This week my mother was annoyed by the NFL Draft pre-empting
Wheel of Fortune. Not to cut the NFL
short, but as a television program with entertainment potential, the wonderous
wheel—America’s Game—has it all over a stage of rotating twenty-year-old men in
suits being chosen for gladiatorial combat.
Past day one, some of these guys are iffy as far as making the teams
they are drafted by. Yet there is an undeniable interest in hearing a parade of
them thank Jeebus, their families, their college coaches, their new fans and
then walk off into some room to become an instant millionaire. Some of them
will go onto genuine gridiron greatness and others to about four years of
brutality followed by a lifetime of physical disability.
The NFL has one good thing going. It’s too good, which is
why numerous parties take turns at trying to take a slice of its action. The
brand spanking new USFL is the latest to try. Before going into how they are
faring a short briefing is in order about what the NFL is in competition with
and what inherent barriers there are to getting into its business.
Most of us are familiar with the NFL’s Football product.
Football evolved out of the same base set of rules as soccer and rugby,
reaching its current form after the intervention of Teddy Roosevelt. As
originally envisioned, it was something like a group boxing match and a track
meet. Eventually they threw in a game of catch. It has a ridiculous number of
rules—on a par with cricket—some of which make limited sense (the ground cannot
cause a fumble). It is also steeped in jargon. You can understand none of this and still enjoy
the game. (1)
It's a proven winner. Fifty years ago, a cable TV station
put the image of a football on its channel for an hour and it outdrew most of
the competition. Given its attraction as a consumer product, there is a lot of
football about. How much? The NFL has 32 teams with a legitimate ability to
expand a bit further. They are not, however, the biggest distributor of
football as a product. It is primarily and most efficiently promoted by
American colleges. The American college system fields 664 teams and out-earns
and out-draws the NFL by exponents. (2) About half of these college teams feed
into the TV football ecosystem to some degree. Maybe 40 of them would be more
valuable than NFL teams if they were independent ventures and perhaps half of
them would be viable as stand-alone businesses. In short, the colleges are the
big monkey in the football field.
Prior to the 1950s, the NFL was a sideshow venture. Started
in the 1920s and arising from the athletic club movement (which brought us
baseball), the pros were slipshod affairs, existing primarily to allow the
better college players to pick up some extra cash on Sundays. The NFL itself
only secured its position as the primary purveyor of pro football after a
series of mergers, first with the All-American Football Conference and later
with the American Football League. It was a Darwinist affair for most of its
early history, with a staggering 49 NFL teams having folded shop. It’s been
fairly healthy since the mid-1960s.
The NFL, AFL and AAFC all proved that there was room for a
little more football, provided that they did something different than the
colleges. By different, I mean they played on Sunday as opposed to Saturday.
They filled the TV gap left by the colleges on Sunday. This has been the key to
the most profitable sporting venture in the history of the universe. (3)
NFL team expansion in modern times has been sluggish and
goofy. By comparison, the top tier of college football has its teams divided up
in proportion to population centers. It has every TV market covered with its
top 133 teams. The NFL’s real expansion is an encroachment in times
played—first Monday, then Thursday, then additional games on Sunday, then on
Saturdays after the college season has ended. The NFL’s entire business plan
has amounted to playing when the colleges don’t. This has given the NFL the
ability to market its mere 32 big city clubs (with two teams each in Los Angeles
and New York City) as national or super-regional entities.
As business plans go, it’s indefensible. In a more rational
universe, the owners of the 133 teams would claw the time back or extend their
seasons. The colleges only achieved their dominating positions by making it
impossible for the original athletic club teams to compete at scale. Little mom
and pop athletic clubs, usually adjuncts of ethnic non-profit social
organizations, had to rent their staging areas. Originally the colleges were
willing to allow these teams use of their track and field facilities (or polo
ground)… until they smelled that there was money in it. And thus the National
College Athletic Association was born, building stadiums to scale and swamping
the mom and pops into oblivion.
While colleges are no more in the business of entertaining
the public than the Knights of Columbus are, money is money and successful
fundraising phenomena is precious. I’m not qualified to debate the ethics of
this nor decry the non-profit model. It isn’t restricted to the colleges. The
NFL’s Green Bay Packers are effectively a non-profit. As anyone who has lived
near a giant hospital will tell you, non-profit does not mean without profit or
prospects for expansion.
The colleges have passed rules, largely to police
themselves, which inadvertently has allowed the NFL to thrive. Only they have
the muscle to nudge the NFL from its roost. Until a moment of collective
college football clarity happens, others with less in the way of endowment have
incentive to dethrone the pro kings.
