Soccer Business Bits: Quick Hits

October 16, 2009

rslWith a big set of MLS action coming up, we thought we would provide you with some MLS business news in advance of the weekend.

With all the debate over the financial viability of soccer stadiums (any stadium really), the fighting usually ceases once the building is up.  As a result, the “success” of the project is typically ignored.  Check out this piece in the Salt Lake Tribune about Rio Tinto’s financial impact.  Most importantly, revenue for RSL is up over 40% from its time at Rice Eccles Stadium.

Speaking of stadiums, grass is down in Red Bull Arena.  Click here for an interior camera.

Speaking of grass, it appears that it is confirmed that TFC will be playing on the natural stuff next season. Apparently in Canada, spelling is a bit different.

Speaking of different, one wonders how AC Milan will prosecute this absurd claim.

Finally, solid attendance on a chilly night in SLC for a big win for the home side.  More than 16k on a Wednesday night is a great number.


Business Blogging: ESPN Coverage of Wednesday Night Soccer

October 15, 2009

espnWith a big soccer doubleheader on ESPN, we thought we would review the broadcast, commercials and marketing from the telecast.  Before the game, the USA/Costa Rica match featured prominently across all ESPN platforms.  There were lead ins on SportsCenter and a 30 minute pre-game featuring Stone and Musto from Bristol.  The pre-game coverage included a thorough review of qualifiying from around the globe.  Commercials during the pre-game included Bridgestone, Gatorade, Pennzoil and others. There was also a fairly limited amount of local advertising.

The coverage on ESPN was fairly impressive.  Bob Ley anchored from RFK with Lalas while eand Harkes handled the broadcast.  When including the studio team, ESPN devoted 6 separate “talents” to the match.  The coverage was professional and comprehensive.  Scores from around the globe were regularly updated and viewers were kept apprised of develpments from all regions.

Tabasco, Gatorade, Pepsi Max, Blimpie and FIFA ’10, Budweiser and others made up the advertisers for the game broadcast.  Pepsi, Axe and Gatorade also had in-game advertising near the on screen scoreboard.  Healy and Healey did a good job with the broadcast and the ESPN Axis technology is always stunning.  There was surprisingly little mention of the ESPN2 broadcast of the Red Bulls/RSL game.  The USA match represented an important opportunity for MLS to put its broadcast before the much larger US Soccer audience.  While MLS had spots during the game featuring Becks, Angel and GBS, little was done to promote the following MLS match.    ESPN did promote its U-20 WC final.

Finally, ESPN concluded its USA coverage with a nice montage of qualifying, but the lead in to the MLS match was terrible.  The game was hardly mentioned, some of the graphics were in Spanish and it wasn’t clear for a number of minutes that the “pre-game” show was for MLS.  While the broadcast quality was outstanding (and included some in-game ads), the transition was a wasted opportunity for both MLS and ESPN.  This is too bad because few teams in MLS playsoccer as aesthicaly pleasing as RSL, especially at Rio Tinto.

As an aside, check out this outsanding piece on Portland’s entry into MLS as an expansion team from Major League Soccer Talk.


Soccer Business Bits: ESPN Doubleheader, Denmark Friendly and KC Stadium

October 14, 2009

tv soccerAmerican soccer fans will be treated to a soccer doubleheader tonight as ESPN2 will televise both the USA/Costa Rica match and the RSL/Red Bulls MLS match.  The lead in offers MLS a great chance for exposure to fans of the US Men who are reluctant to watch MLS matches.  MLS can showcase its product in one of its premier stadiums.  Unfortunately, the teams are near the bottom of the table and not necessarily the best advertisement for the League.  It will be interesting to see what steps ESPN takes to promote the MLS match to its Nats audience. If nothing else, RSL fans can feel pretty certain that there won’t be some other sporting event cutting out the first 15 minutes of the match.

In other news, the USSF  announced a November friendly with Denmark in Denmark.  Television coverage has not been announced.

Finally, it appears that Kansas City is moving closer to its alternative stadium site in Kansas.   For more on the project, check this article at Pitch Invasion.  While we think a 2011 opening is very aggressive and seemingly  unrealistic, we hope that the Wizards can make this a reality.


Soccer Business Bits: Promotions, Promotions & Promotions

October 13, 2009

us-soccerIts been a while since we have taken a look at the world of MLS promtions, and with a big weekend of games on the horizon, we thought we would take a look at what the home teams have planned this coming week.   We’ll start in DC, where RFK will host the Costa Rica/USA qualifier and a game with enormous playoff implications.  In an effort to generate attendance for both of those games, United is offering a combo package that offers a ticket to each game for $53.  The most expensive tickets are $125 for the deal.

