Good read. The industry experts and insiders have confirmed some of what I suspected (cord cutting) and seemed to have some good insights (we can do things others cant in the next round because we own our rights). And they remind everyone that when we did this deal way back when there were no conference networks outside the Big10 and we hit it out of the park in terms of largest deal ever.
Maestas says we should have a dose or reality...
[
AJ Maestas – Founder & CEO, Navigate Research:]
The reality is that the Pac-12 doesn’t have the affinity, ratings, attendance and other key variables to justify Big Ten or SEC money. Don’t get me wrong there are extremely attractive things about the Pac-12 footprint. In short ... to expect the Pac-12 to earn SEC or Big Ten revenue is naive.
I’ve read a number of critiques about revenue holding back performance, but athletic department revenue is not a driver of on field performance as much as one would think and the revenue is a result of the audience and fan affinity. West coast fan affinity is just not the same as in the Midwest or southeast for college football. The Pacific time zone and Pac-12 footprint vs. the rest of the U.S. population is a curse,
Given the above and the abysmal attendance of our CCG I think some serious consideration should be given to the CCG being played on one of the campuses of the two teams involved. At least the stands would be full.
By this argument conference expansion *could* be a key to higher revenues...
Tom Stultz – President, JMI Sports, LLC: the additions of Rutgers and Maryland to the Big Ten had a major impact on Big Ten Network revenues because it allowed the Big Ten Network to charge “in-market” rates instead of “out-of-market” distribution rates for the New York, Washington DC and Baltimore MD metro areas. The same thing happened with the SEC’s addition of Texas A&M and Missouri.
In order of population the following cities are in or adjacent to the current footprint but dont have a Pac 12 team; San Diego[
8†], Las Vegas[
28], Portland[
26†], Albuquerque[
32], Colorado Springs[
40†], Boise[~100]. Some of these cities might already count as Pac 12 cities[†] like Portland and Colorado Springs probably do due to proximity. San Diego is clearly the biggest fish without a team. Then Albuquerque and Las Vegas which are about the same size.