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College athletes are getting paid, and fans are starting to see a growing share of the bills.

College athletes are getting paid, and fans are starting to see a growing share of the bills.

Winning major college sports has never been free.

In Tennessee they adding a “talent fee” to the price of sports tickets. In Arkansas, retail outlets charge 3% more. At Michigan and Michigan State, athletic directors have sent out letters warning fans that winning will cost more. And first of all, Clemson is going to start adding sports training camp to tuition bills.

Winning in major college sports has never been free, but in a fast-changing era where players are allowed to earn money and be paid by their own schools, it has never been clearer that fans will capture the majority of the revenue. tab.

“College athletics hasn’t become as professional as I think it is,” said Nels Popp, a sports business professor at the University of North Carolina who believes most schools still rely on the emotional, long-standing school connections of fans more than the grassroots. -linear marketing strategies. “And now I think it’s pushing them in that direction.”

When the NCAA is reluctant approved payments to players for use of their names, images and likenesses (ZERO) In 2021, supporters who had previously donated money to schools and their athletic departments began giving money to collectives, independent organizations that collected money and paid athletes. These groups are becoming increasingly closely associated with universities.

According to the terms $2.8 billion lawsuit settlement which comes into effect next year, NIL agreements will remain in full force and schools themselves will face other multi-million dollar changes to their profits, including:

“Each school that has the money to do so will be allowed to share up to $22 million in annual revenue with athletes—money they receive from ticket sales, television contracts and other sources.” They may share less, but the top recruits will be the focus of the arms race for talent.

— The amount the NCAA pays more than 350 Division I schools each year will decrease. The organization must cover about $1.2 billion in damages as part of the settlement, with the rest coming from conferences that will receive less money each year from the NCAA and its lucrative men’s basketball tournament.

“Schools will be allowed to offer more scholarships in all sports, and that costs money.” For example, a school may offer up to 20 additional scholarships totaling 105 in football. Michigan athletic director Ward Manuel said adding athletic scholarships could add $29 million in education costs to the department’s bottom line. And this is in addition to income distribution.

“Maintaining a high level of support for our 29 NCAA athletic programs will require increased efforts from everyone,” Manuel wrote to Wolverine fans last month.

One possibility for Michigan could be advertising inside Michigan Stadium, a practice the Wolverines have steadfastly avoided for decades. The school also sent out a recent survey that asked, among other things, whether fans would be willing to pay $3,000 to $4,000 for a new tranche of seating, which is rare outside of the club sections at The Big House.

In 2023, it was worth two fans for one. on average about $180 to attend a college football game And about $340 for an NFL game. After all, college sports didn’t have to worry about the biggest item in a professional team’s budget—player salaries.

NIL has begun to weaken this, and once the terms of the lawsuit settlement come into force, this dynamic will change even more. Michigan State Administrator Alan Haller told Spartans fans his department’s 25-26 year budget will include $25 million to $30 million in additional spending.

“As a department, we will continue to explore new opportunities to both generate revenue and contain costs,” Haller said. “However, without a doubt, your continued generosity and participation will be paramount to our pursuit of excellence.”

Some fans will no doubt continue to write checks to keep the players (and hopefully the wins) coming, while also maintaining their “rights” to purchase a certain number of tickets to football games.

A tour of the parking lot before this season’s Michigan-Michigan State game found others who sounded more reluctant.

“The price of education is out of control,” said Michigan State fan Mike Bouchard, citing the price tag of more than $55,000 for an out-of-state student to attend his alma mater. “In no case will I dig into my pocket beyond this amount. Tell them to use their hundreds of millions in donations.”

“Absolutely not,” said Ann Arbor resident Michael Ketzlach when asked if he would donate more to support Michigan athletics. “I think this is unnecessary. This is bad for the sport.”