Saturday Nov 07, 2009
The Brill Report: The NFL; Less is Good?
First off, let me thank you the readers for the overwhelming response to last week's column! Wow. We've never had so much response to any column we've ever written and the amazing thing is it ran 9-1 in favor of the position we outlined.
While some of the faithful were a bit surprised the column took a political tone (Meg Whitman former eBay chief running for California governor) they none the less responded and with fervor. A couple of readers were not even hobby folks but rather people who ran across the column for one reason or another and threw in their opinion. The California primaries are next year so we'll have to see where it goes and what the voters do. Oh, by the way, those opinions expressed here were totally that of the author and not Sportsbuy.com. Thought we'd throw that in just for grins.
Now on to this week's topic; The NFL and when the next shoe drops. Any day now we expect to hear something from the football licensors regarding the number of licenses they will have regarding NFL football cards. Will it be down to one? Will there be three as there are now? Will it be only two? Let's delve into a little history.
It was 1989 when Pro Set (the official card of the NFL) came into being with Lud Denny leading the way. He got himself tied to a couple of John's working for the NFL (under the old NFL Properties division) which handled merchandising. Eventually those two John's were fired in disgrace as the NFL allegedly found them dipping into the perverbial cookie jar. Now to this date no one has been convicted and no charges have been filed but there is some good circumstantial evidence basically showing a couple of guys making lots of money on the back end supporting Pro Set, while their bosses were kicking in money to a company heading into bankruptcy. It's not that the owners were clean either but we will leave it at this for the moment.
In a previous column years ago I wrote and got comment from at least three card makers that they basically had their arms twisted to kick back some "extra" product to certain inviduals in return for these licenses. No names were given but the same people were targeted. Only the then-Fleer VP we spoke to called me a "muck raker" for reporting the story. Of course he was the guy who got the license for the then "Official NFL Trading Card; GameDay." Wow! No conflict there, huh?
Well the real life story is the NFL and the NFLPA (the Players Union) were battling each other in court over lots of things and while the owners had lots of money to burn, the players did not. They figured out if they licensed trading cards they could basically finance their lawsuit against the owners. So they did. They gave a license to every Tom, Dick and Wild Card who wanted to print trading cards and the money rolled in.
At one point there were no less than 16 companies making NFL trading cards. Some with only the permission of the NFLPA. Of course as time went on Wild Card, Pro Set, Pinnacle, Collector's Edge and even the Ted Williams Card Company fell by the wayside. Even unique Action Packed was swallowed up by Pinnacle which ended up owning many of those brands. Finally there were only three.
We have Upper Deck, Topps and Donruss/Panini/Leaf et al. Somewhere along the way someone at Upper Deck really ticked off the guys at the NFLPA. One insider told me "The PA loves Donruss and Topps and if the PA decides to go down to just two licenses Richard (McWilliam CEO of UD) will find a big surprise waiting for him."
Well it looks like decision time might be around the corner and Upper Deck keeps losing licenses. They no longer make MLB Trading Cards or NBA Trading Cards. They sort of have an exclusive on NHL trading cards and they make NFL cards, for now. If indeed, in a dwindling market for sportscards, there is a cut it is likely going to be the boys from Carlsbad.
Now don't go feeling sorry for McWilliam and his team. They have worked hard and secured lots of licenses for collegiate sports, NCAA, minor league guys and of course hockey. And they still have exclusive rights to Jordan, Lebron, Sid the Kid and Ovechkin. Not bad, oh and of course the only golfer anyone cares about; Tiger Woods. So it ain't so bad.
The NFL has never allowed players to be exclusive with any one company so while UD has the likes of Favre, Manning and more it's not like those guys can't sign for pay for someone else. Yes it could come down to the fact the company which started the "Hobby" trend by making cards "for collectors" might just be the first one out of the shrine when it comes right down to the big boys and trading cards for 2010 going forward.
(DENVER & THE STEELERS) -- For those of you who know me well you know I'm from Pittsburgh and an avid Steelers, Pirates and Penguins fan. Monday brings my annual trip to Denver where a friend of mine has season tickets for the Bronco's. Each year he invites me to see a game of my choice and the last couple years it has been the Steelers. The guys is a good friend and he puts me up, takes me to dinner and handles my transportation. Really though he loves me to come because I have never gone to a game in Denver the Bronco's lost. I can't stand any team which plays my Steelers and I hate to see them lose. I almost didn't go this year because my Steelers are holding tough in an effort to repeat for the Super Bowl. I can't not go though, so think good thoughts for the Doc (my friend) and my hook up with Stadium Cards owner Mike Fruitman who will be there too. May I go home with a Steeler win under my belt.
