Posts Tagged ‘Tom Poole’

The History of the NBA and its TV Rights

Monday, April 28th, 2014

nba logo     tv logo

The National Basketball Association has a rich history of growth since their first television contract in the 50’s. One piece of quantitive data to represent this development is television rights deals. When we examine this information we see how the amount of money involved in the network and cable contracts has increased with each contract. This growth is consistent and exponential.

One important differentiation to understand is between “network” and “cable” television. Network television has been around longer and is delivered to homes through radio waves. Cable television was a later invention that came to surface around the 80’s. Cable TV essentially un-monopolized the network television market allowing for more viewer choice.

As the name implies, it is delivered to homes via cable. For purposes of this blog we will avoid redundancy by just talking about “network” television. The network and cable contracts both show similar trends. The network deals were between the NBA and networks such as ABC,NBC, and CBS.

celtics v lakersBird, Magic, and JordanLBJ

The NBA’s first “network” television contract was in the 1953-1954 season for $39,000 .  In the 1973-1974 season the contract ballooned to a 3-year contract worth $27 million dollars.  An explanation for this could be the NBA’s dramatic increase in popularity with the domination of players such as Bill Russell and Wilt The Stilt Chamberlin in the 60’s.

Another large jump in revenue was between the 1986-1990 and 1990-1994 contracts. The contract value went from $173 to $601 million. This can be equated by the phenomenal marketability of key players and teams such as Magic Johnson and the Lakers, Larry Bird and the Celtics and the emergence of a young Chicago Bulls star named Michael Jordan. If we were to name all of the influential players of the 80’s, by itself the list would greatly exceed our 250 word minimum blog!

The NBA’s current network contract was signed in 2008 and is the longest and priciest TV contract in the league’s history: 8 years and $7.44 billion . The forefathers helped grow the league into a powerhouse and current star players such as LeBron James continue to elevate the status of the league. However, the increase in talent and media coverage makes it difficult to see the ceiling in terms of NBA TV rights growth.

NBA Basketball

One last important point to make: The NBA has a large global marketplace. It is currently broadcasted in 215 countries. None of the figures we discussed included data beyond the United States.

 

 

 

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National Women’s Soccer League: Learning from the Past

Monday, April 21st, 2014

                       

The ABL (American Basketball League) most recently, refers to the women’s basketball league founded in 1996 that lasted only three seasons. The league was made up of 10 teams and sprouted during a bright spot in women’s basketball after their 1996 gold medal.  According to the NY Times, the league even paid great salaries for their players, “$50,000 to $150,000 and offered players year-round health benefits and a retirement plan.”  The growth of the WNBA, a brand of basketball with backing from the NBA, and the lack of a major sponsorship eventually led to the demise of the ABL.

        

The USFL (United States Football League) like the ABL, only lasted three seasons. Naturally the USFL faced issues coexisting with the powerhouse NFL, winning an initial lawsuit against the league before their birth in 1982. The USFL even had contracts with ESPN and ABC to broadcast their games during the NFL offseason. Many teams during the 1983 season exceeded their salary caps by signing big names including Hershel Walker, and Steve Young. The league even made a run for Dan Marino at one point. The league failed to meet these larger financial responsibilities by increasing their marketing revenue.  In their 3rd season and with an attempt to take down Goliath, the USFL announced their season would be the same as the regular NFL season. This turned out to be a detrimental decision and eventually led to the downfall of the USFL.

 

What can we learn from studying these two sports organizations? First we can learn that it can be difficult to attack a larger league head on. The USFL competed with the NFL and did a fairly good job when their season occurred during the NFL’s offseason. When they tried to take the reins of the market and play their season during NFL season they crumbled. The NFL had already had control of the professional marketplace, a market they had been familiar with since 1920. Once the USFL made the decision to directly compete or dethrone the NFL they were doomed. The ABL didn’t directly take on a powerhouse league, one happened to pop up around the same time as theirs. The ABL was squashed under the foot of the WNBA largely because of their support from the ever popular NBA. Intelligently, the NBA used much of its knowledge about running a successful league and shared it with their new women’s league. The WNBA and the ABL both saw a huge opening in the marketplace for professional women’s basketball in the USA. It was only a matter of time until one would fail due to oversaturation.

