Sunday, October 30, 2005

Parity hell to pay for Selig

October 27, 2005
Major League Baseball is caught in a turbulent transition. It is appropriately symbolic that this wind of change, which will have a heavy impact on MLB's TV negotiations with Fox, was blown in by a team from Chicago, the White Sox.
Unfortunately for MLB, this gust could wind up blowing millions of TV dollars out of the pockets of the owners (including some who actually use the money to pay players).
This may be the cost of MLB proving its point. Like last year, when the Red Sox's championship thirst was finally quenched, this White Sox franchise - after 88 years - satisfied its hunger and had Bud (Nutty Professor) Selig chowing down with a huge smile on his face, too.
When the White Sox and Astros made it into the Fall Classic, Selig's parity prayers were answered. The notion an owner can buy a pennant or world championship, which many baseball denizens call "the Yankee way," again was disproven.
The White Sox's win was neither a fluke nor coincidence. It was born of scouting, risk-taking, a professional front office and some old-fashioned intuition. Jerry Reinsdorf's checkbook was not the brains of the operation.
Selig also can stand up and cheer because personalities with potential marquee value - like Paul Konerko, Bobby Jenks and Ozzie Guillen - received national exposure. In terms of marketing - which includes the lucrative apparel market - this is a tremendous positive for baseball.
Still, there is a major negative here. Selig's crusade to level the playing field has severely diminished postseason TV ratings potential. White Sox-Astros ranks as the lowest-rated World Series in the history of televised baseball. Chicago's sweep averaged a 11.1 rating, which lifts this dubious achievement from the previously lowest-rated Series, 2002 Giants-Angels (seven games, 11.9 rating).
Adding insult to this ratings disaster is the sweep factor.
With two consecutive four-and-out Series, Fox has been hammered financially. About 80% of Fox's yearly payment to baseball (MLB and Fox have one year left on their six-year contract worth $2.5 billion) is based on the postseason. So, over the last two years, Fox has not covered its rights-fee nut, let alone made any money on its playoff and Series telecasts.
That's the rub for Selig. That's where this transition comes in. If MLB is entering a legitimate era of parity, can these darkhorse Series entries bring excitement, and a gift of robust TV ratings, to the party?
It was impossible to manufacture postseason ratings for the White Sox, who many left for dead during their late-season slump. Two of their three ALDS games against Boston aired in the afternoon. That's all the evidence needed to figure out the White Sox were not embraced as a postseason TV property.
With the Yankees, it is easier to control the ratings environment. Since the late 1990s, Fox successfully manipulated, milked and capitalized on the Yankees' presence. Even though the Bombers participated in two of the four lowest-rated World Series, their constant presence made ratings easier to project.
For years, John Madden, a football man who analyzes the ultimate parity league, has stated that the best element a sport can have is a dynasty for every team to chase. A dynasty is either loved or hated. There is no middle ground, no vanilla flavor. That sells. So does the story of an underdog trying to dethrone the bully. That scenario attracts the fringe fan who juices the ratings.
Now, baseball looks for next season's darkhorse. That's what the Foxies will be thinking about when they sit down with Selig's TV people to negotiate the next contract.
Recently, Fox Sports president Edward (Espresso Eddie) Goren told the Chicago Tribune the record-low Series ratings did not bother him. "What bothers me is the press writing a simplistic, knee-jerk, easy story," Goren said. "A more intelligent person would look at the entire landscape of television. ... We're still going to win the week (among the networks), and that's something."
What's Mr. Goren going to do when Selig, or one of his lieutenants, throws that line in the Foxies' face while asking for a 10% (or more) raise on MLB's next TV contract?
Please. Selig got what he wanted - parity.
Competitive balance comes with a price.
Now, Selig should prepare to pay it.

Source: http://www.nydailynews.com/

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