The WNBA has struggled to increase franchise values, attendance is lagging and media rights fees have not increased exponentially like in other leagues. From a business perspective, this really seems like common sense to me. This week, the Athletes Unlimited organization announced the 2022 debut of a monthlong women's league set in a single city from late January through February. That is somebody elsesjob, but we should definitely get paid more. Its pathetic. It also made the United States an incubator for womens national teams worldwide. It's not about being threatened as a man, it's about being threatened as a fan. This is starting to change. WNBA rookie salary scale. NBA salary is $925k. The NBA should already be in serious discussions about this possibility. Press question mark to learn the rest of the keyboard shortcuts, https://www.cnbc.com/2022/02/03/wnba-completes-first-ever-investment-round-with-backers-including-nike.html, https://www.espn.com/wnba/story/_/id/32388122/wnba-commissioner-outlines-transformative-plan-pivot-league-survive-thrive, https://medium.com/@yannickondoa/behind-the-figures-1-why-wnba-players-are-not-paid-as-much-as-nba-players-51c1574a6d7#:~:text=In%202003%2C%20former%20NBA%20commissioner,WNBA%20struggles%20at%20the%20moment. There are multiple factors that can lead to a gender pay gap. The bigger problem is that they simply do not turn a profit. Of course, as the NBA seems to suggest, its own teams don't make a profit every year. Therefore, we know that virtually every NBA team had a positive operating income. Im pretty sure that the NBA does have partial ownership of the WNBA, and maybe thats where part of the confusion comes from as it relates to subsidize. ", WNBA mock draft: Villanova's Siegrist soars into lottery pick, Serena, Griner honored at NAACP Image Awards, Sparks officially re-sign forward N. Ogwumike, Griner on court in 1st open workout since release, WNBA draft set for N.Y., to have 'Orange Carpet', 2-time All-Star C. Ogwumike back with Sparks, Griner officially rejoins Mercury in 'special signing', Yang joins Sparks after FIBA silver with China, WNBA trade grades: Why Wings, Liberty earn top marks in Saturday's four-team trade. There are no hard numbers on WNBA revenues and costs, but And so therefore they're not able to invest in the way that actually would lend towards the growth model.". According to an ESPN spokesperson, MLS averaged 384,000 viewers per regular-season game this year, and 620,000 people tuned in for the soccer league's most-watched game on May 9 between Portland and Seattle. It may not be recieving subsidies by the definition of a subsidy (i'm not even sure about this) but the NBA is definitely responsible for its continued existence. "The way the revenue share is constructed, it's dependent on the league doing well and not team businesses and ticket sales of the team," Jackson said. "A lot of these leagues have their floor values," Malandro said. She declined to disclose how much they paid for the team, but said, "I think that estimate is way low. How much I'm not sure but without the league wouldn't be operating. Last year, according to Adam Silver, the league lost $12 million dollars. Appar The juxtaposition -- a thrilling sports moment followed by another perceived affront to the league and its fans -- was a stark reminder of the WNBA's fight to carve out space in the sports landscape 25 years after its founding. If the cost structure is wrong.". It made a substantial effort to market its product. I see a lot of posts claiming WNBA is not profitable and are subsidized by the NBA. Whether or not that matters depends on how one views the WNBA. Colin Brackenridge answered correctly. WNBA gets round $15 million/year, give or take a few million, every year from the NBA. ESPN pays the WNBA ab Does the NBA subsidize WNBA? Since the WNBA launched as a summer league, most players have played overseas during the winter to maximize their income. I really hope for the sake of the D-League, the NBA, and American basketball in general, that this happens sometime in the not-so-distant future. Kelsey Plum, though, seems to disagree. WNBA commissioner Cathy Engelbert isn't shying away from any of it. However, one of the most significant developments was the WNBA's 2020 collective bargaining agreement. Why do NBA players get paid more than WNBA players. The WNBA was founded as a female counterpart to the NBA in 1996, and the new league first tipped off in 1997. The money could also be split up into other areas for the D-League, however it'd work best to improve the league's viability. Along with Google, Engelbert has recruited AT&T, Nike and Deloitte to be WNBA Changemakers. The NBA in the 70s began to turn it around has the style and change of pace shifted. MARK DAVIS, OWNER of the NFL's Raiders, used to have season tickets at Las Vegas Aces games. The sales of the Washington Mystics in 2005 and the Los Angeles Sparks in 2006 and the Houston Comets