Phoenix LXVI: Get Your Kicks On Thread LXVI
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12-10-2012, 09:20 AM
Join Date: Jan 2005
Not to derail the thread yet again, but a few things need to be cleaned up here....
Originally Posted by
Yes, Winnipeg is sold out over the next 3 years. But part of atomic's point is.... Winnipeg is maxed out now. It's not going to get any bigger unless TNSE jacks ticket prices up.
And part of the reason why it was able to contribute to rev sharing is that it has one of the lowest payrolls in the NHL.
What happens when TNSE is forced to begin paying higher contracts to attract the marque players everyone contends is needed to win a cup, or reward top players within it's own system in order to keep them??
This was my one and only concern with Winnipeg getting a team back. How would they fare in over the long haul (10+ years) as player salaries continue to climb. I knew the fans would respond... I knew they would be successful out of the box. But you can only squeeze so much out of a market.
Of course we all realize that low payrolls have absolutely nothing to do with contributions to revenue sharing. Revenue sharing is exactly what it sounds like, sharing revenue. Payroll, expenses, average daytime winter high, none of it factors into the equation. So Winnipeg will or won't contribute to revenue sharing based on how much revenue they rake in. Payroll doesn't matter at all.
And if you're concerned about how Winnipeg will do when player salaries continue to climb, you better be awfully concerned how Phoenix will do when player salaries continue to climb. One thing's for certain, there will still be a salary cap, and it will still be tied to HRR. So not only do the Coyotes have to find a bunch more fans and charge a bunch more money for tickets, they will then have to raise ticket prices (and all other revenue streams) by 5% to 7%, pick your number, just to keep up with madated rises in the salary cap and floor. Good luck with that.
Originally Posted by
a whole 100 million a year!!! the los angeles dodgers baseball contract will be around 245 million a year. that is for one baseball team. and doesn't even include playoff games. 100 million a year is nothing for sports tv contracts. the nhl wants to keep teams in big markets that is why phoenix will exist as an nhl franchise. the nhl needs tv contracts to grow. there is no more money in tickets sales. most teams are selling tickets at high prices and lots of them. at a certain point if you raise them higher you will make less money. \
It is quite noble for you to mock the Canadian national TV contract in an attempt to show how awesome the Phoenix market is and how important it is for growth in TV revenue in the future, but let's put some facts into it.
US National TV Deal = $2 billion for 10 years (with 9 years left on the contract), so $200 million a year, and it's fixed until about 2021. That means, with or without Phoenix, the annual amount won't change for 8 more years. At least. Want to laugh at the Canadian TV contract and how it stacks up with the Dodgers? The US contract is peanuts. It's pathetic, by any standard.
Canadian National TV Deals:
(1) CBC = $100 to $110 million annually
(2) TSN = $33.5 to $40 million annually
(3) RDS = $15 million annually to the NHL (plus another $20 million to the Montreal Canadiens)
So, at the high end of the range, 3 networks paying for national TV rights in Canada add up to $165 million a year. Both the CBC and TSN contracts expire within the next 2 years, and both will see rights fees go up substantially at that time.
So if you want to laugh at how small Canada is, when they provide $165 million of the $365 million a year that goes into the shared TV pool, go right ahead. I'll repeat - Canada generates 45% of the total money from shared TV contracts. But Canada, with about 1/10 of the population of North America, and only 7 of 30 NHL teams, will soon generate more national TV money that the US. Arguments that having unsuccessful teams that no one watches in the middle of a desert somehow turning into billions in US TV money have been debunked long ago.
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