NBA Lockout Takes Toll on Boston Economy

By Zach Baru

How can 41 basketball games a year effect the lives of 600,000 people in Boston?  It's simple.  It's economics.

You don't really need to know anything about sports.  And no, you definitely don't need to know the number of fouls a player is allowed in a basketball game.  All you need to know is that the Boston Celtics generate a substantial amount of money for the Boston economy.  So much in fact, that if one was to attempt to determine a value, it would be more of a lie than an estimate.  

The Boston Celtics were scheduled to play 41 home games this season.  With the loss of 18,624 fans entering the TD Garden, a downward effect begins on the Boston economy.  So much has been made of the effects to the North End, but the impact is felt in areas where the arena is nowhere to be found.  

The effects begin with the loss of state tax revenue being generated from any sale relating to the game.  Massachusetts Bay Transit Authority takes a hit from the loss of ridership on its subways and commuter rail, both of which carry fans directly into North Station and the TD Garden.  Outside the arena, restaurants and bars count on the games to bring in fans before and after games.  The neighborhood also includes hotels which attract fans and media looking for a place to stay within walking distance from the Garden.

As the North End economy takes quite a hit, the people working in it do as well.  The pain can be felt by more than the business owners, but by the many employees as well.  This is where the problem starts to hit home.  The NBA lockout is much more than a sports related story, this is a true economic issue. 

Sports can often be overlooked as simply a game.  But indeed, it is much more.  In fact, the business of sports can be important to more than just the franchise owners and their players.  Sports business and economics are very much related to one another.  Each playing their own roles in the Boston economy. 

Zach Baru can be followed on Twitter @zbaru and emailed at zachbaru@gmail.com.

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Why Arena Football Needs to Come to Boston

By Zach Baru

It is pretty obvious why ESPN, the worldwide leader in sports, spends so much time talking about one city.  It’s the very same reason why this city, Boston, was one of the first media markets to receive it’s own dedicated ESPN affiliated website, ESPNBoston.com.  No one is arguing the dramatic presence Boston, the seventh largest media market in the U.S., has in professional sports.

At the very same time, the Arena Football League is trying to rebuild itself from its collapse in 2009.  And it certainly has.  Its small market teams from the 2010 re-branded AFL have moved for larger markets, as Bossier City, Louisiana moved to New Orleans, and Huntsville, Alabama moved to the Atlanta area in Duluth, Georgia. 2011 saw expansion to Pittsburg and the return of Kansas City, San Jose, and the popular Philadelphia franchise.  Which leaves the question, what is the state of the AFL?  The answer is better, but certainly not great.

Of the top ten media markets in the U.S., the AFL only has franchises in four of them.  The largest market the league currently has a franchise in is Chicago, the third largest market in the U.S.  However, this team does not even play in the United Center, Chicago’s major arena.  They play at the Allstate Arena in Rosemont, Illinois.  Right here is the problem.  If the AFL truly wants to make a national presence, it has to do just that, and bring the sport to the nation’s major cities.  This is where Boston comes into play.

Boston not only has the demand, a market starving for football, but also has the right venue.  The TD Garden would be a perfect fit for arena football.  We've seen an indoor sport such as lacrosse at the Garden as recently as this past winter, when the Boston Blazers of the National Lacrosse League played their third season in the arena.

With Boston's major sports media outlets of NESN, CSN, WEEI, and 98.5 FM, there would be no shortage of potential broadcasting deals for both television and radio.  The most recent AFL franchise in New England was located in Hartford in 2000, when Fox Sports Net New England carried some of the team's games on television.  The New England Sea Wolves played in the Hartford Civic Center from 1999 to 2000.

As the AFL's improved business model matures, this creates an excellent opportunity for a large market such as Boston to get involved.  There has already been serious consideration from both the league and local investors.  It is in the best interest for the league that a franchise is landed here.  The AFL should not, and can not, continue to ignore a market as significant as Boston.

Zach Baru can be followed on Twitter @zbaru and be reached at zachbaru@gmail.com.

