News: PFT: NFL revenue drops from $16 billion in 2019 to $12 billion in 2020

[ABQCOWBOY]

I'm just wondering how and when do they intend to take it back? 30 million is considerable.

I'm guessing another two seasons and they might be back at zero scape in 2023. That's my guess anyhow.

 

[black label]

Another 1-3 and that boot be warmin up

 

[erod]

So about $370 million per team minus expenses, including $250+ million in player salaries, coaches salaries, travel, team facilities, administration, stadium costs, etc.

Probably several teams lost money.

 

[Jeffkills]

Dak signed long term.

I’m not pleased with the money, but Go Cowboys!

 

[OmerV]

I hate it when my business only brings in $12 billion a year. How will the owners survive?

You do have to remember that's revenue, not profit, and it's spread over 32 teams. I'm not sure what that leaves in profit (or loss) for individual teams, but regardless, every company has budgets and expectations and it's naturally a concern when things go the opposite direction from what is planned.

 

[Beaker42]

They want you to believe it was all the pandemic.

It wasn’t. A lot of it was the America haters getting paid to play.

 

[thunderpimp91]

You do have to remember that's revenue, not profit, and it's spread over 32 teams. I'm not sure what that leaves in profit (or loss) for individual teams, but regardless, every company has budgets and expectations and it's naturally a concern when things go the opposite direction from what is planned.

I get your point, and you are correct. but even if the nfl was set to break even at $16 billion and was a full $4 billion in the red in 2020 they are beyond able to take that hit. That’s less than half of Jerry’s net worth alone, who isn’t even the richest owner in the league. Hell the league is building stadiums close to that price these days. Team valuations will continue to grow and this will be a small hiccup for the league. I won’t sit here and show sympathy for billionaires who finally took a loss.

 

[OmerV]

I get your point, and you are correct. but even if the nfl was set to break even at $16 billion and was a full $4 billion in the red in 2020 they are beyond able to take that hit. That’s less than half of Jerry’s net worth alone, who isn’t even the richest owner in the league. Hell the league is building stadiums close to that price these days. Team valuations will continue to grow and this will be a small hiccup for the league. I won’t sit here and show sympathy for billionaires who finally took a loss.

They may be able to take the hit, but like any business, they don't want to operate at a loss for any year, and even one year leads to the concern about how well they can absorb it if it were to happen more than once.

As for Jerry's net worth, the majority of it is tied to his ownership of the Cowboys, so it's not as if he has billions of liquid assets to pull out of his pockets and pour into the Cowboys. And we have to know that losing profitability has an effect on his net worth.

Besides that, his assets away from the Cowboys aren't part of the equation anyway. The Cowboys operate as its own business with its own revenue stream and expenses, and Jerry's oil and gas or other ventures are their own business with their own revenue stream and expenses. Jerry can't just transfer money from one to the other. It's not like you or I transferring a little money from savings to checking to pay for a home repair.

 

[ABQCOWBOY]

I get your point, and you are correct. but even if the nfl was set to break even at $16 billion and was a full $4 billion in the red in 2020 they are beyond able to take that hit. That’s less than half of Jerry’s net worth alone, who isn’t even the richest owner in the league. Hell the league is building stadiums close to that price these days. Team valuations will continue to grow and this will be a small hiccup for the league. I won’t sit here and show sympathy for billionaires who finally took a loss.

Why would you say this?

 

[thunderpimp91]

Why would you say this?

I made a tongue in cheek comment that got a serious reply so I felt the need to elaborate a bit. I’m not excited the league lost money, but refuse to be sympathetic towards the owners who over the long haul will more than make their money back. My hope is they don’t use this as an excuse to cut staff, increase prices, etc.... they have every right to, I just hope they don’t.

 

[ABQCOWBOY]

I made a tongue in cheek comment that got a serious reply so I felt the need to elaborate a bit. I’m not excited the league lost money, but refuse to be sympathetic towards the owners who over the long haul will more than make their money back. My hope is they don’t use this as an excuse to cut staff, increase prices, etc.... they have every right to, I just hope they don’t.

