seattle_arena_sac_arena

Comparing markets, attendance and ownership in Sacramento and Seattle

66 Comments

We’ve discussed the issues that will determine whether or not the Sacramento Kings stay in California’s capitol or go to Seattle, including the impact of public subsidy support in both cities, the race between the two cities for an arena deal, and what lawsuits pending in Seattle mean to the process.

Next we take a look at markets, attendance, and ownership groups for both locations.

Sources with knowledge of the league’s thinking tell PBT that neither city will have a discernible advantage in these areas heading into meetings with the Board of Governors joint committees on April 3.

Seattle enjoys the nation’s No. 12 television market but shares that market with up to six sports teams, an issue that has come under great scrutiny when comparing Seattle with Sacramento, something the Sacramento side brings up often.  David Stern pointed the issue out at All Star weekend, Chris Hansen’s group reported the same idea in its market analysis, and Sacramento’s group highlighted the same thing this past week when they unveiled their market analysis to the press.

A potential Sonics franchise would share Seattle’s larger market with the Mariners, Seahawks, Sounders, and University of Washington football, in addition to an NHL team if Hansen’s group can make it happen.

That would reportedly position Seattle closer to Sacramento’s No. 20 television market, where the NBA enjoys 100 percent market share.

Think Big Sacramento, the city’s arena task force, put out a report this week contending that they are a better market than Seattle, which is what they’re supposed to say, but when you look at a similar report put out by Chris Hansen’s group the two sides aren’t necessarily squabbling over the details.

Hansen’s report indicates that Sacramento has 1.4 million TV homes per team (NBA, NFL, NBA, NHL), compared to 937,000 TV Homes for Seattle under the current scenario of two sports teams (Mariners and Seahawks) already in town.

Under this metric, Sacramento ranks No. 2 and Seattle ranks No. 4.  Orlando is ranked No. 1, L.A. is ranked No. 3, New York is No. 5, and from there it goes Atlanta, Philadelphia, Houston, Chicago and Dallas — mostly large markets.

Should Seattle secure both an NBA and NHL team they will fall to No. 15 on Hansen’s report.  If you add the successful Seattle Sounders MLS franchise to the metrics as Hansen’s group does, then Seattle falls to No. 21 assuming they land two new pro sports franchises.

League sources say the TV Homes per team metric is one of the reasons small-to-mid markets like Orlando, Sacramento, and Seattle are coveted by the league.  Networks understand the competitive impact of multiple sports teams in a region that steal away eyeballs and ratings, and they include such analysis in their bids for rights packages and the like.

Otherwise, leagues would contend that ‘TV Homes’ never watched any of the other sporting options available to them, and instead just the games that a particular league is selling to a network.

Still, Hansen’s report states that Seattle (84) has 30 more businesses than Sacramento (54) with 1,000 or more employees, and Seattle’s household median income is ranked No. 6 ($66,500) compared to Sacramento at No. 8 ($63,618). However, if you use the 2011 federal numbers for the counties of these cities (King County and Sacramento County, and work to draw fans outside the city limits) that gap grows to more than $15,000 a household.

Just like other professional teams cut into the NBA’s TV viewership in Seattle, sources say the same issue mitigates the advantage the Emerald City has in terms of potential sponsors.  The issue was summed up by longtime Seattle writer Art Thiel, as he said in a recent roundtable discussion between local pro- and anti-arena groups that competition for sponsorships in Seattle could be a problem.

“Which team in Seattle is the sixth ticket in town? When you consider Seahawks, Mariners, Sounders, University of Washington sports and then these two new teams that might occupy Hansen’s arena … the complicated business problem in Seattle is that our major companies here like Amazon and Microsoft are either bit or ‘no’ players in the sports sponsorship scene. They don’t buy the suites, they don’t do the sponsorships at least at the same degree as you find elsewhere with Fortune 500 companies.”

At his State of the City address last week, Sacramento Mayor Kevin Johnson revealed that he had sponsorship commitments of $50 million over five years from local businesses, which is similar to the $10 million Johnson secured when the Maloofs tried to leave for Anaheim in 2011.

It is unclear what Seattle has presented to the league on that front, as Seattle supporters have maintained that Hansen is under a gag order and cannot talk about his proposal to the press.

