(04-17-2013 07:28 AM)curtis0620 Wrote: The point I have been trying to make is that the SEC will probably get most if not all cable subs in Alabama. The ACC only needs a fraction of the state of NY and that would be huge.
Much bigger population base and a smaller percentage will get you bigger revenue.
No. That isn't necessarily true (
see BIG EAST payout). Having a ton of passionate fans will translate into a big payout. If nobody watches the channel and if nobody cares if they have the channel or not, then it is worthless, no matter how many people have access to it. Cable companies will not pay substantial amounts of money for something that nobody wants, watches, or cares about (
see Pac-12 network carriage problems, LHN, and BTN negotiations in NYC). Conversely, if a channel is wildly popular and has a fanatical following, then there is a very good chance that it will have a very large payout, even if the population in it's "home footprint" isn't particularily large (
see BTN's profits from the Midwest).
If you disagree, then make your case. Answer
any of my questions. I have answered all of your questions. How would you justify a given carriage rate? And, from where do you think the cable providers derive value?
This is semi-OT, but it's worth stating:
*The average New Yorker doesn't watch college sports because there is simply too much to do in the city. If they watch sports at all, which many do at some level, they usually watch pro sports, like the Yankees, Mets, Giants, Jets, Knicks, Nets, Rangers, Islanders, Devils, Red Bulls (to a lesser extent). Anyway, many New Yorkers either haven't been in this country long enough to have strong attachments to a particular college, or haven't been in NY long enough to have attachments to a particular college in the region. People come to NYC from all over the world and all over the country.
*The average Bostonian doesn't watch college sports either. Like in NYC, there is simply too much going on, and there are too many pro sports with fanatical followings. Boston is home to the Red Sox, Celtics, Bruins, (effectively) the Patriots, and (effectively) the Revolution. All of those teams are amongst the most important teams in theire respective professional sports and those are the biggest professional sports in America. Anyway, if the average Bostonian did follow college sports, their team wouldn't be Boston College. I don't know if you know this, but Boston is home to more colleges, and more college students per capita than any other place in the entire world. Not only does this fact suggest that BC has to compete with more colleges in their local market than any other university (how many BU, Harvard, MIT, Northeastern, Emory, and so on grads care about BC athletics?), but the lack of elite teams to come out of Boston suggests that nobody goes to school in Boston because they care about college athletics. Despite the fact that there are a zillion teams in the city, almost none of them are any good, ever.
*Philly, like NYC and Boston, is another city with a lot going on. Honestly, you're a Pitt fan. Do you really think that there is a large, loud, and vocal Pitt following in Philly? I don't even think that there is a particularily large, loud, and vocal Penn State following in Philly, and PSU is bigger and closer. To put things in perspective, the BTN charges out of footprint rates in Philly. Thats 1/8.8 of their "home" rates, and the BIG TEN has Penn State in it.
*Heck, I'm not even sure that Miami will make the ACC a ton of money. Look at the []_[]'s attendance for their regular season and spring games and tell me that people really, really care. Admittedly, I think that things would be different if Miami was winning, but residents of big cities have a lot going on, so they have little patients for teams that aren't winning championships.
*I could make similar arguments about DC, Atlanta, and some of the cities in Florida (i.e. Orlando and probs Tampa), but, admittedly, the arguments would be to a MUCH lesser extent.
If markets were all that mattered, The America would be loaded. Off the top of my head, they have Dallas, Houston, NYC, Philly, Memphis, New Orleans, Cinci, DC (Navy), and arguably Boston (UCONN is in New England), yet they are getting paid $2 million per school per year (aka peanuts).