What would a year without basketball cost?
For Memphis, it’s $223 million in potential revenue lost for the entire 2011-2012 Memphis Grizzlies season, according to a September 2010 study performed by the Greater Memphis Chamber.
Of the 30 franchises in the NBA, seven play in NBA-only markets: Memphis, Oklahoma City, Orlando, Portland, Sacramento, San Antonio and Utah.
“If you’re Oklahoma City, Memphis, or even San Antonio, it’s not like Staples Center or Madison Square Garden where it’s like, ‘OK, the first two weeks of the season are lost, but we can still make comparable revenues,’” sports management professor at New York University Wayne McDonnell told The Atlantic Cities in an Oct. 27 report. “Say at Staples Center, you lost five Lakers games. Maybe you go out and extend a band a night or two. But how many times are these bands going to these small markets?”
But the lockout’s losses extend far beyond the cities that house these NBA teams. One report estimates that the $2 billion basketball shoe industry could suffer a 25 percent hit if the season is canceled.
And TV advertisers are feeling the sting as well. Disney and Time Warner could lose a combined $1.25 billion in potential ad revenue if the whole season was nixed, and ABC could kiss up to $400 million goodbye.
To read more about how the lockout is affecting Memphis’ bottom line, click here.