NBC Olympics 2024 playbook has so far paid off

Comcast’s NBCUniversal has a longstanding bet on the Olympics, but this summer the company threw all of its resources at the Games in a bid to grab more viewership — especially for its growing streaming platform, Peacock.

It appears to have paid off so far — more than 30 million people tuned in to NBC’s TV and streaming platforms to watch the games, and a record $1.2 billion in advertising revenue was generated.

NBC executives, having touted the Olympics as a growth driver and differentiator in the increasingly crowded landscape of streaming and live sports, are now looking to extend the benefit beyond the Games and into future live sports.

“We completely changed the game plan internally. We ripped up the playbook two years ago,” said Jenny Storms, chief marketing officer of entertainment and sports at NBCUniversal. “It was very scary at the time to take the institutional knowledge that we had for so long and rip it up and start over. We really started new and fresh in totality, from production to company wide counterparts.”

The Olympics have long been key to NBCUniversal. Paris marked the 18th Olympic Games broadcast by NBC in the U.S. The company renewed the rights in 2014, agreeing to pay $7.65 billion for the Games between 2022 and 2032, amounting to more than $1.2 billion for each.

Just before Paris, efforts had fallen flat. The 2021 Tokyo Olympics and 2022 Beijing Olympics drew the lowest-ever audiences for Summer and Winter Games, respectively.

Storms noted there were factors at play in those last two Olympic Games that were largely out of NBCUniversal’s control.

Both of the Games were shrouded by the early stage of the pandemic. Tokyo was postponed by a year, and fans and families weren’t present at either games. The time zone difference from Asia worked against the U.S. broadcast, too.

But notably the strategy for Peacock during those Games appeared to be the biggest misstep. In Tokyo, very few events were available to stream live on Peacock. In Beijing, the live content was there, but fans had trouble finding what they wanted to watch.

“We made a claim that Peacock would be the home of the Olympics, and we didn’t exactly deliver,” said Mark Lazarus, chairman of NBCUniversal Media Group. “We were nervous about how much content to put on there, how to program it and how to cross-deliver it [with traditional TV]. And we were rightly told by the fanbase that we didn’t deliver what we said we would.”

The company used its own talent more strategically in 2024, executives said. Besides airing promos for content, NBC A-listers were integrated into the events themselves, co-hosting and reporting from the sidelines. Fan favorite Snoop Dogg, a special correspondent for NBC Olympics, generated social media buzz and drew more eyes to the live events. And, his stand-out presence in Paris helped promote his upcoming role with NBC’s “The Voice” this fall.

“We had a great experience with Snoop, we are definitely in the Snoop business with ‘The Voice,’ and hope to be in the Snoop business in the future,” said Lazarus, adding NBCUniversal doesn’t have a commitment yet with Snoop Dogg for future Olympics.

Other NBC talent attended the Games to promote their projects, too. Mariska Hargitay, who’s played the character Olivia Benson on “Law & Order: SVU” since 1999, was in Paris promoting the show’s 26th season. A variety of “Saturday Night Live” cast members were present, including Colin Jost, who covered surfing in Tahiti and had to make an early exit due to health issues.

Shows from both NBC and Peacock were also promoted at the Games, and Universal’s upcoming film, “Wicked,” was highlighted often, with stars Ariana Grande and Cynthia Erivo appearing on the Opening Ceremony red carpet.

The “Wicked” actors also voiced a promotional piece for U.S. gymnastics powerhouse Simone Biles, and an exclusive clip of the film was aired during the “Today” show from Paris. NBC said among moviegoers, “‘Wicked’ gained ground across measures during the Olympics, doubling our level of top of mind awareness, and increasing total awareness,” according to polling.

An estimated 2.8 million consumers signed up for Peacock during the first week of the Summer Games, averaging nearly 400,000 additions daily, according to data provider Antenna. This nearly matched the sign ups driven by Peacock’s exclusive NFL Wild Card game in January, according to Antenna. The game is considered the most streamed live event in history with 27.6 million viewers, according to Nielsen.

While Comcast recently reported Peacock had 33 million paid customers as of June 30 — 500,000 less than the prior period, and widely attributed to the loss of customers exiting after the Wild Card game —analyst Craig Moffett of MoffettNathanson said it’s worth noting the customers that remained since the Wild Card game.

“I suspect they’ll have the same experience with the Olympics,” Moffett said. “Sure, some of those customers will leave but they will probably end up keeping a lot more than not.”

Still, traditional TV made up the bulk of viewership during the Paris Games — nearly 90% of viewers watched on broadcast and cable channels, Lazarus said. Aided by the more favorable time zone, NBC aired live events on TV and Peacock during the day and rebranded the evening broadcast as “Primetime in Paris,” replaying big events with sidecar programming and interviews.

The strategy used in Paris will serve as the roadmap for future Olympics — the Milan Winter Olympics in 2026 and Los Angeles Summer Games in 2028 — as well as other live sports aired on NBC’s TV networks and Peacock, executives said.

Shortly after the 2024 Olympics comes the new seasons of English Premier League soccer, American college football and National Football League. NBC will also be the rights holder of National Basketball Association games beginning in the 2025-2026 season.

“I think Peacock is getting much more sophisticated, as we’ve seen with the Olympics, in how they can do sports coverage,” said Shirin Malkani, co-chair of the sports industry group at Perkins Coie.

Disclosure: CNBC parent NBCUniversal owns NBC Sports and NBC Olympics. NBC Olympics is the U.S. broadcast rights holder to all Summer and Winter Games through 2032.