NHL business notebook: Devils introduce unique helmet sponsor twist and Detroit finalizes local TV d

When it was greenlighted last season, the New Jersey Devils were the first team to announce a helmet sponsor. This week, the Devils announced a unique twist to the helmet sponsorship situation.

Prudential is still the headliner and is paying close to $2.4 million per season to the Devils, but the financial company and the Devils have agreed to donate the helmet space for 13 home games to a Black-owned business in New Jersey.

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This is part of the Devils Buy Black Program, which launched last season, and companies can submit applications for the helmet space through Oct. 29. The company will be named in mid-November, with the first game of the new helmet sponsor on Dec. 8 against the Philadelphia Flyers.

“Last year, the New Jersey Devils organization made a long-term commitment to leverage our brand and business to help address disparities faced by the Black community. The Buy Black Program Presented by Prudential Financial is designed to increase exposure, access and growth opportunities for local Black-owned businesses,” said David Gould, Harris Blitzer Sports & Entertainment Chief Diversity and Impact Officer. Thanks to Prudential’s continuing partnership, we can expand on the benefits and impact of the program as we carry out our commitment forward.”

The 13-game slate equates to roughly $400,000 in advertising value for the selected company.

In general, helmet sponsors have grabbed the spotlight this week, with teams announcing their respective advertisers on social media. The deals this season are no longer “make goods,” deals to keep top sponsors happy during the pandemic, and instead generate real profit and hockey-related revenue, with most teams now able to command at least $1 million for their helmet stickers.

These helmet stickers are also a window into what could happen with NHL jersey advertisements next season. In many cases, those sponsors on the helmet are favorites to end up on the jersey. The helmet sticker could also help determine where the jersey patch ends up.

Teams can sell a patch on either the chest or the shoulder, and some teams are considering packaging those with helmet sponsorship to get a better deal. Others are more likely to split the helmet and the jersey patch, similar to how some teams will split home and road sponsorship for the helmet and the jersey.

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There’s a debate over which jersey patch is more valuable. The one on the front will be more prominent in close-up photos and social media posts, but the shoulder patch will translate better to television. Think about each faceoff and how the shoulder will be center screen.

Wings finalize TV deal

The Detroit Red Wings and Sinclair-owned Bally Sports Detroit have signed an agreement for the network to continue as the local TV provider for the club.

The deal, which guaranteed Thursday’s game between the Red Wings and Tampa Bay Lightning will be on local television, is a sigh of relief for fans in the Detroit market. Red Wings preseason games had been shown on Bally Sports Detroit before a deal was finalized, but that was essentially done as a sign of goodwill from both sides.

The exact term and valuation of the deal aren’t yet known, but inevitably other team executives are scrambling to find out how much the Red Wings got from Sinclair for the rights. In the past, Detroit was reportedly taking home $25 million per season from Sinclair, which was one of the most lucrative local TV deals in the United States for NHL teams.

Because of the ownership situation, the Red Wings’ deal isn’t exactly comparable for other NHL teams. When negotiating with Olympia Sports, Sinclair is also negotiating about the rights to the Tigers, which are roughly double the value because of the expanded inventory an MLB schedule offers.

But the fact Olympia stuck with Bally is a pretty clear indication that any rumbling that a team is trying to build its own regional sports network (RSN) is nothing more than public posturing or a negotiating tactic. Olympia has floated the idea of building its own RSN and even looked into finding a partnership with the NBA’s Detroit Pistons, but in the end, circled back to a more traditional model with the RSN.

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Other NHL teams have tried to hint at building their own individual distribution models, but each time networks have called their bluff. It comes down to the financial situation; for an NHL team to go around the RSNs or build a straight-to-consumer model, it would have to find a way to make up $15 million, on average, in profit.

That cost, even with great advertising, would inevitably be put to the consumer. One source said it would likely cost at least $20 per month for a team, and even that price point is probably generous considering what teams would need to make for it to be worthwhile to try to distribute games themselves.

