Showing posts with label detroit shock. Show all posts
Showing posts with label detroit shock. Show all posts

Wednesday, October 21, 2009

Wilson: WNBA Lost $2 Million in Detroit Last Year



Tom Wilson, the President of the (former) Detroit Shock, gave some insight into the financial considerations that resulted in the Shock moving into Tulsa.


"The attendance this year was the toughest ever, and we had to make the call. If you guessed, we lost somewhere near two million dollars. We had owners stick by year after year through millions of dollars in losses, but they felt obligated and believed in the product. It was just time."


...


"We were never really part of the core (teams of Detroit) and you can attribute that to the (women's) game, you can attribute that to the summer or whatever, but no matter how much we spent on marketing or advertising, no matter how many appearances the women made, we still weren't able to capture the critical mass to make it make sense."


One of my ongoing pet projects is to try to figure out how much it takes to run a franchise. I'm assuming that the $2 million dollars is a net loss. If it takes about $2-3 million in income, the team probably lost about $3-5 million. The Shock could have lost as much as $20 million net over its history.


Granted, for a billionaire it would mean you would go bankrupt in 500 years, but in the tough Detroit economy finances were the clincher.

A Suggested Formula for WNBA Success



An insider from the Detroit Shock organization posted this at Rebkell:


the formula...


genuinely interested, committed nba owners + sponsorship $ + print and tv media support = successful wnba franchise


But, as someone replied, it's very hard for a franchise to meet all of those criteria.

Tuesday, October 20, 2009

It's Official: Shock to Tulsa



The post - on the (Former) Detroit Shock website - says it all.

We really didn't need a press conference...this was virtually an open secret, but at least we have "closure".

Monday, October 19, 2009

Why Detroit Failed



The Detroit Shock are still alive, thank goodness. However, they most likely will not be in Detroit at the beginning of the 2010 season. Can anyone say "Tulsa Shock"? AP sources claim that the Shock are definitely moving to Tulsa. Tulsa gets a team - albeit a used team - and Detroit gets left out.


Part of Detroit's good luck was a man named William Davidson. Davidson - the former owner of the Shock - loved both the NBA and the WNBA. Every time either the Pistons or Shock would win a championship, he'd rename the home street of the Palace of Auburn Hills "X Championship Drive" with "X" standing for the number of combined titles. In this case X = 6 - three from the Pistons and three from the Shock. The jockocracy moaned every time the number was incremented because, in their eyes, WNBA championships weren't "real" championships. Davidson didn't care.


Unfortunately, Davidson passed on and control of both franchises passed to his widow, Karen Davidson. My understanding is that the Guardian Glass Company, the source of the Davidson fortune, has suffered particularly in the Great Recession. Karen Davidson - who was probably not as attached to the Shock as her husband was - let the Shock go off to Tulsa.


I had stated earlier that in order for a sports franchise to have value, the franchise has to either turn a profit or to have stable and predictable losses. However, the economic downturn in the United States has necessitated a tightening of the budget wherever losses are occurring, and for those owning both NBA and WNBA franchises, it is most likely that the WNBA franchise will be the first to go. Why? For the same reasons that when you have to cut your budget, you cancel your magazine subscriptions before you stop making car payments. Make the easiest cuts first and make the hard cuts in case of necessity. Cutting the WNBA was an easy choice for Davidson.


So clearly, we have one reason why the Shock failed - it wasn't a high priority enough for the Davidson family in the economic downturn. However, that's only one reason why the Shock moved to Tulsa.


Part of the problem - the biggest - was the lack of fan support in Detroit. I realize that there was a core of passionate and numerous Shock fans, but the problem was that they weren't numerous enough. It's been an open secret in the WNBA that Detroit's announced attendance numbers must be due to giveaway tickets, because it certainly didn't look like there was anything close to the announced attendance when the Shock played on television. The cavernous Palace at Auburn Hills didn't help the Shock much either - all you could see was row after row of empty seats. If there's no fanny-in-seat revenue, subsidiary sources of revenue - like sales of T-shirts, concessions, parking - were also unavailable to the Shock if they ever were available.


One problem of the Shock - and one problem any future ownership of the Atlanta Dream should pay close attention to - was the location of the Palace in a suburb of Detroit instead of the city itself. I won't get into the history of race relations of Detroit, but there has been a long-duration flight from the city center out to the suburbs, and as a general rule, it's harder to get from suburb to suburb than to the city center where all roads lead. This might have made it difficult for the Shock to draw. I don't know if Auburn Hills had the mass transit access that, say, Philips Arena has.