In Houston, the Dynamo have been offering a 4-Pack deal for their top of the table clash with the Galaxy.  The $100 package includes 4 tickets and for McDonalds value meals.  The package is sold out, but the Dynamo are also offering replica Dynamo jerseys to the first 5,000 fans through the gate of their Sunday matchup.

Finally, resurgent FC Dallas are offering $10 seats and a free beer for their October 17 match against Colorado.  This an enormous match and a remarkably good deal.  The 16oz beer can be claimed until the 75th minute of the game.   Finally, the Revs are offering a two tickets/two pint glasses deal for their final home game. The packages are selling for $36 per. revs


The Monday After: Coverage of the Nats and MLS Attendance

October 12, 2009

soccertvBig weekend of soccer in the U.S. with World Cup Qualifying and the MLS playoff chase. While the big media story of the USA/Honduras match was the limited opportunity to view the game on televsion, other media stories emerged from the Saturday night match.  First, kudos to ESPN for its almost real-time coverage of the USA match during its Sports Center broadcast.  Seemingly within seconds of a big play in the game, ESPN would provide highlights and commentary of the play.  Similar coverage was provided by ESPN2 and other ESPN outlets.  This provided national coverage of the US qualifiying and probably put more eyeballs on the actual qualification than would have been had the game been televised by ESPN2.

Not to be outdone, FSC provided regular updates during their broadcast of the T&T/Costa Rica match.  The FSC team was aware of the extreme interest in the game among their viewing audience.  Plenty of people were home watching the FSC game while scanning the internet for chat’s about the game.  The FSC coverage provided regular updates for that group that did not have access to tv coverage of the game.

Another emerging theme was the prevalance of internet streams for games that are difficult to find on American television.  Fans across the country were hopping the internet to find streams of either the Honduran broadcast, the closed circuit broadcast or other video of the game.  Multiple websites were regurlarly providing links to new streams as existing streams were shutting down. Similar streams are typically available for EPL and other foreign broadcasts.  Without comment on the legality of this pracitce, suffice to say such streams are prevalent and have significantly altered the landscape for the availability of soccer in American homes.

In MLS play, there were a number of games with playoff implications.  In New England, just over 13k were in attendance for the Revs’ 1-0 loss to Columbus.  This is a low number, especially when considering the large number of high school players in the stands as part of high school socer night.  Toronto had a typically good crowd for its heartbreaking draw with San Jose.  Just about 13k were at the Home Depot Center for Chivas’ playoff clinching win.


DC United Lawsuit: An Update

October 9, 2009

unitedWe wrote a few weeks back about the lawsuit brought against DC United by two gentlemen seeking a commission from the introduction of VW as a sponsor.  While the lawsuit contained some interesting business tidbits about the business of MLS, the real action in the lawsuit is now just starting.  A copy of the Complaint was served upon Michael Williamson, the CFO of Macfarlane Chang DC Soccer on September 14 by a private process server.

The DC based lawfirm of Arent Fox LLP has appeared on behalf of DC United and filed an Answer to the Complaint.  In addition to the Answer, they have filed a number of “Affirmative Defenses” which are claims that the defense can prove to defeat the case (the plaintiff bears the burden of proving its case, but defendant can affirmatively defeat certain claims by proving these defenses.  In this case, many of the Affirmative Defenses are simply standard and will likely have little impact on the case.

In addition, the Court (Huvelle, J.) has orderd the parties to attend a scheduling conference on October 30.  At that time an order will enter setting the deadlines for depositions, written discovery and motions practice.  At that time, we will know more about the timeline for the case.  We will continue to monitor the litigation and keep you posted.


Soccer Business Bits: Back to B-More, RSL Friendly and More

October 8, 2009

unitedWe are back on our regular schedule now and thought we would start with a quick look to one of the big business stories of the week.  After getting rebuffed by PG County and desperate to leave RFK, DC United is still considering a permanent move to Baltimore.  According to the story from the Washington Business Journal, Baltimore Mayor Sheila Dixon has written to the Maryland Stadium Authority asking them to research a possible stadium project for United.  According to the story, the inquiry was made without consultation with DC United.

This is not the first time United has explored a stadium in Maryland.  Those prior efforts died After an 8-0 vote by the Prince George’s City Council refusing to support funding for a study of a potential stadium in Maryland.  United was then in the unenviable position of having thumbed its nose at the District of Columbia while being left at the alter (or perhaps engagement party) by the State of Maryland.  Now United may have another opportunity to build in the State.

There are many benefits to MLS teams playing mid-season friendlies: exposure, revenue and more.  That said, RSL’s decision to play Chivas in mid-October seems a bit contrary to their efforts to make the playoffs for the second consecutive  season.   With RSL needing points, it seems someone counter productive to exhaust their players with three games left to play.  Nevertheless, with a lenghty break between games, RSL probably needs the matches to stay fit for the run to the playoffs.  However, it is interesting that this match will likely draw about the same amount of fans as a typical MLS match at Rio Tinto.