Breaking barriers

The Tucson Roadrunners, the AHL affiliate of the Arizona Coyotes, made history when they hired Kim Cota-Robles as the only female full-time public address announcer in professional hockey.

Cota-Robles was a Roadrunners season ticket holder who had recently started picking up voiceover work when she emailed them a sample of a mock commercial she had made for the club. The email prompted Tucson to invite Cota-Robles to try out for the vacant PA job.

“I had no idea that was even an option,” Cota-Robles said. “It’s something I hadn’t really thought about. I just wanted to do something with them and didn’t know that they had a (PA) opening. So I went to the tryout, and I was nervous — it’s a bit weird hearing your voice like that, especially in an empty building.”

Her performance turned out to be the best among the applicants, and she will now handle PA duties for 26 of the 34 home games. Cota-Robles is well aware of it now but didn’t really think she was breaking any barriers until she went to the tryout.

“I stopped to kind of think about all the sports I’ve been to, and you never hear a female voice in that main PA role,” Cota-Robles said. “It kind of made me a bit nervous when I stopped to think about it. I thought there might be some negative feedback, but it’s been overwhelmingly positive.”

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Cota-Robles has already done a preseason game for the Roadrunners, which went well, and she said she’s excited to be in a role in which she can help grow the sport to a more diverse audience.

Mail time

Note: Submitted questions have been lightly edited for clarity and length. 

Do you think ESPN will continue to promote hockey players on its platform during other events (like incorporating Sidney Crosby into “Monday Night Football”) throughout the year? Or was that more of a “one time before the season” thing? — Taylor M.

I’m fascinated to see how ESPN cross-promotes the sport when it isn’t opening week. I wouldn’t bet on future “Monday Night Football” appearances, especially when Crosby’s interview was bumped because of the Jon Gruden news, but I do at least expect ESPN to better promote it during prime telecasts.

One thing I was told could be in the cards is an acknowledgment of NHL players at other events. For example, if an NHL player goes to a UFC fight or an NBA game — think of Auston Matthews at a Toronto Raptors game — the producers of the NBA telecasts might use that as an opportunity to tease ESPN’s NHL coverage.

For Turner/TNT, I know they said it would be a while before they would consider putting games on HBO Max, but do you think there is a chance they might bring back the “24/7 Road to the Winter Classic” series and put it on there since they have the rights to that game? And was there ever an update on ESPN potentially bringing Gary Thorne back in the mix? It would be pretty great to hear him call some NHL games again, even if it is just for a year or so. — Bryan

“Road to the Winter Classic” will be back this year, but it will be on TNT. On Thorne, ESPN would have been interested in something in a small role but nothing in a full-time capacity. Thorne has also had a pretty large price tag, and ESPN didn’t see the value in bringing him back for a nostalgic call or two.

Sean, you know I could fill a mailbag with questions. Like, what’s the plan with NHL and Twitch? Is there any? Is that a mailbag question? — Justin C.

Anything can be a mailbag question. Right now, the NHL doesn’t have many — well, any — plans with Twitch. I do think there are some opportunities there for players or teams to capitalize on, particularly if you are trying to build a connection to players when most of them play video games in their downtime anyway.

I saw an article recently about how the NHL sold its stake in Disney Streaming Services back to Disney for $350 million. Does this have an impact on the cap or is it not considered hockey-related revenue? — Kyle P.

Per two NHL sources, that sale back to Disney does go into hockey-related revenue (HRR), but it was a preplanned sale so the $350 million was split over the past five seasons into HRR.

Are players who just signed their entry-level contracts subject to the 17.2 percent escrow deduction despite not having played during the two pandemic seasons? — Chris H.

Yes, everyone on an NHL roster this season is subject to the 17.2 percent escrow.

(Photo: Patrick Smith / Getty Images)

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