(08-18-2014 04:00 PM)Attackcoog Wrote:  

(08-18-2014 03:54 PM)PirateMarv Wrote:  Hopefully the MAC does get an increase in it's contract to an amount larger than the AAC, because that would mean that Aresco is about to score some serious cash for the AAC.

My thinking exactly.

If the MAC deal resets the market, then fans of every G5 school should be happy. For the MAC deal to equal the AAC deal that would be a 2,400% increase in their contract. A similar increase for the AAC over remaining 5 years of the contract would equal around $9,600,00.00 (rounded up to $10,000,000.00) per school unless I screwed up the math.

This is a win-win for every G5 school if the MAC could renegotiate at that price.

(08-18-2014 04:06 PM)perimeterpost Wrote:  true $1m to $24m is a large jump, but in context $1m is so mind-numbingly cheap its near criminal. Even the old CUSA is getting $14m or $15m and they're impossible to find on TV. Weeknight MACtion provides real value, to pay each MAC team $1m-$1.5m a year isn't unreasonable. The MAC is grossly underpaid and corrective measures are hopefully in place. I think its wrong to assume, however, that if the MAC gets a market correction that it means the AAC will get a raise to keep them exponentially higher than the MAC.

The AAC is more underpaid than the MAC if you look at the results of the conference in comparison to P5 conferences. So I understand the whole thought process behind market corrections, but the MAC was not the only underpaid conference in comparison to results.

(08-18-2014 03:58 PM)Attackcoog Wrote:  

(08-18-2014 03:53 PM)Bull Wrote:  We negotiated our deal from the worst possible perfect-storm of bad luck in the history of sports. Conference was held together with duct tape, everyone was trashing us, and we didn't even have a NAME. We all know we're way undervalued for a conference that had our level of success.

What's interesting to me is that ESPN negotiated with 3 years left on the deal. Didn't we sign a 5 year deal? If we're entering year 2, then we could very well renegotiate next summer. Not that I expect more from ESPN, the game is totally rigged. They could offer us the exact same deal as the MAC... what would we do about it?? We shopped around once, as the Big East, and it was a total bust.

Pessimistic about our position on this...

We signed a 7 year agreement for basketball (started last fall) and a 6 year agreement for football (starts this fall). I am not pessimistic as I agree with the first part of your post. I wouldn't be surprised to see the AAC get 4-10 million a year in an extension negotiation if we continue to have solid performance over the next few years. Ive always felt 6 million a school (that was the low end of what the TV consultants came up with in 2011) is a reasonable value for AAC members.

IIRC that all ESPN had to do was match whatever NBC offered the conference and they retained media rights to the conference , so there was little to no room for any negotiation on the current contract. If the MAC did get a big bump up from around 100,000 per team to almost a million per team, I'd expect the AAC to sign some similar long term contract in the neighborhood of 5 million per team per year. Basically double what each makes now.

(08-18-2014 04:06 PM)perimeterpost Wrote:  true $1m to $24m is a large jump, but in context $1m is so mind-numbingly cheap its near criminal. Even the old CUSA is getting $14m or $15m and they're impossible to find on TV. Weeknight MACtion provides real value, to pay each MAC team $1m-$1.5m a year isn't unreasonable. The MAC is grossly underpaid and corrective measures are hopefully in place. I think its wrong to assume, however, that if the MAC gets a market correction that it means the AAC will get a raise to keep them exponentially higher than the MAC.

I agree it's always wrong to assume, therefore I started presuming. I do believe that based on performance, ratings and collection of schools the AAC should receive an exponentially higher raise than the MAC in a perfect world. NEWS FLASH, the world isn't perfect, nor fair. Hence I don't presume the AAC will be treated equitably by ESPiN.

It is unclear where these number came from in this article, but the CUSA and MWC deals look to be less than reported:

"The current MAC-ESPN deal is for $1.4 million per year. The WAC, which no longer has football, has a $4-million deal with ESPN. Conference-USA and the Mountain West, both football/basketball conferences that have been cherry-picked by larger leagues, have annual deals worth $11.3 million and $12 million, respectively, combined from ESPN and CBS."


http://www.cleveland.com/sports/college/...cart_river

(08-18-2014 04:31 PM)PirateMarv Wrote:  It is unclear where these number came from in this article, but the CUSA and MWC deals look to be less than reported:

"The current MAC-ESPN deal is for $1.4 million per year. The WAC, which no longer has football, has a $4-million deal with ESPN. Conference-USA and the Mountain West, both football/basketball conferences that have been cherry-picked by larger leagues, have annual deals worth $11.3 million and $12 million, respectively, combined from ESPN and CBS."


http://www.cleveland.com/sports/college/...cart_river

There are numerous more connected sources than Elton from the Cleveland paper that have the MWC higher.