 

       

The NWSL (National Women’s Soccer League) is another league founded in 2012. The situation with the NWSL seems to be a little different than the history of the other two leagues we have examined so far. The beginning of this league is somewhat more of a merger vs. a competition for a growing or currently existing marketplace as we saw with the ABL or USFL. After the downfall of WPS (Women’s Professional Soccer), officials from that league and other high status women’s soccer leagues collectively gathered to discuss past and present issues in hopes of turning the NWSL into a super league.

 

 

D1 Coaching Contact: Academic Success

Monday, April 7th, 2014

Coaches all too often receive large bonuses when their team is winning, but why not for their team’s academic success?

Education Secretary Arne Duncan believes:

Universities need to tie bonus pay of their coaches and athletics directors more prominently to their college athletes’ academic performance

And so do we!

Key elements to a coach’s contact located in the academic incentive clause include:

  • Implement policies and demonstrate behavior that advances academic success
  • A flat bonus for meeting graduation rates or academic progress rate (APR) scores
  • A team cumulative GPA of 3.0 or higher

Meeting each element would earn the coach a bonus money signmoney signmoney sign

Penalties should also be in place to regulate a decrease in a team’s academic performance.

UCONN MEME

 

Let’s not forget UConn’s recent NCAA Tournament suspension for low Academic Progress Rate (APR) scores

 

 

 

Grambling was also hit hard with binding force for low APR scores.

Sanctions should also be in place for a decrease in APR score, which include:

  • Limited practice
  • Shortened season
  • Game forfeiture
  • Scholarship reduction

After a scholarship reduction sanction, the next step is to implement an Academic Enhancement Team to aid student-athletes.

The following link by the Journal of Issues in Intercollegiate Athletics sheds light on the athletic and academic discrepancies in a coach’s contract.

Do you ever wonder which school would win in an NCAA Academic Performance Tournament?

You’re not the first. In fact, Inside Higher Ed has an academic tournament giving the student-athletes and fans bragging rights in the classroom.

ncaa academic winnerThe 2014 winner is Kansas.

 

 

 

 

 

Real Madrid, SB Nation

Friday, March 14th, 2014

Real Madrid Video

Http://www.realmadrid.com/en is dedicated to providing the latest football and basketball related news, schedules, team information, and ticket sales.  Also, The Real Madrid Foundation, uses sport as a foundation for:

promoting values inherent in sport, and the latter’s role as an educational tool capable of contributing to the comprehensive development of the personality of those who practice it….and to disseminate all cultural aspects linked to sport.

Their target audience is the youth who identify with football and basketball as seen in the site’s “Fan Zone” but also to the older generation who want to become members and receive certain benefits.  Fans can print out coloring pages of their favorite player or check the latest scores. 2-way communication in regards to the editors of Real Madrid is quite limited.  The Fan Zone offers various social networks to interact, but that’s mostly dealing with other fans.  The only contact information provided are various phone numbers and emails that are linked to various departments.

 

Http://www.sbnation.com/ provides high quality, team specific, coverage and commentary for all sport lovers during the season and off-season. SB nation covers many different sports ranging from basketball to horse racing.  SB Nation uses innovation to reach its target market, who SB Nation identifies as

the young, male, affluent audience.

This is due to the large numbers of male viewership and their influential nature on the market itself.  Like Real Madrid, SB Nation has links to their social media accounts. SB Nation sets itself apart from the rest by its creativity as seen in their “Game Threads” that lead real-time discussions between the audience and SB Nation editors. This is a great example of 2-way communication that brings the fans and editors together to discuss sports topics.

 

Real Madrid states their goal is to foster and develop the youth who participate in sport, however, their website suggests they’re in the business to sell tickets and promote their football and basketball team.

 

SB Nation takes a different approach by providing a multitude of current sport related information by mandating a “unique collaboration between editorial, technology, advertising and design, which gives the users instant gratification.