clock menu more-arrow no yes mobile

Filed under:

Golden Nuggets: Predicting Pac-12 Revenue Generation

Jon Wilner put together a comprehensive estimate of revenue the new Pac-12 will generate.  Here's a skeletal look at his numbers.  If you want to see his reasoning behind the numbers, read his surprisingly well researched article.  He ends on an interesting note questioning just how much (or little?) value the conference gained by adding Utah and Colorado.

So there’s our start in the revenue calculation: $45-50 million in annual rights fees from the "Pac-12 Network."
Given that the Pac-10 has five of the top-16 TV markets in the country, and based on other conference TV deals and elements such as population, reach, households, etc, industry sources believe the Pac-12 could command at least $90-100 million annually from ESPN or Fox.
But sources said $10 million for the title game is a reasonable figure when you include broadcast rights, sponsorship deals and ticket sales.

*** So that’s $150-160 million, or about $13 million per school — and the figures do not include BCS payouts and NCAA Tournament money.

(By the way, Navigate Marketing’s revenue models for the Pac-12 peg the per-school total even higher: $14.5 million.)

Yes, yes, yes: That’s a monumental increase over the Pac-10’s current per-team annual payout, which is $8-9 million for football and basketball TV, bowls and March Madness units.

After the jump the Utes announce their move to the Pac-10 in 2011, Larry Scott denies the North-South division of the Pac-12, ESPN picks out the winners and losers of conference realignment, and the Big 12 tries to prevent expansion for another ten years.

Pac-10 Expansion