MMA Payout.com Exclusive Interview With Michael Romero, President of BOOYAA Incorporated.
Los Angeles Ca: The UFC’s policy of banning its competitors from sponsoring fighters during their live events has been something of a polarizing issue throughout the world of Mixed Martial Arts. While some understand what the UFC does to protect itself from giving rival companies a platform from which to garner publicity, others believe it’s an abuse of power designed to ensure their seemingly iron clad monopoly on the sport and the products that are associated with it continues for as long as possible. Either way, the MMA giant’s decision to ban their fighters from flying the flag of any of its rivals is and will most likely continue to be the status quo.
UFC President Dana White stated previously what he considers to be the criteria of what results in a ban that is considered to be “lifetime” a company in direct competition with the UFC for business opportunities related to mixed martial arts. That being the case, President and founder of BOOYAA Incorporated Michael Romero believes that his company’s recent addition to the UFC’s famed banned list is strictly a case of guilt by association. We sat down with him recently following the announcement of the ban to discuss his feelings on the UFC’s stance and what effect it presents to his business and the fighters he sponsors.
When did you get started in the business of mixed martial arts apparel?
I launched BOOYAA back in 1998, in August we celebrated 10 years in the industry. We have been actively involved in the MMA scene since 2004, touring with King of the Cage and its affiliated productions.
The ban on BOOYAA comes after the UFC’s general council informed you that due to your affiliation with King of the Cage you would not be allowed to sponsor anyone now, or in the future at any UFC or WEC event, what was your reaction to such a decision?
Surprised with receiving the ban? No, but the stated reasoning for the ban was a little odd. The letter we received from their assistant general counsel quantified the ban as being due to an event we co-sponsored a couple years back. We believe they see BOOYAA as a potential competitor to their affiliate clothing companies, and not their fight promotion. We are very aware of the threat King of the Cage poses to the UFC; we don’t however see the relationship between BOOYAA and King of the Cage any different than Zuffa’s relationship with TapouT and Fight Industries.
It’s an interesting sponsorship model Zuffa has adopted, I’m curious to see how this all shakes out over the next year. I believe it would be in the best interest of the industry for them to structure something that makes the most business sense for not only their promotion, but the fighters as well.
The UFC sited your relationship with King of the Cage as their reasoning for the ban, what exactly does that relationship entail?
BOOYAA Inc. manages and sells merchandise for both entities at all King of the Cage events. We also assist with all aspects of the production including managing the website, sponsorship coordination, marketing, merchandise and matchmaking.
Similar bans have been doled out to Affliction, Throwdown, and Cage Fighter/MMA Authentics, all have been the result of these companies establishing themselves as direct competitors for business opportunities with the Zuffa or its affiliate companies. You’ve stated BooYaa doesn’t fit the criteria that they have established would result in a ban, is there any direct competition between BooYaa and any of Zuffa’s affiliates that they may see?
Nothing we are doing today is in direct competition with UFC or WEC. First and foremost, BOOYAA is a clothing company and we are at the KOTC events with the fighters and the fans two to four weekends per month for the simple fact we are trying to sell our products. Our position is to continue to grow the sport and our sponsorship model has always revolved around assisting fighters to capture as much sponsorship money as possible.
According to what you’ve told us, as well as the emails received by MMA Payout.com, the reason for the ban as stated by the UFC stems from an event BOOYAA co-promoted several years ago with King of the Cage. Why do you think Zuffa would come to such an extreme decision in regards to BOOYAA when this was so long ago?
Yeah I found that pretty amusing that they had to go back to a poster that was two years old.
We were a primary sponsor for an event titled BOOYAA which is common within MMA and other industries, for example WEC 21 was called TapouT. Sponsoring an entire event is smart business. My guess is that they have an idea of the potential KOTC has as their competitor and maybe feel this is a good defensive position to take but I fail to see at this time, how BOOYAA has anything to do with that.
What does this type of ban represent to BOOYAA and your ability to do business in the industry?
We honestly don’t see it having a huge impact on our brand as it will on the fighters we support. We have a very good friendship and working relationship with King of the Cage and we have a good idea of things to come for them and other productions outside of the Zuffa organizations. We are confident we have aligned ourselves the best in the industry, business will continue as usual.
Do you intend to challenge this ban either with Zuffa directly or in a court preceding?
No, they’re free to run their business the way they choose.
Have you had any further discussion with Zuffa in regards to their decision?
No, our direct response to ZUFFA read as follows:
“We totally understand the fears and concerns Zuffa, WEC, TapouT and UFC have with both BOOYAA and KOTC.”
We wish you continued success into the future.
You’ve already explained what this ban means for you and your ability to continue to do business in the MMA industry, but you’ve said this has a negative effect on the on the fighters you already sponsor who may see their sponsorship dollars decrease now that the UFC or WEC are no longer an option?
We work closely with lots great clothing companies and we have great relationships with sports marketing firms. There are a lot of existing and mainstream sponsors starting to trickle into our industry, but the bottom line it’s going to be up to the productions of who they allow to into their events. In my opinion outside sponsors should be viewed more as partners helping build fighters income, this allows them the freedom to train more and thus produces a better product. As always we will continue to assist fighters to maximize their sponsorship dollars.
We’ve heard rumblings that KOTC could possibly emerge as an alternative option for networks still looking to get involved in the business of promoting MMA events, how much of that is factual?
Right now the climate in MMA is at its peak, networks see the value in our sport and it’s ability to reach the coveted 18 to 34 year old market that advertisers actively seek out. The King of the Cage brand is touted by network officers to be one of the most brand able names in our industry. Terry (Trebilcock) and King of the Cage have the ability to identify excellent fighters that are marketable and can be developed to drive viewers to their TV’s and fans to their events.
KOTC C.E.O. Terry Trebilcock has recently been in talks with the management of ProElite in an attempt to acquire EliteXC and its assets which include the contracts of fighters such as Gina Carrano, Jake Shields, and Robbie Lawler, how close are they in terms of an agreement being reached?
I wish I knew. We all know that dialogue continues. I do hope the fighters get to fight sooner than later. There is a pool of great talent that we all look forward to watching. What I can tell you is that KOTC has proven over the last ten years that there recipe works, they continue to identify and build the biggest stars in the industry, most of which constitute a great majority of the industries high-end rosters.
Trebilcock has stated previously that KOTC, Showtime, and CBS have maintained their relationship even after EliteXC filed for bankruptcy and that there is a good chance that they will continue to be in some kind of business relationship throughout the upcoming year, what would that mean for BOOYAA?
It would be huge for us and the fighters we sponsor. Our goal is to continue pursuing A and B level retailers. Working with mainstream media platforms would allow us to penetrate those markets more effectively. BOOYAA is a viral name that has already been embraced and recognized in mainstream sports, television, music and movies, we’re confident that we could help convert mainstream sports fans and consumers into the world of Mixed Martial Arts.
When do you think you can expect to know what the future holds for KOTC and its relationship with BOOYAA?
We should all know something in the next few weeks or so if not sooner.