Chapter 400: Business Value
In Yanjing in April, the weather has gradually warmed up.
In the morning, a Volkswagen Passat slowly drove out of the gate of the training bureau.
Max Essenbad sat in the back seat, gently patted the cushion under him, turned to look at Ye Qin, who was resting with slightly squinted eyes, and sighed slightly, "This car is not bad, but the endorsement fee of the field management center is still too low." ”
"Mr. Essenbad, it will make us feel a little embarrassed if you say that."
In the back seat, Ye Qin opened his eyes, but before he could speak, Chen Zhongzhou in the driver's seat in front of him had already answered first.
"Chen, you don't have to be embarrassed, I'm not talking about you. It's not your fault, it's not your job and the scope of your authority, in some business negotiations, only professional people can really get the best interest. Essenbad laughed out loud and continued, "Besides, it seems to me that your athletics center is actually doing a good job in this area, but it is still a little far from fully exploiting the value of the athletes." You really underestimate Ye Qin's influence, a world men's 200m champion, the world's first yellow champion, the first yellow athlete to run into the 10-second mark, a legendary athlete who can compete in both the 100 meters, 200 meters and 400 meters, you ignore Ye Qin's commercial value too much. Not to mention the world, at least in Greater China and the entire Asia-Pacific region, Yechin's business value is beyond your imagination. ”
"Can you elaborate, Mr. Essenbard?" Chen Zhongzhou's tone was a little unhappy, he is the coach under the Athletics Management Center, he has been watching some commercial endorsement advertisements received by Ye Qin in the past few years, and he dare not say that they are particularly good, but compared with athletes, they are still good.
"Call me Max, Chen, you are an assistant coach, I have understood, Ye Qin's current head coach is Yuan Guohua, but the other party is the coach of the relay team, many things cannot be estimated, most of the time you are in charge of Ye Qin. I have to say that you have more potential as an agent than a coach. ”
Max-Essenbaard replied with a smile as if he couldn't hear Chen Zhongzhou's tone at all.
To be honest, he was still surprised when he learned about Chen Zhongzhou's role in Ye Qin's team, not only did he need to coordinate Ye Qin's competition work, but also many aspects of life, and even some business work was handled by the other party.
Like a lot of times when Yechin travels, the other party drives and picks up the car, and under Max Essenbard, this is not an assistant coach's job, at least it can be spread among many people, and some of these jobs are the roles of agents and managers.
Of course, Max Essenbaard didn't say it particularly directly, after Yechin went to Germany to compete, until October, he has been in China for more than two months, learning about various situations.
According to him, Liu Yangyu, another Chinese track and field superstar, has the same training and life, and his head coach Sun Chaosheng is often in the car to pick up and send him. From Daben after the Athens Olympics to VOLVO, which was endorsed later, almost all of them were Sun Chaosheng. It is said that this year's Cadillac also came into contact with the field management center.
"Well, Max, since you say I'm an agent, I'd really like to know about it."
When Chen Zhongzhou heard Max Essenbad's words, he was slightly silent for a while, and did not refute the other party, but directly asked about the specific situation.
In the past few years, for Chen Zhongzhou, many conceptual things have indeed changed a lot. Although he initially entered Ye Qin's coaching team as an auxiliary assistant, but gradually because of Ye Qin's progress in the later stage, there were more and more things to deal with, and he really had the idea of directly taking over Ye Qin's agent.
"Brother Chen, if you are willing to take over, I will definitely hand it all over to you."
In the back seat, Ye Qin, who had never spoken, heard Chen Zhongzhou speak like this, and then interjected with a smile. Twisting his neck slightly, after the training this morning, the body muscles were still a little tight, and he didn't have time to fully relax, and he felt a little uncomfortable after doing it in the car for more than half an hour at this time.
Essenbad saw Ye Qin's movements on the side, made a gesture directly, reached out to Ye Qin's side and rubbed him slightly, and then said: "Chen, even if you have this idea, but you don't have experience or understanding of this field, so you will definitely suffer a loss when you talk about endorsement and advertising income for Ye Qin now, just like your field management center does."
The income from commercial endorsements is the most important part of the income for both popular athletes and celebrities in the entertainment industry, but the more the better.
I learned in detail about the income of your other sports star, Liu Yangyu, in recent years, and found that he received a lot of advertisements and endorsements, but in fact, the total income was not high. ”
"Liu Yangyu's income in 06 should be tens of millions, right, this income is not high?" Chen Zhongzhou asked in surprise.
"The endorsement fee is about 5,000 to 60 million, and Liu's income should be about two or three thousand yuan." Max Essenbaard is obviously much more familiar with data than Chen Zhongzhou, "Chen, do you think this income is very high?" So do you know how much the world's top 10 sports stars earned in '06? ”
As he spoke, without waiting for Chen Zhongzhou to answer, Max Essenbaard replied first, "F1 car Alonso, 135 million, US dollars!" The second is golfer Tiger Woods, 111 million, and the third boxer Hoya is 53 million, US dollars. Even Valentino Rossi, the tenth-ranked motorcyclist, earns more than $30 million. Now, you can do the math on what the gap is. ”
Chen Zhongzhou in the driver's seat stopped talking for an instant, at this time the exchange rate between the RMB and the US dollar was about 1 to 7.7, according to the calculation of Valentino Rossi, the last one in the world's top ten, the gap between the two was also seven or eight times. If you lose some of the price or something, there is always five times.
