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Leagues and Governing Bodies

Sources: Manfred To Merge MLB Business Divisions; Bowman, Petitti Assume Larger Roles

MLB Commissioner-elect Rob Manfred is "putting an end to baseball’s largely divided business structure" by completing a new leadership structure for his administration, according to sources cited by Eric Fisher of SPORTSBUSINESS JOURNAL. MLBAM President & CEO Bob Bowman will take on "significantly greater responsibility as chief revenue officer while leading sponsorship, licensing and sales in addition to baseball’s digital arm." MLB Network President & CEO Tony Petitti also will "take on a greater role in overseeing marketing, community affairs and special events." It is "unclear whether Petitti’s network responsibilities will be altered." Meanwhile, owner-led BODs for MLBAM and MLB Enterprises will merge into a single entity that will "oversee an array of league business functions, including broadcast and digital media, sponsorship, marketing, licensing and international affairs." Owners were "briefed on the changes" at the MLB owners meetings last week in K.C. Several MLB owners privately said Bowman will have a “huge role” in the Manfred administration. Fisher notes MLB had "pursued a 'divide and conquer' business strategy for much of the past 15 years and resisted any effort to merge MLBAM and its Enterprises divisions." MLB "sold many of its online and offline media and marketing assets separately, in direct contrast to most other U.S. pro sports properties and often to the bewilderment of brands and corporate marketers." That split structure "drew the ire of sponsors and many partners who were critical of having to do deals with two separate divisions that had different styles, oversight and inventory" (SPORTSBUSINESS JOURNAL, 11/24 issue).

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