(08-18-2014 04:31 PM)PirateMarv Wrote:  It is unclear where these number came from in this article, but the CUSA and MWC deals look to be less than reported:

"The current MAC-ESPN deal is for $1.4 million per year. The WAC, which no longer has football, has a $4-million deal with ESPN. Conference-USA and the Mountain West, both football/basketball conferences that have been cherry-picked by larger leagues, have annual deals worth $11.3 million and $12 million, respectively, combined from ESPN and CBS."


http://www.cleveland.com/sports/college/...cart_river

That matches the chart I posted earlier from another (feb 2013) article

(08-18-2014 04:42 PM)Bearcat2012 Wrote:  

(08-18-2014 04:31 PM)PirateMarv Wrote:  It is unclear where these number came from in this article, but the CUSA and MWC deals look to be less than reported:

"The current MAC-ESPN deal is for $1.4 million per year. The WAC, which no longer has football, has a $4-million deal with ESPN. Conference-USA and the Mountain West, both football/basketball conferences that have been cherry-picked by larger leagues, have annual deals worth $11.3 million and $12 million, respectively, combined from ESPN and CBS."


http://www.cleveland.com/sports/college/...cart_river

That matches the chart I posted earlier from another (feb 2013) article

The MW signed a 7 million dollar deal with ESPN for games that used to be part of the CBS package (were to be used for "The Mountain Network" but had no home after the Mountain shut down) after this chart was done. This deal is over and above the CBS package mention in your chart. My understanding is the total is around 18 million. They also signed a separate deal for their new CCG that netted another 1 million.

http://www.sbnation.com/college-football...-deal-espn

Hopefully the MAC got a massive increase.

When does the WAC's contract expire, if it hasn't already? And who in the heck gets that $4 million per year?

(08-18-2014 05:16 PM)KnightTower Wrote:  When does the WAC's contract expire, if it hasn't already? And who in the heck gets that $4 million per year?

The current members of the WAC get it. But I bet it was reduced via contractual clause when the WAC ceased sponsoring football

(08-18-2014 03:58 PM)Miami (Oh) Yeah ! Wrote:  

(08-18-2014 03:54 PM)PirateMarv Wrote:  Hopefully the MAC does get an increase in it's contract to an amount larger than the AAC, because that would mean that Aresco is about to score some serious cash for the AAC.

The entire G5 is grossly underpaid compared to the P5. The MAC gets 25% of the Big Ten TV ratings, 25% of the Big Ten attendance, 25% of the Big Ten CFP split, etc... so how are we not worth 25% of their TV payday? (and MAC is on ESPN2/U and not ABC/ESPN)

I realize 25% of the Big Ten's TV payday is $6 million per team, but lets say 10% - thats $3 million. Perhaps the AAC is 30-35% instead of 25%... you get the idea.

TV rights and advertising revenue rise in a logarithmic fashion as opposed to a linear one. ESPN can charge 3 or 4 times (or more) the advertising rate for an event with a 3.0 rating compared to an event with a 1.5 rating (not just 2 times as much). The supply of programs that supply a larger audience in a single program garners a very large premium. A 1.5 program does NOT have 50% of the value of one 3.0 program - that 3.0 program is worth MUCH more. So, in media economics, just because the MAC gets 25% of the ratings of the Big Ten doesn't mean that their rights fees are anywhere near the same ratio - the ratings that the Big Ten and SEC garner are worth exponentially more in the marketplace.

(08-18-2014 05:30 PM)Frank the Tank Wrote:  

(08-18-2014 03:58 PM)Miami (Oh) Yeah ! Wrote:  

(08-18-2014 03:54 PM)PirateMarv Wrote:  Hopefully the MAC does get an increase in it's contract to an amount larger than the AAC, because that would mean that Aresco is about to score some serious cash for the AAC.

The entire G5 is grossly underpaid compared to the P5. The MAC gets 25% of the Big Ten TV ratings, 25% of the Big Ten attendance, 25% of the Big Ten CFP split, etc... so how are we not worth 25% of their TV payday? (and MAC is on ESPN2/U and not ABC/ESPN)

I realize 25% of the Big Ten's TV payday is $6 million per team, but lets say 10% - thats $3 million. Perhaps the AAC is 30-35% instead of 25%... you get the idea.

TV rights and advertising revenue rise in a logarithmic fashion as opposed to a linear one. ESPN can charge 3 or 4 times (or more) the advertising rate for an event with a 3.0 rating compared to an event with a 1.5 rating (not just 2 times as much). The supply of programs that supply a larger audience in a single program garners a very large premium. A 1.5 program does NOT have 50% of the value of one 3.0 program - that 3.0 program is worth MUCH more. So, in media economics, just because the MAC gets 25% of the ratings of the Big Ten doesn't mean that their rights fees are anywhere near the same ratio - the ratings that the Big Ten and SEC garner are worth exponentially more in the marketplace.

Wow, thanks Captain Obvious

baruna falls - It's obviously not "obvious" considering I've seen this same 1-to-1 ratio argument brought up quite a bit.

Regardless, if the MAC somehow got in excess of 20 times their current contract, then kudos to them. However, I doubt that it's anywhere near that and the AAC is very safely ahead of them financially.

