fees related to various WWE themed products such as video games, toys and books. Digital Media revenues consists principally of advertising sales on its Websites, sale of merchandise on its Website through its WWEShop Internet storefront and sales of various broadband and mobile content. WWE Studios revenues consist of receipts from the distribution of filmed entertainment.
Live and Televised Entertainment
Live events and television programming are the Company’s content and production activities. Its four brands include Monday Night RAW, Friday Night SmackDown, WWE Superstars and WWE NXT. During the year ended December 31, 2011, the Company produced 241 live events throughout North America. In 2011, it produced 80 live events internationally. These events were spread over several international tours throughout Europe, Latin America and Australia. Its venue merchandise business consists of the design, sourcing, marketing and distribution of numerous WWE-branded products, such as t-shirts, caps and many other novelty items, all of which feature its superstars, divas and/or logos. These items are offered for sale at its live events.
In 2011, WWE televised 13 live pay-per-view events. WWE produced 13 domestic pay-per-view programs in 2011. Its international pay-per-view partners include SKY in the United Kingdom, SKY Deutschland in Germany, SKY Perfect TV! in Japan, SKY Italia in Italy and Main Event in Australia, among many others. It produces six hours of original weekly programming, 52 weeks per year. This programming is distributed domestically, internationally and via WWE.com. Its domestic programs include Monday Night Raw on USA Network and replayed on mun2 and Universal HD, and Friday Night SmackDown on Syfy and replayed on mun2. WWE NXT and WWE Superstars are available on WWE.com and distributed to more than 60 countries internationally. WWE’s TV programs reach approximately 12 million viewers in the United States during the average week. USA Network and the Syfy Channel are owned by NBC Universal.
Monday Night RAW is a two-hour primetime program that is broadcast live on United States of America Network. The two-hour Friday Night SmackDown airs on Syfy in primetime on Fridays. SmackDown also airs in replays on mun2. WWE Superstars transitioned to WWE.com domestically in April 2011. WWE Classics On Demand is a Subscription Video On Demand (SVOD) service that offers classic television shows, pay-per-view events, specials and original programming for a monthly subscription fee. Most of this material is drawn from WWE's 100,000 hour video library and includes other wrestling brands. WWE owns and controls the content from the libraries of such promotions as WCW, ECW and AWA. WWE Classics on Demand subscribers have access to approximately 40 hours of content each month. North American distributors include Comcast Communications, Cox Communications, Charter Communications, Cablevision, Mediacom, and Verizon Communications.
The Company provides sponsorships in the United States domestic market and Canada to meet the needs of its advertisers. Through these sponsorships, it offers advertisers a range of its promotional vehicles, including Internet and print advertising, arena signage, on-air announcements and pay-per-view sponsorship. From January 2011, the Company no longer sells advertising on its Canadian television programs.
The Company has a worldwide licensing program using its marks and logos, copyrighted works and characters on a variety of retail products, including toys, video games, apparel and books. The Company has relationships with more than 200 licensees worldwide that provide products for sale at retailers. Videogames and toys represent components of its licensing program. It is under a multi-year video game license with THQ Inc. and a multi-year licensing agreement with Mattel, Inc. as its master toy licensee, covering all global territories.
The Company has publishing licensing agreements with Simon & Schuster, Dorling Kindersley, Penguin Books, Pedigree, and Titan, which allows the Company to publish original content in a variety of genres and formats, including fiction, histories, how-to, comics, and biographies and autobiographies. During 2011, it published 12 books, including a novelization of The Reunion movie, a digital-only book on the Hall of Fame induction of Shawn Michaels, and several childrens’ books. The Company composes and records its music, including its Superstar entrance themes, in its recording studio. In addition to its own composed music, the Company license music performed by artists. Music links the WWE brand to all media platforms including television, film, radio, video games, live events and other emerging digital technologies.
In 2011, the Company released 28 home video productions and shipped approximately 3.3 million digital versatile disc (DVD) and Blu-ray units, including catalog titles released in prior years. Vivendi Entertainment is its domestic home video distributor. Outside the United States, third-party licensees distribute our home video productions. The magazine division of WWE consists of WWE Magazine and WWE Kids magazine and several special magazines. The flagship title, WWE Magazine, is a global men’s lifestyle publication with licensed editions in United Kingdom, Mexico, Greece and Turkey. Every issue is filled with features, photos, exclusive interviews and access that fans will not see on television. In the United States, WWE Magazine reaches more than 5.1 million readers every month. Its WWE Kids magazine published ten issues in 2011. WWE Kids also has licensed editions in the United Kingdom, Germany, France, Mexico and Turkey.
WWE utilizes the Internet to promote its brands, create a community experience among its fans, market and distribute its online and mobile products and sell online advertising. Its primary Website, WWE.com, attracted an average of 12.7 million monthly unique visitors worldwide during 2011. These visitors viewed an average of more than 286 million pages and approximately 24.7 million video streams per month. WWE wallpapers, ringtones, voicetones and videos are available through its mobile partnerships.
WWE has location based websites spanning 13 countries worldwide where fans can experience WWE in its own language with a concentration on events and shows in their region. Some of the worldwide countries include China, France, Germany, India, Japan, Poland, Portugal, Spain and Russia. Local sales agencies are selling ad inventory on wwe.com in over 9 countries. WWE streams its video content on Hulu.com, YouTube.com, TV.com, and other select video portals. The range of content includes full length episodes of Friday Night SmackDown, WWE NXT and WWE Superstars. WWE also offers short-form clips of Monday Night RAW, Friday Night SmackDown and classic content. WWEShop is its e-commerce storefront. WWEShop processed over 330,000 orders during 2011.
WWE Studios creates a diversified mix of filmed entertainment for the WWE fan base, as well as audiences, by means of production, distribution and acquisition partnerships. WWE Studios has released four feature films: See No Evil, The Marine, The Condemned, and 12 Rounds and two direct-to-DVD films, Behind Enemy Lines: Columbia and The Marine 2, by utilizing third-party distribution partners (Licensed films). During 2011, WWE Studios released four films under this self-distribution model; The Chaperone, That’s What I Am, Inside Out and The Reunion.
WWE Studios recently co-produced No One Lives with Pathe Pictures. WWE Studios’ movies can be seen in theatres, and are available for purchase or rental through retail and distribution channels including Walmart, Netflix and DirecTV.
World Wrestling Entertainment Inc
1241 East Main Street
STAMFORD CT 06902