Tuesday, May 22, 2018

ACC revenue gap at $12-$22 Million! (update)

Va Tech AD confirmed what many predicted would come to past and many ACC media and Tobacco Road loyalist insisted never would.  Getting Big East ugly around here.

https://csnbbs.com/thread-850408.html

To do that you will need a rate in footprint of $1.30 per subscription and .25 cents per subscription out of footprint. I don't think you are going to get the same rates. The best way to push for them would be by some major subscription drives among your alums. The SEC did this prior to our network and we pressured the carriers. It worked.

This year needs to be an all out push by each school to energize their alumni bases to subscribe.

Now what will help you is that apparently the SEC / ACC will share their combined footprints. That you will have over our opening, but it will be assisting us at you opening.

The relevant issue that has not been discussed is your rates. The Big 10 averages a rate of .47 cents per subscription. They get something like a dollar for in footprint and less than .25 cents outside of their footprint. The PAC averaged last year .11 cents for both in market subscriptions and out of footprint subscriptions. That was abysmally low.

I really think that the low end of the ACC averaged rates would be around .35 cents per but with a push in footprint among alums you could boost that a dime and be right there with the BTN rates. What you are not likely to do is average the .74 cents per subscription that the SEC brings in.

So any discussion without the rates is just a guess. The second part of the equation is the subscription numbers. When you have those to numbers you will know what to expect.

But again your spitballing on the negative side is inaccurate. You were being subsidized for not having a network to the tune of about 3 million a year by ESPN. When the 2019 figures come in and you subtract your overhead and subtract the 3 million that ESPN will no longer be subsidizing then if your administrations say it could take two or three years to recoup the overhead understand that they have already factored in the 3 million they are losing in subsidy. That means if it does take three years to recoup your expenses you are actually making 9 million for the first three years, recouping 3 million for your overhead, subtracting the 3 million that had been subsidy, and NETTING an addition 3 million.

And that means that by your 4th year you may well be drawing 7 million more per school in profit once your overhead is gone.

Bust the hell out of your subscriptions and 10 million is not out of the question within 5 years.


JRsec Offline
Super Moderator


5/22/2018


https://247sports.com/college/florida-state/Board/36/Contents/ACC-per-team-made-28-mill-SEC-and-Big-had-40-to-50-mill-118443584#M118455444

In 2019 the network payout is $10M after that it will be $15M there was an update from Wilcox on this very subject.
LMAO 0% chance.
But yes, he did say that. Curiously enough, not a single other person with ACC ties have made claims even close to that high.
tricknole




http://www.roanoke.com/hokies/sports/football/whit-babcock-q-a-part-i-acc-network-expectations-legalized/article_49251388-5d04-11e8-bf2e-63c68b64ab8c.html

"I think it’s public info, but the ACC distributed about $28 million per school with their revenue sharing, and the Big Ten and SEC, I think, were between $40 and $50 million."

2 comments:

  1. FSU could've fully funded a new football facility with the revenue discrepancy between it and the Big Ten/SEC the last decade.

    ReplyDelete
  2. If the ACC gets half the carriage fee of the SEC, it's a flop.

    Why would ESPN not leverage the two properties against cable providers in order to get the largest combined footprint and fees for each?

    ReplyDelete