Finally, the Globe & Mail is reporting that Vancouver will go forward with plans to build a retractable roof on BC Place.  The open air stadium is a requirement of the MLS franchise and moving forward should continue to make the transition for the Whitecaps smooth in 2011.


MLS Expansion: The 2011 Twins Revisited

October 6, 2009

With a fairly quiet day in the world of soccer business, we thought we would revisit the expansion franchises of Vancover and Portland.  While Portland’s stadium efforts have regularly been in the news since the franchise was granted, Vancouver has been well below the radar.  Here are some quick facts about the franchises and the ownership groups behind them:

Jeff Mallet, Greg Kerfoot, Stev Luczo and Steve Nash (yes that Steve Nash), are the men leading the charge to bring MLS to Vancouver in 2011.  The team would play at BC Place Stadium following a renovation and in a Soccer Specific Stadium sometime thereafter.   Vancouver is already home to the Whitecaps of the USL and would add a second Canadian team to MLS.

In Portland, the bid centers on a proposal to upgrade PGE Park, the home of a minor league baseball team and the Portland Timbers of the USL.  There have been some problems emerging in the last couple of weeks about efforts to build/renovate a stadium for the minor league franchise.

The driving force behind the Portland bid is Merritt Paulson, son of the former Secretary of the Treasury.  Paulson initially sought $85 million in public money to support the bid, renovate the stadium and construct infrastructure.  Given the economic climate, and his father’s prominent role in the bailout, there is no small irony in Paulson’s leading the charge for a raft of public money.

Both teams have reported fairly good success in generating early ticket sales and Portland has cleared a number of hurdles in its stadium construction efforts.  In Vancover, the team will have more than one year to get BC Place ready following the Olympics.

We will continue to monitor these two franchises (forever linked) as they move towards the big date in 2011.  We believe both will ultimately succeed.


Soccer Business Bits: MLS Salaries, Bye Bye Becks (again), ESPN Broadcast and More

October 3, 2009

mlsAs we are still travelling, here are a few quick business hits.  A modified MLS salary list has been released and posted by the MLS Players’ Union.  The list is a fun and informative read, especially this late in the season, as it allows you to compare production to income.  Moreover, it allows you to compare the various teams’ salary numbers in relation to the salary cap.  TFC and the Galxy are well over the “soft” $2.3 million cap, while teams like RSL and New York are below the cap.

There are now reports that David Beckham is again looking to head to AC Milan via a loan deal.  This is not surprising, however the fact that he is looking for a loan rather than considering a buy out of his contract, suggests that he is planning on playing the last two years of his deal in LA.  This alos suggests that the much maligned negotiation efforts of MLS and the Galaxy last Spring may have had their desired effect.

ESPN2 finally got back into the MLS television business on Friday with the much anticipated Beckham/Blanco match in L.A.  Blanco din’t play, but ESPN again struggled to get to MLS broadcast in time thanks to a long running football game. Attendance wise, the game drew 21,600 which is good for the Galaxy this year, but disappointing given the matchup.  As a business note, the Galaxy are now very close to a playoff birth which could bode well for television ratings and playoff attendance.

One final note.  Soccer stadium naming deals are notoriously subject to the marketplace, and with new MLS stadiums coming on line in the next couple of years and other naming rights deals coming due, it will be important to monitor the League’s ability to secure these deals.  In Jacksonville and Dallas, NFL teams are without stadium naming rights deals.  While MLS teams will likely look for less money, than teams in NFL, the current market may make securing such deals challenging.


Business Bits: A Quick Look

October 2, 2009

galaxyDue to some unfortunate personal scheduling quirks over the next few days, posts will be a bit irregular for a short while.  We do however, recommend that you check out some of the following:

Pitch Invasion has been runing a great series through the pen of former Fire GM Peter Wilt.  There are some great business bits here about building a team and sustaining excellence in the salary cap world of MLS.

We have written about Red Bull Arena, a great deal over the last few months.   The always top notch duNord has a link to a photo journal about season ticket selection inside the not yet completed Red Bull Arena.

We are typically a US-centric site, but this story from England has some significant soccer business impact.   The Chief Executive says he will keep fighting the good fight, but it is fairly remarkable that an EPL side has no money and can’t afford to pay its players.

ESPN2 returns to the MLS broadcast fold this weekend with the Beckham/Blanco tilt at the Home Depot on Friday night.  On Saturday, FSC gets the worst game of the weekend when the Quakes host the Red Bulls.

As always, for an intelligent look at sports and law, we recommend Connecticut Sports Law.


Follow

Get every new post delivered to your Inbox.

Join 38 other followers