Another problem was the city center itself. Detroit is a city in crisis, with double-digit unemployment a dysfunctional city government and a flight out of the city's core. The old billboard of the 70s might need to be resurrected - "Will the last person to leave Detroit please turn out the lights?" Most of the Detroit city dwellers were having difficulty making basic ends meet; it was unlikely that they were going to drive out to Auburn Hills to see a WNBA game.


The local press didn't help much. My impression was that the Detroit Free Press weren't exactly WNBA supporters. I don't know of a sports franchise in any sport that has survived long term with an indifferent or a hostile press.


Horrible local economy, loss of patron, suburban arena, indifferent press - all of these combined to put the whammy on Detroit. Which is sad, because my understanding is that the franchise itself was intelligently run. Money certainly wasn't being thrown away and there was no mismanagement. The Shock's front office did all they could, but they were at the mercy of forces out of their control.


Maybe the first sign that the Shock were going to lose their franchise was when Bill Laimbeer left his head coaching position after just a couple of games into the 2009 season. He might not have had insight into the inner machinations of the Davidson family or the WNBA front office clique, but he was smart enough to put two and two together. (Laimbeer's intelligence has always been underestimated.)


So what does this mean for the WNBA as a whole? The good news is that the franchise itself has survived - it has simply relocated. Franchise relocation and franchise termination are not the same thing; the tent simply folded up to find another set of paying customers. Tulsa, here's hoping you have good luck with the Shock - you have to live up to the glory of this franchise. Treat it well.


It's also good that the WNBA has one less combined NBA/WNBA owner. Even though it's great for WNBA teams to have access to easy income, it always means that the franchise will come in second place if there's any financial difficulty. Tulsa might not have the capacity to borrow cash from the Davidson private vaults but at least they can survive or fail on their own terms.


It's definitely a sad day. Fans from Salt Lake City, Orlando, Miami, Portland, Cleveland, Charlotte and Houston can sympathise. The Shock have been "rescued" in a matter of speaking, but it will take a while for the Detroit Shock fans to learn to love WNBA games again. The next step for the WNBA is to make sure the same fate doesn't befall Atlanta.

Detroit Shock To Move to Tulsa



From The Associated Press:

A Detroit Shock official says the WNBA team is moving to Tulsa, Okla.

The official spoke on the condition of anonymity to The Associated Press on Monday because he was not authorized to make the announcement.

Detroit made its debut in the league in 1998 and won titles in 2008, 2006 and 2003. The Shock lost last month to the Indiana Fever in the Eastern Conference finals after rallying to earn a playoff spot.


That's the entire post. It's hard to believe, but at least the Detroit Shock still survive...just not in Detroit.

Now it remains to be seen if the WNBA will have thirteen teams next year...or twelve. Come on, Dream Front Office, end this vow of silence, even if it's just to officially say, "We'll say more in two weeks."

Saturday, October 17, 2009

More Rumors: Shock to Move to Tulsa



Rumor patrol continues. Of course, this is just hearsay, which is second hand information. "Someone told me that someone else said" etc.

From the PistonsTalk.com message board:

I just received information that Mrs. Davidson is cutting her losses and has sold the team to Tulsa Oklahoma. All the coaches and staff are losing their jobs. Purely a business decision.

...

If this is true, people who work at The Palace didn't know about it yesterday when I talked to them. Not people who work in the box office or at the concession stand either.

How legit are you with this, or not you Ryan, but who told you this?

...

I was told by a person who works for the Shock and Palace Entertainment. She's losing her job...found out yesterday morning. Mrs Davidson is losing millions on Guardian with the economy. She made
a business decision to sell the Shock to stop the bleeding.

It's true, I'm surprised something has leaked out yet. It's not public information yet. I've been refreshing mlive.com a few times per day to see when they break the story. Maybe I should email Sherrod.



"Yesterday morning" in the messageboard back and forth was October 15. "And there will be relocations and rumors of relocations...."

Friday, October 16, 2009

Rob Parker: "Shock Appear to be Heading to Tulsa"



From the link provided:

No matter how many championships they won or championship runs they made, fans here just weren’t going to buy tickets to see women play basketball on the professional level.

It may sound mean. It isn’t. It’s just the reality.

That’s why the Shock, three championships and all, appear to be heading to Tulsa.

There could be an announcement any minute. That’s how white-hot the buzz is about the sale of this franchise is right now. While some will say good luck, the majority will probably say good riddance.



My question is how good are his sources? Regardless, bad press is the very definition of "not good news".

