IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,
And obv the whole event thing incurs some expenses.
Exactly, this guy has no idea what he is talking about. Only the UFC knows total revenue. PPV buy does not equal revenue, live gate does not equal revenue. The venue gets the live gate, and based on the deal the UFC gets a portion. The cable and dish companies get the PPV revenues, and the UFC gets a portion of that. The UFC then pays all sorts of licensing fees, insurance and numerous other costs that are incurred that get subtracted from the revenue. Then the government comes and takes a cut of the earnings at the end. People need to work in an actual company or better yet run a company to understand earnings, revenues and expenses.
It's you who does not know what you are talking about if you think IROCK is correct.
You don't take half of ppv sales out and you don't add in expenses to figure revenue.
Actually you are wrong, as all PPV buys go to the PPV provider. They cover billing and processing. In turn pays the contracted cut to the UFC. So the UFC sees no PPV revenue till after the providers cut. so do subtract half ya twat
IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,
And obv the whole event thing incurs some expenses.
1/2 ? why would you give 1/2 the money over x amount of buys,if thats the case, lorenzo needs to work on that.18 million $ for 3 hrs of air time,thats crazy.
jdb2414 - Calhoon, you're obviously right on the total revenue generated for the event, but on the UFC books, they would record their portion (~50%, give or take) of the revenue. I guess it depends how you'd want to spin the data. For Fertitta, he wants to increase that % to show that he's paying out more, for UFC detractors, they'd want to include every fucking penny in order to show how shitty they treat the fighters.
I think Fertitta was comparing his % to the 50% that the teams in the NFL/MLB/NBA pay to their players. Does anyone know what revenue numbers they're using? Is it the total revenue earned by the networks, teams, etc.? Or is it just the revenue that the team receives?
Again, take a look for yourself on how Fertitta figures revenue of ppv sales.
"In September, Mayweather-Ortiz sold 1.25 million pay-per-view units and generated $78.44 million in revenue."
From what I recall, he was using that to illustrate the difference in revenue generated by each event, not comparing the % that was paid out to the fighters.
Again, "revenue" is a very generic term. Total event revenue is one thing, the UFC's portion of that revenue is different. What you're disputing is Fertitta's claim that they pay out "in the ballpark" (or some other bullshit, vague term that he used) of the 50% that the NBA/NFL/MLB teams pay out to their players. For that, you should be looking at the total revenue that those teams are basing those agreements on. I honestly don't know, it really could be revenue from anyone that benefits from a game or merchandise, but spinning & combining comments like this is not the right approach, in my opinion.
IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,
And obv the whole event thing incurs some expenses. <img style="vertical-align: middle" border="0" alt="Phone Post" src="/images/phone/apple.png" />
1/2 ? why would you give 1/2 the money over x amount of buys,if thats the case, lorenzo needs to work on that.18 million $ for 3 hrs of air time,thats crazy.
IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,<br><br><br>And obv the whole event thing incurs some expenses. <img src="/images/phone/apple.png" alt="Phone Post" border="0" style="vertical-align:middle;"/>
Exactly, this guy has no idea what he is talking about. Only the UFC knows total revenue. PPV buy does not equal revenue, live gate does not equal revenue. The venue gets the live gate, and based on the deal the UFC gets a portion. The cable and dish companies get the PPV revenues, and the UFC gets a portion of that. The UFC then pays all sorts of licensing fees, insurance and numerous other costs that are incurred that get subtracted from the revenue. Then the government comes and takes a cut of the earnings at the end. People need to work in an actual company or better yet run a company to understand earnings, revenues and expenses.
It's you who does not know what you are talking about if you think IROCK is correct.
You don't take half of ppv sales out and you don't add in expenses to figure revenue.
Actually you are wrong, as all PPV buys go to the PPV provider. They cover billing and processing. In turn pays the contracted cut to the UFC. So the UFC sees no PPV revenue till after the providers cut. so do subtract half ya twat
Captfireeyes - Here's a question my dad keeps asking me and I don't know how to answer.
Why is the UFC so secret with their pay? Why don't they just tell everyone that X fighter got contracted X amount of dollars and received X amount take home pay?
Is it to avoid taxes? Incentive for fighters to perform?
Anyone can google what each NHL, NFL, MLB player makes, but you only find estimates on what UFC fighters take home.
I don't think they are underpaid at all. Just why all the secrecy?
