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The Gross Football Product from Sports Illustrated -- $9.3 Billion

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  • The Gross Football Product from Sports Illustrated -- $9.3 Billion

    Broadcast

    Annually the NFL redistributes upwards of $4 billion in radio, TV and digital esrnings across 32 teams -- $125 million a piece plus an equal share for the league. The 19 highest rated fall TV shows were NFL games.

    Sponsorship

    From credit cards to cameras from auto makers to pizza, companies pour money into the league coffers. For example Pepsi ($560 million over 8 years) and Gatorade ($45 million per year plus free Gatorade)

    Tickets/Concession

    In 2010 the attendance was 17 million. The league does not open its books. The publicly held Packers cleared $60,059,646 from home and away game tickets plus private boxes. Projected over 32 teams that is close to $2 billion.

    COSTS

    Player Salaries

    Teams are serving up a smaller portion of the revenue pie to players than a decade ago. The percentage of revenue going to player salries more than doubled from 1980 - 2000.

    Benefits

    According to a congressional Research Service report the league paid $919.6 million in benefits for retired players in 06 and 07. The NFL says clubs contributed $388 million to fund a range of benefits.


    PAY HIKES

    The average player salary has increased from $78,657 in 1980 to $1.9 million in 2010. The highest paid player has increased from $475,000 in 1980 (walter payton) to $26.9 million (Matthew Stafford).

    NET WORTH

    Average net worth of owners -- $1.4 billion.

    6 highest

    1. Paul Allen -- $12.9 b
    2. Stephen Ross -- $3.3 b
    3. Malcolm Glazer -- $2.4b
    4. Stan Kroenke -- $2.2 b
    5. Jerry Jones -- $1.9b
    6. Arthur Blank -- $1.45b

    27. Zygi Wilf --- $310m
    28. Al Davis -- $310m
    29. John Mara -- $240m
    30. Virginia Halas McCkasky -- 200m
    31. Steve Tisch -- $170 m
    32. Dan Rooney -- $150m

    HALO EFFECT
    $20 - $21 m local economic activity for one NFL game
    100,000 -- stadium workers affected by a lockout
    $6.972 billion paid by the public toward $13.146 billion in total construction costs of NFL stadiums since 1990.

    "YOU WANT TO FIND OUT EXACTLY WHAT THE REVENUE IS AND HOW IT'S DIVIDED UP? PROBABLY YOUR ONLY OPTION IS TO BUY A FRANCHISE."

    Robert Boland, NYU Professor of Sports Management

  • #2
    Wow, makes me want to puke.
    --
    Imagine for a moment a world without hypothetical situations...

    Comment


    • #3
      it's unsettling indeed
      The Bottom Line:
      Formally Numb, same person, same views of M3

      Comment


      • #4
        What's puke-prompting and unsettling?

        How rich the players, are, how rich the owners are, or how much money local businesses and tens of thousands of average Joe employees are about to lose?
        [QUOTE=George Cumby] ...every draft (Ted) would pick a solid, dependable, smart, athletically limited linebacker...the guy who isn't doing drugs, going to strip bars, knocking around his girlfriend or making any plays of game changing significance.

        Comment


        • #5
          right! it's like any other product or business that's in high demand. 9b is nothing compared to insurance, energy, software, chemical industries just to name a few. it's free enterprise supply and demand. it's the offseason and not much is going on so anyone dependant on the league isn't losing to much i'd think. stadiums still have to be maintained etc. now if things aren't settled in a few of months then that will change but i bet it doesn't go too long.

          Comment


          • #6
            Originally posted by swede View Post
            What's puke-prompting and unsettling?

            How rich the players, are, how rich the owners are, or how much money local businesses and tens of thousands of average Joe employees are about to lose?

            All of it? Beginning to end of all this crap?

            There was nothing broken in the league. And they broke it, harming everyone in the process.
            --
            Imagine for a moment a world without hypothetical situations...

            Comment


            • #7
              Originally posted by gbgary View Post
              right! it's like any other product or business that's in high demand. 9b is nothing compared to insurance, energy, software, chemical industries just to name a few. it's free enterprise supply and demand. it's the offseason and not much is going on so anyone dependant on the league isn't losing to much i'd think. stadiums still have to be maintained etc. now if things aren't settled in a few of months then that will change but i bet it doesn't go too long.
              There are some early hits. Teams that do no sell out will see their marketing efforts curtailed and the gate (and money spent at the stadium) is still a significant number. Club seats and luxury box sales, the true profit drivers in a stadium will be on the backburner and probably see their sales slow. Fan travel packages would be affected if no schedule is released in April. Obviously the big hits will come later.
              Bud Adams told me the franchise he admired the most was the Kansas City Chiefs. Then he asked for more hookers and blow.

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