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Beckham blitz out of this world for galaxy: Brit star's presence brings team $100 million purchase offers.


To put it simply: the third week of July 2007 may prove to be the time when U.S. soccer finally transitioned from its third-tier status to a major sport in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. .

David Beckham's British invasion British Invasion

Musical movement. In the mid 1960s the popularity of a number of British rock-and-roll (“beat”) groups spread rapidly to the U.S., beginning with the triumphant arrival of Liverpool's Beatles in New York in 1964 and continuing with the Rolling
 prompted an avalanche of local, national and international media attention last week that likely surpassed even the rosiest expectations of the Los Angeles Galaxy The Los Angeles Galaxy are a professional football (soccer) team based in Carson, California that participates in Major League Soccer. The name "Galaxy" refers to Los Angeles being the home of many Hollywood "stars". , once an obscure soccer club.

Beckham and his wife, Victoria, the former pop star "Posh" Spice, not only dominated the headlines, but she was featured in a one-hour primetime special. Then they received the ultimate Hollywood tribute: a bash to be hosted by Will Smith and Tom Cruise, with A-list invitees including Steven Spielberg Noun 1. Steven Spielberg - United States filmmaker (born in 1947)
Spielberg
 and Oprah Winfrey “Oprah” redirects here. For the show, see The Oprah Winfrey Show.

Oprah Gail Winfrey (born January 29, 1954) is the American multiple-Emmy Award winning host of The Oprah Winfrey Show, the highest-rated talk show in television history.
.

Expect Cruise and his wife, Katie Holmes, pitchside in Carson, paparazzi pa·pa·raz·zo  
n. pl. pa·pa·raz·zi
A freelance photographer who doggedly pursues celebrities to take candid pictures for sale to magazines and newspapers.
 in tow.

"Major League Soccer's time is right now. People will look back at decisions made in 2007 and will recognize this as the definitive moment for U.S. soccer," said Jeff Marks, chief operating officer Chief Operating Officer (COO)

The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president.
 for Los Angeles-based Premier Partnerships, a sports industry consultant.

It seems clear that the Galaxy's $32.5 million investment in Beckham over 5 years has already paid for itself with the phenomenal buzz created last week.

At the 27,000-seat Home Depot Center in Carson, the remaining home games are expected to sell out. Last year, the team averaged only 20,814 fans a game. Already all 42 suites have been sold--a first. Season ticket sales have surpassed 10,000 this year--they were 8,000 last year--and expected to grow another 2,000 next season.

And the team's annual revenues are expected to double to $100 million over the 5 years of Beckham's tenure. That would put it on par with some of the top European soccer clubs.

Tim Leiweke, chief executive of Galaxy owner AEG AEG Aeger (Latin: Sick)
AEG Allgemeine Elektrizitäts-Gesellschaft (Common Electricity Company)
AEG Aircraft Evaluation Group
AEG Association of Engineering Geologists
AEG Air Expeditionary Group
, said the company also has received numerous offers to buy the team for as much as $100 million--which would surpass by ten times me purchase rights of a new MLS See multilevel security.  team in Toronto that started play this season.

Leiweke said AEG, which owns the Carson stadium the Galaxy plays in, would not consider the bids.

Indeed, Beckham's arrival could create a financial impact that exceeds $1 billion after calculating the impact of television rights, sponsorship revenues, ticket sales and apparel sales.

Consider the demand from retailers nationwide for Beckham's new Galaxy jersey. It was so strong that Adidas churned out a whopping 250,000 Beckham uniforms in its first run, surprising the manufacturer. (Beckham will receive a small percentage of each jersey sale, while AEG will profit from the retail markup at its stadium shops.)

Now the challenge is to transform the hype into increased business, which should not be difficult as long as Beckham doesn't suffer a bad injury.

"Soccer in the rest of the world garners this level of attention," said Rod O'Connor, general manager of the Home Depot Center. "Our job is to capitalize on this excitement."

BY DAVID NUSBAUM

Staff Reporter
COPYRIGHT 2007 CBJ, L.P.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2007, Gale Group. All rights reserved.

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Title Annotation:SPORTS
Author:Nusbaum, David
Publication:Los Angeles Business Journal
Date:Jul 23, 2007
Words:496
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