ESPN’s Darren Rovell penned an article which estimated that Conor McGregor’s absence at UFC 200 would cost the company $45 million. While the article gives a ballpark estimate as to the worth and value of McGregor’s appeal, the dollar figures may not be accurate.
The piece spitballs what McGregor would have done for the July 9 show. McGregor has produced the two top MMA gates in the history of the state of Nevada according to the NSAC. We could probably throw in UFC 196 but the NSAC web site has yet to be updated. He’s also produced some of the top PPV buy rates in recent history. Gate revenue, PPV revenue and not to mention all of the ancillary economic influx from the hospitality industry from the Irish fans helped the UFC surpass previous company records. With these numbers, he believed he had leverage to negotiate with the company for UFC 200. However, this was not the case as a power play to not show up for promotional obligations went afoul for McGregor. Instead of another big payday, Jones-Cormier 2 gets the top spot at 200.
For missing out on this payday, the ESPN article hypothesizes that without McGregor, the UFC 200 PPV will draw about 500,000 PPV buys. With McGregor, the article predicts it would have drawn 1.25M PPV buys. Thus, 525,000 x $70 for PPV = $36.7 million.
The article estimates that a gate of $10 million could have happened with McGregor. Without McGregor, it will make about $3 million. Thus, a $7 million loss in potential gate revenue.
He also adds $800,000 for merchandise and concession revenue attributed to McGregor’s loss.
This would be an estimated $44.5 million lost in revenue due to one fighter.
Payout Perspective:
Clearly, there are liberties being taken with these numbers as there is loose evidence provided in the article. The first glaring error is the fact that PPV distributors would take a cut of the PPV revenue. Thus, the PPV loss would not be as great. It would seem that the estimates are anecdotal so if we are to read this as an economic analysis it probably would not be correct. The article could have brought out the potential “trickle down” McGregor economic effect as Irish fans traveling to Vegas are less likely to come in July since he will not be fighting. While the numbers may not be correct, it’s clear that McGregor could have produced more for the company for this event than with a Jones-Cormier 2 headliner.
“For missing out on this payday, the ESPN article hypothesizes that without McGregor, the UFC 200 PPV will draw about 500,000 PPV buys. With McGregor, the article predicts it would have drawn 1.25M PPV buys. Thus, 525,000 x $70 for PPV = $36.7 million.”
Thus proving once again, that Darren Rovell is a boxing paid (t)(r)(o)(l)(l) who has no idea how this business operates.
If McGregor was on this card it would have done close to 2m buys. Without him this will still easily go over 1m. This is a loaded lineup from top to bottom, with an anticipated rematch and the marketing hype of UFC 200 behind it. Jones-Cormier I did 800k buys, now according to his imbecile, they are going to lose 300k buys at UFC 200 with the new MGM, and a stacked under card? How can one be this ridiculous and take themselves seriously?
Hahahahahaha
Dave Meltzer reported more like $23 million.
You also have to take into account they don’t have to pay Mcgregor $10 million or whatever Diaz was asking.
And they will gain a potential big ppv number with 202 or 203.
So the UFC won this war.
McChump got his butt beat last fight and the clown thought he was gonna push Dana around? Enjoy watching at home and dreaming of a mayweather payday Lol
UFC 200 would never have done 2m. 1.2-1.3 sounds right. It should do close to a million now.
McChoker is so desperate lol, wishing he made Floyd money
“UFC 200 would never have done 2m. 1.2-1.3 sounds right. It should do close to a million now.”
It would have come close. 1.2-1.3m sounds silly. It makes no sense at all. McGregor just did arguably more than that with his last ppv that didn’t have the undercard this fight would have, and didn’t have the push this card would have from the UFC 200 aura.
You guys aren’t too bright.
Yeah, and Mayweather wishes he could finish guys on a championship level like McGregor, instead, he turned his fights into track meet, jab fests. Only time he ko’d anyone on a championship level was when they weren’t looking. Haha.
D you don’t get paid any extra for how a fight goes lol.
McChoker wishes he could make it to a decision, lol instead he got rocked
“D you don’t get paid any extra for how a fight goes lol.”
In mma, you do genius. Haha.
You talked about mayweather who is a boxer genius. Oh yeah and how much? 50k? Lol chump change compared to what Floyd makes haha.
You don’t think McGregor’s stock went up after he ko’d Aldo in 13 seconds, mr wizard? If he had turned it into a jab fest decision, his buy rate would have been lower against Diaz. Some guys fight and impress, others run away, manipulate rules, and cower to top competition like Mayweather.
Lol his stock is shot. He’s got multiple losses and just came off a whooping by a fighter with 10 losses. Sad that’s the best ufc has right now lol. Him and rousey should have both kept their mouths shut about wanting to fight Floyd haha. I call it the money curse. Talk about Floyd and you take an L.
Yeah, his stock is shot, that’s why his next fight will do more ppv buys than anyone in combat sports this year. Hahaha. Delusions of grandeur.
Everyone takes an L when they fight. Mayweather never fought. His legacy is that he was a coward. He will never be considered an all time great by anyone reputable. Floyd Money Mayweather, will also be Floyd No Money Mayweather in 15 years. Hahahaha.
Hope diaz wont agree to fight anybody and wait for mcgregor….hahaha….dw wants him beat so connor does not rematch him hahaha
http://www.forbes.com/sites/mattconnolly/2016/04/28/conor-mcgregor-ufc-200-standoff-signals-shifting-power-structure-in-mma/#4f975f18101c……..good article only 30k views press con compared.to 360k
If that’s true – 196 did over 10x more viewership than 200 for the same press conference, comparing same timeline, not a good early sign. UFC will need to ramp up the hype train and get Jones/DC to “scrap” again at the next conference.
What happens if Jones gets arrested, or DC gets injured again? Hopefully McGregor can swoop in and save the day. Or would he resist.