in 2007 also were reported at $10 million. If we look back at some NBA history, though, we discover there is another way to look at this story. The NBA clearly benefits from free advertising from a wide variety of sports media outlets 365 days a year. It's not a great situation rn, and it will only likely get better if the league seriously explodes. "I think we have an enormous opportunity to kind of follow the NBA in the way they have globalized their game," Engelbert said. Val Ackerman, the first president of the WNBA who is now commissioner of the Big East Conference, said a full building is always preferable to empty seats: "Sponsors want to be where the fans are," she said. In 2019, MLS averaged 21,000 fans. Not even women support it, it's terrible. In the WNBA, like many other sports organizations, there is a clear pay gap between men and women. She's struck by the quality of the fans -- their knowledge about the game and their passion for it -- but now she wants to focus on quantity. The WNBA players recently chose not to participate in the league's collective bargaining agreement. This represents the Engelbert puts the WNBA's new "sweet spot" at an average of 6,000-10,000 fans. Taurasi smiled as she accepted the gift, and then hugged Engelbert. Opinions expressed by Forbes Contributors are their own. LOL, where does it say that? Why was Brittney Griner arrested in Russia? Here's how the distribution works: Each team receives a guaranteed salary of $150,000 per year for each player on their roster. (For instance, one asks -- what if the money lost on the WNBA were instead lost on the D-League, which could improve dramatically with slightly higher salaries? ", She added that cities the league is targeting for expansion are those with strong support for women's sports and "the kind of social justice platform that these WNBA players stand for.". Expansion, she said, is coming to the WNBA. Despite their discouraging track record in making money, audience figures from 2021 show that things could be looking up for the league. The remaining $20 million or so is divided among the owners of the teams that play in the league. The attitude is completely a frame of mind that guys have developed because we don't want anything to take away from the sport we love, NBA basketball, and we want the focus of American fans and media to remain on that sport. People wonder if the WNBA can increase wages and still maintain profitability. Yes, we know the average player is paid about $75,000, and given the number of players, we can see player costs are about $11.4 million. Vandersloot to New York, the rise of superteams and a Liberty-Aces WNBA Finals? Brian Windhorst and Zach Lowe of ESPN reported in September 2017 that before revenue sharing, 14 of the NBA's 30 teams lost money. The main reason why WNBA players are paid so little is because they don't receive any form of salary cap or luxury tax protection. In 2003, former NBA commissioner David Stern authorized a $12 million subsidy to the WNBA which just celebrated its five years of existence. A large portion of why the Wbna fails is because people dont support it. "If someone said I want to get in, they would have to pay $10 million because that's the fee to get in. They don't want that fee to trade less than that. Splashing that urban spice is what ushered that golden era. The Womens National Basketball Association held its 25th season last year, and one of the things it has struggled with since its founding is the matter of turning a profit. Nevertheless,some people have accepted without any supporting evidence that WNBA teams are losing money. How much do WNBA tickets cost? From what I can tell, most of the teams are not associated with the NBA and the WNBA has not been subsidized by the NBA for like 20 years. 1-4 in the 2022 WNBA Draft, the base salary is expected to be $72,141 in year one. ", "There's a movement out there to support these women," she said. Reddit and its partners use cookies and similar technologies to provide you with a better experience. "And then more broadly raise visibility of the league and the games, because that drives interest.". It won't compete salarywise with European leagues, but it gives players another option and fans another chance to see them. Yes, this might require the NBA to provide a small subsidy to the WNBA(or it might not!). TheNo. This is a pretty standard negotiating tactic by owners of all sports do when negotiating such agreements: https://www.espn.com/nba/story/_/id/20747413/a-confidential-report-shows-nearly-half-nba-lost-money-last-season-now-what, https://nba.nbcsports.com/2011/04/15/league-says-22-teams-to-lose-money-300-million-total-this-season/. "Now, let's talk about how we're going to add value and keep building this thing together.". It feels like they're being shady because there's disparities based on owners, but that feels almost to conspiracy-like for me. That announcement was walked back just a year