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Ben McConnell

January 31, 2004

When the lawyers take over

The NFL is almost consistently the best-run organization in professional sports, but not in this case: It has sent threatening letters to hotels that were planning to host Super Bowl parties.

"When we become aware of a potential violation, we take action," an NFL spokesman said. "It's not a city issue, it's a copyright issue."

Whenever the word "copyright" is mentioned, you know the lawyers have squashed the marketers.

The NFL's greed-based move it making it look more like the RIAA than the smart organization it usually is. With the hundreds of millions of dollars the NFL and CBS will earn with licensing deals, advertising from multiple-themed shows and oodles of ancillary products, a few hundred hotels hosting watching parties is hardly damaging to the broadcast's business value. If anything, the NFL should encourage these parties and hundreds more of them -- communities inspire stronger loyalty and help lure new fans into the vast community. A Super Bowl party at someone's house or in a hotel is the perfect induction ceremony for new fans.

The NFL's cease-and-desist letters say, in effect, "We would rather threaten our customers in pursuit of ultimate control than make more money by giving up a tiny bit of control."

Professional gambler Tom Burton said it best: "You can't go to the Super Bowl because all the seats are taken. The NFL just wants to dig deeper and deeper and wants to get as much money as they can. When is it going to end?"


Posted by Ben McConnell on January 31, 2004 | Permalink

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Isn't the NFL greedy enough with their already overpaid owners and players? Tim (Burton) brings up a great point. I agree with him. Instead of the NFL fostering a community atmosphere with their fans, they have now done the complete opposite. Maybe the hotels can offer their same deal minus paying for the party. They could solicit "donations accepted," couldn't they?

Posted by: greg at Feb 1, 2004 1:38:14 PM

The case could be made that the NFL does the best in tamping the persistent greed that underlies most professional sports. The NHL, for instance, has not; a lock-out looms for professional hockey as a result.

Hotels could solicit donations for their Super Bowl parties, but that doesn't necessarily make things smooth for customers, who likely wish to pay for admittance with a credit card.

The real question for the NFL is: What is it trying to accomplish by shutting down watching parties? Is the NFL trying to steer people somewhere else? It's unclear and therefore, a patently dumb action.

Posted by: Ben McConnell at Feb 1, 2004 3:09:21 PM

The NFL is like any other league. Greedy. Back in the early 1990s (c. 1994) when all the major leagues were in lock-out mode, they lost a LOT of fans. I was one of them.

In fact, as a devout hockey fan in that era, I totally lost respect for the game, the league, the players...and I have not returned to regular viewing of NHL games as a result. And this a Toronto Maple Leafs / Philadelphia Flyers fan talking here. :-)

When greed rears its ugly head...people lose respect immediately. Today, more than ever, people are voting with hard-earned and dwindling dollar base.

HP's Fiorina made comments recently that there were no sacred American jobs left -- responding to the tech outsource phenomenon currently affecting US/Canadian tech companies. Within a day, on Lou Dobbs MoneyLine and across the net, people mobilized to stand up against HP and other companies. Her arrogance to a human issue will impact the bottom-line. Arrogance in today's economy wins you FEW customers and loyalty is an expensive commodity.

Greed is NOT good. Gekko is not welcome in the 21st century.

Alexander
FutureParadigm.com

Posted by: Alexander at Feb 1, 2004 4:37:53 PM

I'm also puzzled by the NFL wanting to shut down hotel sponsored Super Bowl parties. There's only so many seats to go around anyway. People who wouldn't or couldn't buy a ticket would be more likely to go to a Super Bowl party, wouldn't it be better for them to enjoy the game rather than not see it at all? My husband and I will go through the whole football season without watching a game, but we'll attend a Super Bowl party because they're a great way to have fun with family and friends. Events that attract casual or non viewers are always good for the bottom line. And everyone knows there's a ton of money to be made in advertising during the Super Bowl. More parties = more eyeballs for ads.

The NFL would do better to work with hotels, restaurants and bars to make these parties better. Maybe have certain venues be registered as "An Official Super Bowl Party Zones" that offer liscensed merchandise, giveaways, autographed memorablia and other special incentives that unregistered parties don't have access to. If the NFL wanted to go down this route, they can even charge a small registration fee or even a small percentage of the money these venues make from these parties. Even if they don't take a percentage of party revenues, what they'll gain in fan loyality and community would outweigh whatever control they perceive to be losing over the Super Bowl "brand".

I guess this just shows why lawyers shouldn't be marketers...

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