Show Me The Money: Just Why Do US College Athletes Remain Unpaid Despite League Body Generating Billions?

In the 21st century, various sports have been revolutionized through the many advancements in technology. Part of this revolution is the enhanced broadcasting of sports (even at the collegiate and high school levels).

As a result, more and more up-and-coming student-athletes are gaining traction through the kinds of exposure that only social media, newspapers and television coverage can offer. There is an ongoing discussion pertaining to whether or not collegiate athletes are getting a raw deal.

It is common knowledge that ideally, students are in learning institutions to gain a valuable education that will chart a course for their respective career paths. So as student-athletes, their sporting ambitions play a secondary role to their academic obligations.

Profitable sports industry

However, on the other hand, the sports marketing industry has over the years been highly profitable. According to figures compiled by Statista, the global sports market generated about $91 billion as of 2017.

That figure has been rising tremendously since 2005, when it was about $46 billion. Amazingly, the bulk of this $500 billion industry is centered on the lucrative media rights deals signed by the various sports conferences and leagues.

For instance, in North American college sports, billions of dollars are generated each year from broadcasting rights. However, there are no proper channels for a trickle-down effect to one of the most important stakeholders, the players.

The National Collegiate Athletic Association made $1.06 billion in 2017 according to Fox Business. The revenue was drawn majorly from television deals with CBS and Turner as part of their $8.8 billion mega deal that runs until 2032 signed in 2016. This was an extension of an initial 14-year $10.8 billion deal signed in 2010 that was scheduled to run up to 2024.

NCAA’s perspective

The NCAA stated that 90% of their annual revenue generated is channeled towards ‘helping’ student-athletes despite the stars being unpaid. Their point of view is that the money is sent to schools and conferences for sports development projects, coaches’ contracts, research and conference grants.

Yes, some student-athletes get the benefit of a scholarship which takes a huge chunk off their financial burden and aids them in attaining a degree. These scholarships come with other added perks which add up to no small amount. However, is that really enough when their respective conferences are generating the kind of revenue they do?

To close the lid on this, players should be allowed to monetize their personal brands. This could occur in the form of signing endorsement deals or profiting off their livelihoods. As a basic benefit, it would help them earn some extra income as they play and attend school.

Additionally, they would be able to start building their own brand because modern sports today is not only about putting on performances on the pitch but also enhancing brand visibility. This option would bypass the almost impossible solution of having schools pay their athletes. Only 24 athletic programs in the US are self-sufficient so having universities pay their student-athletes would place an even bigger burden on already struggling schools.

Media and circumstance dictate athletes’ decision

2009 NBA All-Star Game — Iverson and Lebron did not pass through the NCAA program

The successful careers of Allen Iverson and LeBron James were launched on the backdrop of media exposure. While still studying, they were able to capitalize on the attention which paved way for the global sports icons they then became.

One could easily argue that these two were destined for the big leagues and would have bypassed college anyway, but there are a number of athletes who try to make it in the big leagues too soon, as they see it as the only way to break the poverty cycle.

A lot of these athletes come from poor backgrounds and giving up the kind of money they believe they can make in the big leagues is too much to ignore. Many do not see the benefits of attending college and getting a degree as they are just thinking of their livelihood. Can you blame them? Therefore, one solution for keeping some of these athletes in school is allowing them to monetize their brands.

An all-inclusive endorsement structure should be created solely to cater for the student-athletes. This structure should be geared towards:

Protecting the student-athletes from exploitation by the various sponsors and companies who they endorse.
Allow the student-athletes to create their own brand which they can ultimately monetize.
Give provision for the student-athletes’ creative freedom to increase their visibility and income for instance through the selling of merchandise and other promotional content.

Flops that skipped college basketball

In the quest for financial freedom, not all these players make it in the big leagues. Some took the leap of faith by chasing a dream in the NBA straight out of high school but fell by the wayside. Below are two athletes who were unable to make a solid impression:

Kwame Brown

This 6ft 11 center was regarded as the best high school player among his peers and initially intended to go to the University of Florida before proceeding to the NBA. However, he declared himself available for the 2001 draft where he was picked in the first round by Washington Wizards.

For all the hype that surrounded his potential, Brown only managed 4.5 points per game in his rookie season. Injuries derailed his progression throughout his 13 seasons in the NBA has moved around seven teams. In 607 games that he featured in that timeline, Brown averaged 6.6 points per game with his all-time low of just 1.9 points per game his final season in 2013.

Sebastian Telfair

He was listed as the second-best point guard of his class during his senior year at Abraham Lincoln High School. He turned down a scholarship to join the University of Louisville in favor of a move to the NBA. He was drafted as the 13th overall pick by the Portland Trail Blazers in 2004 and started 26 of 68 games in his first season.

At the time, Telfair averaged 6.8 points per game. During his 12 seasons in the NBA, he featured in 564 matches and managed a mere 7.4 points per game which was a low return for a point guard. His last official stint was in the 2014-2015 season when he signed for Xinjiang Flying Tigers in the Chinese Basketball Association. This was an all too familiar situation of a young prospect not living up to expectations.

Different sports era

2018 Euroleague Basketball Adidas Next Generation Tournament - Players Educational Session

A lot has changed in sports and the modern game is more demanding even at amateur and semi-professional levels. Sport has developed into something that is about much more than the product on the field and the main reason is media exposure. Now sport stretches from athletes’ involvement in the community, lifestyle, marketing, build-up to matches among many other aspects.

Student-athletes should be given a chance to broaden their scope outside the parameters of the scholarships they may or may not receive. As one saying goes, “Prepare young athletes for their sporting future, not just the next competition.”

A collegiate athlete’s life is about so much more than just playing. College is one step on their journey that is about preparing them for their lives ahead. Allowing them to develop their brand, as well as their game, while receiving an education can really help a lot of student-athletes with their present and their future.