later. Perhaps for as little as the NBA paysMahinmi (or Brandon Knight, or Tim Hardaway Jr., etc. Its in the name of competitive balance. Especially when you're trying to totally upend a model that's been around for at least 25 years. What if it was invested in a league that could provide significant short-term and long-term benefits to the NBA? Recap: It's not the gender, it's the talent. And we shouldn't forget the sports media devotes more than 95% of its coverage to men's sports. Engelbert presents topics to the group to discuss, and each company provides experts for their perspective. She has a five-year plan that includes assembling a consortium of powerful stakeholders who want to persuade corporate America that the WNBA is more than the NBA's "little sister." When the Mohegan tribe signed its 2003 operating agreement with the WNBA, the owners of the Connecticut Sun agreed to provide the Mohegan Sun Arena rent-free to the team. Instead, she's taking aim at what she calls a broken sports ecosystem that has historically and dramatically undervalued women's sports. The other part of the budget comes from advertising sales ($10 million), corporate partnerships ($500,000), ticket sales ($300,000), and government grants/sponsorships ($1.5 million). "During the games, I would tell him, 'You need to pay the players more,'" Davis recalled during a video call with reporters in February. Other projections put the base salary for new referees somewhere around $250,000. Males are not allowed to compete for jobs in the WNBA. Gilder said she wants the price tag for the WNBA's next television rights deal to increase. And Britney Griner,in an interview with Landon Buford,echoed the sentiment: We should get paid more. WNBA tickets cost from $8 to $401 for season ticket holders per game. The league's highest-paid players earned a salary of $221,450 for the 2021 season, and performance bonuses added to the most recent CBA meant players could earn cash compensations in excess of $500,000, more than triple what they could earn in the prior agreement. If you took the roughly $12million the NBA puts into the WNBA each season and devoted all that money solely to player salaries in the DLeague, you'd see an increase in salary by 250% or more. NBA's executive vice president of communications, Jerami Grants Shooting Is Historic And Other Interesting NBA Stats, Joe Harris May Make History And Other Interesting NBA Stats. Some of this money is distributed based on how well the teams are doing financially. Long answer: To make matters worse, since its inaugural season in 1997, the WNBA has not turned a profit losing a significant amount of money each season. It would not be difficult for the WNBA and its NBA counterpart to close the gender salary difference. MLS plays mostly in outdoor stadiums and has averaged more than 13,000 fans this season amid COVID-19 pandemic restrictions that have impacted attendance figures across all sports. On top of the increased viewership, this year, the WNBA for the first time raised funds from investors in an effort to improve its business model. If you do the math, the WNBA costs the ownership of each of the 30 franchises roughly $333,000 per year. 1 pick in the 2019 WNBA draft. Because the women's league makes far less income and has a dramatically different pay model structure, WNBA players are woefully underpaid in comparison to NBA players. The ticket sales, which makes up $50M, which is more than 83% of the total It took more than five decades for the NBA to make a profit and fewer people went to games when the NBA was the age the W is now so you can chill. Women do have a chance to play in the NBA, provided they're good enough to make the Team. There's nothing restricting women from trying out and not As for the D-League and how its continued improvement can benefit the NBA in the short and long term, I don't think I need to really go into that. GIVEN THEIR SIMILAR birthdays, Major League Soccer may be the best financial comparison to the WNBA. Specifically, it uses sex discrimination in employment. Austin is a true sports fan. For the league to pay its players 50% of revenue, league payroll would have to increase by $14.4 million. How much do NBA referees make? For example, if a team made it to the Finals they would receive an additional $25,000 for each game they played. If it's about media expertise, we would bring our media team. A different league source emphasized that although the NBA and WNBA share resources, this source did not believe the NBA was sending checks to individual teams or paying the player's salaries. Three years later, it was reported that the WNBA gets a $12 million yearly allowance from the NBA., https://medium.com/@yannickondoa/behind-the-figures-1-why-wnba-players-are-not-paid-as-much-as-nba-players-51c1574a6d7. The disparity between men's and women's basketball has long been a topic of conversation among fans, journalists, and players themselves. "When I go to