(08-18-2014 05:30 PM)Frank the Tank Wrote:  

(08-18-2014 03:58 PM)Miami (Oh) Yeah ! Wrote:  

(08-18-2014 03:54 PM)PirateMarv Wrote:  Hopefully the MAC does get an increase in it's contract to an amount larger than the AAC, because that would mean that Aresco is about to score some serious cash for the AAC.

The entire G5 is grossly underpaid compared to the P5. The MAC gets 25% of the Big Ten TV ratings, 25% of the Big Ten attendance, 25% of the Big Ten CFP split, etc... so how are we not worth 25% of their TV payday? (and MAC is on ESPN2/U and not ABC/ESPN)

I realize 25% of the Big Ten's TV payday is $6 million per team, but lets say 10% - thats $3 million. Perhaps the AAC is 30-35% instead of 25%... you get the idea.

TV rights and advertising revenue rise in a logarithmic fashion as opposed to a linear one. ESPN can charge 3 or 4 times (or more) the advertising rate for an event with a 3.0 rating compared to an event with a 1.5 rating (not just 2 times as much). The supply of programs that supply a larger audience in a single program garners a very large premium. A 1.5 program does NOT have 50% of the value of one 3.0 program - that 3.0 program is worth MUCH more. So, in media economics, just because the MAC gets 25% of the ratings of the Big Ten doesn't mean that their rights fees are anywhere near the same ratio - the ratings that the Big Ten and SEC garner are worth exponentially more in the marketplace.

This is one of the biggest things that separates a league like the Big Ten from the MAC, or even the American. You have several schools, and subsequently many more games, that can garner that 3.0 rating or higher in the Big Ten on a given week as opposed to much fewer potential match-ups that can get that same rating in the MAC. The games where Ohio, Bowling Green, NIU, and Toledo play each other are few and far between, meanwhile every game where Nebraska, Wisconsin, Ohio State, or Michigan is playing will always have big ratings, whether they're playing each other or a DIII school.

(08-18-2014 05:41 PM)Frank the Tank Wrote:  Regardless, if the MAC somehow got in excess of 20 times their current contract, then kudos to them. However, I doubt that it's anywhere near that and the AAC is very safely ahead of them financially.

I think this is much adu about nothing. ESPN was already giving it to the MAC high and dry paying the conference as a whole $1 million dollars a year. Hell, even if they increase that to $3 mil a year the schools are still making less than $300,000 per school.

(08-18-2014 05:56 PM)BamaScorpio69 Wrote:  

(08-18-2014 05:41 PM)Frank the Tank Wrote:  Regardless, if the MAC somehow got in excess of 20 times their current contract, then kudos to them. However, I doubt that it's anywhere near that and the AAC is very safely ahead of them financially.

I think this is much adu about nothing. ESPN was already giving it to the MAC high and dry paying the conference as a whole $1 million dollars a year. Hell, even if they increase that to $3 mil a year the schools are still making less than $300,000 per school.

Do you suppose the increase per school is going towards 'full cost of attendance'? Keeps those schools in the FBS division.


Fire June


.

(08-18-2014 06:29 PM)fishpro1098 Wrote:  

(08-18-2014 05:56 PM)BamaScorpio69 Wrote:  

(08-18-2014 05:41 PM)Frank the Tank Wrote:  Regardless, if the MAC somehow got in excess of 20 times their current contract, then kudos to them. However, I doubt that it's anywhere near that and the AAC is very safely ahead of them financially.

I think this is much adu about nothing. ESPN was already giving it to the MAC high and dry paying the conference as a whole $1 million dollars a year. Hell, even if they increase that to $3 mil a year the schools are still making less than $300,000 per school.

Do you suppose the increase per school is going towards 'full cost of attendance'? Keeps those schools in the FBS division.


Fire June


.

Interesting theory. More folks want to watch FBS than FCS

(08-18-2014 05:56 PM)BamaScorpio69 Wrote:  

(08-18-2014 05:41 PM)Frank the Tank Wrote:  Regardless, if the MAC somehow got in excess of 20 times their current contract, then kudos to them. However, I doubt that it's anywhere near that and the AAC is very safely ahead of them financially.

I think this is much adu about nothing. ESPN was already giving it to the MAC high and dry paying the conference as a whole $1 million dollars a year. Hell, even if they increase that to $3 mil a year the schools are still making less than $300,000 per school.

I'm guessing their new deal is going to pay them more like the CUSA deal. I suspect we will find its closer to 1 million per school than 1 million for the entire conference. This tweet by Fowler tends to support the million-ish per school idea.

Jeremy Fowler ‏@JFowlerCBS · 30m
Told MAC's deal with ESPN puts the conference "on par" with Group of 5 peers financially. Previous deal had them out of range

Jeremy Fowler ‏@JFowlerCBS · 31m
Believe American has biggest Gof5 deal at seven years, $130 million.