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SBJ Unpacks: Coronavirus -- NFL Team Facilities Likely Locked Until June


Are the floodgates starting to open?

After a couple of slow months in which news about pro sports leagues possibly returning to action came at a trickle, shows like ESPN’s “SportsCenter” suddenly have a lot more to cover as a host of comeback plans emerge.

On top of UFC and the Professional Bull Riders already restarting, and German soccer and NASCAR joining this weekend, the NBA, NHL, MLS and MLB all appear to be making strides toward a possible return, although many hurdles remain. Meanwhile, plans are already set for the PGA Tour and IndyCar to resume action in June.

There’s still the potential for setbacks that could send leagues back to the drawing board, both on the health and labor fronts. MLB appears to have the most serious issues to work through with players. And college sports have a complex couple of months ahead.

But for now, the return of pro sports in 2020 -- across the team and individual levels -- is looking more and more realistic.

---  Adam Stern

 

STORIES YOU NEED TO READ: 

 

NFL EXTENDS VIRTUAL OFFSEASON BY TWO WEEKS

  • The NFL today extended its “virtual offseason” period from May 15 to May 29, giving teams two more weeks to conduct educational or other training programs remotely, SBJ’s Ben Fischer reports, indicating the league does not expect to be able to return to facilities until at least June. These programs are intended to replace offseason workouts that would normally be ongoing this month.

  • By Friday, all 32 teams must submit plans for re-opening their facilities to non-player employees, the first step of returning to normal activities. The return of players are the subject of ongoing talks with the NFLPA. In a memo today, the league said those plans will be communicated to teams as soon as possible once complete. To date, the NFL has not changed its stance that no teams will be allowed to go back to work until local regulations allow all teams to return to offices.

  • Since mid-April, the league has allowed classroom instruction, non-football education and workouts to be conducted online due to the coronavirus pandemic, allowing players to earn bonuses tied to offseason participation. Offseason activities, virtual or otherwise, must end by June 26.


NBC SPORTS TALENT ALL AGREE TO TAKE PAY CUTS

  • All of NBC’s on-air sports talent agreed to voluntary pay cuts as the network grapples with figuring out how to move forward with no sports and a tight ad sales marketplace. The salary cuts are described as temporary and in the 5-10% range, sources said. Every one of NBC’s on-air personalities agreed to the cuts, which will be in effect until the end of the year, sources said. Last week, NBCUniversal senior management took 20% pay cuts and employees making more than $100,000 per year saw their salaries cut by 3%.

  • NBC Sports Group President Pete Bevacqua: “Our on-air personalities reached out to see how they could contribute to helping our company during this difficult time, and all have voluntarily accepted temporary pay reductions. It’s another reminder of the truly great team we have at NBC Sports and how we’re all working together to get through this immense challenge.”

  • The moves come nearly a month after ESPN asked its 100 highest-paid commentators to take a voluntary 15% pay cut over the ensuing three months. Three weeks ago, Fox asked many of its top paid talent to take temporary 15% pay cuts that also run for three months, through July. CBS is the only broadcast who has yet to cut salaries of their on-air talent. One source estimated that 90% of the on-air sports talent have agreed to pay cuts when asked.

 

 

PGA TOUR STRESSES SAFETY FIRST BEFORE FANS CAN RETURN

  • The PGA Tour today outlined their restart plans and guidelines beginning on June 8 at the Charles Schwab Challenge with no fans, no hospitality, and no revenue generating pro-ams, writes SBJ's John Lombardo. The first four events beginning with the Schwab will be held without spectators, and Tour execs aren’t saying exactly when fans will be allowed back at tournaments. 

  • “When we issued the revised schedule, we stipulated in there that for at least the first four tournaments we would play without spectators onsite,” said Andy Pazder, Chief of Operations & Competitions for the Tour. “I considered that all along to be a placeholder, and not some sort of a line on a calendar that we were pushing for the week of July 6-12 to be a point in time where we begin allowing some number of fans. We are not wedded to any specific date. Obviously, it's going to be dependent on local, state and federal regulations that will largely dictate when we're able to resume having some number of fans."

  • When the Tour does decide to allow fans back on the course, it will be done in a gradual manner. 

  • “I would absolutely anticipate that whenever that occurs, it would initially be on a limited basis to ease ourselves back into spectators being onsite,” Pazder said. “We obviously hope that there will be a point in time this summer where we are able to welcome back our fans onsite, but ... we're only going to return to golf when we can do it in a safe and responsible manner, and it's certainly not going to be just so we can hit some target date that isn't supported by the local state and federal authorities.” 