Every two years or so someone takes a swipe. Two ventures,
the XFL and the current incarnation of the USFL, are stalking horses for the
television networks themselves. TV gives
the NFL all of its money. Many in network land are wondering why. The game’s
money comes from television and television is what television networks do. Why
can’t a TV network employ football players directly? This is the outline of the
XFL and USFL experiments. (4)
Prior experiments had a different methodology. The
Continental Professional Football League was one of several attempts to make a
national minor league system, a paying alternative to college football. It
built out from secondary and suburban markets, hoping to profit, as minor
leagues do, by seasoning players destined for the pros. It floundered after changing
its focus mid-stream and then not settling on any sort of mutual strategy.
Muddling up the plan mid-res also did in the World Football League and the
original United States Football League. The Canadian Football League’s abortive
expansion into the US was similar to Continental’s as far as choice of markets
was concerned but turned out to be under-funded. Underfunding is the shorthand
post-mortem for the original XFL, the later incarnation of the United Football
League and the Alliance of American Football. An unwillingness to stick out
early losses doomed the NFL’s own prodigies the Arena Football League and the World
League of American Football/NFL Europe.
One might contend that running a football league is an iffy
prospect, even if you know what you are doing and have the money to do it. Without
going point by point, I don’t believe that there actually has been a credible
effort to take on the NFL as yet. There are considerable barriers to going
after the NFL which need to be addressed correctly. Briefly, these are:
*Big City Domination. The NFL has the best football venues
in the top 27 markets in which they operate. In most cases, the NFL team does
not own the stadium nor enjoy any exclusive rights to preempt others from
playing in it. That said, this is a bit of a trap. What the NFL does have
nailed down are all of the Sunday dates and best time slots for these venues.
In most places, the NFL team is the sole or marquee tenant of the stadium. Playing
in the same places and paying the same rental rates as NFL teams is
demonstrably a bad tactic for startup leagues. Why rent a 60,000-seat stadium
when you are only likely to sell 30,000 tickets? Nearly every big city market
has alternative venues, many at just the size a smaller venture requires. An
unwillingness to start small and get bigger has doomed the majority of the
NFL’s prospective competitors. Secondly, most of the population is outside of
the influence of the top 27 markets. It seems to make more sense to set up in a
smaller market—or barnstorm several cities.
*Good will. This is the currency of all sports teams and it
is hard to mint. Many sports teams have generational followings. People follow
the teams they grew up following and pass on the affliction to their children.
Some NFL teams are ancient. It’s not an insurmountable problem since there are
also people who are attracted by novelty or like the idea of getting in on the
ground floor of something new. A new league would be at something of a
disadvantage, especially teams locating in NFL mega metros.
*The NFL already has all the best players. This is true if
you compete with the NFL on its current terms. Both the NFL and the top 40
college teams differentiate themselves through player size. You largely need to
be a giant to play in the NFL. Many perfectly wonderful players are not
considered for the NFL or the other 40 college teams primary because of gross
body weight. Competing with the NFL for jumbo players may be a dead end.
Instead, if you imposed a 220 cap on player weight, you open up to an entirely
new talent pool. (5)
The new USFL is backed by the Fox Television Network and has
charted a somewhat unique course. While it is only on week two its near term
demise can clearly be seen. They’ve tried to address a few of the issues above.
USFL Fox knows it’s a TV animal. They are not bothering with
renting venues in big cities. Instead, all of its teams are playing at two
stadiums in the same city. They have chosen the sports dead zone that exists
between the end of March Madness and the time when baseball starts to get into
full swing to stage their spectacles. As with the original USFL and a few other
start-up leagues, they are playing a Spring schedule to avoid direct
competition with the NFL and college football. These somewhat reasonable steps
have been undercut by their choice of Birmingham Alabama as the host city. They
love football in Bama and you probably couldn’t find a better weather city for
this time of year. That said, Birmingham is not huge and cannot produce an audience
for four special stadium events a week, even if they are free. You can only
cycle the sports fan population so many times. We are now on week two and the
stadiums are empty. Fox is piping in crowd noise on their broadcasts, with
comedic effect. Fox might have been better served staging the games in a
television studio or a very small indoor football-capable stadium. (6)
Fox has addressed the Good Will issue by reviving teams from
the original USFL, specifically the Birmingham Stallions, Houston Gamblers, New
Orleans Breakers, Tampa Bay Bandits, Michigan Panthers, New Jersey Generals,
Philadelphia Stars and Pittsburgh Maulers. Given the limited lifespan of the
original league and the fact that none of these franchises have played since
1986 one questions the value of the trademarks. They may have been better
served playing up the mascot names as opposed to the fictional city
affiliation. Supposedly Fox is in this for the long haul—with the caveat that
they at some point will be seeking about 200 million from outside investors.
