Tuesday, February 15, 2005

The face of Anaheim's NFL negotiations



He’s not a star athlete with a multi-million dollar contract. He doesn’t hold the deed to the Arrowhead Pond of Anaheim. But don’t let that fool you – David M. Carter is an influential figure in Southern California sports. A successful business consultant positioned in the middle of what his firm called an “increasingly volatile” local sports and entertainment industry, Carter was a key recent addition to the team leading Anaheim’s quest for a National Football League franchise.

“It was a natural fit,” Carter said of his association with the city. “I already knew the (Anaheim) people and have studied the market.”

Anaheim hired Carter’s Sports Business Group in late November to assist with their NFL negotiations. Carter was selected because of his reputation as a highly -respected sports consultant, according to city spokesman John Nicoletti.

“His team is dedicated to capturing the most up-to-date dealings in the sports world,” Nicoletti said. “(Anaheim has) a knowledge and relationship base within Sports Business Group that we felt would be beneficial to our in-house team.”

Nicoletti cited Sports Business Group’s prior work for two other proposed Southern California football stadium sites – the Coliseum and the Rose Bowl – as particularly beneficial.

“They have institutional knowledge that other firms do not have,” Nicoletti said.

Carter’s company is working on a “competitive analysis” for the city of Anaheim. This project will help the city better understand the financial complexities behind deals that have recently been made to build and remodel NFL stadiums in other markets, according to Nicoletti.

“We want to make sure we secure the most beneficial deal we can for the residents and businesses of Anaheim while still providing for a profitable and successful NFL franchise,” he said.

Nicoletti said Carter’s involvement will be vital to the city’s NFL franchise efforts and categorized Carter’s work since his hiring as “extremely meaningful.”

Carter and the Sports Business Group communicate regularly with Anaheim and the NFL. Carter called the project as “a mammoth undertaking” because, he said, in order to succeed it must balance complex financial intricacies with the political interests of a variety of local, regional, and national stakeholders.

“By all accounts we are talking about a $500 million undertaking fraught with business and political risk to the parties involved,” Carter said.

He was unable to elaborate on the details of his work, but did acknowledge that it requires a considerable amount of time and analysis on a daily basis.

Carter has always had strong ties to Southern California. He majored in marketing as an undergraduate at the University of Southern California, and returned to USC for an MBA with a concentration in finance. He quickly considered entering the sports industry.

“I was intrigued with sports and equally the business element behind it,” Carter said.

Carter began his career in a time when the sports industry was just beginning to be consumed with ever-increasing athlete contracts. He was fascinated with the intricacies of the sports business, and “wanted to see where it would go.”

It wasn’t long before Carter returned to his alma mater. He originated a course named “The Business of Sports Entertainment” at USC’s Graduate School of Business 10 years ago, and still teaches the class every semester.

He has also written three books, the first of which was published in 1994 and titled “You Can’t Play the Game if You Don’t Know the Rules.” The book, Carter said, was the result of a number of people asking him for advice about careers in the sports industry.

Since then, he has written two more: “Keeping Score,” a book that helps organizations build sports marketing strategies, and “On the Ball,” Carter’s 2003 hardcover he co-authored with ESPN.com sports business journalist Darren Rovell.
Carter said he has been approached about writing another book, but does not have the time nor the energy to pursue the project.

Despite his busy schedule, he enjoys appearing as a regular contributor to the Marketplace Morning Report, a National Public Radio program. Carter’s recent commentaries have focused on topics ranging from Major League Baseball and steroids to the current National Hockey League lockout.

In 1999, Carter founded The Sports Business Group, a Redondo Beach-based firm that provides sports management and marketing consulting. He said he decided to create his own company for a number of reasons, but the most important was his desire to establish a trusted local identity.

“It was important to brand a corporate name in addition to myself,” Carter said, “so that when I bring in new people they will have some name recognition.”

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