How Much is a National Championship Worth to a School?
The recent buyout (firing) of Jimbo Fisher at Texas A&M underscores the the belief that at many of the nation’s most prestigious football schools, winning is not enough; National Championships are the expectation.
But just how much is a NCAA Football Championship worth? Like the Dollar amount. And please don’t say, “priceless.” Because it’s not.
Of course, we could get into a discussion about the intangibles associated with a championship program: pride, confidence, respect, coolness, etc. But, I am not interested in those right now—and honestly, those intangibles usually lead to something tangible anyway i.e. money.
Let’s talk about the tangible differences observed in a school before and after winning a National Championship. This will give us a decent understanding of the expected ROI for some of the staggering salaries listed below.
Georgia: The Case Study
The University of Georgia was a very good SEC football program from 2016-2020. Their revenues from things like sponsorships, ticket sales, bowl games, etc. were nothing to balk at, but when they won the National Championship in 2021 they really started to rake in the dough.
Georgia has not yet released their revenues & expenses report for the 2022-2023 year, but once they do I am certain that we will see an even bigger jump in overall revenue to the program. Highlighted above is the increase in revenues, specifically donations and sponsorships, seen flowing into the program during their championship-winning 2021 season.
Georgia Football’s overall revenue grew 16% ($21 million) during the 2021 season, and likely by an even greater amount during 2022. This is not only because Georgia repeated as National Champs, but because the effects of a championship linger.
If reinvested into the program, in the form of new facilities, recruiting expenses, and high coaching salaries, this boost in revenue could propel a middle-of-the-conference program to national dominance in only a matter of a couple years. This is essentially what we are seeing with the football program out of Athens, GA.
So, to answer my initial question, “How much is a National Championship worth?”
My answer is a very “safe”: it depends.
It depends on how the initial boost in sponsorship, donor money, and ticket sales are reinvested. Because if done correctly, those revenues could be compounded year after year to the tune of tens of millions of dollars.
Notable NCAA Head Coach Buyouts: 2023
Looking at the three most recent head coach firings, are these sound business decisions?
Jimbo Fisher, Texas A&M: $76 Million Buyout
Andy Avalos, Boise State: $3 Million Buyout
Zach Arnett, Mississippi State: $4 Million Buyout
Campus/Gameday Review:
UofA vs Morgan State: Basketball
At risk of exposing myself as a true Arizona homer, check out this video review of the University of Arizona Wildcats Men’s Basketball opening night in Tucson.