UFC looking to control fighter sponsorships
by Zak Woods on Mar 16, 2009 3:24 PM EDT
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PrintFor several months now there have been reports that the UFC is attempting to centralize fighter merchandise deals through the UFC. MMAjunkie has learned about more of the deatails,
[www.mmajunkie.com] has learned through an industry source that the UFC is considering a new sponsorship business model, which would require any company interested in sponsoring a fighter to work directly with the UFC. The UFC would negotiate the deal for the fighter and charge the sponsoring company a promotional fee for the right to have its brand on display on fighters in the octagon.
In theory, that new fee could reduce the value of the deal for the fighter, especially since sponsor dollars are going to be in shorter supply in the foreseeable future due to the economic downturn. Hypothetically, if the UFC charges a 15 percent promotional fee, that's 15 percent less revenue from the deal earned by the fighter.
It should come as no surprise that the UFC is trying to secure more revenue streams. Controlling fighter sponsorship deals inside the Octagon would continue that trend. While this could be viewed as akin to apparel contracts and clothing standards that the NBA, NHL and NFL have.
In truth it is much different. The UFC would be acting as agents for fighters they have under contract. One could view this as a preventive measure to keep the Drew Rosenhaus' away. Also this could be viewed a preemptive to fighters coalescing around gyms and forming partnerships to increase revenue and cut costs with regards to agents, marketing and legal teams. Josh Koscheck and Jon Fitch are apart of one such team.
In reality I have no problem with the UFC creating such a mechanism to control and pursue fighter sponsorships as long as there is a fighter's guild or union to audit the UFC and defend the fighters against corporate malfeasance.
This policy by the UFC still leaves room for popular and successful fighters to endorse products outside the UFC.
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what? this is an absurd pre-emptive move by the UFC to rip off more money from fighters. first they got rid off lindland for wearing a t-shirt TO A WEIGH-IN….but Jackson gets right back in the mix even after his HIGH SPEED CHASE with the police.
there’s so much hypocrisy in the justification for the decisions in the UFC. this is just another way for them to maintain control of the fighters…..right now they’re the biggest show b/c Pride’s gangster ties f’d it up for them….they won’t be the monopoly forever…and the fighters will bounce b/c of the way they were treated/the way the UFC monopolized things like what they should get which is sponsorships.
Gatti. Dekkers. Pele. Aoki. Kang. Vanderlei.
http://theworldsoldestsport.blogspot.com/
by theworldsoldestsport on Mar 16, 2009 10:51 PM EDT reply actions
Well controlling sponsorships at a UFC event is no different than the NBA/NFL controlling what athletes wear etc. at a game. That’s what the latest news is about.
Centralizing the negotiating power is a good, especially for newer fighters or foreign fighters, who may not be as capable of getting lucrative deals.
NOW on the other hand you have to have a union/guild to represent the fighters to make sure the athletes are getting their fair cut, similar to what the other sports have.
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