Arena Football League's Lack of Large Market Presence - Top 10 U.S. Media Markets:

1. New York
2. Los Angeles
3. Chicago*
4. Philadelphia*
5. Dallas-Ft. Worth
6. San Francisco-Oakland-San Jose*
7. Boston
8. Washington, DC
9. Atlanta*
10. Houston

* Markets with current Arena Football League franchises

Source: Nielsen

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Public Relations Mistakes Lead to Red Sox Problems

By Zach Baru

Public relations is never a guarantee that a problem will simply go away, but when executed correctly, it always makes the image of the organization better.  Such was not the case with the Red Sox over the last month, where a lack of honesty, information and basic communication have lead to the current public relations nightmare on Yawkey Way.

Staying one step ahead of the media is so important for a professional sports franchise, and making sure you don't fall behind is key.  This was the biggest problem for the Red Sox, who simply took a back seat to all their issues, allowing the media to take them down. 

And although Red Sox Nation hasn't completely fallen apart, the peices are surely beginning to crack.  No venue in any professional sport can sell out every game, every season. It is inevitable that the Red Sox sell out streak will come to an end, and with games in 2011 selling out slower, it gives signs that day is near.  With the end of the sell out streak could be a downward effect on the organization, when broadcast ratings, merchandise sales, sponsorship sales and everything in between begins to decline. 

This is without question a very important time for the Red Sox organization to maintain fan support, which has been such a key factor in driving the franchise to new heights since the new ownership took over.  Honesty needs to be a priority, as the Red Sox can no longer let the media break stories from within the organization.  The public can easliy be angered, but will always be easier to please when telling the truth.

What is so bothersome is that the Red Sox are not using the massive Boston media market to its advantage.  When small market franchises make mistakes, they often anger fans, but are not able to be resolved in the media due to a lack of exposure.  The Red Sox have a much different situation than most other franchises, in that they can use the media to their advantage.  More honesty, more admission of guilt, and less dancing around the issues that fans want answers to. 

This mess won't go away in the media, it will only grow bigger.  But with the right PR moves, it can be fixed. 

Zach Baru can be followed on Twitter @zbaru and reached at zachbaru@gmail.com.

Slap Shots: Red Sox, Bruins, Patriots

By Zach Baru

At Monday's sold out Bruins game against the Avalanche, there sure was a lot of gold to be seen, unused gold seats that is.

Can Boston support an American Hockey League franchise?  In Agganis Arena they can.

I'm not giving up on arena football in Boston.

If the Patriots want to find new ways to ease the traffic flow in and out of Gillette on gamedays, why don't they work with the MBTA and increase commuter rail service?

The Revolution might not have won many games this season, but one thing that was a success was the new seating configuration. 

Kuddos to John Henry, for doing the right thing and appearing on 98.5 The Sports Hub Friday.

The loss of the Celtics and Blazers, combined with a poor concert season, makes for a light schedule of events of the TD Garden through March (54).

Fenway Sports Group reaches their one year anniversary as owners of Liverpool FC on Saturday.  Now it's time to bring them to Fenway Park.  

If you're looking for sports business news on television, check out CNBC Sports Biz, Fridays at 7 p.m. on Versus.

What effect will the Red Sox public relations problems have on ticket sales next season?

In tribute to Garry Brown.

Zach Baru can be followed in Twitter @zbaru and reached at zachbaru@gmail.com.

Red Sox Brand Remains Strong

By Zach Baru

For those who believe the Boston Red Sox are simply a "sports team" and not a "brand", one only has to walk down the streets of Boston at any given neighborhood, and at any given time of day to realize how powerful that Red Sox logo really is.  It is everywhere.  It's on hats, shirts, cars, you name it.  Where ever you may go in Boston, you are sure to be somewhere in the presence of one of the most important, and popular brands in all of New England, the Boston Red Sox.

In fact, it is so popular, it dominates the media.  In newspapers, on television or the radio, and social network sites, the Red Sox are constantly a topic of conversation.  There are countless books on the idea of this "fascination" we have for the Red Sox.  So what happens when an event like last night occurs, and an entire region is shocked by an occurrence of events all unfolding within three minutes.  What is the current state of the Red Sox brand?

Is it so strong that it can never be weakened?  Boston has been through this before.  Every generation has their story.  But what is so interesting about what happened last night is not so much the ending, but what lead up to it.  An entire month of negativity, in which case some fans actually wanted the Red Sox to loose.

So hear we are.  This is a very different situation than the one in 2003.  Then, the momentum of the Red Sox brand was not slowing down, it was only growing.  It was feeding off of the hunger for a World Series title.  Eight years later we already have two titles, and with recent success we expect just that, even more success.  

