For those ‘Rocky” fans, the business side of Floyd Mayweather is a lot like the image of Apollo Creed before he takes on “The Italian Stallion.” Pick the venue, but the flowers for the Mayor’s Wife, create the package for your challenger and collect the big pay day in the best suits. Control the brand image. Just don’t lose.
And although Argentinian Marcos Maidana isn’t quite the Latino “Rocky,” he nearly did what 45 other fighters couldn’t, taking the fight to Mayweather before losing a 12-round majority decision at MGM Grand arena. Regardless, the champ and all the piece around him went on to a mega payday and the close result will soon be a memory.
What won’t be forgotten is again the way Mayweather and his team carefully orchestrated every aspect of his fight, from ticket and TV sales to fighter purses, venue choices and every marketing deal in and around the bout. Nothing was left to chance, and all came back to the man they call “Money.”
Mayweather is in the middle of a six-fight deal with the Showtime network and is supposed to fight again in September. He has almost 7 million Twitter and Instagram followers, more than 4.1 million likes on Facebook, and a social networking team so that he is in constant contact with his fans. He negotiates all deals for its promoted fighters, receives all revenues generated by his fighters and then pays fighters, other promoters (if it is a co-promotion), and other expenses (operating costs toward the promotion) out of the revenue generated. The result is something that few single sport athletes can achieve; net worth of close to a billion dollars with all aspects of the brand coming back to its owner. It is the rarest of opportunities that comes to an elite boxer who understands the business; even tennis or golf, where success is based on the individual; still have to negotiate a course, the field or the draw. Boxing it’s one on one. Even the UFC, with all its power, is still controlled by Zuffa Inc. Elite MMA athletes can do really well, but when they go to the UFC, like in a team sport, there are certain elements that get negotiated away.
Now of course the issue becomes what happens if Mayweather loses a fight? Does much of that brand equity built up immediately fly out of the ring? Some might, but because of the longevity of his career and the guaranteed TV money that comes win or lose, the Mayweather gravy train continues on. Besides, who doesn’t like a comeback after a surprising loss?
Is the Mayweather model an anomaly or a new trend in fight sports? Right now there are others Pacquaio, Dela Hoya, who can control a good part of the marketing pie, but Mayweather is the one who appears to want, and have total control, something which can be very, very difficult to duplicate should another mega-star come along early and maintain the brand power for such an elongated tome. For sure he has his critics, but it is hard to argue with his success in business or the ring. Apollo would be proud.
We talked Mayweather on CBS this past Saturday as well, here is a link to the clip.
