SBJ Morning Buzzcast

SBJ Morning Buzzcast: June 1, 2023

Episode Summary

Bowman, Dee among names behind new Pickleball effort; Zhang's pro debut history day for LPGA and Michelob ULTRA double downs on NBA and WNBA

Episode Transcription

Well, the professional debut of one of the most eagerly anticipated female golfers hits today, and it's hard to believe five months of 2023 are in the books. Because this is your Morning Buzzcast for Thursday, yes, June 1st. I'm Abe Madkour. Thanks for listening to the Buzzcast. And yes, I find it hard to believe it is already June 1st. The NBA finals start tonight on ABC, Thursday night, 8:30. And I have read a lot of stories about how ratings are going to be soft or down significantly or there isn't the markets the NBA likes. Yes, Denver has the 18th largest media market in the United States, Miami is the 16th largest media market in the United States. So yes, do they wish they were in bigger markets? Perhaps. But they do have some stars in this series and while it won't be Warriors-Celtics likely, it will still, I think, draw a pretty good audience.

Let's just see if the NBA finals finds that audience because up until this game one tonight, the NBA playoffs have been one of the strongest in recent memory. Heading into game one, the NBA has its best viewership numbers since 2012. Yes, 11 years. Overall, playoff games are up 13% from last year. ABC and ESPN is having its best NBA postseason since 2012 as well, while TNT has its best figures in five years. So these are strong numbers all around. Now viewership for the conference finals was up 10% over last year and the Heat-Celtics game seven on Monday night, even though it wasn't close, drew 12 million viewers, which is the best figure for any conference final telecast since Warriors-Rockets Game seven in 2018, also on TNT. Heat-Celtics is also TNT's third-best NBA game audience of all time.

So what am I getting at here? What I'm getting at is that overall it's a pretty strong post-season story for the NBA as they begin negotiations on a new media rights deal, so they feel they're sitting in a really good place despite whatever the viewership may be for the NBA finals. And we'll just have to see how the finals play out. Let's stay with the NBA because beginning with tonight's game one, expect to see a lot of the Michelob Ultra brand across the finals broadcast. Starting tonight, Thursday, Michelob Ultra branding will have the only branding displayed along the baseline apron, and that is part of a new expanded deal to become the NBA's first ever global beer partner. So this is a big deal. It's a multi-year deal between the NBA and Anheuser-Busch InBev. And that will also increase Michelob Ultra's courtside presence across the W, the Global Games, the G League and really all other NBA events.

And a key element of the deal is Ultra's pledge to become a partner for each WNBA marquee event. And this is all in its effort to enhance the visibility of female sports. Ultra has traditionally been a key supporter of women's sports, here is another step in that effort. Michelob Ultra is also the official beer partner of 25 of the 30 NBA teams. And tonight, you will also see the debut of a Michelob Ultra TV spot with heat star Jimmy Butler. Again, that will debut during game one tonight, Thursday night. So a lot going on both on the media front and on the sponsorship front around Michelob Ultras enhanced deal with the NBA.

Let's move on because this is a story I know I'm going to get a lot of emails and texts and phone calls about because two big names who worked in baseball for years are rolling out a new pickleball initiative. Yes, more news about pickleball. Pickleball for America is being launched by longtime baseball executive and former Odyssey President of Sports, Mike D. Mike D. worked for years at the Red Sox, at the Padres, and he will join with former MLB Advanced Media President and CEO, Bob Bowman. Everybody remembers Bob Bowman. I know Bob Bowman is an avid pickleball player. They are the two key names behind Pickleball for America. They will join with Ad Results Media Co-CEO, Steve Shanks, to become, or they hope to become, the go-to operator of amateur pickleball events. So they will host a series of amateur events at, get this, Fenway Park, Oracle Park and Coors Field this July and August. So this ballpark series will see on-field pickleball courts placed temporarily across the three ballparks.

