College Football Playoff brings more millions to ACC
"The Atlantic Coast Conference — and by extension, its members — will see a nice revenue bump, thanks to the College Football Playoff.
Specifically, the ACC will see its bowl revenue increase 56 percent to $57.2 million. It was a blockbuster year for all of college football, as the inaugural four-team playoff helped generate $506 million for the 10 Football Bowl Subdivision conferences mostly due to a $470 million-a-year television contract with ESPN.
In general, a line graph of the ACC’s total revenue in the past few years looks like the veritable hockey stick, increasing 39 percent — or $65 million — from 2011 to 2013, the most recent year with publicly available financial reports. For the fiscal year ended June 30, 2013, the ACC generated $232 million, of which more than half came from its 15-year, $3.6 billion television deal with ESPN.
A further breakdown from fiscal 2013:
- Television: $147 million
- Football Bowl Games: $38 million
- NCAA Basketball Tournament: $18 million
- NCAA grants-in-aid-fund: $9 million
- ACC Basketball Tournament: $5 million
- Other: $15 million
Here’s a breakdown by conference of $404.8 million paid out by the College Football Playoff after expenses. The tally also does not include a $2.3 million line item for other distributions:
- Southeastern Conference: $71.4 million
- Pac-12 Conference: $68.9 million
- Big 12 Conference: $67.4 million
- Big Ten Conference: $61.3 million
- Atlantic Coast Conference: $57.2 million
- Mountain West Conference: $20.7 million
- Conference USA: $15.2 million
- American Athletic Conference: $14.1 million
- Mid-American Conference: $12 million
- Sun Belt Conference: $11.5 million
- Independents: $2.8 million"
Not sure how you are calling this "ACC spin" when it was written by the Business Journal. Also, I think the point is not the fact that the ACC is still in 5th place, but rather, how far the ACC has come in a short time in terms of revenue. To me the operative quote is: "a line graph of the ACC’s total revenue in the past few years looks like the veritable hockey stick, increasing 39 percent — or $65 million — from 2011 to 2013". In other words, it made a sharp turn UP in 2012 and continues to climb rapidly.
ReplyDeleteIs it cool to be $14 million behind the leader? NO WAY! However, there comes a point of diminishing returns where more revenue just doesn't make much difference. Are we there yet? Honestly, I don't know. If there is ever a salary cap on coaches, then YES, as long as you can pay the max (and keep up with facilities upgrades) then it doesn't matter if your competitor has more money than you...
$$ is all about reference point. Having a lot more than you did isn't the point...it is where you are compared to your competitors.
ReplyDeleteWhen the bowl tie in differences and conference networks start to show....the ACC will be falling behind, not catching up. I think we will see that this summer. Next summer will be worse.
Money matters to schools competing in football at the highest level. You can, however, just field a team with much less money....so most of the ACC will be fine here. The 1-2 schools trying to carry all the weight of the conference.....they are in trouble.