Let me repeat that: Fox, one of the largest media conglomerates on Earth is
thinking of launching some sort of kickstarter campaign, perhaps using ownership
in teams as its currency. Pretty dubious. If things continue to go the way they
have this week, we may see yet another revision of this plan.
From what I have been able to tell, play quality is at a
level below most college conferences. The guys are big college huge, most of
them having some sort of NFL pedigree, they’re just not any good and haven’t
been together long enough. My feeling is
that the NFL does indeed have all of the jumbo player talent locked up. It’s a
pity.
The USFL can still right the ship. It means perhaps going
out and discovering players or adopting a style which favors speed as opposed
to brute force. In short, it involves innovating when it comes to the playing
of football. I’m not sure a television
network is up for that.
(1(1) One of the attractions of football is the explosive
action, which requires no explanation of rules to enjoy. It is not universally
loved. My sister’s description of the sport is “they run into each other for
two yards and then they slap butts.”
(2)
The American football ecosystem is slightly
broader than this. There are 110 or so Community Colleges with football
programs. This number has shrunk and is expected to continue to shrink due to
the liability and expenses of maintaining such programs. About a half dozen
regional Indoor Football leagues are in operation throughout the country, however
it appears that this version of the game is going the way of indoor soccer.
Since its heyday 20 years ago, few of the leagues have been able to continue to
function. The small venue operators for whom the game was devised have
traditionally not been willing to foot the expense of running the teams
themselves and few teams have proven solvent enough to consistently pay rent.
Indoor Football went into a tailspin with the Great Recession and has not
bounced back. The athletic club teams which were central to the foundation of
the sport in the late 1800s still continue today in the form of Semi-Pro
Football. Many of these teams are player-funded recreational affairs with about
twenty regional leagues in operation. Other Semi-Pro teams are adjunct to
social programs or are involved in variants of the sport. Despite the number of
organized entities involved, football is a very thinly participated in sport,
with opportunities for involvement winnowing to nothingness for most males past
their first year in high school. This is true to some degree with all team
sports.
(3)
This is an accident of history. The three
distinct levels of football—high school, college, and the pros—abided by a
gentlemen’s agreement to carve up the weekends. Friday nights is for high
schools. Saturdays are for the colleges. Sundays were defaulted to the pros not
out of gratitude but rather because the pros and colleges were sharing
personnel. Traditions once established
often outlive their usefulness. Being the only pro league left standing, the
NFL inherited Sundays as its birthright. Except for tradition and its sway on
network programming, there is little reason that the colleges can’t take Sunday
away. If colleges were rational actors, they would have done so by now. I would
be at pains to dismiss the success of the NFL as being entirely accidental,
however it is better to be lucky than good. If the NFL has any real advantage,
it is due to being the most rational actor in a field dominated by irrational
actors.
(4)
Silly technical innovations and occasional rule
changes are also thrown in. The XFL attempted to infuse its brand of football
mayhem with a little wrestling theatrics, with spudriffic results. Not only was
their product largely not being watched, it was being mocked by all who
mentioned it. The powers that be at XFL attempted their experiment again
recently, only to have Covid wipe the opportunity away. USFL has so far stuck
to presenting football in empty stadiums with the exception of a roto-droid
camera stunt attempted during the premier game.
(5)
If you go through the dedications listed at the
Pro Football Hall of Fame in Canton Ohio you will see one descriptive word used
more than any other: undersized. I’m not
sure if these players were so successful because of this or in spite of it. My
thinking is that size itself is overrated as a qualification at all levels of
football. If you restrict size, gross
weight, you will probably cut down on injuries and overall health issues. Very,
very few people are naturally heavier than 220.
(6)
The crowd noise is so loud that the announcers
are straining to talk over it. It is also looped, on a repeat playback, so that
the same sounds can be detected over and over again. Fox tries to keep its
shots tight on the action, however there is no disguising the utterly empty
stadiums. There are several indoor venues Fox might have had better luck with.
Both Dome of America in St Louis and the Alamo Dome in San Antonio have ample
population bases and could cycle in casual crowds. Heading downscale are Alerus
Center, UNI Dome, Tacoma Dome, Kibbie Dome,and the stadium at East Tennessee
State University, amongst others. Las Vegas also hold many opportunities.
No comments:
Post a Comment