Archived Topic

Pierce: Midway through deal, ESPN still loves BYU

by scott715 · 4/28/2015

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Fido
That is good to hear. If a P5 invite doesn't work out in the next round it would be hugely important to continue with a good TV deal to help provide funds (not that we would ever get P5 conference money).
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scott715
Some one claimed the following:



The ESPN contract was and is still reported as a minimum guarantee contract. What fans are not seeing is the various ways in which that amount increases each year, and it is substantial.



1. The announced was a 1st year minimum.



2. The announced minimum was based on televising three contests.



3. The announced contract called for additional compensation for other home games and appearance bonuses for other games ESPN carries.



4. The announced contract included rights performance fees (i.e. bonuses).



5. These rights fees are for the FB portion of the contract. However BYU also recives ESPN compensation for M+W CBB appearance and conference right shares from the WCC; and the WCC got a huge raise for adding BYU.



If you want to know how lucrative the ESPN deals are along with BYUtv which is also getting national revenue from Ford, GM and Toyota, just take a look at BYU'S total Athletic Department Revenue growth since Independence 5 years ago.



2010 Gross Ath Dept REV = $36.9 million.

2015 Gross ATH Dept REV = $60+ million.



Have you heard any of this before?
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MesaCougFan
I hadn't seen figures like this before. That seems like pretty good revenue. I wonder why BM and Holmoe state that independence isn't sustainable?
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Screamineagle
So if I am understanding things correctly ESPN and BYU tv bring in close to 23 million a year? If so thats not much less than they would get in a P5 Conference.
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stuckinbig10country
I doubt the entire increase is from the ESPN contract, but I'd say all TV (including anything coming through BYUtv) is about 12 to 13 million.



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TulaneVandyRiceCoug
MesaCougFan wrote:
I hadn't seen figures like this before. That seems like pretty good revenue. I wonder why BM and Holmoe state that independence isn't sustainable?

I've wondered this too. Outside of getting a little more balance on the home and away scheduling, independence seems to be working fine to me. The only counterargument I think is really valid is the route to the NY6 games, which may be a little easier if BYU was in a conference and won it, or took the Boise State route and shellacked everyone on their schedule and got the one group of 5 slot. Personally, I like independence and think it would be totally badA if BYU made it to a NY6 game as an independent.



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snoscythe
scott715 wrote:
2010 Gross Ath Dept REV = $36.9 million.

2015 Gross ATH Dept REV = $60+ million.


Well Scott, you've been had by whoever told you those numbers. This is why you can't just believe people throwing around numbers--turns out those numbers are completely bogus. First clue is that someone is giving out gross revenues for a year that hasn't ended yet.... At best you're dealing with an educated guess for 2015, and not much of a guess since BYU passed $60 million in 2013.



And then there's the provably false 2010 number. I guess when some people decide to make up numbers they don't bother looking to see what information is publicly available. Schools have to report their revenues to the Department of Education, who then publishes it online for the whole world to review, if they bother looking.



The total gross revenue in 2010 = $45 million, not $36.9 million. That increased to $60.1 million in 2013. Football revenue increased from $15.6 million to $22.2 million over the same period. Basketball increased from $4.5 million to $6.3 million. It's also kind enough to give you the revenues net of salaries and operating expenses--in 2013 the athletic department netted just under $6.6 million--likely used for facilities, equipment, etc.



Here's the link for anyone who wants to see that BYU was paying their football coaches about half what the University of UTah was paying in 2013 (but in the Utes' defense, they do have like 7 offensive coordinators on staff): http://ope.ed.gov/athletics/GetOneInstitutionData.aspx" onclick="window.open(this.href);return false;



By way of comparison, Utah ended 2013 with $59 million in gross revenues, $1.1 million net. That was in 2013 when they only received a 50% share of Pac 12 revenues--or about $9.9 million. In 2015 they are now a full share member of the Pac 12 and will receive over $25 million, so that adds $15 million to their gross revenue alone if everything else remains the same.



In 2013 BYU was not pulling in as much as full-members of the PAC12--they were barely ahead of a half-share member, and I highly doubt they are pulling in as much as a full-share PAC12 school in 2015 either.
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IowaCougar
snoscythe wrote:
2010 Gross Ath Dept REV = $36.9 million.

2015 Gross ATH Dept REV = $60+ million.


Well Scott, you've been had by whoever told you those numbers. This is why you can't just believe people throwing around numbers--turns out those numbers are completely bogus. First clue is that someone is giving out gross revenues for a year that hasn't ended yet.... At best you're dealing with an educated guess for 2015.



And then there's the provably false 2013 number. I guess when some people decide to make up numbers they don't bother looking to see what information is publicly available. Schools have to report their revenues to the Department of Education, who then publishes it online for the whole world to review, if they bother looking.



The total gross revenue in 2013 = $60.1 million, not $36.9 million. That's an increase from $45 million in 2010, our last season in the MWC. Football revenue increased from $15.6 million to $22.2 million over the same period. Basketball increased from $4.5 million to $6.3 million. It's also kind enough to give you the revenues net of salaries and operating expenses--in 2013 the athletic department netted just under $6.6 million--likely used for facilities, equipment, etc.



Here's the link for anyone who wants to see that BYU was paying their football coaches about half what the University of UTah was paying in 2013 (but in the Utes' defense, they do have like 7 offensive coordinators on staff): http://ope.ed.gov/athletics/GetOneInstitutionData.aspx" onclick="window.open(this.href);return false;



By way of comparison, Utah ended 2013 with $59 million in gross revenues, $1.1 million net. That was in 2013 when they only received a 50% share of Pac 12 revenues--or about $9.9 million. In 2015 they are now a full share member of the Pac 12 and will receive over $25 million, so that adds $15 million to their gross revenue alone if everything else remains the same.



In 2013 BYU was not pulling in as much as full-members of the PAC12--they were barely ahead of a half-share member, and I highly doubt they are pulling in as much as a full-share PAC12 school in 2015 either.


I'm trying to figure out why you're criticizing a 2013 number when there is no 2013 number in the original post. ???
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snoscythe
IowaCougar wrote:
I'm trying to figure out why you're criticizing a 2013 number when there is no 2013 number in the original post. ???


Because I'm an idiot? I fixed my post--the 2010 numbers were in there, I just focused on the 2013 numbers as I typed merrily along.



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jvquarterback
Does BYU TV give all the advertising profits during sporting events to the team involved? I'm not sure but I'm skeptical they do based on the numbers from the NCAA. I'd guess they don't even give credit to the athletic department for those revenues.
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BlueK
jvquarterback wrote:
Does BYU TV give all the advertising profits during sporting events to the team involved? I'm not sure but I'm skeptical they do based on the numbers from the NCAA. I'd guess they don't even give credit to the athletic department for those revenues.




Unlike at most schools BYU athletics run in the black. So however they are doing it, they are clearly giving enough "credit" to the athletic programs to at least not have them run in the red like 90% of NCAA athletic departments do. They are well aware of the audience that comes to BYUTV through sports. That's why they make so much air time available even for "minor" sports.
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jvquarterback
In 2010 revenues were 45M, up to 60M in 2013. I think nearly all of that is from increases in TV revenue for the football team despite what the NCAA mandated reporting outlines.



What is unclear is how much BYUtv revenues increased during that same time and how much of that can be attributed to football related programming. So who knows what BYU is really giving up.
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