On net losses and a twist on the double standard.
by Ben York
Before I received AJ’s message below, I had five emails with my responses ready to go today. But I felt AJ’s question was far too important (and incredibly timely) not to address first.
As you’ll read, AJ’s question is fair, on point and poignant. My thoughts on the topic are below, and I would love to hear yours as well.
As always, to be featured on the WNBA Weekly Mailbag, send your questions to Ben at bjyork15@gmail.com.
Q: I always hear from WNBA haters that the league can’t “pay its own way.” The logic goes: WNBA is in the red = WNBA is a total failure. Well… The NBA just announced that it expects to lose $400 million THIS YEAR ALONE. The WNBA couldn’t blow through that much cash if it wanted to. Why are the same people not saying we need to fold up the NBA? – AJ, Michigan
A: Fantastic question, AJ. I won’t pretend to have all the answers both from a fiscal or socio-economics perspective, but I do have a few thoughts on the matter. Long story short, I think it has more to do with social acceptance than with dollars and cents.
First, I think it’s important to note that everyone is hurting financially and the sports world is certainly not immune to the economic climate. The vast majority of NBA teams are currently in the midst of looking for ways to shed payroll (see ‘Philadelphia 76ers’) or dump bad contracts (see ‘Washington Wizards’). Instead of recognizing the economic issue is both global and gender-blind, the WNBA naysayers choose to project their frustrations on to the WNBA. After all, human beings (by nature) have habitually s
ought out someone or something to blame when things aren’t going well. This situation is no different — somehow, it’s the WNBA’s fault (or, at the very least, a contributing factor) that NBA teams are, as you mentioned, collectively losing hundreds of millions of dollars. In reality, this couldn’t be further from the truth. Individuals who have this false belief are the same ones who think a brief, 30-second commercial about the WNBA that airs during a NBA game is “shoving” the league down their throats.
Second, I believe that WNBA detractors consciously try to seek out reasons that the WNBA is “bad” or justify their belief that it’s draining money from the mothership that is the NBA. They look at the numerous WNBA franchises that have folded and make assumptions that the WNBA is affecting the NBA in a negative way. In reality, the WNBA is far more profitable than the NBA according to NBA Commissioner David Stern.
“The NBA is far less profitable than the WNBA,” he said. “We’re losing a lot of money amongst a large number of teams. We’re budgeting the WNBA to break even this year.” – David Stern, March 12, 2009
Perhaps more than anything, the reason people look to blame the WNBA has more to do with societal acceptance. The NBA is, obviously, accepted and touted across the globe. Conversely, the WNBA is not as revered. They are constantly made fun of, ridiculed, and accused of being a leach to the NBA. And no matter how many times this is continually proved false, people still find a way to blame or accuse the WNBA of not succeeding (*cough*…Bill Simmons…*cough*) and undermine both its significance and worth.
This is a unique twist on the double standard issue that has plagued the WNBA from the start. Detractors say the WNBA isn’t fun to watch, that they aren’t as gifted as the men, and that the league is a waste of time and/or money. I’ve addressed these issues in the past, but the recent admission from the NBA that it’s losing as much money as it is undoubtedly makes this topic much more interesting. As a whole, people will never call for the NBA to disband or to fold; they believe in the league and it has tremendous widespread appeal. And I agree with them, they shouldn’t — just like they shouldn’t call for the WNBA to disband. The WNBA hasn’t reached that same level of acceptance and the belief (no matter how wrong or off-base) is that it continues to be the NBA’s ill-fated stepchild.
It’s also important to note that the NBA is doing everything it can to advance the WNBA; not just because it is more profitable, but because they believe in the product. NBA players and coaches continually commend the WNBA for its talent, value and significance. If the NBA wants it to succeed, and NBA players want it to thrive, then what’s the problem?
The only way this can be fixed or remedied is when the collective audience realizes that basketball is basketball, if I can steal the WNBA’s new tagline for a moment. Until the masses see that the WNBA is an incredible, positive, and beneficial sports league things will never change. I’m hopeful that we will see that paradigm shift soon.
On a positive note, I have seen an enormous amount of progress in the last several years towards reaching that point.
Thank you for your question. — Ben
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@LCD I think it has something to do with it, but the only way the players imo would agree to a longer WNBA is if they got paid more. During the NBA season most of them go overseas to get the big money.
1)Lower ticket prices.I go to Liberty games every summer,but I have yet to go to a Knicks game.I sit in one of the lower sections where you get a great view of the court,and a Knicks ticket in that section costs about $1000.00.That can buy you an entire Liberty season ticket package.
2)Lower the NBA salaries and raise the fines.The NBA should only pay the superstars and the veterans seven figures plus.The rest of the players should make no more than six figures.And if they raise the fines,then maybe the NBA players will stop acting like spoiled,arrogant teenagers (although some of them are teens)and exercise more self-control off the court(and in the lockerroom).
3)Lower the prices of the merchandise.Make the merchandise in the arenas and at the NBA Store more affordable.Also,when there is a sale going on,the discounts should be bigger(50% off,60% off,70% off).
Now, as for your analysis: “In reality, the WNBA is far more profitable than the NBA according to NBA Commissioner David Stern.” This is the worst statement I have ever read in print. Firstly, the commissioner was making the statement regarding one year, this year. Yes this is a lot of money, but the NBA is a cash cow, and the reason it can lose so much money is because it usually makes so much money. Secondly, these are both projections. I don’t doubt that the men will lose that much money, but I do doubt the women will break even; they never have before. Ever. Thirdly, even if the women do break even, they are not “more profitable” than the men, they lost less money. To be more profitable, you must make a profit.
They last thing to think about. The NBA give the WNBA around 12 million a year. That means that the NBA give the WNBA 20% more money then the WNBA’s entire player payroll (around 10 million). So the NBA pays all of the players of the WNBA in full. Also, most of the teams in the WNBA play in NBA stadiums, so the NBA pays for that as well. And still, in 12 years, the WNBA has never turned a profit.
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