(PATTI WAGGIN BOOKS) -- Just an update on my new book "Fan Letters to a Stripper; A Patti Waggin Tale." I'll be doing signings in NorCal shortly. Oakland I'll be at the Uptown Theatre Nov. 16, Chico at the Barns & Knoble Nov. 17, Sacramento's Avid Reader Books on Nov. 18 and at Russo's Books in Bakersfield on Nov. 19. If you are close by please come on out, buy a book and have some fun. I'd love to meet you. Check the website for times and addresses. You can contact Bob at any time at bob.pattiwaggin-AT-gmail-DOT-com
Tags: deck steelers mlb nflpa letters broncos upper baseball donruss denny stadium lud patti sports fruitman company nfl fan ebay topps waggin meg whitman
Thursday Aug 06, 2009
The Brill Report: MLB Takes Chunk Out of Upper Deck
Upper Deck is exclusive with hockey, Panini is exclusive with basketball and for all intents and purposes now Topps is exclusive with baseball. Major League Baseball (the league not the players association) has in one swift blow relegated Upper Deck to the status of Donruss Baseball. In a surprise announcement, just one month after the MLBPA (Players Union) renewed the license for Upper Deck to continue to make baseball cards, the league (MLB) pulled the rug out from under UD by granting Topps an exclusive license for logos and trademarks.
Not in 30 years has one company had such exclusivity when it comes to baseball trading cards and the effects on Upper Deck could be just short of devastating. The top man at Upper Deck hasn't endeared himself to the leagues and PA's in many years and when UD lost the right to make basketball cards it became the last card company to handle licenses for all four major sports.
Evidently MLB likes Michael Eisner better than Richard McWilliams and with Eisner's track record and promise of returning collecting to younger collectors, MLB was sold. When Eisner first bought Topps over objections from McWilliams, he promised kids would again be the target ala Disney his old firm. Despite targeting kids in advertising, UD continued to make higher and higher dollar products aimed at Diamond Club Collectors and the dwindling base of well heeled collectors. The economy has not sustained such a move.
Donruss, and now Panini, has gotten away with making logo-less baseball cards by putting in lots of autographs from minor leaguers and retired players.
"It just proves you don't need the logos to sell baseball cards," one collector expressed to TBR. "Who cares about logos?"
Purists do and those purists will collect Topps any day over Upper Deck. So for the moment Upper Deck only has the NFL and NHL as full blown licenses. If the NFL chose to eliminate one of it's licensees, a possibility but not a probability, insiders tell TBR it would be Upper Deck. Such a move would seriously cripple the company in the trading card business.
Upper Deck and McWilliams are loaded with other ventures so don't cry any crocadile tears for the folks at Sea Otter Place. They still have a strong line of memorabilia, good gaming products and Upper Deck International. Although with it's European and Latin American distribution, Panini will give UD more than a run for it's money. Actually UD would be chasing Panini in most markets.
This is the not the first time the discussion of UD and no MLB came up. Over the years there were several instances where the league or the players union were not happy with the California card maker. Rumors persisted they would lose a license or at best be slapped with a fine or other restrictions. However, to see the company which founded itself as the collector's friend in 1989 actually lose out to Grandpappy Topps is pretty hard core.
For his part McWilliams is a multi-millionaire who among other things owns a small commuter airline and while he's had his personal problems, he does put in his days at the office. Unlike the early days, UD has become less of a revolving door for it's staff. Several key people have been there for a longer time than many others. With the fortunes of Upper Deck trading cards slowly dipping into the same Pacific Ocean it sees out McWilliams office window, one could not blame them if they began looking and deserting what could be a sinking trading card ship.
==============
(MALIBU) -- JAKKS Pacific inked a deal to sublicense a hot product. The company has the rights to make UFC toys and now is sub licensing the making of the MMA (Mixed Martial Arts) to Round 5 Corporation. Now both companies have the rights to the growing MMA pool of players.
===============
(MORRISTOWN, NJ) Upper Deck, the most litigous of the companies in the industry is being sued by a man who says he sent 6 Pin Flags to UD so Tiger Woods could sign them under the UDA program, and they got lost. Robert Zafian, co-owner of Green Jacket Auctions, is suing UDA for $40,000 after the company admitted, according to his attorney, the flags were recieved and signed but then probably lost. He says UDA promised to pay him $200 per flag which it considered the extent of its liability. He claims they were worth much more, and signed were worth around $40,000.
==============
(HOUSTON) HLT&T Sports is going after MLB charging Baseball is trying to put the company out of business and reneging on a deal made years ago. HLT&T repackages sports cards and has been selling them for decades including in sports stadiums. Since 2000 the company has sold it's wares at more than 15,000 games and even World Series. It claims it asked MLB Properties many years ago if it was okay and got the nod as long as it did not use logo's and trademarks on the packaging. Now MLBP wants it stopped. The company wants damages in excess of $200,000.
=================
You can reach Bob Brill at bob.pattiwaggin-AT-gmail-DOT-com and don't forget to look on line at your favorite bookseller, or in your favorite bookstore for Bob's new book, "Fan Letters to a Stripper: A Patti Waggin Tale." The book, about the life of burlesque queen Patti Waggin, who was married to former White Sox and Senators pitcher Don Rudolph, will be on book shelves within two weeks. If you can't find it you can order both the basic book and/or the limited collectible edition (only 200) through the web site www.pattiwaggin.com.
Tags: upper insiders brill players patti baseball bob deck fan cards panini tiger uda diamond donruss mlb waggin sports ud jakks nba richard union eisner woods don collectors topps mcwilliams letters nfl rudolph