PED's and Sponsorships

The UFC has made headlines lately with several fighters testing positive for PED’s. This does not look good for the UFC or any sport. On January 6^th three days after he defeated Daniel Cormier at UFC 182 news that Jon Jones had a positive test for cocaine metabolites broke. After Anderson Silva defeated Nick Diaz on January 31^st at UFC 183 it was announced that he failed a test for anabolic steroids. January was a big month for the UFC; it had four major events that were very successful. Unfortunately it will be remembered as a month when two of the UFC's biggest stars and best pound-for-pound fighters of all time, both failed drug tests. Jones, the UFC light heavyweight champion was allowed to fight because his test was considered out of competition and cocaine is only prohibited in competition by the World Anti-Doping Agency code. The Nevada Athletic Commission could not discipline Jones, but he was fined $25,000 by the UFC for violating the organization's code of conduct.

This not only puts a black eye on the sport, but it has a monetary affect as well in terms of sponsorships and endorsements. Major corporations will start to pull away and terminate sponsor deals if they feel the sports organization doesn’t have control over their athletes, and if they feel the athletes they are sponsoring are violating moral clauses. Nike dropped Jon Jones after they found out about his positive test. Fortunate for him the UFC had just signed a partnership deal with Reebok to dress all UFC fighters in Reebok fighting gear, which will also include their coaches and corner people. Reebok has starting signing individual fighters to endorsement deals, and Jon Jones was their first followed by women’s bantamweight champion, Ronda Rousey.

The UFC will implement a new drug testing policy that will take affect on July 1, 2015. In conjunction with local athletic commissions will subject all main events and championship-bout fighters to enhanced, out-of-competition drug testing. The UFC also announced that it would conduct random, out-of-competition tests for all the fighters on the roster, which currently totals 96 fighters regardless of whether those athletes have scheduled fights. UFC President Dana White said, "If you are using PED’s, you're going to get caught”.

Beast Mode

What is Marshawn Lynch going to do, retire or come back and play in 2015? That is the question the Seattle Seahawks and Seahawk fans want to know. Seahawks general manager John Schneider said that retirement is a possibility for Lynch. If he decides he wants to play in 2015, the Seahawks are willing to renegotiate his contract. Schneider said Lynch needs to find out where he’s at so the team can go forward with negotiations on a new contract. Schneider also said that Lynch knows he won’t be playing at the same numbers if he comes back. Marshawn Lynch is scheduled to make $5 million in base salary for 2015, plus a $2 million roster bonus. It has been rumored that the contract extension the Seahawks would be offering would be more than $10 million for the 2015 season. 

 One of the reasons some say Marshawn Lynch would be considering retirement would be is “Beast Mode” clothing line. BeastModeOnline has been a big success for Marshawn Lynch. His line of hats recently sold out. It is the same hat he was wearing during Super Bowl Media Day when he said, “I’m just here so I won’t get fined,” 29 times. Lynch is not a big fan of speaking to the media, and his eight-word statement during Super Bowl Media Day came from a move last November by the NFL to fine him $100,000 for repeatedly ignoring NFL rules requiring players to talk to the media. He was also fined for wearing his hat, which is not an NFL license product. If the Seahawks would have won their 2 consecutive Super Bowl, some say Marshawn Lynch would have retired for sure because that would have made his brand more valuable and powerful.

Lynch was denied the chance to score game-winning touchdown, and lost an extraordinary opportunity to cash in on that achievement. By calling for a pass instead of a run from the 1-yard line, and not handing the ball to his Beast, Seahawks coach Pete Carroll not only cost the team a second straight Super Bowl championship; he also set Lynch up to tackle two pressing financial matters this offseason, continue to play or retire. NFL experts say that was one of the most boneheaded decisions in NFL history.   

Industry Liabilities

There are many controversial issues in sports today with the most talked about being domestic violence, performance enhancing drugs and gay athletes. These issues were the leading stories for most of 2014. While a little of the sizzle has gone away from these stories, but rest assured they will resurface soon.