Mike D. said there has been great interest by the teams to partner on this effort. In fact, they received calls from at least six MLB teams and five NFL teams interested in hosting an event this year. So it shows the interest that facilities have to bring non-traditional events to their venue. So the teams will operate the stadiums including concessions and security while Pickleball for America will manage the pickleball operation. They'll bring in mobile courts, they'll install these courts. They'll install 12 courts on the field in Fenway, 16 at Oracle Park, and over 20 both inside and outside of Coors Field. So it's a pretty interesting concept. Fenway Sports Management is managing the series' national sponsorship sales and Pickleball for America is currently exploring potential media and broadcast partnerships. Now, Mike D. said they hope to have three to 10 stadium events per year. Now obviously, the amateur pickleball players will pay or to register to play at these events, and so there are certain monetization aspects around it. But again, some very big names in sports, some very connected names in sports launching Pickleball for America.

I mentioned it at the top of the Buzzcast, but a very big day for women's golf on Thursday. There's tremendous buzz and media attention to Rose Zhang playing at this week's America's Open at Liberty Golf Course in New Jersey. Now, she is clearly one of the most high profile amateurs to come into the women's pro game that I can remember. She of course played at Stanford. She'll play this LPGA season on a sponsor exemption. She hopes to earn her tour card for 2024. Now she's 20 years old and she has won virtually everything. She won the Augusta National Women's Amateur in April. She has already won the US Women's Amateur, the US Girls Junior and she won an individual NCAA title for Stanford. So there is a lot of success here and there is a lot of interest in her.

She's also getting the attention of sponsors and she's already supported by the likes of Adidas, Callaway, Delta Air Lines and East West Bank. She's represented by Kevin Hopkins at Excel Sports Management. So bottom line, remember her name. Watch how Rose Zhang competes and plays and performs because I expect more and more media companies and more and more brands to watch her closely as she continues to play the top events on the LPGA and it all starts this week at Liberty Golf Course in New Jersey.

Let's move on. I want to touch on something that I know are controversial and sometimes dismissed, but they are still used as a benchmark and that is Forbes's valuation of teams, especially global soccer teams. And that was released yesterday. And yes, the big global soccer brands are up there as the most valuable franchises amongst the most valuable franchises in the world. But where this is interesting is where MLS is starting to show up on this list. And officials at Major League Soccer and owners of Major League Soccer teams will certainly be beaming that a number of MLS clubs make the list of the most valuable global soccer clubs and they will continue to use that as a mark of the league's growth, of the growth of MLS. We know that last year LA FC had the first billion dollar valuation of an MLS team. This year, they ranked number 17 on the list, but you also have the LA Galaxy right behind them at 18 and they are valued at $925 million. So a team that is worth close to a billion dollars.

I remember when team owner, Phil Anschutz, who is one of the inaugural initial investors in the league, and he paid I think five to seven million for that team or the rights to that team when the league launched. Now it's being listed as valued at nearly a billion dollars. And yes, all these owners and operators invested so much money over the course of the years and there have been a lot of costs, but you are seeing amazing growth. Right now, Atlanta United is ranked in the top 20 of the global soccer valuation brands at number 19 and valued at $850 million. Arthur Blank certainly paid far less for the operating rights of that franchise years ago. So amazing growth or amazing projected or reported or estimated growth when you remember the initial franchise fees of these clubs. And like I said, yes, there were significant costs and expenses and most MLS teams continue to lose a lot of money, but this will still be a public indicator that the league is growing tremendously in value and valuations.

And let's end the Buzzcast around people. SBJ's Terry Lefton reported that after almost 20 years with the New York Giants and most recently serving as Vice President of Corporate Partnerships, Dan Lynch is leaving the team to join the 2026 New York/New Jersey FIFA World Cup Host Committee as Chief Revenue Officer. Wednesday, yesterday, was his last day with the Giants and today will be his first with the host committee. We've talked on the Buzzcast, great energy enthusiasm for the 2026 World Cup. Yes, it's still early in the process.

The host committee in New York/New Jersey has no offices yet and they really won't know until the fall which World Cup games they are hosting in New York and New Jersey at MetLife Stadium. But Lynch loves the global appeal and the opportunity around working for the World Cup in 2026. Remember, 16 cities in 2026 across US, Canada and Mexico will host 80 matches under the largest FIFA World Cup field ever. So this will be a big event. Dan Lynch, leaving the Giants to join the New York/New Jersey FIFA World Cup Host Committee as Chief Revenue Officer, and there's no word yet on Lynch's replacement at the Giants.

And so that is your Morning Buzzcast for Thursday, June 1st. I'm Abe Madkour. Thanks for listening to the Buzzcast. Stay healthy, be good to each other. I'll speak to you on Friday.