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Old 13 Aug 2003, 10:18 AM   #1
jri
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Default Estimate Freddy Adu's value to MLS...

Just getting ball rolling here...

With the assumption (play with these rules-smile) that Freddy signs for next season, and play in 2004, 2005, and some in 2006 (around WC), and then leaves for England...how much is young Freddy worth to MLS?

1. Attendence increase- I think MLS could see an average increase of 5k in each game-including all DC United home games- that Freddy plays, in the 1st year at least. I think that 5k figure may be conservative. At Dallas Cup and U-17 Minnesota game, he likely drew an extra 5k for those underpublicized events. How much is 5k extra tix for 28 games worth? (with concessions, parking, etc.)? Gotta be well a few mill a year?

2. Extra pub (how much would MLS have to pay to get the free pub Freddy is going to generate).

3. TV ratings (will Freddy give a decent-enough bump to get MLS better TV contract)

4. MLS gear

5. Transfer fee for MLS (Freddy rights)

Likely quite a few other possible money-makers here...but I reckon "owning" Freddy for 3 years will be worth several millions a year....imagine if Freddy plays a decent-sized role in a good US Cup finish in 2006..and throw a transfer fee....we could be talking tens of millions in total..

Wonder how THAT (Freddy/agent/MLS) negotiation is going to shake out? I reckon MLS is hoping to get him for a fraction of that...high risk/reward stakes game to come soon (after U-17 WC?)
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Old 13 Aug 2003, 10:20 AM   #2
dawgpound2
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The danger with Freddy becomes when, inevitably, MLS goes on to sell him (if indeed he signs with MLS). Do all those people, TV deals, publicity, etc dry up and make the league worse off then before he arrived? You have to be careful as a young, fragile league, in marketing exclusively one young man.
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Old 13 Aug 2003, 10:22 AM   #3
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5k bump in attendance jri? No way. The reason that there were 10k at the dallas cup games is the same reason there are like 10k at Minn. Thunder games when schwan's cup is in town, there's 10-20 THOUSAND youth soccer players and their families in town, with not a whole lot to do besides use their free tickets to the events.

1k, maybe.

Suffice to say though, if Freddy develops into all that he has the potential to be (or even half of it), I could see Uncle Phil putting up somewhere in the range of a 10mil (3-4 yrs) offer to counter some of the Euro clubs. Which would definitely be recoupable in two to three-fold in merchandise, tv ratings and game attendance bumps.
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Old 13 Aug 2003, 10:26 AM   #4
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BTW, Man Utd this week bought 18 year old Cristiano Ronaldo from Sporting Lisbon for almost $20million. I wonder if MLS would get that much if they sign Adu and sold him a couple of years later.
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Old 13 Aug 2003, 10:31 AM   #5
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Quote:
Originally posted by Father Ted
BTW, Man Utd this week bought 18 year old Cristiano Ronaldo from Sporting Lisbon for almost $20million. I wonder if MLS would get that much if they sign Adu and sold him a couple of years later.
Oh that's easy! Yes if not more. It seems as though Mr. Adu is gathering the same hype as a certain rookie basketball player for the Cav's. If Adu signs with the MLS for a couple years then is sold, not only does the MLS get some phat cash but Adu's skills will increase thus making a better USMNT. After all, country THEN club.
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Old 13 Aug 2003, 12:00 PM   #6
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P- Let's remember this conversation down the road, but yes, I think Freddy will have a Mia-Hammesque effect (her first year in women's league)...

A 14 year/15 year old playing next year (especially after one of his highlite reel goals) is going to get major pub in every city he goes....Already, PTI has talked about Freddy a few times....he will be front-page picture advertisement for games in some cities..

Remember, Freddy is only going to visit each other city a couple times...so, it won't be that hard to reach the goal.

DC will increase its attendence by 5k....I think Freddy-hype will easily beat old season ticket mark..

We shall see...

(As for the other poster) its always better to get them in the seats now (and take your chances) if/when Freddy leaves...
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Old 13 Aug 2003, 12:03 PM   #7
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BTW- If MLS has 1/2 a brain (questionable!), they will make sure they get a cut of any other transfer of Freddy (by acquiring club)...gift that keeps on giving thing...
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Old 13 Aug 2003, 12:11 PM   #8
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C. Ronaldo is a great player, but he doesn't have the hype of Freddy Adu. I am not referring to the hype here in the states, but overseas. The brittish papers and the soccer magazines have been hyping Freddy for a while now as well.

If... big if.... he develops the way people think he will. MLS will sign him to a 4 year contract. Sell him after 3, for more than all transfers combined. Even in today's depressed market, and the fact that Adu is american, he will literally pull MLS out of debt by himself once he is transfered. If we get him on to the u-21's right away, play him in the olympics, get him on D.C., then see if he is ready for 2006... he literally will command $20,000,000 at that point.

