Los Angeles Lakers v New York Knicks

There’s a lot of money to be made off Jeremy Lin


The NBA is a business. First and foremost. If you ever forget that, think back to early November when we should have had the start of the NBA season and instead had lawyers in suits hammering out a labor agreement.

Jeremy Lin is the kind of player, the kind of story that can make you forget the NBA is all business.

But this is all tied to money, too.

The Madison Square Garden Company is making money, as reported by the New York Times.

On Monday, shares of Madison Square Garden Company, which owns the Knicks, the arena where they play and the cable network that broadcasts their games, hit a record high because of the sudden emergence of Jeremy Lin, the team’s previously unknown point guard.

Shares of MSG rose 3.8 percent Monday to a record-high $32.32, with three times the average number of shares being traded.

Jeremy Lin jerseys are suddenly a hot item, and more simply Knicks fans buy MSG stock when the team is good. Also, Madison Square Garden is also locked in a fee dispute with Time Warner Cable that has Time Warner not carrying MSG Network — and Knicks games — in large parts of New York City right now. Lin and his popularity give MSG leverage because ratings are up 66 percent in recent games.

Forbes broke down the Lin impact this way — and notes his personal brand is now worth a lot.

The Knicks had $226 million of revenue during the 2010-11 season, roughly equating to 20% of MSG’s overall revenue. Obviously, you cannot assign Lin one-fifth ($28 million) of MSG’s $139 million increase in market value since he began his magical run (in the past we have determined athlete brand values are the amount by which their endorsement income exceeds the average of the top peers in their sport, but that methodology can’t be applied to Lin, who was a no-name player until very recently).

But we can still get a reasonable estimate. The New York Times reports that Lin has helped push up television ratings for the Knicks 66% over last season. So if we give Lin credit for half of the $28 million, his brand weighs in at $14 million, which would place him tied with Bryant for sixth among the top athlete brands in the world.

But it’s more than the suits — Lin can make money, too. The American of Taiwanese descent can make more money off the court than on it, particularly in China where state-run television are showing his games already. Reuters looked into that.

“There’s no question brands will be interested in Jeremy Lin,” Jeremy Walker, head of sports marketing and branded entertainment for GolinHarris, told Reuters by telephone from Hong Kong on Monday.

“You only have to look at what Yao Ming has done not just for the NBA but for brands that he represents both in the States and in China. Every top Chinese star that comes out from the Olympic Games or wherever it might be, there’s always going to be an awful lot of interest for brands because all the major brands in the world are still looking to China for growth.

“A lot of brands want that positive ‘halo effect’ association they are going to get from being involved with a superstar.”

Yao made a lot of money endorsing Pepsi, Reebok shoes and more in China. You can bet at Harvard they taught Lin something about brand marketing and how to make money. He’s going to get an NBA raise next season, but soon that may be the smaller share of his income.

Chris Paul, after breaking finger, intends to play in Clippers preseason game tomorrow

Chris Paul
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Chris Paul broke his finger Saturday.

The initial diagnosis said the injury wasn’t serious.

Here’s confirmation.

Ben Bolch of the Los Angeles Times:

Paul obviously wouldn’t push it during the preseason. If the Clippers are allowing him to play, this can’t be bad.

Really, the most challenging aspect to this is grasping the concept that a broke finger can be a minor injury.

Report: David Lee, Tyler Zeller in line to start for Celtics; Jared Sullinger, Jonas Jerebko out of rotation

MADRID, SPAIN - OCTOBER 08: David Lee of Boston Celtics attacks during the friendlies of the NBA Global Games 2015 basketball match between Real Madrid and Boston Celtics at Barclaycard Center on October 8, 2015 in Madrid, Spain.  (Photo by Gonzalo Arroyo Moreno/Getty Images)
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Brad Stevens has a big challenge this year – sorting the Celtics’ deep roster of similarly able players.

It seems that process is shaking out at power forward and center.

A. Sherrod Blakely of CSN Northeast:

it appears Boston’s first four bigs will be starters David Lee and Tyler Zeller, with Amir Johnson and Kelly Olynyk off the bench.

That leaves Jonas Jerebko and Jared Sullinger, potentially on the outside looking in as far as the regular rotation is concerned.

Lee is the best passer of the bunch, which could partially explain why he’s starting. Boston’s most likely starting point guard, Marcus Smart, is still growing into the role of the lead ball-handler at the NBA level. Lee and presumptive starting shooting guard Avery Bradley can take some pressure off him.

Olynyk can space the floor for Isaiah Thomas-Johnson pick-and-rolls with the reserves and run pick-and-pops with Thomas himself.

I’m a little surprised Zeller is starting over Johnson, though. The Celtics just signed Johnson to a $12 million salary, and I thought they’d rely on his defense to set a tone early. Like Johnson, Zeller is a quality pick-and-roll finisher who can thrive with Thomas.

This is particularly bad news for Sullinger, who – barring a surprising contract extension – is entering a contract year. It seems those reports of offseason conditioning haven’t yet paid off. Jerebko’s deal also isn’t guaranteed beyond this season, but at least he has already gotten his mid-sized payday. Sullinger is still on his rookie-scale contract.