First lets take a look at the Michael Sam issue of being the first openly gay player in the NFL. Michael Sam announced to the world that he was gay during his last year in college and before entering the 2014 NFL draft. So the main topic of discussion would be how the other players in the locker room would accept him. There was also the question of was his draft status hurt by him announcing he was gay. Sam was the defensive player of the year in the SEC, but was drafted in the 7^th round. Most agree he being gay hurt his draft status. As far as a legal issue, Michael Sam could not be denied playing in the NFL because of his sexual orientation. My opinion is that if the athlete no matter if its Michael Sam or any other athlete can perform on the field and perform to the level of the competition, they should be allowed to play. 

Another recent controversial issue was the Ray Rice domestic violence situation. The domestic violence incident with him punching and knocking his then fiancé out was the lead story on every news outlet. Domestic violence is a very serious issue topic in sports and this country today. The country was outraged by the video of him dragging the limp body of his fiancé out of a hotel elevator. Rice was suspended for 2 games and then suspended indefinitely after more video was released. Rice appealed the second suspension and won. My opinion is that the sports leagues must develop new domestic violence policies and make sure the players understand them and know the consequences for violating them. The leagues need to also have some type of counseling in place for athletes who have domestic violence problems. 

Another issue that has been big in sports, but not just in 2014 is performance enhancing drugs or PED’s for short. Most of the major sports leagues have implemented new policies and testing procedures for PED’s. Most of these new policies have very serious punishments for violations of these policies. My opinion is that the use of PED’s is cheating and have no place in sports. I think the testing should be better, the punishments more severe and repeat offenders should be barred from there prospected sports for at least 2 years.

Fan Loyalty & Engagement

Today everyone has some type of rewards or loyalty program. Whether it’s a retail store or a sports an entertainment business, companies want to reward loyal fans and customers. Just think about it, every time you step up to the cashier or check out counter to pay for something, the first thing they ask you is do you have a rewards card. If you don’t have it with you they’ll ask for your phone number or email to access your information. These reward and loyalty programs reward fans and customers with special rewards, discounts and other opportunities they otherwise wouldn’t have access to if they weren’t enrolled in these programs.

Fan loyalty and engagement is important to sports organizations because they are an incentive for fans to continue to support their favorite teams and buy merchandise and for doing this they are rewarded with something special. Revenue generation is affected because fans attend events. Purchasing tickets and buying merchandise generates revenue.

More and more sports organizations are coming up with loyalty and rewards programs for their fans. NASCAR, one of the leading sports organizations in the world has a rewards program called RacePoints. Fans enrolled in the program have the ability to earn points when they purchase qualifying products and services. Points are tracked and redeemed online for NASCAR apparel, merchandise, collectables and NASCAR experiences. The UFC (Ultimate Fighting Championship) just launched a new rewards program called UFC Rewards. UFC says it is a way of thanking the best fans in the world. As a UFC Rewards member you can earn limited edition collectables and exclusive experiences. Reward members earn points by buying pay-per-view events, subscribing to UFC Fight Pass, reading UFC Rewards Emails, attending live UFC events, and connecting with the UFC through social media. The Buffalo Sabres have taken their new fan loyalty program mobile with an application that can be downloaded for free through the Apple App Store or the Google Play Store. Sabres fans earn points by scanning codes on tickets, merchandise and concessions. Fans from the UFC, NASCAR and the Buffalo Sabres are responding well to these programs. Enrollment numbers are steadily increasing.  

How can a sports organization engage fans before, during and post game that can increase fan attendance? First, they must engage all fans, not just the season ticket holders. Second, they must offer fans a community. This would allow fans to get to know each other. Third, engage fans during the off-season. Just because the season ends, fan loyalty doesn’t.

To steal or not to steal, that is the question?

You can’t watch the news, go on the Internet or view any type of social media today without seeing some college or professional athlete in some kind of trouble. When does it stop? I wonder if these athletes are seeing the same thing I’m seeing. You would think they would use better judgment when they constantly see other athletes getting in trouble. Whether you’re a college or professional athlete, poor judgment can cost you money, sometimes millions of dollars.

 Lets look at the latest example of poor judgment by a professional athlete. After rushing for 52 yards, included a big 38-yard run and a key tackle on a kickoff that help the Dallas Cowboys to a 30-23 win over the Super Bowl champion Seattle Seahawks, running back Joseph Randle is arrested the following day for shoplifting. He was released on bond after being charged with a Class B misdemeanor theft of $50 to $500 in Frisco Texas. Randle is accused of stealing a pack of Polo underwear and a bottle of Gucci Guilty Black cologne; the two items came to a total value of $123.50. What’s so odd about the situation is that Randle had just purchased an item at the cologne counter.

