Before Pacquiao and Mayweather walked into the ring, almost all the records about boxing events were completely refreshed. Every day, economic data with zero suffixes hit people's nerves. 200 million US dollars (200 million) yes, this is the income of the two legendary boxers who were exposed at the beginning, but after being dazzled by a series of zeros, this data still rose faster than the Rockets. According to the event, Mayweather's basic remuneration for the game reached US$120 million, and the PPV share is expected to reach 180 million. Pacquiao's basic remuneration this time is US$80 million. With the PPV share, the final income will exceed US$100 million, which means that after this game, the two boxers' accounts will be about US$300 million more.
If you just use the four words "refresh history" to accurately describe this data, what is the concept of 300 million in a game? The record for the Forbes sports athlete annual income ranking (calculated from the end of May of the previous year to the end of May of that year) was $125 million in annual income (including advertising revenue) set by Tiger Woods at his peak in 2007. He is also the first athlete to earn more than $100 million in annual income. But this data was easily recorded by Mayweather in one game. Meanwhile, Pacquiao's annual income (plus the rewards for last year's match against Algiri) will also surpass this stat. The two boxers in a game set the record for the athletes' annual revenue list at the same time, which does not include any commercial sponsorship and advertising costs, boxing is so valuable! In addition to money, the winners of Pacquiao and Mayweather will win a special WBC gold belt with more than 3,000 jadeites inlaid, but this jewelry-like gold belt is almost worth mentioning in front of 300 million US dollars.
.3 billion dollars came from?
Not all boxing world champions can make money like this. WBC Mini Lightweight World Boxing King Xiong Chaozhong earned $200,000 in his title defense, which is still considering his huge influence in the Chinese market. Why do Mayweather and Pacquiao get so much money? Who will pay for the 300 million US dollars? In a mature business society, there are no suckers. Let’s take a look at what the specific composition of this $300 million battle is? How much value can this game create?
First, paid cable TV PPV paid cable TV is the main source of income for professional boxing. In order to watch the game between Pacquiao and Mayweather, the audience must pay between $89.95 and $99.95 according to the standard definition mode and high definition mode (data from Yahoo Sports). It is expected that the PPV sales revenue of this game will reach 400-500 million US dollars. In addition to basic boxing rewards, Pacquiao and Mayweather will receive additional commissions in PPV (usually, the commission amount is formulated based on the sales data of PPV. After exceeding a certain number, the more excess part, the higher the commission.) That is to say, the higher the sales of PPV, the higher the rewards the two will receive, and there is no cap on the top.
Second, ticket revenue Mayweather and Pacquiao will compete at the MGM Grand Garden Arena, which can accommodate a total of 16,800 spectators. Tickets will be divided into five stalls, namely 1500, 2500, 3500, 5000 and 7500 US dollars. The price of a ticket of $7,500 also set a record for the most expensive boxing ticket in MGM's history, not only breaking history, but also tripling. The previous highest price was $2,500, which was also Mayweather's game (with De La Jolla and Arvarez). According to statistics, the total ticket revenue of the Century War will reach $72 million, and this is just the official figure. Because there are too many people who want to watch the game, most of the tickets have been taken away by MGM Hotel, sponsors, organizers, both camps and TV broadcasters. There are very few tickets for the public. The minimum ticket price of $1,500 is snatched up within 1 minute of the ticket issuance, so the real market price will be far higher than the announced official price. It is reported that the lowest price for buying second-hand tickets on the SeatGeek online ticketing website is US$4,116, the lowest price is US$9,218, and the starting price for the ground floor seats near the venue is US$22,441.Because front seats on the sidelines are very scarce, MGM will only provide front-line tickets to its customers with a credit line of $250,000. The sidelines scalper tickets even cost more than $100,000 each. For example, tickets for seats on the second-hand ticket website StunHub.com sold for $141,575.25.
Third, hotel and casino revenue Within 15 minutes of the Mayweather and Pacquiao game news, the MGM Hotel, which is the competition venue, was immediately booked from May 2 to May 3 (Beijing time), with the lowest price being 600 to 700 US dollars per night. Since the game is held in Las Vegas, many gamblers will watch live CCTV live in casinos on the Strip, which costs around $150 per person, and the number of viewers is expected to exceed 30,000. These two revenues alone will exceed US$10 million. In addition, the commission on the bet amount of this game in the casino will make the casino owner smile, and the total commission amount of this part is already an astronomical figure. At the same time, other Las Vegas-related tourism and service industries will also gain a profit opportunity.
Combining all aspects of revenue, the value created by this century war is expected to exceed 600 million US dollars, while the US sports portal ESPN even expects that the commercial value brought by this game will exceed 1 billion US dollars, and the two boxers will not be in vain!
Why Mayweather?
The biggest contributor to this billion-dollar battle is undoubtedly Mayweather. Pacquiao made US$22 million in his last game. This time he stepped into the 100 million threshold, which was due to Mayweather's ability to raise prices. Mayweather became the top of the Forbes athletes and wealthy rankings last year with US$105 million, and only played two games in total. In fact, since 2012, he has been the most profitable athlete on the planet. Unlike Woods, whose annual revenue exceeded 100 million by crazy advertising, Mayweather has no advertising endorsement or commercial sponsorship at all. For traditional sports stars, income usually includes salary, game bonuses and advertising endorsements, but Mayweather subverts it all and proves his business acumen with countless green dollars. How much property does Mayweather have? According to a 2013 statistics, Mayweather's assets have exceeded $600 million. His public tax returns in the United States show that the total value of real estate, stocks and funds is about $500 million, and he also has more than $123 million in cash in a Swiss bank account. He has since earned 105 million US dollars, and his net worth is expected to be above 700 million US dollars. After this game, Mayweather's career revenue will exceed 1 billion. He used US dollars to light cigarettes, took 12 million cash to test the bank's ability to count money, and deliberately leaked the account balance of up to $99.86 million on the ATM withdrawal bill. Being rich is willful, but how did he do it?
In sharp contrast to Mayweather, Tyson, who once earned over 100 million yuan, was also rich and willful, but eventually went bankrupt and fell on the streets. Tyson's tragedy proves that a pair of fists cannot obtain a better life. The protracted lawsuits of Tyson and Tang Jin about exploitation and deception make people see the complexity of the entire boxing industry, which is full of temptations, lies and traps. Professional boxing has become a strict and complete commercial chain over a hundred years, and boxers are just the end of this chain. As the boxer fights bloody battles in the ring, the organizers, agents, sponsors, pay TV, and casinos all benefit from it, and he is not just waving for himself in every punch.
Although he has an unbeaten record of 48 wins, Mayweather cannot be compared with Tyson in terms of boxing KO rate and influence, but in terms of business mind, he easily beat the "Iron Man" and is a real shopping mall powerhouse. As smart as Mayweather saw through the essence of the boxing industry and did not want to be the lowest end of the food chain, so he launched a "boxer counterattack". He moved upstream of the industrial chain and established the Mayweather Promotion Group. He not only acted as a boxer, but also served as a promoter, agent, competition initiator, and organizer. He signed a series of contracts as a group identity, sponsor and broadcaster. In short, he wanted to take all the profits of all aspects of the boxing industry and become a real boss, thus successfully earning a huge income several times more than ordinary professional boxers!
