TNA Notes from the 2/23 Observer

[The Ghost of bps21]

Maybe I'm just confused as to who exactly TNA is keeping from becoming so big.

 

What's the name of this promotion that is going to sign all these guys to contracts and challenge the WWE?

 

Why haven't I heard of them?

 

Oh...they don't exhist...

 

You're expecting someone to show up one day with a TV deal and a load of money...to do everything exactly right...but they won't be able to use these wrestlers.

 

I guess that clears it up. I guess all these guys should just be out of work during the week and go to Japan until this mythical ideal company that does not now (nor never has in the history of wrestling) existed arrives to save everything.

[geniusMoment]

You are right, there is no perfect deal waiting out there. But I feel there is at least a chance that someone will do things the right way if so much talent suddenly becomes totally available. Perhaps if TNA fails no one will pick up the talent and produce a wrestling company, I just hope someone will.

[The Ghost of bps21]

You are right, there is no perfect deal waiting out there. But I feel there is at least a chance that someone will do things the right way if so much talent suddenly becomes totally available. Perhaps if TNA fails no one will pick up the talent and produce a wrestling company, I just hope someone will.

It isn't even logical to believe that someone would.

 

WCW and ECW died in early 2001.

 

TNA came about in mid 2002.

 

NO ONE ELSE TRIED FOR OVER A YEAR IN BETWEEN.

 

Hell...TNA didn't do the contracts until over a year in to their run...so no one else tried what you are talking about in over TWO YEARS.

[geniusMoment]

But my point is it is not logical to believe that TNA will ever be a success under their current format.

[The Ghost of bps21]

It's equally illogical to say that anyone else is coming to start a new promotion.

[geniusMoment]

That I can agree with, so are you saying we are both illogical then?

[The Ghost of bps21]

Yes.

 

And with that...the wrestlers might as well keep getting paid and be locked in to staying in the States, where we can enjoy them more easily at indy events all over.

[geniusMoment]

But under that logic are you saying that there will never be any competition for the WWE again. These are very sad times to be a wrestling fan if that is true.

[The Ghost of bps21]

There won't be any competition for the WWE until they start doing big numbers on TV again, and someone decides to try new wrestling programming.

 

If WWE were doing ratings in the 6s again...TNA would have been much more likely to find a TV deal than with the WWE doing ratings in the high 3s.

[geniusMoment]

I understand what you are saying, but much like how you still have hope that TNA will turn things around I still have hope that a new promotion would form at the grave of TNA. Therefore after all of point counter-points I am right back where I started, with most of the board thinking I am an idiot.

[The Ghost of bps21]

Even if a new promotion wanted to take the TNA guys after they fold...where would they run?

 

They won't get on TV.

 

The ppv model doesn't work...and they can't get on TV.

[geniusMoment]

I would run a promotion, much like how ECW was run in 1994-97, when they financially were successful. First you need money, because syndication is a must for the product. I would begin my promotion in Chicago, as it is a hot bed for wrestling and no major promotion has ever attempted to run there, Chicago is crazy about their sports teams. I would run all around the neighboring areas while continuing to expand my syndication package, meanwhile I would continue to build my stars the best way I possibly could. When my storylines were at their apex I would try to procure a one time only special on some cable network, any cable network, even if I had to buy the time. I would do an advertising blitz myself, as I do not feel I could trust the network to properly advertise my special, see TNN ECW. I would use creative forms of advertising that cost little, I am an advertising major in college so this would be my strong point. During the advertising I would make the ad either eye or ear catching, making the viewer think about what he or she just saw. After the special, which hopefully would do a decent rating, I would continue to expand my syndication package while expanding my touring schedule.

[geniusMoment]

My ppv's would be co-produced through a corporate joint venture taking away initial start up costs, (satellite costs, production costs, etc...) which would help to reduce the cost of the ppvs which is what killed ECW. By the way a joint venture is a one time only deal between corporate enties in which costs are shared and profits shared through advertising, actual money or future considerations. Much like how Bischoff had his WCW setup through investment firms in New York and Jason Herverys production company.

[Guest TDinDC1112]

My ppv's would be co-produced through a corporate joint venture taking away initial start up costs, (satellite costs, production costs, etc...) which would help to reduce the cost of the ppvs which is what killed ECW. By the way a joint venture is a one time only deal between corporate enties in which costs are shared and profits shared through advertising, actual money or future considerations. Much like how Bischoff had his WCW setup through investment firms in New York and Jason Herverys production company.

ok -

 

1. Did you know that ECW wasn't even close to being financially successful ever?

 

2. Until WWE gets the ratings up, there will never be a 2nd promotion.

 

3. Your plan looks great on paper, but there's a ton of guys who have tried, and it doesn't work.

-If you want TV, you have to PAY to be on. Did you know that's what ECW had to do to get syndication, and that's part of what drove them into the ground?

 

4. Did you kow that Smackdown procures the lowest ad rates of ANY network television show because it's wrestling. It could be the #1 rated show, and it wouldn't matter.

[geniusMoment]

Actually ECW was financially successful up until they started on ppv's, the cost of ppv's is what drove the company into the crowd, along with the fact that you do not get ppv money until months after they occur. ECW was financially successful, but only on a small scale approach. Paul took out loans from his family and leveraged his company against bank deals with high interest rates, that hurt his finances not the financial profitability of the company. For everything that Paul gets credit for being a good business man is not one of them. I realize how much syndication costs, I sell advertising time for newscorp as part of my internship, so believe me I know quite a bit about television costs.

[geniusMoment]

Allow me to clarify my previous post. When Heyman bought ECW, took it over, he did so with no major money in the bank and no backer. You need to work inconjunction with an investment firm of some sort, forming a short term joint venture to get your company off the ground and to deal with opening costs. Instead, Heyman took out high interest loans leveraged against his family's money and the assists of ECW. That is how the company started getting bigger. The problem with his method was all of his profits went back into paying off the high interest loans causing him financial problems in future financial quarters, including bouncing checks to wrestlers. When he went on ppv it took more loans and all of the profit he had saved, he went into it by himself. If the ppv did not succeed his promotion failed, period. The problem was the ppv money does not come in for months, but interest on his debts and payments to wrestler and production companies are due when they are due. This became a death cycle until it eventually failed. Business is the key to success, develope a game plan and run with it, succeeding is the only option.

[Guest Salacious Crumb]

McMahon had been giving Heyman money under the table a good year or two before they started the PPVs.

[geniusMoment]

I know, but that was not due to the profitability of the company. It was due to the interest on the loans he took out, something that got much worse when he went on ppv. Heyman was always behind. Go read the ECW bankruptcy statement, all of his assists and debts are listed.