I am being very realistic here. I am not one who thinks that any american player can command that kind of dough. It's not only the amount of skill, but it's hype. David Beckham is a case in point of this. If one wanted to win a game, you could spend better on 3 $10,000,000 rated players than Beckham, but Becks will make you more money.
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Old 13 Aug 2003, 12:13 PM   #9
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Default Re: Estimate Freddy Adu's value to MLS...

Quote:
Originally posted by jri
Just getting ball rolling here...

With the assumption (play with these rules-smile) that Freddy signs for next season, and play in 2004, 2005, and some in 2006 (around WC), and then leaves for England...how much is young Freddy worth to MLS?

1. Attendence increase- I think MLS could see an average increase of 5k in each game-including all DC United home games- that Freddy plays, in the 1st year at least. I think that 5k figure may be conservative. At Dallas Cup and U-17 Minnesota game, he likely drew an extra 5k for those underpublicized events. How much is 5k extra tix for 28 games worth? (with concessions, parking, etc.)? Gotta be well a few mill a year?
I think 5K is overstating it because of one thing that DC games will have that the Dallas Cup didn't - TV. DC has a notoriously fickle walkup market at RFK. Maybe the frst few times they will flock, but one rain storm, one ESPN2 game, one traffic jame and the bump is considerably less.

It might happen at times, but I don't think they can do it consistently.

Quote:
2. Extra pub (how much would MLS have to pay to get the free pub Freddy is going to generate).
This is unquestioned. MLS has done an outstanding job working with the print press. Next year creates the TV inroads they've been working on.

Quote:
3. TV ratings (will Freddy give a decent-enough bump to get MLS better TV contract)
I think they will get better ratings, but doubt it will lead to a better contract. They are locked in until 2006, IIRC, and the TV people will know that Freddy will likely be gone by then.

Better sponsorships? Better commercial rates? More flexible scheduling.

Oh, sure.

Quote:
4. MLS gear
Little by little, MLS Gear is doing better. Personalized shirts are now available if you know were to look. They need to continue this growth if they get him.

Quote:
5. Transfer fee for MLS (Freddy rights)

Likely quite a few other possible money-makers here...but I reckon "owning" Freddy for 3 years will be worth several millions a year....imagine if Freddy plays a decent-sized role in a good US Cup finish in 2006..and throw a transfer fee....we could be talking tens of millions in total..
Crossing fingers about injury and lackof development.

Quote:
Wonder how THAT (Freddy/agent/MLS) negotiation is going to shake out? I reckon MLS is hoping to get him for a fraction of that...high risk/reward stakes game to come soon (after U-17 WC?)
You forget one important entity in that triad - MOM.

Quote:
Originally posted by jri
BTW- If MLS has 1/2 a brain (questionable!), they will make sure they get a cut of any other transfer of Freddy (by acquiring club)...gift that keeps on giving thing...
Why do you say questionable when incentives have been included in deals like Stern John (not their fault Forest transferred him right before it kicked in), Howard and the reported Convey deal? Most of those have been performance standards, which have been the question mark for those guys. So I don't think it's questionable - I think it's standard.
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Old 13 Aug 2003, 02:09 PM   #10
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I think before people jump to conclusions of significant attendance gains, transfer millions, marketing explosions, etc there are some variables to consider.

1. He really might not sign with MLS (I know we're operating under that assumption in dis thread though). I hope he plays here for a season or two, but there will certainly be giants with pens in hand when he makes himself available.

2. The MLS team he signs with would certainly be given a HUGE boost. Definite attendance gains - can you peg a number to that yet - not really. I could see DC getting well into the 20's for his first few matches though.

3. What about the stars we already have? Remember Mathis, McBride, Beasley, Donovan and the rest of the MLS heros from last summer. Sure we do, but does Joe Sixpack? Have they been watching Landon play for San Jose since his incredible Cup? And the Cup last summer certainly garnered the mainstream media/fan interest that Freddy has. But - attention is one thing - getting that increased interest to manifest itself into increased ticket sales seems to be a tougher thing for MLS.

4. Transfer fees. Can't disregard the arrogance that big European clubs show towards teams in the Americas over fees. Sure you hear about 8 figure agreements when its one European club to the another - but how many do you hear about when they cross the pond? Not too many (about two in the last couple years) - and remember that big Denilson move to Betis (over $30 mil) - clubs will be wary of that high price flop for a player with no top league experience. Im not saying that Freddy will flop - just saying that even if he lights MLS up, expect a lot of lowballing.

Not trying to be negative about the situation - just realistic.
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