 

TECH COMPANIES CONTINUE TO EYE OPPORTUNITIES IN FAN EXPERIENCE SPACE

  • N.Y.-based technology company LiveLike's new integrated fan experience product is gaining more traction in conversations with many tier-A broadcasters, federations and sports leagues around the world, according to CEO & co-founder Miheer Walavalkar. The accelerated conversations, which have picked up steam during COVID-19, reflect the likelihood of spectator-less games, writes SBJ’s Mark J. Burns. Through its technology and software development kit (SDK), Walavalkar explained, LiveLike can embed a social viewing experience into a league, team or media company’s existing app as another way to engage with at-home viewers. 
  • Fans can then vote for their favorite players, chat with others, answer trivia questions and polls, offer game predictions and participate in a virtual cheer meter, among other options. Walavalkar said that whether the cheer meter in particular gets captured inside a venue via a noise machine or jumbotron is being considered by key stakeholders, though he declined to mention specific names. 

  • Walavalkar, a 2018 SBJ "Forty Under 40" honoree, said, “Partners are already seeing how the younger generations are interacting with content on platforms like TwitchInstagramYouTube and TikTok. What we’re telling them is if you want to provide that kind of experience in your owned and operated app, that’s where LiveLike comes into the picture.”  

 

ON-AIR TALENT TRIES TO STAY SHARP AMID UNPRECEDENTED TIMES

  • There may not be many live games for sports broadcasters to call, but according to one talent rep, some of the top analysts are still plenty hard at work. “In a time when business isn’t usual, these guys act and prepare like it’s business as usual,” 16W Marketing partner Steve Rosner told SBJ’s Chris Smith.

  • For football broadcasters in particular, much of the day-to-day is no different than years past, since everyone is still preparing as if the NFL season will begin on schedule. Rosner’s client list includes on-air talents like Howie Long, Boomer Esiason, Phil Simms and Cris Collinsworth, and he says much of the focus has been on how they can continue to contribute to their partners. “In trying times, you want to be supportive and be there for the companies that you are involved in. Whether it’s media companies or endorsement relationships,” said Rosner. Long is doing a weekly show on Fox, while Simms and Esiason recorded exclusive content around the NFL Draft for corporate sponsors to share with their employees. 

  • Ron Darling, another Rosner client, is usually calling Mets games for SNY this time of year, but he’s now doing studio shows and writing for SNY instead. “They want to be good partners, they want to help when they can,” said Rosner. Yet while they remain busy, many broadcasters have also begun feeling the financial squeeze of the ongoing shutdown. Last month, SBJ’s John Ourand reported that ESPN had asked its 100 top-paid commentators to take a 15% pay cut, and some on-air talent at Fox Sports have reportedly taken 15% salary reductions. Now comes the latest news from NBC Sports. Rosner also notes that new endorsement opportunities have largely dried up as corporations trim their marketing expenses. 

  • Rosner’s focus these days is on constant communication, with phone calls largely replacing texts and emails. “Talking to them two or three times a week now is nothing really new. The conversation might be different,” said Rosner. “Now, you want to be in touch, first of all, to make sure everyone in the family is healthy. And you want to talk to them about what else they think they might want to do right now to help out their media partners.” 

  

 

ARAMARK ROLLS OUT HYGIENE PROGRAM

  • Concessionaire Aramark has teamed up with Jefferson Health, a Philadelphia-area healthcare system to create a new hygiene program for the venues and other facilities the company manages around the world. Notably, the EverSafe program will use artificial intelligence, robotic contact tracing and other mobile technology at venues to help limit the spread of COVID-19, writes SBJ's Karn Dhingra.

  • The program is “designed to empower employees, students, patients, customers, and guests to feel more confident and safe, wherever they work, learn, play, explore, recover, and rehabilitate,” according to a company release. EverSafe takes health and hygiene recommendations from the CDC and the WHO on how to go about reopening workplaces, educational institutions, hospitals, and sports arenas. Aramark said its new service offering will also be customizable, based on client needs and local government requirements. 

 

WORKING FROM HOME WITH TEAMWORKS CEO ZACH MAURIDES

  • Teamworks Founder & CEO Zach Maurides says he can generally fit everything he needs to do his job -- laptop, iPad, phone -- in a backpack. So, he’s had no trouble getting work done from his basement in Durham, N.C. Maurides estimates his time is spent equally working solo and video conferencing -- Zoom for clients and Google Hangouts internally. “Early on it was probably like 25% interfacing, 75% individual work, but now it's a little bit closer to 50/50,” he said. Maurides: “You have got to figure out a direction for the organization and then you have to effectively communicate it.”

  • Teamworks began making contingency plans for the coronavirus in January, bracing for any potential impact it could have on the athlete engagement platform’s business. “When we made the decision on March 12th to close our office and move to work from home, that was already something that we had vetted. … I'm grateful for my senior leadership team and the fact that they were paying attention to this,” Maurides said. Shortly after that, Teamworks began offering its service to non-customers for free to help out during the time of the coronavirus.

  • One successful initiative Teamworks led recently was a mental wellness webinar that was attended by 600 pro and college head coaches, Maurides said. “The stress that everyone's going through with all of this … that was the number one thing, number one piece of content we put out, that's what people are focused on and rightly so,” he said.

