After seeing the NHL’s record-breaking revenue for the 2021-22 season, the financial state of the league, a little over two years after being forced to shut down temporarily due to the COVID-19 pandemic, is as healthy as ever. Because of that, teams have been told to prepare for a large cap increase, and one that could potentially come sooner than expected. With the rise in revenue, a rise in prominent advertisements has become apparent too, one which many fans are not too thrilled about. Earlier today, NHL Commissioner Gary Bettman discussed several topics related to the state of the league and its finances with Alex Silverman of the Sports Business Journal. In the interview, Bettman discussed revenue, new digital advertising on boards, jersey advertisements, the Arizona Coyotes arena situation, TV deals, growing the game internationally, and the future of the World Cup of Hockey.
Notably, Bettman detailed how the league plans to continue growing its revenue, specifically by utilizing technology, especially when it comes to advertising, engaging with fans more on social media, and using their television platforms to grow the game. On the new digitally enhanced dasherboards (“DED’s”), Bettman noted that the technology was not cheap to develop, but sees potential revenue growth from this alone to be in “the hundreds of millions.” In regards to the recent addition of jersey advertisements that have been met with it’s fair share of public criticism, Bettman appeared to understand the public’s distaste, calling himself a traditionalist, but cited the immense revenue growth as a reason to press on. The Commissioner added that although the market is “vibrant” for the jersey advertisements, the league has urged clubs to take their time picking a sponsor, urging them to find the “right partner” and get full value.
The entirety of Bettman’s answers, as well as his discussion on several other topics, can be found in the full discussion with Silverman.
- The Vegas Golden Knights have injury updates on a pair of key players. According to Vegas head coach Bruce Cassidy, as reported by Ben Gotz of the Las Vegas Review-Journal, forward William Carrier is unlikely to play in preseason games this upcoming week as he continues to deal with an upper-body injury he suffered a week ago. On a more positive note, goaltender Laurent Brossoit, who is recovering from hip surgery, was able to skate on his own, however he still has yet to be cleared to join the rest of the team. Even without star goaltender Robin Lehner for this season, after acquiring Adin Hill from the San Jose Sharks and having breakout netminder Logan Thompson in the fold, Vegas can afford to be patient with Brossoit as he makes his way back.
- There’s some reason for concern for the Carolina Hurricanes with the team announcing defenseman Brett Pesce would not return to tonight’s game against the Columbus Blue Jackets after suffering a lower-body injury. It’s unclear what caused the injury or how severe it is, but losing a key piece such as Pesce for any stretch of time surely puts Carolina in a difficult position.
- On today’s 32 Thoughts Podcast, Sportsnet’s Elliotte Friedman touched on a pair of teams who could be in the market for additional help up front if the opportunity should arise: the Calgary Flames and the Minnesota Wild. Friedman mentions the Flames as a team who may want to add another scorer into the mix if they don’t believe the players in camp with them now can be that player. In addition to several intriguing prospects, Calgary has veterans Sonny Milano and Cody Eakin in camp on PTOs with the team having $1.487MM in available cap space. Worth considering, the Flames did claim forward Radim Zohorna off waivers from the Pittsburgh Penguins earlier today. Also mentioned were the Wild, who dealt star winger Kevin Fiala, knowing their cap situation would likely prevent them from signing him long-term. Ultimately, they’re left with $5.738MM in cap space and needing to recover at least some of what they lost in Fiala, who posted 85 points in 82 games last season.
So an economy that either is in a recession or going into one is providing the league with huge new revenues? They may be getting out in front of their skies on this optimism.
Then again, if they’re willing to pimp out the game NBA style, well, good luck with your new fanbase.
@Gbear – That makes us a pair of “Disgruntled Dougs.” The economic situation, worldwide, is not sunshine and puppy dogs, as “Gerry” would paint it, written by @John, above. For those who are even somewhat in tune with the recent announcements in the tech world, the three big players have all made major, and possibly fiscally damaging miscalculations on their markets. The money isn’t there for price jack-ups on anything. The NHL seems to be showing an “inside the Beltway” mentality regarding their business model and revenue projections. Imagine the possibility of half-empty barns, but not due to COVID…
@Mac – Can’t add anything to that. Bettman’s weak spot has always been in not knowing who hockey fans are. They’re mostly not NBA fan types.
@Gbear – That’s one of the things that’s close to a universal truth. That, and the no-skill-bleep-shotters don’t really have much of a rule book anymore, which is the main reason I disowned them in the mid ’80s. The NHL is trying to get better in that area, albeit by baby steps, but that’s better than nothing. Besides, hockey fans watch and listen to pre-season games–with interest! :) (At least some of us do)
@Mac – Now be honest, are you getting an away jersey with the Pepsi logo on it or the home Coke version? :D
@Gbear – Well, I’m going to really deviate here. I’ve decided on the newest league sponsor, Quikrete. “You know us for solving your construction needs, but now we’ve created the ultimate hockey equipment. Quikrete pads that prevent injury! Playing without a helmet penalties are a thing of the past. You need a crowbar to get those babies off! Now, everybody can be a shot-blocking machine, like Craig Ludwig, without the stinky shin pads. Sure there might be more plexiglass getting busted out, but that’s all part of the fan experience!”
@Mac – Always have to be different, don’t you?! ;p
Why should the national/regional/global economic situation be the end-all-be-all is far as league finances go? This isn’t the Great Depression. People do have SOME money.
@Gbear – Can’t tell you how many times that has been trouble for me! :)
@DarkSide830 – And, many of them have to re-adjust their own budgets. There isn’t as much discretionary income like there was pre-COVID.
There is no recession.
okay, but is there a spoon?
A recession begins with a state of mind.
The definition of recession disagrees with you.