Dallas could lose revenue if no fans in the stands for games

[JD_KaPow]

I'm thinking about starting a new thread on this. Either I am completely off base or this is a big deal that a lot of people here don't understand.

The salary cap for 2020 is fixed at around $200m. If the NFL can't have fans in the stadiums, its revenue will fall. Since the cap is a percentage of revenue, it will fall also. Its also an aggregate of all teams. If Dallas has fans but LA or NYC doesn't, Dallas' cap will go down.

Some estimates have worst case scenarios of a $80m reduction for 2021. That would leave the salary cap at $120m. Teams would have to be cutting players left and right to get down to that number. Since Dak wants a lot of money, his presence on the payroll next year would directly impact that. If it really goes down, then no team could sign him to a big offer next year. Of course this impacts the Dak negotiations.

The NBA has already publicly talked about a huge hit to its cap. They have a better relationship with their union and have been talking about how to implement it in a way that minimizes the damage to the players. The NFL doesn't have that good of a relationship with the NFLPA and something like a pure cut could happen.

If revenues plummet and the cap follows suit, every team will be over and have huge problems to address. That one will be solved at a league level, not a team level. It has no effect on current contract negotiations.

 

[TheMarathonContinues]

If revenues plummet and the cap follows suit, every team will be over and have huge problems to address. That one will be solved at a league level, not a team level. It has no effect on current contract negotiations.

Yeah that's what I was gonna say. IT wouldn't be a Cowboys issue it would be a NFL issue.

 

[Flamma]

If revenues plummet and the cap follows suit, every team will be over and have huge problems to address. That one will be solved at a league level, not a team level. It has no effect on current contract negotiations.

Sure. But you used the word plummet. What if instead of the cap going up 10M it drops 10-20 mil? Most teams won't have a big issue and it would be harder to get the owners to agree to a short term fix. But I do agree something would have to be done if the cap plummets. Either way any big contract this year is risky.

 

[Tangle_Foot]

It's time for we fans to pass the hat, I would hate to see this great franchise have to start a go fund me account

 

[fansince68]

I doubt if the lost revenue will threaten the Jones empire.

 

[Whirlwin]

Just read that according to Forbes, in 2018 Dallas pulled in 950 million dollars in revenue.

621 million of this revenue or 65.4% was for 10 home games. This was tickets, parking, concessions, sponsors, and team merchandise.

The 621 million was nearly double of the next team New England. If there are no fans for games this year Dallas will stand to lose an enormous amount of revenue.

This is my speculation, but this maybe a reason why the Prescott negotiations have not been completed. Maybe Dallas will let Prescott play on the tag because that's a known expenditure. Dallas is unsure of future revenue so they are holding off till the future becomes clearer before committing to such a large amount of guaranteed monies.

Fans in the stands does not mean anything according to players salaries. Lucky fan pays the concession bills. Learn your logistics

 

[Whirlwin]

Ticket sales has nothing to do with players salaries whatsoever. It’s TV revenue beer commercials. Ticket sales pay for the stadium maybe.

 

[Whirlwin]

It's time for we fans to pass the hat, I would hate to see this great franchise have to start a go fund me account

It just baffles my brain that people think ticket sales has something to do with players salaries

 

[vnick]

Hard to believe the Cowboys make that much money from 10 home games, I believe the majority of the money comes from the Tv deals.

A lot of that is probably not just ticket sales, but in game advertising and sponsorships. Think about all the ad placement in the stadium or all the promos done over the screen during breaks during the game. Depending on how those contracts are written, that income goes away. Those sponsorships are paying for the eyes of the fans in the seats and you don't always see that over the television broadcast.

And the Cowboys are one of the best at all of that. Think about how many "the official ___ of the Dallas Cowboys" there are. A lot of that goes away if there aren't fans in the seats.

 

[12+88=7]

Fans in the stands does not mean anything according to players salaries. Lucky fan pays the concession bills. Learn your logistics

But parking, concessions, team merchandise, and sponsorships goes in the teams pockets. That's revenue that will be missing and lost. That was part of the 621 million dollars Dallas made in 10 games in 2018.

When that happens businesses cut back or stand pat stop investing in the future.

Once again, just speculating, but this uncertainty about the future may make Dallas hesitant on signing Prescott. They can take the business attitude of putting it off for another season till there is clarity.

 

[Vanilla2]

Won’t somebody please think of the billionaires!

 

[dragon_mikal]

The funny thing is that a lot of these cowboys revenues are up precisely because of the success of one Dak Prescott who was playing for yogurt money.

Uh huh.

 

[quickccc]

i still cannot understand how we are re-opening beaches, theaters, parks, clubs, bars, etc. with mass number of people as " supposed socially distancing "

but yet we cannot have a limited people amount.. per say 200 number of viewing fans in a 60, 000 capacity, that could be spread out 4 rows apart
and so many seats apart per row.

And those selling tickets could be distributed by lottery ahead of schedule to both team sides. Tickets that have already been sold, could still be
distributed by lottery- between the two teams.
that way the NFL ..perhaps even college football ,,high school ..could have some very limited amount of fans participating live in front of their respective teams.