I think that with the NFL and how the season goes - every year about 1/3 of the teams are going to be out of playoff contention every year - so the NFL realizes that they need to send those guys a check - the League needs doormats -
From my understanding for every NFL game - 40% of the money from tickets sold go into a pot - that is then divided up into 32 equal slices at the end of the year - So when Dallas plays on the road at a crappy team - the home team makes money but also Dallas by being a good draw on the road is putting money into the pot that will be divided up later on by all 32 teams -
I like the CFL have watched for 20+ years - but let's face it with a 9 team league it is pretty tough to get super excited for Hamilton vs Argos 4 times in the Regular Season and again in the playoffs - with 9 teams some weeks during the CFL schedule there are just not many compelling match-ups - Look at the CFL schedules from 1994 and 1995 when the league had 14 teams - if teams played a 3rd time it was in the playoffs - like or hate the USA expansion those were good schedules -
and the SEC and Big Ten also split their TV money and bowl money - Vanderbilt gets the same slice as 'Bama - All football Leagues need healthy doormat teams - how many times has the CFL had to bail out a team that went broke?
That is my understanding on revenue sharing as well, as far as ticket revenue is concerned. Most NFL teams brings in revenues of $250-400 million. Dallas brings in some $900 million with the next two best teams, NYG and NE, bringing in around $500 million. Quite the disparity. Most revenue is from TV and has always been shared equally as far as I know. Some teams in large markets and/or with large national followings crank it up a few notches.
And from what I understand luxury box money is not shared - So the top performers get to keep that money - but by sharing the Ticket money the lower tier teams make enough money to stay in business and be profitable - and the top performers are super profitable - The NFL understands that they need profitable league doormat teams - I don't think that the CFL BoG understands this concept -
Maybe the CFL understands this concept or maybe not. In the NFL close to 2/3 of all revenue is from TV. Each team is basically break even or profitable from this alone and their revenue sharing of gate and merchandising is relatively small potatoes. In the CFL this type of revenue sharing presumably would have a much greater impact. Much of the information available appears to be via the GB Packers, the only publicly owned team in the league. In 2020 they paid lying Aaron Rodgers $67 million in 4 months, thereby basically negating their profits. This was an unusual year. The financial differences between the CFL and the NFL are mind boggling and makes it difficult or impossible to draw any meaningful comparisons.
That makes sense in theory. In reality, though, those 4 matchups against each other draw the largest crowds for the two teams year in and year out. If fans truly found the less common matchups more compelling, they'd buy more tickets for those less common matchups.
Of course, there has to be some breaking point. I mean, you couldn't schedule more than 4 Argo-Ticat games per season and still see the greatest attendance in each of those games, could you?
For me, there'd ideally be 3 matchups vs each division rival per season and the rest would be against the other division. Unfortunately with 5 in the West and 4 in the East, that's impossible.
That isn't why. The reason these are the best attended games is the fan bas travelling to their "neighbour's" park. The Argos would be long gone if not for Thousands of Ticat fans travelling 3 to 4 times a season to swell up ticket sales.
But if fans weren't interested in those matchups because they're too common, they wouldn't bother busing to the games. The bottom line is that those regional rival games garner more revenue than other games do, and that's why they're being emphasized more in the scheduling.
It's another one of those things that maybe consolidates traditionalist support but alienates the casual fan wanting to see a compelling league with diversity in scenarios, narratives and deep competition.
I'd push for the CFL to establish more borough teams in the GTA and London in temporary venues to create both depth of field and more "Hamiltons" for the Argos to play against.
Drastic times call for drastic measures. I can understand how some teams did not want revenue sharing pre-covid. But now with Covid it all makes sense to pool together. Im from Montreal and regularly attend a game per season. I did not attend in 2021 due to pandemic and crowds. Maybe the pandemic gave an opportunity for revenue sharing and we will see in the near future, 2-3 years, the benefits.
That is part of the issue for teams such as Saskatchewan. Many attend every game often driving up anywhere from 2 to 5 hours one way to do so. It is frustrating for us to share revenue with a team whose fans attend 1 game per year. We nearly folded in the 80s and if not for a loan from the NFL we would have. We subsidized teams like TO so they could have Flutie and The Rocket, yet we lost out on many players who would not come to Saskatchewan because we could not pay them (Archer retiring rather than report to the Riders). I to want to see all nine teams succeed but it should not be solely up to the committed fans of the West to ensure that fans in the east continue to have CFL football unless the eastern fans start to contribute. I do know that there are some seriously committed fans in the east but not nearly enough of them.
Very well put. I think this applies to Winnipeg to a large extent as well. I get the benefits of revenue sharing but parts of it are inherently unfair, as you illustrate. I guess we will have to see the details of the revenue sharing model and what, if anything, a team has to do to qualify for revenue sharing.