Christopher Lambert
25.9K posts

Christopher Lambert
@CFB_Signals
College football psychohistorian. Valuation, media economics, and system-level analysis—serious work, delivered with edge.
White Sulphur Springs, WV Katılım Mayıs 2023
304 Takip Edilen4.1K Takipçiler
Christopher Lambert retweetledi

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs I made a serious mistake about an important aspect. I’ll explain when I can see again. Also have some data for you. We need to ask the right questions.
English

@CFB_Signals @DennisHaty @TheWildUte @flugempire @ConfRealignRTs That is the $37 million paid to raycom annually. This should be the last year
English

Chris, do you think this looks accurate?
@DennisHaty @CFB_Signals @TheWildUte @flugempire @ConfRealignRTs

English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs I have to make a small retraction... the corneas on my eyes are swollen as a side effect of steroids. My eyesight right now is very poor. I double checked my notes for this conversation and realized the 4.5% escalator was on the base OTA contract not ACCN.
English

@DennisHaty @CFB_Signals @TheWildUte @flugempire @ConfRealignRTs If espn had opted in without fsu signing an updated grant of rights fsu would have been out for 3 times the annual costs
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs Here's what I was able verify. 1. 90% of ACCN revenue come from carriage fees. 2. viewership is low anywhere from 200K - 400k. 3. The base contract has a 4.5% annual escalator specifically for offsetting the erosion of carriage fees. 4. ESPN owns the ACCN.
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs The deviation itself was enough to motivate me to look for an explanation. Here's the deviation. docs.google.com/spreadsheets/d…
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs Let's rewind. My premise was the ACCN could provide sufficient revenue for the ACC to survive the departure of CU & FSU. The common conception is tha ACCN is a cash cow. That was my assumption in the beginning. And then I spotted a deviation...
English

@DennisHaty @CharlesK76493 @TheWildUte @flugempire @ConfRealignRTs Here's what I know... numbers from the ACC's Form 990 do not reflect the ACCN is a boon. So what's going on? Assumptions don't solve the riddle.

English

@CharlesK76493 @CFB_Signals @TheWildUte @flugempire @ConfRealignRTs There's a ton of value in local and regional ads that national networks cannot serve.
Lots of stores, beers, & restaurants big in only one region.
One of the reasons for some cable interconnects is to provide an avenue for regional ad buys.
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs Money was moved from the OTA contract to the ACCN contract. The Form 990s tell the tale. You see that something is fishy right?
English

@CFB_Signals @DennisHaty @TheWildUte @flugempire @ConfRealignRTs I’ve explained this.
The ACC only gets $20 million a year for the tier 1 rights,
The acc is vastly underpaid for its tier one rights compared to the big 12.
English

@DennisHaty @CharlesK76493 @flugempire @TheWildUte @ConfRealignRTs So... assumptions... to be validated. Cordcutting is eroding the carriage fee revenue base faster than anticipated. The loss of subscribers had been compensated for by increasing rates, but trend is picking up base beyond the ability to compensate the reduction.
English

@CharlesK76493 @CFB_Signals @flugempire @TheWildUte @ConfRealignRTs One ancillary benefit of a conference network is that they provide a coveted target audience for advertisers.
A few seasons ago, Gulfstream & Dassault advertised heavily during one ACC team's field hockey games knowing that a player's father was looking to upgrade.
English

@DennisHaty @CharlesK76493 @flugempire @TheWildUte @ConfRealignRTs And revenue from ads is a moot point. Carriage fees are the primary revenue stream. Without carriage fees the concept of a conf network is not an ongoing business concern.
English

@DennisHaty @CharlesK76493 @flugempire @TheWildUte @ConfRealignRTs All those are assumptions. You'll are trying to add intangibles as value. You are making assumptions. I want to know how much revenue the ACCN generates for each program. I want to know why the gap with the Big 12 is only $5m when the Big 12 doesn't have a contract.
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs The amount of ad revenue the ACCN produces is inconsequential to the big picture. If the gap between the two conferences is $5m and $1m of that is CFB playoff share difference... why isn't the gap larger than $4m?
English

@DennisHaty @CFB_Signals @TheWildUte @flugempire @ConfRealignRTs Honestly, I can see great value in just having networks for localized sales teams bring information and customers to ESPN. That Has to be huge.
Basically, an infrastructure in place to bring you customers
English

@CharlesK76493 @DennisHaty @TheWildUte @flugempire @ConfRealignRTs The small discrepancy led me to dig deep into the ACCN. How much does it actually produce? What are its revenue streams. Information is hard to come by. I found a few credible sources... and called in a few favors.
English

@DennisHaty @CharlesK76493 @TheWildUte @flugempire @ConfRealignRTs Ad revenue from games averaging 400K viewers couldn't be significant. Assumptions to not understanding the problem. If you are going to attempt forensic accounting you must be very careful to know all the factors.
English

@CFB_Signals @CharlesK76493 @TheWildUte @flugempire @ConfRealignRTs Don't know what your source could be or what the definition of "insignificant" is, but on top of its substantial ad $, the ACC Network has introduced regional and niche advertisers to ESPN sales teams.
These are significant connections that would not have otherwise taken place.
English