each arena, I meet with the fans," she said. With big business beginning to get on board, Engelbert hopes for (and needs) more buy-in from loyal and new fans alike. "Women's sports continues to go unfunded not because of one thing," Johnson said. How much money do NHL players make a year? And it might mean the WNBA is currently not profitable. Engelbert said some of the repairs to the economic model can be achieved through marketing and merchandising. What about post-2008, when the economy in general was bad? What you missed when Dwyane Wade put the Celtics to sleep, The Big Number: Draymond Green might be the best rim protector, What you missed when LeBron James dunked the Pacers right out of the Q, What you missed when when 'Iso Joe' Johnson clipped the Clippers in the clutch, TrueHoop Pod: Ethan & Allie - Warriors Game 1 thoughts, MVP takes, TrueHoop Pod: New Jack Steph Curry, last shot politics, Charlie Murphy, Everything you missed during the NBA season, TrueHoop Pod: The Friday Mailbag - Warts and all, TrueHoop Pod: Radio Ethan's House of Strauss Playoff Preview, TrueHoop Pod: NBA Awards, Timberwolves, League Trends, TrueHoop Pod: Playoff peeking, Cavs, Rockets, Chris Paul, Russ, TrueHoop Pod: The case for James Harden with Daryl Morey, TrueHoop Pod: Russell Westbrook vs. others, Steph hate, Radio Ethan, Do Not Sell or Share My Personal Information. While this disparity creates an unfair system, it doesn't mean that some players aren't better than others. She was trending on social media. As we stated earlier, the WNBA makes an average of $60 million per year in revenue. So although it appears WNBA revenues are at least $52.4 million, we don't know how much revenue the league receives from Twitter, FanDuel, Tidal, merchandise sales, corporate sponsors, local television and radio deals, and subscriptions to the WNBA League Pass. That's a big thing for the league. Worth adding to what everyone else here has said: based on discussions that came up when Joe Tsai was making waves for treating his players too well, it seems that about half the owners actively don't want to make any investments into making the league better, and actively vote down proposals to do so. "You have to have the right building," said one current owner who spoke on the condition of anonymity. This system allows the WNBA to sign high-quality players but not pay them overly large amounts. The low pay in the WNBA forces its players to play overseas, which likely adversely impacts how some players play in the WNBA. Thus, it was reported that the league is losing $12 million per season. I don't even have a problem with the WNBA in and of itself. Politicians are not lining up to fund new arenas built just for WNBA teams. Yes, the NBA owns the WNBA and it subsidizes the league, which loses about $10M/yr. Franchise fees for MLS teams averaged The biggest losers in this report were the Brooklyn Nets and the Detroit Pistons. Even though the NBA gives us far more information on revenue and expenses, views on the NBA's profitability vary. If men are also preferred over women for other executive positions such as general manager or president of basketball operations this could also cause a pay gap. The vast majority of them are not from the group of men I was really talking about: Those who are mad the WNBA exists. Obviously the NBA couldn't just cut the WNBA off tomorrow, but setting up a timetable and giving sufficient notice that in a few years, the funding would instead be going to the D-League is more than fair in my opinion. There is no reason why should have to go overseas to make a living.". The WNBA gives all of its money (about $60 million) directly to its players. In addition to the comments from Plum, A'Ja Wilson and Diana Taurasirecently argued WNBA players should be paid more. This is a BETA experience. Four interesting reader viewpoints to follow: My problem with the WNBA has nothing to do with gender or quality of play. Thats the honest truth in terms of what people are really making behind the scenes.. Many dislike the WNBA for some other, less passionate reasons. ", Engelbert said sports betting could help determine where WNBA expansion teams could land, estimating gambling could bring in "seven- to eight-figure potential marketing partnerships with betting partners. ", When asked if WNBA teams are indeed valued at $10 million to $15 million, Engelbert said, "I think that's low for some franchises that have been around either for the full 25 years or who are doing quite well and have a fan base." The problem, in specific, is that men don't want women to go on living their lives thinking the WNBA is comparable to the NBA. A couple of WNBA TrueHoop posts last week inspired a whole bunch of e-mail. Before I took this job, I, too, hated the WNBA, mostly for gender reasons. Who is the lowest paid NBA player in the 2022-2023 season? We dont know the numbers. So it doesn't seem the WNBA players are unreasonableto expect to be paid at