Comparing markets, attendance and ownership in Sacramento and Seattle

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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.”

Patrick Beverley reportedly gloated to LeBron James about Kawhi Leonard signing

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The NBA has decided to change how they regulate tampering. Whether those harsher rules will lead to real change or simply to different circumvention is still yet to be seen.

Meanwhile, we have heard all the stories about how the Los Angeles Clippers landed both Kawhi Leonard and Paul George. Leonard was of course a major Los Angeles Lakers target, and it was disappointing for those in Lakerland that they didn’t land him.

Of course, Clippers guard Patrick Beverley was probably pretty happy about how things went, and now we have a story to back that up.

Speaking on Adrian Wojnarowski’s podcast this week, Brian Windhorst relate a story that he heard about Beverly celebrating around LeBron James after his team snagged Leonard.

As Windhorst tells the story, there were several groups of NBA players in private dining rooms at a restaurant in Las Vegas during summer league. Paul George was in one room, and James was in another. After hearing the news that the Clippers landed Leonard, Beverley walked into several rooms containing NBA players to gloat.

Via Woj Pod:

And so the deal actually gets done. [Adrian Wojnarowski reports] that Kawhi has not only agreed to sign with the Clippers, but the Clippers are trading half their future for Paul George, it’s a stunning development. And it all goes down while those players are at the same restaurant in various private rooms.

The story that I heard was that Patrick was making a beeline down the hallway of private rooms — sticking his head into all the rooms gloating about the Clippers’ giant haul — including into LeBron’s room.

This feels like it’s right on brand for Beverley.

Now the Clippers will need to prove they’re better than the Lakers on the court (and not just on paper).

Collin Sexton says he’s going to wear fan-designed shoes this season

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Cleveland Cavaliers second-year point guard Collin Sexton is already a fan-favorite in northeastern Ohio. This year, it appears that Sexton is trying to deepen that connection.

In a message posted to Twitter on Sunday, Sexton reached out to his followers to design a new set of shoes for him this year. The Cavaliers sophomore said that he will take the top five designs that fans submit and then wear them throughout the course of the upcoming 2019-20 NBA season.

Via Twitter:

This is a pretty cool idea, and a great way to have a direct link between fans and players. Social media is in an era of extreme personal branding, and even if this is a thinly-veiled Nike marketing thing, it at least has a twinge of genuineness to it.

The only thing left now is to see what designs people submit, and whether Sexton’s taste is any good.

James Harden plays in Rico Hines games at UCLA and destroys people

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Elite NBA defenders, with a team and a game plan behind them, can’t slow down James Harden.

So imagine what happens when he shows up for an open run.

One spot a lot of NBA players head in the summer to get some games in is Rico Hines’ games at UCLA. Harden showed up and, well, you know what comes next. Via Ball is Life.

The man is so smooth, so under control, and just able to get buckets however he wants. It’s just fun to watch. Unless you’re an opposing coach.

Could Kevin Durant return from torn Achilles, play for Nets this season? Maybe…

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Every case is different, but many players return from a torn Achilles in about nine to 10 months. Kobe Bryant pushed and did it in eight. Other players will take a full year.

If Kevin Durant returned in nine months it would be March, enough time to get in game shape and be ready for the Nets’ playoff run.

There’s a growing sense from teams we could see just that scenario, and Spencer Dinwiddie talked about it with Brian Lewis of the New York Post.

Though Nets GM Sean Marks refused to rule Durant out for the season, the feeling within the league is trending toward him potentially playing this season.

“I know KD is taking the rehab process ultra-serious. He wants to come back as soon as it’s appropriate, and healthy and the right decision for him, and then also subsequently that would also be the right decision for,” said Dinwiddie, who points out that even a slightly-diminished Durant could still be a superstar.

“The beautiful part about this is, the man is 7-foot and one of the best shooters of all time. At worst you get Dirk [Nowitzki], and Dirk was a monster. So we’re ready for him to come back whenever he wants to and whenever he’s ready to do so, and we know that he’s going to be a phenomenal major piece of our roster.”

Durant is an intense competitor who wants to get back on the court. He pushed to get back from a calf injury and play in the NBA Finals only to suffer the Achilles tear. He’s smart enough to be sure he’s all the way back before he steps on the court, if that means he sits out a full season so be it. However, he absolutely could return this season.

If he’s back, the Nets go from interesting team to potential threat to the Bucks and Sixers at the top of the conference. Durant was the best player in the world the past couple of years and he could return to that status quickly, and lift Brooklyn up with him.