Now let’s look at how not only is this situation embarrassing, but ridiculous and stupid. Joseph Randle was a fifth round draft pick in 2013 and has a base salary this year of $495,000 which breaks down to $29,500 per game. This leads me to my next question. Why in the hell is he stealing underwear and cologne? It’s not that he can’t afford the items. So what is it? Do you think he did it just to see if he could get away with it? Is Joseph Randle just a common thief? Athletes continue to put themselves in bad situations that are clearly avoidable. Professional teams do character and background checks and some psychological testing, but I think more may be needed. What do you think?  Deeper mental and psychological testing may be needed before professional teams invest some much time and money in these players. As of today the NFL has not disciplined Joseph Randle in any way, but the Dallas Cowboys fined him $29,500, which is equal to one game check. I know the teams and the leagues are tired of being embarrassed. Please feel free to comment.

NFL Suspensions

As the 2014 NFL season kicks off there is still much talk about the numerous players that will be missing on opening day because of suspensions. These suspensions are divided among the substance abuse policy; PED (Performance Enhancing Drug) policy and the personal conduct policy. There is even an owner suspended for part of the season. NFL Commissioner Roger Goodell was suspended Indianapolis Colts owner Jim Irsay for 6 games and fined him $500,000. During his suspension Irsay cannot attend Colts games, visit the Colts facility or be involved in the day-to-day operations of the team. Roger Goodell has been known for coming down hard on NFL players for various policy violations, so he had to come down hard on Irsay to not show favoritism, even though the owners pay his salary.  

The head of the NFL Players Association, DeMaurice Smith is in discussion with the NFL about revising their policy on performance-enhancing drugs. If a new policy were reached the union would want this years suspensions reversed and retroactive to the new policy. Denver Bronco receiver Wes Welker was suspended under the leagues PED policy, but under a revised policy his offense would fall under the substance abuse policy and he would be in treatment and not suspended. Under the substance abuse policy a player may have multiple offenses before a suspension occurs. Cleveland Brown receiver Josh Gordon who has been suspended for the entire 2014 may also benefit from a policy revision. Gordon was suspended under substance abuse policy for multiple violations; retroactive revisions may allow him to see the playing field in 2014.

In another policy change the NFL wants to be able to punish players for simply getting arrested. This would be a case of guilty until proven innocent. This policy would not allow for the legal process to play out, the punishment would come between the arrest and the final deposition of the case. The NFL Players Association said they would not agree to any policy punishing players for only getting arrested.

What are your views on not only player suspensions but suspensions of coaches and owners? Please comment.

Failure

 J.K. Rowling’s commencement speech at Harvard titled “The Fringe Benefits Failure” on Ted.com brings so many personal things to mind in reference to failure. J.K. Rowling is the well-known British novelist best known as the author of the Harry Potter series. She was very honored to have been chosen to give the commencement speech, but was very nervous. She injected humor at the beginning about losing weight because she was so nervous and offered up some Harry Potter tidbits. This humor is what relaxed her and allowed her to build trust with the audience. At the beginning of her speech she said something that has stayed with me and we all should remember it. She said don’t blame others for your mistakes and failures, not even your parents; you are responsible for your own life. 

J. K. Rowling said that you will have failures in life and that she feared failure, but failure set her free. I relate to her when she talks about the adversity that she overcame. She had to overcome poverty, unemployment, and single motherhood and divorce 7 years after graduating college. Overcoming this failure is what helped her become such a great novelist. She talks about a significant event in her life before she started writing while working for Amnesty International in London. She worked in the research department and would read letters and watch videos of torture victims, rape victims, executions, missing persons all from totalitarian regimes. This experience taught her to value imagination. Valuing imagination allows us to empathize with humans whose experience we have never shared.

J. K. Rowling ends her speech talking about friends. She says friends from college have been her friends after graduation and for life. These friends are the God Parents of her children and she has used their names in her books. The point she is making is that we should value our friends and keep them close.

This speech means a lot to me personally. I have experienced failures in my life, but I have learned from each one of them. My failures have made me stronger. Like J. K. Rowling I feared failure, but no more. We will have failure in life. Don’t be afraid of failing; take each failure as a learning experience and a new start.