Punish the NFL
Top Five Revenue Sources That Drive Value for the NFL from
02/22/2013/ Pellegrino News
1. Ticket sales. Ticket sales provide a great resource of revenue for the NFL, with each team generating approximately $51 million per year.
Punishment: Do not buy a ticket this season (season ticket holders get a waiver on this)
2. Merchandising. Hats, key chains, cups, socks, and of course jerseys name just the surface of available NFL merchandise. In 2010, NFL merchandise sales reached $2.1 billion. Merchandise is one of the most effective revenue sources because the reach extends beyond the United States–a reach that is more difficult for other revenue sources such as ticket sales and venue revenue.
Punishment: Buy no NFL licensed merchandise -- especially superbowl items. Patronize merchandise pirates. Season ticket holders must wear this pirated merchandise to the game. Best if you make it yourself.
3. Advertising. In the last decade, advertisers spent $1.85 billion during the Super Bowl alone. For the Super Bowl this year, a 30-second commercial increased to $4 million from $3.5 million the previous year! During the regular season, advertisers spend $3 billion.
Punishment: Watch no ads. DVR the games and start watching two hours late skipping all the ads.
4. Venue. The venue plays a big role in NFL revenue because it provides a variety of ways to generate revenue. New or updated stadiums are likely to fuel more dollars to the NFL because they tend to offer more seating, better views, and other perks. Forbes indicates that teams increase their value when new stadiums are built. Furthermore, venues position a variety of vendors such as food, beverage, and merchandise directly in front of football fans, giving vendors the ability to charge high prices. For instance, the 49ers make $6.8 million per year on just concession and merchandise sales.
Punishment: Boycott Patriot Place.
5. Licensing. The NFL takes aggressive measures to insure its copyrights and trademarks are protected. It also charges a considerable fee to use the league’s intellectual property. In fact, at the end of December 2011, it was announced that the league was expected to increase its rights fees by 63 percent. One source indicates that television networks will pay almost $28 billion over a nine-year period to air NFL games! Additionally, advertisers that wish to promote products using NFL terms must license trademarks, which increases the cost of an already very expensive ad or marketing effort.
Punishment: Buy no NFL licensed merchandise -- especially superbowl items. Patronize merchandise pirates. Season ticket holders must wear this pirated merchandise to the game. Best if you make it yourself. Share, share, share!
Cancel your subscription to anything NFL related. No NFL Network. No NFL video games. No NFL magazines. Don't listen to sports radio. Stop buying a paper. Get two friends to do the same.