Yeah, so? Without these owners, the thing you love (NFL) is no more. Why would you take the position that you do, against those who are literally giving you the game you love? I don't understand that.

 

[CanadianCowboysFan]

They want you to believe it was all the pandemic.

no fans in the stands is likely the vast majority of the drop in revenue

 

[Creeper]

https://profootballtalk.nbcsports.c...-drops-from-16-billion-to-12-billion-in-2020/

Even though the NFL managed to play all 256 regular-season games and all 13 postseason games, the league lost a large chunk of money due to the pandemic.

According to Ben Fischer of Sports Business Journal, the league saw its revenue fall from $16 billion in 2019 to $12 billion in 2020. The league had expected to generate $16.5 billion last year, before the pandemic changed everything.

The NFL wiped out its entire preseason due to the pandemic. Also, attendance fell from more than 17 million to little more than one million.

The league undoubtedly will earn significantly more this year and beyond, given the expectation that many (if not most) stadiums will be full this year. Regardless, the $4 billion that was lost in 2020 isn’t coming back.

Assuming all these numbers are correct, then the NFL lost $4 billion on roughly 16 million lost ticket sales. Can we look at it that way? According to statista.com, the average price of an NFL game ticket is $104.73. So ticket sales only accounts for about $1.675 billion of the $4 billion loss. So where did they lose the other $2.3 billion? This is revenue which is before expenses are taken out so the losses had to come from ticket sales, merchandise sales and what else? Do people going to games spend $150 per game on merchandise?

The point is not to take a shot at the NFL but if revenues are down and it is not related to COVID, then any permanent losses for whatever reasons are going to eventually effect in the salary CAP - and also TV revenues potentially. Is there going to be a long term impact on the NFL because of COVID or other issues?

 

[dogberry]

Players’ share of the loss is $2 billion. Per team runs at $62.5 million. Probably spread over three years.

 

[jnday]

the Sunday ticket deal expires after 2022.

NFL needs more streaming options.

people will pay for it.

i don’t think as many people will pay for it and the support from fans is nowhere close to what it used to be. I know a lot of life-long NFL fans that no longer watches any NFL games due to the problem that many are denying as being a problem. Personally, I only watch a Cowboy games and I wouldn’t spend one penny extra to watch them. I totally stopped buying any merchandise as well. Many fans have turned to watching more college football.

 

[jnday]

Although Amber Heard would certainly boost viewership

At this point, she would only boost viewership from the guys that have a thing for being physically abused by women. I bet her beating down Captain Jack Sparrow while wearing a G string would have a big pay-per-view buyer rate. There are freaks out there that would pay big money to see it.

 

[AbeBeta]

The pandemic was not the only reason the NFL lost revenue, but whatever. Expectations this year will fall short.

Umm, yeah it was

 

[jnday]

Exactly right! Plus the XFL is looking to make a comeback in 2022. The NFL's catering to the wokeness crowd will drive football fans to be far more willing to accept a new professional football league. The NFL is not too big to fail.

I agree 100%. The number of fans that have stopped watching and will never return to watching, is a lot higher than many people want to admit. All of my family and most of my friends will never watch the NFL again. That mess has hurt the league permanently.

 

[CouchCoach]

You do have to remember that's revenue, not profit, and it's spread over 32 teams. I'm not sure what that leaves in profit (or loss) for individual teams, but regardless, every company has budgets and expectations and it's naturally a concern when things go the opposite direction from what is planned.

How many of the 32 teams is that their single source revenue? I don't think any of the owners are adding more water to their ramen noodles to stretch them.

 

[jnday]

Yeah, so? Without these owners, the thing you love (NFL) is no more. Why would you take the position that you do, against those who are literally giving you the game you love? I don't understand that.

Many of the players, who makes millions a year playing a game, share the same negative attitude towards the owners that allows them the opportunity to make more money than they could ever make in the real world. They are too stupid to realize that biting the hand that feeds you is not a smart ideal. There is no player that can’t be replaced , but it is much harder replacing a billionaire owner.