As for Hansen’s arena task force marketing itself or leaking information to the media about sponsorship support in Seattle, league sources do not expect the group to be public about their position.  As they put it, “when you’re trying to take a team from another city, particularly one that is fighting as hard as Sacramento is, it pays to be quiet.”

Past attendance will likely be a moot point or favor Sacramento, as Kings fans have turned out at the gate more frequently than their Sonics counterparts over the years.

Given the constant relocation threats and substandard ownership over the past five years, sources say the league is impressed that Kings fans continue to show up the way that they did, just as the league was impressed with Sonics fans when they showed up for the last two years under Clay Bennett prior to the team’s move to Oklahoma City.

Sources say the league won’t be overly critical of attendance in either city once public relations became a nightmare.  This was the case starting in 2006 in Sacramento after the Maloofs torched an arena deal and in that same year when Bennett took over ownership of the Sonics.

Ownership groups are another area in which sources tell PBT that the league is likely to conduct itself with some ambivalence.

Steve Ballmer is ranked No. 51 on Forbes’ top billionaires list, while Chris Hansen, Ron Burkle, and Mark Mastrov are not listed.  Each ownership group is “overly qualified” to own an NBA franchise, and the sports connections each group brings to the table are regarded as second-to-none.  Burkle is a finalist to purchase sports and entertainment powerhouse AEG, while Ballmer’s wealth alone is enough to make most owners blush.

Sources with knowledge of the league’s thinking said this is a great problem for the NBA to have, but pointed out that the league is highly unlikely to make this a question about which ownership group is better, instead letting the other factors decide the matter.  “There are only so many yachts these guys can water ski behind, and while Hansen and Ballmer are a dream team when it comes to ownership, it’s doubtful the NBA is going to downgrade Burkle and Mastrov.”

The source added that it didn’t make sense for the league to pit the ownership groups against one another, noting the association still wants to do business with both well into the future.

After David Stern’s press conference on Friday in which he said the Sacramento offer needed to be increased, and subsequent votes of confidence from Mastrov and Johnson that they would be able to deliver, the framework for discussion among owners is all but laid out.

Assuming Sacramento can provide the right offer, with the two cities drawing toward a tie on the issues of markets, attendance and ownership groups, the source said that with the advantage Sacramento has on the public subsidy issue, “Tie should go to the runner.”

Jahlil Okafor’s hands dwarf a basketball (photo)

2015 NBA Rookie Photo Shoot
Nick Laham/Getty Images
Leave a comment

It’s cool the 76ers had a baby-sized basketball for Jahlil Okafor to hold.

Bob Cooney of the Philadelphia Daily News:

Wait. That’s a regulation NBA ball?

Stephen Curry on his pending free agency: “I want to be back here. I like playing here.”

Golden State Warriors' Kevin Durant, left, and Stephen Curry pose for photos during NBA basketball media day Monday, Sept. 26, 2016, in Oakland, Calif. (AP Photo/Marcio Jose Sanchez)
Leave a comment

Next summer, Stephen Curry will be a free agent.

With 100 percent certainty, he will be a max player.

With 99.9 percent certainty, he is not leaving the Golden State Warriors, if you talk to other teams around the league.

Still, when he heads to his hometown of Charlotte and a few other spots, he’s going to be asked about it. The topic came up on Tuesday, the first day of Warriors training camp practices, and Curry tried to shoot the idea of him leaving down. Here is the exchange, via Anthony Slater of the San Jose Mercury News.

Are you optimistic about your chances of coming back next offseason?

“Yes,” Curry said.

 

Kevin faced this a ton last year in almost every city he went. Are you gonna talk to him at all about that, how he handled it?

“Maybe,” Curry said. “But I’m not gonna let it distract me at all. I want to be back here. I like playing here. And that’s it. The rest of it is about what we’re gonna do this year.”

There are a lot of teams hoarding cap space and planning to make a run at free agents next summer, but no teams are setting their sights on Curry as happened with Durant. Where there was a sense around the league Durant wanted to look at his options and could be swayed, that is not the sense with Curry. He’s not going anywhere.

Maybe Curry plays the final couple years of his career back in his hometown of Charlotte, where his father played, but that’s a long ways off. At midnight July 1 next summer the Warriors will offer Curry a five-year max contract, he will sign it, and nothing will change in the Bay Area.