Monday, September 14, 2009

Lehning Out For The Season?



According to two posters on the Atlanta Dream Message Board, Lehning suffered a Type IV shoulder separation. There are six types of shoulder separation; this type has a displacement of the clavicle behind the acromioclavicular joint for those of you taking notes and in Lehning's case it involves ligament damage. She'll have surgery on Tuesday, followed by 4 to 5 months of rehab. (The types are not ordered in ascending severity; they merely describe six categories of injury.) Without having direct knowledge, I suspect that the surgery will be arthroscopic surgery.

Forget the playoffs. Hopefully, the rehab won't interfere with her studies at Kansas State where she finishes her degree. We'll have Lehning back next season.

The argument all season from a vocal segment of Dream fans is that Ivory Latta is the better point guard. Well, if there's any time to prove that assertion, it's now, because the playoffs start in Detroit on Wednesday.

Saturday, June 27, 2009

Dream Beat Shock on Friday Night in Free Throw Festival




Chamique can make it look easy.

In case you didn't know, the Dream beat the Shock last night 96-86. It was a great win that we almost lost at the free throw line.

SPMSportsPage.com is providing an image gallery, which is right here. I definitely wasn't going to post a pic of Shavonte Zellous making yet another free throw.

We have company this weekend. More later.

Friday, June 26, 2009

Dream Could Match Record Tonight Against Shock



Some info regarding tonight's Shock-Dream Game:

* The Dream played the Shock three times last year, and lost all of them. The first was a home game on May 23rd where the Dream lost 88-76. The Dream led that game 45-32 at the half, and then the Shock woke up, beating the Dream by double-digits in both the third and fourth quarters. Our leading scorers were Betty Lennox (21), Camille Little (13), and Ivory Latta (10), none of whom are with the franchise anymore.

* The second game was a 21-point loss at home, 97-76. Ivory Latta had a 26-point game against her former team along with 10 rebounds. Those were both career highs for Latta. So why did we lose? Probably because Betty Lennox had zero points and four personal fouls.

* The third loss was a 100-92 loss in Detroit. We managed to get it to within 96-92 but with 41 seconds left, Deanna Nolan scored a jumper to make the score 98-92. Still a two-possession game, but Tamera Young had the ball stolen by Alexis Hornbuckle and the Shock converted it.

* The Shock went on to a WNBA championship. The Dream finished at the bottom of the league and almost set a record for futility with a 4-30 season.

* Since those awful days, Atlanta is 3-4 in 2009. Detroit is 1-4 and has Cheryl Ford fighting off the effects of an injury and Kara Braxton still suspended for a DUI. With Plenette Pierson out for the season and with Braxton suspended, they're playing with nine players and new arrival Sherill Baker.

* Furthermore, Trader Bill is gone. That leaves Rick Mahorn as the Shock's coach. I don't know if Meadors is better than Mahorn but Lin Dunn depantsed Mahorn in front of a paying crowd in Indianapolis, coach-wise.

* If the Dream win tonight, it will be their fourth win of the season, tying their entire total from 2008.

In short, if the stars could ever be aligned for a Dream win, it looks like they're lined up. Of course, I thought that about the Liberty, and look what happened.

Wednesday, April 1, 2009

WNBA Champs Without Radio or TV Package in 2009



According to a poster at RebKell, there is neither a local radio nor a local TV package in place for the Detroit Shock, the 2008 WNBA Champions. This means that we enter 2009 with the potential of the Shock being completely blacked out in their local area. Furthermore, the WNBA has always offered streaming radio to those who don't live near a WNBA team and it looks like the chances of those fans to follow the Shock live are similarly diminished.

As for the Dream, there are two ways to follow them from a distance. One is through the local Comcast Sports South broadcasts, and the other is on local radio. (The very best way is live. Trust me.) Super Talk 1230 and 1340 AM in Atlanta carry the Dream, with beloved announcer Art Eckman announcing the game. (We love him 'cause he's so clueless at times, it's almost comedy. But we tease Art, we do.)

The Shock will be on national TV at least three times and maybe - just maybe - on Fox Sports Detroit if the Tigers aren't stinking up the channel again.

Clay Kellam wrote, "Given the state of Detroit's economy, it's hard to imagine any media outlet spending any extra money." It's hard enough in Detroit at it is. Maybe we could have Internet radio. Or even Pirate Radio; I'd take either one. I can just imagine someone walking around the Palace at Auburn Hills talking into a paper cup and secretly broadcasting the games without the express written consent of the WNBA.