The PGA European Tour expects 270,000 people to attend this week's Ryder Cup.GETTY IMAGES
Europe "faces a tough task to win back the Ryder Cup" from a strong U.S. side when golf's "most prestigious team event" tees off later this week, according to Murad Ahmed of the FINANCIAL TIMES. But away from the fairways, it is a "guaranteed money-spinning victory." The estimated £80M ($105M) the cup generated in revenues the last time it was played in Europe makes it "among the most lucrative tournaments in the sport." When it is hosted in Europe, like this year's competition, which begins on Friday at the Le Golf National course in Paris, the PGA European Tour "makes enough cash to sustain its finances until the event next returns to its shores." Yet the European Tour "accepts this dependence on the tournament," played every two years with Europe and the U.S. alternating as host, "is a dangerous game." This has led its execs to "look for new ways to expand its business." European Tour Chief Commercial & Marketing Officer Nathan Homer said, "Historically, the Ryder Cup has really been utterly critical for the Tour. In any company, if you rely on one source of core income, that's risky." Ryder Cup revenues come from ticket sales and sponsorship. The European Tour estimates that about 270,000 people will visit Le Golf National this week, paying an average ticket price of €170 ($200) a day on the three matchdays from Friday-Sunday. The European Tour also "benefits from being able to sell broadcast rights to the Ryder Cup in a package with all its golf events." The current six-year deal with Sky and the BBC for broadcast rights in the U.K. expires this year. Horner said that the tour is "already in talks with Sky over renewing the deal," but that it will "consider" other partners and options, "including splitting rights between traditional TV broadcasters and digital streaming services" (FT, 9/23).