LeBron James has Chris Bosh’s back, says he was “surprised” by Heat’s move

LeBron james, Chris Bosh
1 Comment

Chris Bosh‘s career with the Miami Heat is over due to recurring blood clots, according to team president Pat Riley. The Heat are ready to move on, although they don’t have many good options.

Chris Bosh wants to prove he can still play, something he reiterated Tuesday in his latest video for The Uninterrupted. “I feel right now that I can still play at that level,” Bosh said in the video.

When asked where he stood on this impasse, former Heat star and Bosh teammate LeBron James had Bosh’s back. Here is his quote, via Ira Winderman of the Sun Sentinel.

“I stand behind my brother Chris,” he said. “The most important thing is his health. Whatever decision he wants to do, I’m all for it. I support him in every way, shape and facet. It’s a difficult situation for him. I was pretty surprised to hear that the team was just done with him, for them to come out and say that. But it’s not like I’ve been there to know exactly what’s gone on. I’ve only seen it from the exterior. I wish the best for him, he has my support.”

Not sure what else LeBron would say, other than to have his friend’s back.

The resolution to Bosh’s situation is a long way off. The Heat will not play him, he will not retire, and no team is going to give up good players in a trade for a $75.8 million contract where the player may never set foot on the court again. There is going to be some kind of negotiated deal, likely with the league and players’ union pitching in. Nobody is sure yet what that deal will look like, however.

 

 

Gregg Popovich calls national-anthem protests courageous, perfectly explains their importance

LAS VEGAS, NV - JULY 20:  Head coach Gregg Popovich of the 2017-20 USA National Team looks on during a practice session at the Mendenhall Center on July 20, 2016 in Las Vegas, Nevada.  (Photo by Ethan Miller/Getty Images)
Ethan Miller/Getty Images
4 Comments

Many have slammed Colin Kaepernick – who has been kneeling for the national anthem in protest of police brutality of blacks in America – and the demonstrators he has inspired for disrespecting our military.

Spurs coach Gregg Popovich, who served in the Air Force,won’t let them get away with that.

Popovich, via Melissa Rohlin of the San Antonio Express-News:

“I absolutely understand why they’re doing what they’re doing, and I respect their courage for what they’ve done. The question is whether it will do any good or not because it seems that change really seems to happen through political pressure, no matter how you look at it. Whether it’s Dr. [Martin Luther] King getting large groups together and boycotting buses, or what’s happened in Carolina with the NBA and other organizations pulling events to make it known what’s going on. But I think the important thing that Kaepernick and others have done is to keep it in the conversation. When’s the last time you heard the name Michael Brown? With our 24/7 news, things seem to drift. We’re all trying to just exist and survive.

“It’s easier for white people because we haven’t lived that experience. It’s difficult for many white people to understand the day-to-day feeling that many black people have to deal with.  It’s not just a rogue policeman, or a policeman exerting too much force or power, when we know that most of the police are just trying to do their job, which is very difficult. I’d be scared to death if I was a policeman and I stopped a car. You just don’t know what’s going to happen. And part of that in our country is exacerbated by the preponderance of guns that other countries don’t have to deal with. It gets very complicated.

“At this point, when somebody like Kaepernick brings attention to this, and others who have, it makes people have to face the issue because it’s too easy to let it go because it’s not their daily experience. If it’s not your daily experience, you don’t understand it. I didn’t talk to my kids about how to act in front of a policeman when you get stopped. I didn’t have to do that. All of my black friends have done that. There’s something that’s wrong about that, and we all know that. What’s the solution? Nobody has figured it out. But for sure, the conversation has to stay fresh, it has to stay continuous, it has to be persistent, and we all have a responsibility to make sure that happens in our communities.”

This hits the nail on the head.

Too many Americans are ignorant of what it’s like to be black in this country. Kaepernick shined a giant spotlight on the issue, getting people talking and learning. Because of Kaepernick, LeBron James was asked about his anthem plans, and he shared his – too familiar to blacks – fear of his son getting pulled over. Because LeBron holds such a large platform, his concerns are being considered and analyzed by people who ignored this pressing issue.

Meanwhile, Kaepernick continues to be vilified by many, some of whom are using the cover of the military to denounce Kaepernick’s cause. Popovich isn’t here for that.

Courageous is the word I keep coming back to on Kaepernick. He is courageous for risking his reputation to promote a greater good.

And it’s working. People are having this conversations. For the precise reason Popovich said, they must continue.