🏈 New deal with Learfield doubles UA's guarantee money (concession stands improvements coming as well.

[TerryP]

The University of Alabama is set to capitalize on its success over the last five years by signing one of the nation’s most lucrative multimedia rights deals with Learfield Sports worth at least $150 million to $160 million over 10 years.

The extension of a long-term relationship between the Crimson Tide and Learfield will now run through June 30, 2024. Alabama, which has been with Learfield since 1998, took advantage of an opt-out in its previous deal to renegotiate. The school, which did not talk to other companies, could make even more money through a revenue-share — on top of the guarantee — if Learfield’s sales top certain thresholds.

The new financial terms of $15 million to $16 million a year double Alabama’s guarantee previously and put the Tide among the top three schools in multimedia rights revenue behind Texas and Notre Dame, both of which have unique TV arrangements that boost their overall figure.
....

One of the reasons the deal is so valuable compared to other schools is because Learfield controls several rights that are not typically included in multimedia agreements. Those rights include concessions, pouring rights, isotonic beverage, seat rentals and merchandise, which combined can account for 25 percent to 30 percent of the revenue from the property.

Pouring rights, concessions and isotonic are usually sold by the school, not the rights holder. Learfield sold pouring rights to Coca-Cola, isotonic to Gatorade, and concessions to Centerplate, and those deals will continue, Brown said. Learfield’s other rights include traditional multimedia inventory like radio, corporate sponsorship, hospitality, print, signage and other advertising. The Tide does not plan to add alcohol sales inside the stadium, Battle said.

As part of the renegotiation, Alabama will make improvements to its concession areas and point-of-sale signage in Bryant-Denny Stadium by adding TVs and possibly some LED signage in the concourses. Those electronic additions will provide Learfield with new advertising inventory.
...

Texas led the nation in 2012-13 total athletic department revenue at $165.7 million. Texas, which has its multimedia rights with IMG College, makes $15 million annually from ESPN for the Longhorn Network, while its more traditional multimedia rights generate close to $10 million, for a total of $25 million a year.

Notre Dame’s rights are splintered — NBC has home TV football, IMG College has radio, and its corporate sponsorship is sold internally. The Irish’s total multimedia revenue is believed to be in the range of $25 million to $30 million annually.

Comparing multimedia deals is difficult because what rights are included can vary from one deal to the next, but among schools with traditional multimedia rights deals and no network affiliation, Alabama’s new deal will make it the clear leader. Ohio State and Georgia each make close to $11 million a year from IMG College, but neither deal has as many rights as Alabama’s.

A few more details here from BusinessSportsDaily.com

 

[planomateo]

Nice! Link to the audio from the site [MENTION=12209]TerryP[/MENTION] posted above, worth a listen.

http://serve.castfire.com/audio/2160414/2160414_2014-04-17-135714.default.mp3

 

[bamaraider]

New 3D field coming. The statues outside of BDS will soon sponsor macbooks, nike products, and other accessories.

 

[Brandon Van de Graaff]

How about we strike a deal with Gallettes to make our stadium cups?

 

[TerryP]

New 3D field coming. The statues outside of BDS will soon sponsor macbooks, nike products, and other accessories.

Considering they're selling naming rights to offices, how long before we see Champions sportswear sponsor the Walk of Champions?

 

[mhardiman]

Glad to hear they're doing something with the concessions area; don't know how extensive this renovation will be, but in the lower bowl the concessions/restrooms/ramps/support beams is the one thing in our stadium that looks its age.