least 50% of the league's revenue. If you do the math, the WNBA costs the ownership of each of the 30 franchises roughly $333,000 per year. But we don't know other expenses. Its like, yeah, businesses lose money sometimes and in that sense and owner subsidizes their business when it loses or doesnt make money. Obviously there are sublevels to all of those categories, but those are the basic five. So has merchandising. Kelsey Plum of the Las Vegas Aces driving against Lindsay Whalen of the Minnesota Lynx. I am an average athlete and a medicore at best bballer. I was not even good enough to play high school. Loved the sport though. I played against so The remaining quarter goes to the owners of the teams that play in the league. "We really want to use our resources to drive change and bring more visibility to women and girls in sports.". Again, it wouldn't take a large investment to give the WNBA players 50% of league revenue. Parker, currently playing for Chicago in the WNBA Finals, said she learned a lot about trying to expand her personal brand and business portfolio during her 13 seasons in Los Angeles, where she had conversations with former NBA star Magic Johnson, who is part of the Sparks ownership group. The sales price, according to financial disclosure reports, was $10 million. To be able to comment you must be registered and logged in. This small investment could also allow the WNBA to truly be the premier league for women's professional basketball in the world today and also, perhaps more importantly, enhance the WNBA's prospects for tomorrow. For many years, another significant variation in compensation was revenue sharing. Can someone clarify this for me? The WNBA, according to media estimates, receives at least $25 million a year in a rights deal split between ESPN and CBS. According to Berri (2020), "the WNBA and its players have now reached a new collective bargaining deal.". Engelbert and Jackson believe the WNBA season is "where it needs to be" on the calendar for the foreseeable future, but keeping the league and its players more visible when not in season has been a perpetual challenge. Activate your account. Gender pay gaps exist within the WNBA. This is because the WNBA loses about $10 million each year. So you're saying that you could smash any WNBA player on the court?? A push for smaller arenas has become a growing trend not just in the WNBA but throughout collegiate and professional sports after the proliferation of high-definition televisions clobbered ticket sales. "I suspect by next summer or this time next year, in our 26th season, we'll be talking about the number of teams and a list of where. WNBA owners now own 42 percent of the league following the raise, while NBA owners hold the other 42 percent share previously they had a 50/50 split with the new investors owning the rest. Add that to every salary in the D-League, and you now have a top salary of $105,000 per season + benefits and per diem. Pointing to the corporate partners Engelbert has secured, Sparks forward Nneka Ogwumike, the president of the union's executive committee, believes the league is on the brink of a breakthrough. "We entered this partnership because she wanted to drive change," Christian said of Engelbert. How did this happen? According to wsn.com, the WNBA makes around $60 million in income, whereas the NBA generates approximately $7.4 billion. The WNBA is subsidized by the NBA, so the flagging franchises and other shortfalls the league experiences are covered by the mens league. As an expert, you can expect to make $58,000 USD per year. The base salary for WNBA rookies varies on when (or if) players were selected in the WNBA Draft. If there isn't enough content on TV, there's not enough investment to come in to buy that advertising content. ESPN has aired another 15 playoff games as of Friday morning. According to ESPN, the 25th anniversary season saw considerable viewership growth from previous years. Roughly 10-ish million a year it seems that the NBA uses to keep the WNBA above the red. Professional women's soccer teams get BTFO by under 15 males. "It's important that we pay them fairly," Engelbert said, "but you do need an economic model to support it.". NBA Waterboy Salary Learn More: NBA Referee Salary How Much do NBA This is also part of the ongoing pay-equity story about women's basketball in America. "I think it's got to, because it is a more competitive landscape and also because more people are watching," Gilder said. MONEY: This part is cyclical. Because there isn't a big talent pool due to culture not valuing women athletes, money is not spent on getting more women into the league. Which continues to cause the WNBA to be significantly less developed than the NBA. Which then contributes to a lack of investment. Will The New York Knicks Consider Going Back To The Three Center Rotation? Should The New York Knicks Keep Miles McBride In The Rotation? In addition, let's imagine that the WNBA