Pe
rhaps this news will put a smile on Mike Krzyzewski’s face soon after a tough loss at Chapel Hill on Saturday night.
Duke University is the leading revenue generating men’s basketball program in the country, generating over 160% more revenue than the national average among other BCS basketball programs.
In Component I of my review of college basketball financials entitled “Revenue Comparisons Among Division I Men’s Basketball Conferences” making use of financial information for the 2009-2010 academic year, we saw that:
- The Big East Conference was the only conference that generated over $ 150 M in men’s basketball revenue
- The Massive Ten and ACC were the only other conferences that generated over $ 133 M in men’s basketball revenue
- Only three conferences (Massive Ten, ACC, SEC) generated over $ 10 M in men’s basketball revenue per school.
In Component II of my analysis of college basketball financials herein, I analyze which BCS-conference schools generate the most revenues from men’s college basketball.
In Pictures: The Top Earning College Basketball Coaches
Similar to my very first report, the data reportedВ hereinВ was obtainedВ from the U.S. Department of Education. Federal statute demands schools to report the financials for their athletic departments, and it also helps define itemizedВ expense and revenue categories which builds uniformity in data reporting.В This makes for aВ robust information source.В The most recent data obtainable is for the 2009 academic year.
DUKE, LOUISVILLE, NORTH CAROLINA Leading THE REVENUE LIST
There are 6 BCS Conferences (Huge East, Massive Ten, Huge 12, ACC, Pac 10, SEC) with a combined 73 teams.
The average BCS Men’s Basketball program generated $ 10.1 M in revenue. The median revenue was considerably lower at $ 8.8 M, which suggests (as we’ll soon see) that some teams near the leading of the distribution were substantial outliers and were well above the national average.
The table below ranks all 73 BCS teams in terms of their men’s basketball revenue reported in 2009, and calculates a вЂratio’ between that team’s revenue relative to the national mean.
| Rank | Team | MBB Rev | Index |
| 1 | Duke | $ 26,667,056 | 2.64 |
| 2 | Louisville | $ 25,890,003 | 2.57 |
| 3 | North Carolina | $ 20,551,168 | 2.04 |
| four | Arizona | $ 19,285,038 | 1.91 |
| 5 | Syracuse | $ 18,309,470 | 1.82 |
| 6 | Wisconsin | $ 17,666,311 | 1.75 |
| 7 | Kentucky | $ 16,781,239 | 1.66 |
| 8 | Indiana | $ 16,570,158 | 1.64 |
| 9 | Ohio St. | $ 16,190,723 | 1.61 |
| 10 | Michigan St. | $ 16,138,167 | 1.60 |
| 11 | Kansas | $ 16,116,502 | 1.60 |
| 12 | Texas | $ 15,602,348 | 1.55 |
| 13 | Arkansas | $ 15,515,830 | 1.54 |
| 14 | Illinois | $ 14,413,222 | 1.43 |
| 15 | Marquette | $ 13,877,475 | 1.38 |
| 16 | Minnesota | $ 13,733,316 | 1.36 |
| 17 | West Virginia | $ 13,306,654 | 1.32 |
| 18 | Tennessee | $ 13,301,579 | 1.32 |
| 19 | Pittsburgh | $ 13,117,849 | 1.30 |
| 20 | UCLA | $ 12,353,487 | 1.23 |
| 21 | Oklahoma State | $ 12,085,306 | 1.20 |
| 22 | Washington | $ 11,481,376 | 1.14 |
| 23 | Alabama | $ 10,766,327 | 1.07 |
| 24 | Maryland | $ 10,739,282 | 1.06 |
| 25 | NC State | $ 10,354,157 | 1.03 |
| 26 | Florida | $ 10,184,136 | 1.01 |
| 27 | Georgetown | $ 10,074,618 | 1.00 |
| 28 | Northwestern | $ 10,048,801 | 1.00 |
| 29 | Virginia | $ 9,788,223 | .97 |
| 30 | Auburn | $ 9,588,191 | .95 |
| 31 | Missouri | $ 9,540,265 | .95 |
| 32 | Virginia Tech | $ 9,252,293 | .92 |
| 33 | South Carolina | $ 9,190,794 | .91 |
| 34 | Vanderbilt | $ 9,182,578 | .91 |
| 35 | Georgia Tech | $ 9,143,914 | .91 |
| 36 | Wake Forest | $ 9,064,780 | .90 |
| 37 | Texas A & M | $ 8,853,325 | .88 |
| 38 | Iowa | $ 8,796,540 | .87 |
| 39 | Oklahoma | $ 8,626,247 | .86 |
| 40 | Arizona St. | $ 8,591,421 | .85 |
| 41 | Penn St. | $ 8,384,315 | .83 |
| 42 | Georgia | $ 8,331,515 | .83 |
| 43 | Michigan | $ 8,321,413 | .83 |
| 44 | Mississippi State | $ 8,205,804 | .81 |
| 45 | Boston College | $ 8,026,369 | .80 |
| 46 | Purdue | $ 7,791,967 | .77 |
| 47 | Connecticut | $ 7,745,145 | .77 |
