Are the big market teams the losers here?
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01-02-2013, 03:00 PM
Join Date: Sep 2008
Originally Posted by
No, I think almost every market is a loser in some significant way.
Let's look at a few "small" market teams:
1. Columbus - Instead of being able to play, the Jackets have to endure being labeled the "last place team" for essentially 2 seasons in a row. Also, they lost the All-Star Game as well as much of the revenue in the Arena District which is generated by the Jackets games. It's so bad that Columbus is looking for ways to offset the loss for local businesses (particularly restaurants).
2. Phoenix - They made the Western Conference finals. A season without hockey may, however, nullify the boost in popularity the Coyotes' postseason run generated.
3. Florida - Much like Phoenix, last season's success in Florida may likely be tempered by a season without hockey.
(You can also add LA to the group of Phoenix and Florida although they aren't really that small and the Lakers aren't being their usual dominant selves.)
While the large market teams lose the most money immediately, the lockout is undoubtedly helping to foster a sense of ambivalence towards the NHL in all markets. This hurts small markets the most particularly after a season where many of the smaller markets performed well.
These are interesting points, and while the focus of this thread seemed to be more on the big market teams I do think it's good to remind readers of the thread that small market teams have suffered as well, though we tend to look more at their losses on the balance sheet stopping.
I can only presume that large market teams were told that a healthier league overall would lead to better TV contracts and growth, which presumably outweigh their losses over a fraction (or whole) NHL season.
Myself personally I always assumed that once 50/50 was reached (or something closer to 50/50 from where they used to be) and the new cap based on that linkage established that there would be rollbacks/buyouts and other tools introduced to help teams get from their current payroll down to where the new cap would be.
There really should be some mechanisms to for teams to dump 10+M in salary and ideally stay roughly as competitive as they were prior to the lockout.
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