  • Maurides, a 2020 SBJ "Forty Under 40" honoree, said his best advice to get through this tough period is to trust your gut and take action. He said, “You're not going to have perfect information and the worst thing you can do is stand still. … It has brought us back to the early days of our business where you just move forward. If you have to adjust while you're running, adjust, but don’t stand still.”

 

Maurides has had no trouble getting work done from his basement in Durham, N.C.

  

OUTSIDE CONTRIBUTORS: TAKING STOCK

  • Tonight's op-ed contribution is from Fairleigh Dickinson professor Dale Caldwell, who provides a "timely self-reflection tool for the sports industry."

  • "It is common knowledge that exercising and playing sports is good for your health. Researchers have also found that being an active sports fan can play an important role in enhancing a person’s emotional, psychological and social health. Sports fans have higher self-esteem, are less lonely and, contrary to popular belief, are no more aggressive as a group than nonsportsfans. Sports is like comfort food. ... The 'invisible wounds' of this pandemic can affect sports fans and people that work in sports in ways that go unnoticed without serious self reflection."

  • To read Caldwell's contribution, click here. Also, see below for Caldwell's self-reflection map, and be sure to listen to the latest episode of the SBJ Unpacks podcast where Caldwell discusses techniques to navigate a time of unprecedented, wide-spread stress.


 

SPEED READS

  • Tonight in SBJ Media: NASCAR'S iRacing Pro Invitational Series averaged an impressive 1.04 million viewers over seven weeks on Fox and FS1, reports SBJ’s Austin Karp. The biggest audience came March 29 (1.34 million viewers), which was the first race carried on the Fox broadcast channel. 
  • Texas AD Chris Del Conte said he is "fully optimisitc" there will be Longhorn football this calendar year. He told the Austonia News, "There will be football at (Darrell K Royal) this fall." Del Conte said he has "four committees working on issues relating to the athletes, staff, the games and game management when or if they're played." If football happens, "chances are other fall sports -- mainly women's volleyball and soccer -- also will receive the go-ahead."

  • Spire Sports + Entertainment has agreed in principle to the purchase of the ECHL’s Greenville Swamp Rabbits, reports SBJ’s Mark J. Burns. The league’s BOG will officially vote tomorrow, according to Todd Mackin, president of the ECHL’s Rapid City Rush, also owned by Spire. The Swamp Rabbits were previously owned by South Carolina Pro Hockey, LLCSpire Motorsports, a division of Spire, is already cross-promoting the relationship between the organization and the Swamp Rabbits. At Darlington Raceway on Sunday, Spire’s No. 77 Chevrolet will sport the ECHL team’s branding.
  • UMass, as one of the few independent programs at the FBS level, is in a “unique position” when it comes to planning during the pandemic, per the Daily Hampshire Gazette. “Football is a little bit of an outlier for us,” UMass AD Ryan Bamford said. “There are so many inputs to that decision. We are dealing with 12 different opponents and 12 different situations. Some of those are other independents so we are getting in alignment with them. There’s been a lot of talk about what the season is going to look like. We’ve put together a whole host of different models.”

  • This week's Scottsdale Open, a 54-hole mini tour golf event that carries a $135,000 purse, is "enjoying the extra juice because it is the only game in town," writes GOLF.com's Alan Shipnuck. With "pretty much every other professional golf circuit shuttered," 162 players, including a handful of PGA Tour pros, each paid between $795 and $1,095 (depending on how early they signed up) to enter the event. Like the Outlaw Tour and Cactus Tour, the independently operated Scottsdale Open is "able to proceed under Arizona’s permissive rules and regulations toward the coronavirus." 

 

NEWS YOU NEED FROM SPORTS BUSINESS DAILY

  • During this crisis impacting the sports business, we want everyone to be up-to-date on the latest news and information. SBD's "Coronavirus & Sports" section is free, outside the paywall, for the foreseeable future. Below are today's headlines:

    • MLB, Union Take First Step On Return, But Economics Not Discussed
    • Scott Boras Says His Players Won't Move Off Previously Agreed Deal
    • Illinois Gov. Suggests MLBers Accept Return Proposal For Fans' Sake
    • NBA Owners Encouraged By Efforts To Lessen Health Risk Upon Return
    • PGA Tour Releases Health & Safety Plan Outlining Protocols For Events
    • MWC's California Schools Face New Issues With Campuses Not Reopening
    • NCAA President Emmert Not Mandating Uniform Sports Return
    • Several MLS Clubs To Decide Soon Whether To Accept PPP Loans
    • NFL Will Be Interested Observers In Bundesliga's Return This Weekend
    • Penguins Instituting Employee Furloughs Through September
    • Mariners To Reduce Salaries To Avoid Furloughs, Layoffs For Now
    • SMU QB Raises $50,000 To Assist Dallas' COVID-19 Relief Efforts

 

SBJ UNPACKS -- WEATHERING COVID-19

 

 

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Something related to coronavirus and sports business catch your eye? Tell us about it. Reach out to Austin Karp (akarp@sportsbusinessjournal.com) and we'll share the best of it.