There are a couple reasons but the biggest ones have to do with perfect knowledge and effective bargaining power. It would be a disadvantage to the UFC to do so. They can talk all they want about the fighters not wanting it to be posted or whatever but that's likely a minor reason at best, BS at worst, for most of the fighters.
If the fighters are contractually obligated not to talk about their salary then if it's amount that would be considered low by most who pay attention to the sport if they knew the amount, the UFC can say whatever it wants without having the obvious facts to refute it. It also makes it harder for fighters to bargain effectively if they don't know what all the other fighters are making and what they are getting in their contracts, though I'm sure some do talk and a manager who manages many fighters can help mitigate that lack of knowledge as well. It also makes it harder for competing orgs to more effectively offer fighters contracts that are competitive but not over the top, which means they will find it harder to maximize revenue for their own org. As a general rule, knowledge of everyone's salary is good for the fighters just as it is for workers in most companies, but it isn't good for the company's bottom line.
Yeah dude I'm sure the UFC counts everyone who makes a penny off a UFC event THERE revenue. Your numbers are off my friend. I don't deny that the total for PPV buys is in fact revenue but to say that the total amount belongs to the UFCs top line is just wrong.
IROCK - How can u call money the UFC never receive, (ie.the ppv company's cut),UFC revenue? <br><br>I know u did a lot of ciphering here Jethro,<br>But ur coming at it with skewed numbers. <img src="/images/phone/apple.png" alt="Phone Post" border="0" style="vertical-align:middle;"/>
What Calhoon is doing is applying the term "revenue" to the UFC in the same way Lorenzo was using it in his example of the boxing events. So if he's coming at it with skewed numbers it's because he's applying Lorenzo's boxing example of "revenue" to the UFC.
No matter what people's numbers aren't going to be totally accurate unless all the data is out there and the UFC obviously isn't going to do that. Lorenzo has a financial motivation to skew the data in his favor. Most likely they are skewing it and they're going to try to talk up fighter pay as a form of damage control/PR move.
Personally I think the higher end fighters are paid plenty. The lower end fighters, the guys that are making 6/6, I'd like to see them making a little more, like 10/10 minimum but their pay isn't obscenely low or anything. It's definitely not as bad as when it was 3/3.
IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,
And obv the whole event thing incurs some expenses.
Exactly, this guy has no idea what he is talking about. Only the UFC knows total revenue. PPV buy does not equal revenue, live gate does not equal revenue. The venue gets the live gate, and based on the deal the UFC gets a portion. The cable and dish companies get the PPV revenues, and the UFC gets a portion of that. The UFC then pays all sorts of licensing fees, insurance and numerous other costs that are incurred that get subtracted from the revenue. Then the government comes and takes a cut of the earnings at the end. People need to work in an actual company or better yet run a company to understand earnings, revenues and expenses.
It's you who does not know what you are talking about if you think IROCK is correct.
You don't take half of ppv sales out and you don't add in expenses to figure revenue.
Actually you are wrong, as all PPV buys go to the PPV provider. They cover billing and processing. In turn pays the contracted cut to the UFC. So the UFC sees no PPV revenue till after the providers cut. so do subtract half ya twat
IROCK - Well u can cut the ppv $$$ in half for a start,ppv company takes around half,
And obv the whole event thing incurs some expenses.
Exactly, this guy has no idea what he is talking about. Only the UFC knows total revenue. PPV buy does not equal revenue, live gate does not equal revenue. The venue gets the live gate, and based on the deal the UFC gets a portion. The cable and dish companies get the PPV revenues, and the UFC gets a portion of that. The UFC then pays all sorts of licensing fees, insurance and numerous other costs that are incurred that get subtracted from the revenue. Then the government comes and takes a cut of the earnings at the end. People need to work in an actual company or better yet run a company to understand earnings, revenues and expenses.
It's you who does not know what you are talking about if you think IROCK is correct.
You don't take half of ppv sales out and you don't add in expenses to figure revenue.
Actually you are wrong, as all PPV buys go to the PPV provider. They cover billing and processing. In turn pays the contracted cut to the UFC. So the UFC sees no PPV revenue till after the providers cut. so do subtract half ya twat
Its one thing if they pay whatever they want if the market would be filled with competitors to bring up the prizes.<br />But the UFC has total controll on the mma market which is one thing the investigation is all about.