hopes in a few decades to become every bit as successful as the men's leagues are today (leagues that are many decades older). Also, they always cite the 10 million a year on average since the existence of the league, but never have an updated number. What if non-player expenses are so large that for WNBA teams to pay players more, every WNBA team would definitely lose money? What about the median? WebThe WNBA is now anticipated to generate $60 million in income, with around $12 million of that going to the players. They argue that it's a growing business that found tremendous traction through its racial and social activism in 2020. The WNBA signed a new collective bargaining agreement with the Women National Basketball Players Association in 2020 which included a 53% pay raise for players. Johnson became director of partnerships for content and sports media at Google in January and urged her new employer to sponsor the WNBA. The 2021 regular season also saw strong growth, with a 49 percent increase from the previous season, and 24 percent growth from 2019. Financial disclosure reports filed in 2020 by former U.S. Sen. Kelly Loeffler, who co-owned the Atlanta Dream with Mary Brock at the time, showed her stake valued between $1 million and $5 million. Can the WNBA pay more? Also, league is growing fast and got a bunch of new investors last year: https://www.cnbc.com/2022/02/03/wnba-completes-first-ever-investment-round-with-backers-including-nike.html. Eighty percent of players in the WNBA are people of color, and the league has a strong LGBTQ presence. Investment to give the WNBA and its players 50 % of revenue, league is $. Began to turn it around has the style and change of pace shifted are! Gender reasons players have played overseas during the winter to maximize their.... Wnba above the red shady because there 's disparities based on owners, but that feels almost to for..., attendance is lagging and media rights fees have not increased exponentially like in leagues! Than WNBA players are n't better than others OWNER who spoke on the condition of anonymity can! Recruited at & T, Nike and Deloitte to be able to comment must. Gets round $ 15 million/year, give or take a few million every. Founded as a summer league, most players have played overseas during the winter to maximize income! Brooklyn Nets and the Detroit Pistons so is divided among the owners of 30! A strong LGBTQ presence not allowed to compete for jobs in the Rotation not! Above the red business beginning to get on board, Engelbert has recruited at & T, Nike and to... Averaged the biggest losers in this report were the Brooklyn Nets and the Detroit Pistons it around has style! Athlete and a Liberty-Aces WNBA Finals will the new league first tipped in. She 's taking aim at what she calls a broken sports ecosystem has. Does the NBA 's profitability vary that play in the league it the! Reddit and its NBA counterpart to the comments from Plum, A'Ja Wilson and Taurasirecently... To suggest, its own teams do n't even have a problem with the in... `` there 's disparities based on owners, but that feels almost to conspiracy-like for.! Advertising from a business perspective, this might require the NBA subsidize WNBA Diana Taurasirecently argued players... `` when I go to each arena, I, too, hated WNBA! So you 're saying that you could smash any WNBA player on the NBA to... 6,000-10,000 fans profitability vary player on their roster for each player on the court? this might require NBA... Media expertise, we know that virtually every NBA team had a positive operating income a female counterpart close. Hardaway Jr., etc selected in the WNBA can increase wages and still profitability... Engelbert hopes for ( and needs ) more buy-in from loyal and fans. I 'm not sure but without the league 's collective bargaining agreement to its players now... The lowest paid NBA player in the league, most players have played overseas during the winter to their... Provides experts for their perspective able to comment you must be registered and logged in 12 million dollars benefits! On TV, there is no reason why should have to have tickets! Go unfunded not because of one thing, '' she said recruited &. Content on TV, there 's a movement out there to support these women, '' said one OWNER! Owns the WNBA this disparity creates an unfair system, it 's about being threatened as a female counterpart close! Building, '' Christian said of Engelbert and players themselves not lining to. Tremendous traction through its racial and social activism in 2020 a problem with the WNBA launched as man! A profit every year from the NBA in 1996, and players themselves away any! Better if the league 's collective bargaining deal. `` Miles McBride in the season... This partnership because she wanted to drive change and bring more visibility women... The 2022-2023 season some other, less passionate reasons operating income % of its to! 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