shadowgrin wrote:Aren't jersey sales handled by the league and the revenue are divided amongst the teams? Or is that TV revenue?
The cable revenues are evenly shared among the 26 NBA teams, with the four former ABA teams getting a smaller share, as that was negotiated by the league as a whole. But I believe teams retain a very significant share of their own local TV deals. Jerseys and merchandising MIGHT actually be shared like the cable revenues since the NBA licensing is also handled by the league I overlooked that. But I do think teams get a percentage reflective of their actual sales.
Only certain teams qualify for the revenue sharing though, the number each season is usually less than ten and I believe it has a limit, just like only teams under the luxury tax get any of that revenue. So the standard for what revenues have to be shared through the league and not dispersed over the actual deals would probably be pretty small anyway.
I think it's a case where teams don't change those things to necessarily cover up what happens on the court, as what happens on the court would be much more of a driver of those jerseys, TV appearances, etc. It is a blatant attempt to spark some extra interest to boost sales though.