Not to mention the comparison with those in the top three and the top two.
"That's why I want to say that commercial endorsement is not about quantity, it's about quality. A high-end endorsement brand can not only bring enough income to athletes, but also increase the value of athletes. And these commercial activities can be made as unlikely to affect the training, competition and life of athletes as much as possible. The one we signed today is just the beginning, a gift of my first cooperation with Ye Qin and your management department, and when all the process specifications are fixed, I will promote Ye Qin to the world. ”
Max Essenbaard said with a faint expression, but there was a strong confidence in his tone.
Hearing this, Ye Qin next to him was a little moved, the concept of money in his bones is actually a little vague, and he may calculate it carefully when he has little money, but after he has enough energy to live, he actually doesn't care so much about this aspect.
This has something to do with the life and habits of youth, like some black athletes who are poor and rich, but they don't squander and simply save up. But after coming into contact with some people, especially Chen Zixi's father Chen Yunbo, he realized that he should make full use of his fame in his career to gain benefits. This is the sincere advice of a person who has been in business for many years to a person who has not been in contact with this area.
What Max Essenbaard said about this situation, Yechin knew very well.
In the past few years, Liu Yangyu has received more advertisements than him, and he knows very well that this is the gap between the influence and popularity of the two, and there is nothing to say. It's just that although Liu Yangyu has received a lot of advertisements and endorsements, the number can be said to be quite a lot, but when it comes to every brand, it is really not particularly high.
Even some international brands can be said to be cheap compared to those athletes who are at the top of the world. After Liu Yangyu broke the world record in July last year, the Athletics Association raised the upper limit of Liu Yangyu's advertising endorsement price from the original 10 million yuan to 12 million yuan.
And Ye Qin is about to sign the Adidas advertising endorsement, the price is 20 million a year, this is Ye Qin's largest endorsement contract since the commercial, with a single second round compared with Liu Yangyu last year and the year before that.
This is more than advertising endorsement income, it is Max Essenbard's first open-door gift to Yechin, if it were not for the fact that the brand influence can radiate to the world, Max Essenbard would not be happy to accept this price.
This is the difference between professional brokers and non-professionals.
Sports agents, like professional sports, are foreign.
As early as the second half of the 19th century, the developed countries in the West, represented by Britain and the United States, experienced the evolution of amateur sports to professional sports. The biggest difference between the two is that professional sports no longer only focus on the sports themselves, but also focus on the operation and promotion of events, commonly known as commercialization.
Since then, the need for the management of sports events and athletes has further given rise to sports brokerage activities, and with it, sports agents who are engaged in related work.
In China, due to problems such as late start time and sports management mechanism, the maturity of the sports brokerage market is obviously insufficient, and a typical figure is that the current ratio of professional sports agents and full-time athletes in China is less than 1:3000.
In the field of sports brokerage, due to historical reasons and differences in institutional mechanisms, China has chosen a completely different path.
The vast majority of Olympic sports and professional athletes in China rely on national training, from sports schools to national teams, and the cost is borne by the sports management center. Under the premise of high investment and high elimination rate, the only goal is to get good results and win gold and silver in international competitions.
Under this model, the teams and management departments to which domestic athletes belong once played the role of sports agents. According to the Notice on Strengthening the Management of In-service Athletes' Advertising and Other Business Activities issued by the State Sports Commission, the predecessor of the General Administration of Sport of China, in 1996, it stipulates that "the intangible assets of in-service athletes are owned by the state".
In other words, the governing body almost "buys out" the athlete's career, during which time the distribution of prize money and commercial benefits is managed by the General Directorate of Sports.
The advantage is that you don't have to worry about daily expenses like foreign athletes in the United States, and you can focus on training and competitions. The problem is that athletes in the system are more restricted from participating in commercial activities, and private endorsements and other behaviors are considered to be violations.
But this seemingly draconian policy was loosened last year.
In 2006, the General Administration of Sport of China amended the above regulations, and the management department affirmed the efforts of individuals and promised to protect the rights and interests of athletes with regard to the intangible assets of athletes.
This is also the premise that Ye Qin can start the cooperation with Max Essenbad, on the basis of which Max Essenbad has also facilitated the exchange and cooperation between the Chinese track and field team and the IMG Academy of the United States, and a large number of athletes will go to the IMG Academy to train and cooperate at the end of this year.
After taking the job as an agent at Max Essenbad, Yechin no longer needs to fully split accounts with the field management center as before. The field management center handed over Yechin's brokerage business, and IMG took over, and the two shared 30%-40% of Yechin's revenue.
Compared with the previous Ye Qin can get one to two percent more, the more important thing is that IMG has the strength to receive a higher-priced endorsement contract for Ye Qin, even if the field management center has reduced the proportion, the overall income will not be reduced, and it may even be more.
Some of these things are clear to Ye Qin, and some Ye Qin doesn't particularly understand them, so he doesn't have to worry about them. Basically, everything is Max Essenbaard's way to talk. The difficulties and troubles encountered are what a broker and an international talent economy company need to solve.
For this endorsement contract, although it is not as good as the contracts of other world-class top sports stars, Ye Qin is still very satisfied in his heart.
This is the beginning, whether it is the price of endorsement or cooperation through brokers, to be able to fully understand their own value, which is what Ye Qin cares about the most.
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