| 48 | Villanova | $ 7,652,470 | .76 |
| 49 | Kansas State | $ 7,259,800 | .72 |
| 50 | Iowa State | $ 7,182,665 | .71 |
| 51 | University of Miami | $ 7,081,121 | .70 |
| 52 | Clemson | $ 7,054,691 | .70 |
| 53 | California | $ 6,967,208 | .69 |
| 54 | Ole Miss | $ 6,821,532 | .68 |
| 55 | LSU | $ 6,767,009 | .67 |
| 56 | St. John’s | $ 6,741,298 | .67 |
| 57 | DePaul | $ 6,528,661 | .65 |
| 58 | Providence | $ 6,460,838 | .64 |
| 59 | Seton Hall | $ 6,215,923 | .62 |
| 60 | Stanford | $ 6,191,021 | .61 |
| 61 | Nebraska | $ 6,022,208 | .60 |
| 62 | Florida State | $ five,756,857 | .57 |
| 63 | Baylor | $ 5,737,350 | .57 |
| 64 | Texas Tech | $ five,092,921 | .51 |
| 65 | Oregon St. | $ 4,938,930 | .49 |
| 66 | Cincinnati | $ four,927,771 | .49 |
| 67 | Rutgers | $ four,634,026 | .46 |
| 68 | South Florida | $ 4,588,627 | .46 |
| 69 | Notre Dame | $ four,051,468 | .40 |
| 70 | Colorado | $ three,587,371 | .36 |
| 71 | Washington St. | $ 3,544,745 | .35 |
| 72 | USC | $ 3,535,629 | .35 |
| 73 | Oregon | $ 3,240,150 | .32 |
| MEAN | $ 10,083,959 | ||
| MEDIAN | $ 8,853,325 |
Significant points to note:
- The Leading three schools financially in men’s basketball (Duke, Louisville, North Carolina) are the only schools that (A) generated over $ 20 M and (B) earned at least 100% a lot more men’s basketball revenue relative to the national average.
Duke and Louisville truly stand out, generating 164% and 157% far more than the national average, respectively.
- 13 schools generated at least 50% a lot more revenue from men’s basketball than the national average.
The BigВ Ten leads the way with four of those teams (Wisconsin, Indiana, Ohio St, Michigan),В then 2 each from the ACC, Large East, SEC, and Massive 12, and only 1 Pac 10 school (Arizona).
- Conversely, there are 9 schools that generated at least 50% much less revenue from men’s basketball than the national average. Not only are four of those 9 schools from the Pac 10 (Oregon, USC, Washington St, Oregon St), but an additional of these 9 schools (Colorado) will be joining the Pac 12 next season.
Indeed, we see why Larry Scott, new Commissioner of the Pac 12 Conference,В was hired to infuse new life, vitality, and aggressive revenue-looking for behavior into this entity.
Huge TEN HAS SEEN THE MOST GROWTH
Likely linked to the creation of The Huge Ten Network which launched in August 2007, the Massive Ten has shown the most growth in men’s basketball revenues because 2003.
The table below compares men’s basketball revenue for the entire conference in 2009 to 2003. It corrects for inflation by employing CPI information from 2009 and 2003 to calculate the 2003 revenues in � dollars”. Lastly, a “growth ratio” is calculated to see the growth in “real revenues” from 2003 to 2009.
| Conference | 2009 | 2003 | 2003 (in 2009 $ ) | Growth Ratio |
| Huge Ten | $ 138,054,933 | $ 37,708,837 | $ 43,976,630 | three.14 |
| ACC | $ 98,323,694 | 1.57 | ||
| Huge East | $ 154,122,296 | $ 88,058,061 | $ 102,147,351 | 1.51 |
| SEC | $ 124,636,534 | $ 73,261,482 | $ 84,983,319 | 1.47 |
| Big 12 | $ 105,706,308 | $ 67,572,143 | $ 78,383,686 | 1.35 |
| Pac 10 | $ 80,129,005 | $ 54,537,074 | $ 63,263,006 | 1.27 |
four of the 6 BCS conferences have seen real growth rates in men’s basketball revenue between 35-57%.
Nonetheless, the Huge Ten has seen the greatest growth by far. Their conference revenues from men’s basketball are 214% greater than in 2003 following adjusting for inflation.
Data like this makes it clear why conferences want their own sports networks.
If any of the conferences could use a cable network to promote its own sports league, its the Pac 10. At 27% growth, their men’s basketball revenues have grown the least over that 6 year span.
Please be sure to check back in later this week as our look into the Economics of College Basketball continues, such as a far more detailed look at individual conferences.
Many thanks to Saint Louis University Sports Company students Bryan Beasley, Jacob Fish, Brett Goldman, Jeff Tiedman, Jordan Erk, and Andrew Moses for their contributions to this post.