The Washington Redskins, with savvy marketing and die-hard fans, are one of the National Football League’s most profitable franchises — despite angering those fans with mediocre seasons and expensive free agent signings since Daniel Snyder bought the team in 1999.
The ‘Skins are ranked the second most valuable team in the league by Forbes magazine, trailing the Dallas Cowboys — which opened a new, $1.25 billion stadium last year.
“It’s pretty easy — they own the stadium,” Evan Weiner, author of “Business and Politics of Sports,” said of the Redskins’ profitability.
Unlike teams that rely more on public financing, the Redskins reap all the profits from games as well as events held at FedEx Field such as concerts, Weiner said.
The team also managed to secure a plum long-term advertising partnership with FedEx, while advertisers are now increasingly squeamish about spending to peddle their wares in sports stadiums, he added. “Companies don’t get the bang for their buck, basically,” he said.
Snyder also has geared up the team’s advertising. The Redskins were one of the first teams to have a rotating backdrop of advertisers at press conferences, for example, and plastered an ad on the cover above the player tunnels, unlike many teams.
He also has extended his reach beyond football by expanding his Red Zebra Broadcasting company, which now owns a handful of local radio stations, including ESPN 980.
Darin David, account director at the Marketing Arm, a Dallas sports marketing firm, worked with the Redskins several years ago, when Snyder shifted the team’s radio deal from selling rights to stations to owning its own.
“They were one of the first to do that,” he said. “They were bringing it in-house when a lot of others were still going through their local station.”
Still, the coaching carousel and high-profile free agent signings that fell short of expectations have riled some area fans.
Anthony Brown, who writes about the team at the Redskins Hog Heaven blog, decided to retire his season tickets this year after 47 seasons.
“I’ll always hope for the best for this team whomever is coaching it or is on the roster,” he wrote for Bleacher Report, an online sports network. “I just don’t think Snyder earned the right to a direct transfer of my family treasure for every game, including exhibition games, at full price.”
The average ticket price is $85, according to Forbes — seventh-highest in the league.
And Snyder, though not shy about shelling out money — player expenses were $126 million last year — has engaged in some head-scratching miserly tactics to bring in revenue. For example, the team charged $10 for fans to attend training camp in 2000 — which opened up the practices to scouts — before scuttling the idea after one year.
Still, high ticket prices, $35 parking and $7 beer have done little to dampen the Redskins brand, as the team touts a waiting list for season tickets in the hundreds of thousands — though the actual figure has been questioned. The NFL brand, however, may take a hit if union negotiations continue to stall and the players are locked out for the 2011 season.
Scott Hurrey, content manager for fan Web site thehogs.net, recently gave up his season tickets, too. Between the club seats and the advertising plastered everywhere at the stadium, he said, “It’s just such a sterile environment. It’s more geared toward casual fans who just want to see a game than people who actually support the team.”
Still, Hurrey said he remains loyal to the burgundy and gold.
“Say what you will about Dan Snyder, but there aren’t too many people as good at marketing a football team as he is.”
Examiner Staff Writer John Keim and Examiner Columnist Rick Snider contributed to this report.