It became evident at the beginning of the season that there had been a bit of a change in Red Sox Nation.  Suddenly, games weren't selling out so fast.  More tickets were available on game days.  And fans were showing up later in the game, and leaving earlier in the evening.  This continued throughout the season, raising the question, is the bubble popping for Red Sox Nation?

From a brand standpoint, as long as the seats are all sold, the ratings are high, and the headlines are still dominated with coverage, the Red Sox brand remains strong.  Even if we go from baseball playoffs to hockey season in a matter of minutes.  Only a brand as powerful as the Red Sox can get away with that.

Zach Baru can be followed on Twitter @zbaru and reached at zachbaru@gmail.com.

Review: "All Pro-Panel", What's Next for Social Media and Sports

By Zach Baru

What would the common fan's reaction be to seeing the phrase "@Celtics" painted on the court at the TD Garden?  This was one of many questions being raised, and ideas being brought up at last weeks "All-Pro Panel" at Game On outside Fenway Park.  Although the many high definition television sets inside the bar had games being played, the only discussion from the 125 attendees was the role of social media in professional sports.  

As social media continues to revolutionize the way businesses market their products, social media is making the very same impact on professional sports franchises.  As one of the representatives from four of Boston's professional teams put it, social media is the new form of a press release.  The public relations department of a franchise is no longer the only form of communication or announcement from the team.  News and other information is now instantly released using social media platforms like Twitter and Facebook.

The Red Sox are just one example of a Boston team using social media as a way to connect with fans, and promote themselves at the same time.  Their "Tweet Your Seat" promotion has become very popular, having fans Tweet their seat location at Fenway for a chance to win prizes.  "It's a great way to get people involved when they're in the park," says All-Pro Panel attendee Liz Sklar, an Emerging Technology Strategist at allen & gerritsen, an advertising agency in Watertown, MA. As the dependence of traditional media such as newspaper and television starts to decline, the connection between social media and sports continues to grow.

Other highlights from the panel of representatives from the Red Sox, Patriots, Celtics and Bruins:

• The use of hasthags on television broadcasts of games will continue to grow.
• Twitter and Facebook are used as a way for teams to get feedback from fans, formerly lead by sports radio. 
• Leagues have strict regulations for the use of social media by its franchises.
• Google+ is not a major player for social media marketing by franchises. 
• Only 25% of Facebook users who "like" the Red Sox live in New England.

Interesting quotes from the panel:

"If you don't engage and leverage your social media followers, the platform is absolutely worthless." - Peter Stringer, Director, Interactive Media, Boston Celtics

"We're not looking for direct ROI from Twitter from a Bruins perspective, we want to really connect." - Chris DiPierro, Director of Marketing, Boston Bruins

"We treat social media responses as one big focus group" - Colin Burch, Director, Marketing and Broadcast Services, Boston Red Sox

Zach Baru can be followed on Twitter @zbaru and reached at zachbaru@gmail.com.

Slap Shots: Revolution, BC, Cannons

By Zach Baru

Sad to see the Blazers' 2012 season suspended, hopefully they will they call another local venue home for 2013.

With the integration of social media and premium seating, the new Putnum Club at Gillette Stadium truly is a "sports marketing playground".

2012 prediction: BC versus UConn at Gillette.

It's amazing, this fall the TD Garden will have a tennis match before a basketball game (October 1, Staples Champions Cup, Agassi vs. McEnroe).

As the weather begins to cool down, the attendance is heating up for the Revolution, with  two consecutive home games having over 15,000 fans.

Nice to see Frozen Fenway reaching out to fans all over New England for their double header on January 7, 2012, with UMass vs. Vermont, and UNH vs. Maine.

From a prospective of broadcast revenue, the addition of Pittsburgh and Syracuse to the Atlantic Coast Conference is priceless for BC.

Arena football and the TD Garden, a perfect match.

Congratulations to the Boston Cannons winning the Major League Lacrosse championship, now move back to Nickerson where you belong.

Will the Dropkick Murphys' concert at Fenway Park's "Bleacher Theater" be a catalyst for future intimate shows at the ballpark?

In tribute to Garry Brown.

Zach Baru can be followed on Twitter @zbaru and reached at zachbaru@gmail.com.