1 00:00:00,280 --> 00:00:03,560 Speaker 1: This is the business of sports where in the situation 2 00:00:03,640 --> 00:00:06,400 Speaker 1: that we haven't dealt with in modern times, pandemic here 3 00:00:06,440 --> 00:00:10,479 Speaker 1: has really accelerated the investments that we've been advocating for 4 00:00:10,480 --> 00:00:12,880 Speaker 1: for years. From a Macrow standpoint, I think our sport 5 00:00:12,920 --> 00:00:16,360 Speaker 1: industry is really forced to look at the business a 6 00:00:16,440 --> 00:00:19,639 Speaker 1: little bit differently. In depth conversations with the leaders in 7 00:00:19,720 --> 00:00:22,759 Speaker 1: the sports industry. Who wants to be the sacrificial lambs 8 00:00:22,800 --> 00:00:25,599 Speaker 1: that shows up at the first big major sporting event, 9 00:00:25,680 --> 00:00:27,840 Speaker 1: were part of something much bigger than the sport right now, 10 00:00:28,080 --> 00:00:30,360 Speaker 1: and the health and dapetry of our stakeholders the works 11 00:00:30,440 --> 00:00:32,920 Speaker 1: much important every moment. I think we're all from the 12 00:00:32,920 --> 00:00:35,680 Speaker 1: business respective thinking about the impact that the virus is 13 00:00:35,720 --> 00:00:39,200 Speaker 1: having across the country. In Bloomberg Business of Sports from 14 00:00:39,240 --> 00:00:43,080 Speaker 1: Bloomberg Radio, Hello, I'm Jason Kelly and Michaelynch and I'm 15 00:00:43,120 --> 00:00:47,200 Speaker 1: Michael Barre, and we're here every Monday, Wednesday and Thursday 16 00:00:47,240 --> 00:00:50,559 Speaker 1: talking to you about the biggest names in sports Bloomberg 17 00:00:50,600 --> 00:00:53,199 Speaker 1: Business Sports. And today we're speaking with Richie Graham. He's 18 00:00:53,200 --> 00:00:56,160 Speaker 1: an owner of the Philadelphia Union, of course well known 19 00:00:56,160 --> 00:00:58,600 Speaker 1: major League soccer team, also the founder of the y 20 00:00:58,800 --> 00:01:03,080 Speaker 1: SC Academy and founder of Soccer Ventures all things the 21 00:01:03,120 --> 00:01:06,160 Speaker 1: beautiful game. Richie. Really nice to have you with us. 22 00:01:06,680 --> 00:01:10,520 Speaker 1: So you're clearly long soccer, as we say in the 23 00:01:10,560 --> 00:01:13,279 Speaker 1: market world. Tell us what's going on? Hey, thanks guys 24 00:01:13,319 --> 00:01:15,960 Speaker 1: for having me on and uh, yeah, no, I think 25 00:01:16,000 --> 00:01:23,560 Speaker 1: this is a really important decade for soccer in North America. 26 00:01:23,680 --> 00:01:26,199 Speaker 1: We've got the World Cup as you may know, coming 27 00:01:26,240 --> 00:01:31,680 Speaker 1: in the Olympics, and um, so a very exciting time 28 00:01:31,680 --> 00:01:35,280 Speaker 1: for the sport. And uh we're swimming with the tide. 29 00:01:35,319 --> 00:01:38,920 Speaker 1: As you know, the sport continues to grow, um and 30 00:01:38,959 --> 00:01:42,840 Speaker 1: take traction here in the country. So um, it's it's 31 00:01:42,959 --> 00:01:46,760 Speaker 1: exciting times for anyone involved in soccer. You brought up 32 00:01:46,800 --> 00:01:49,400 Speaker 1: something that I wanted to mention about the World Cup 33 00:01:49,480 --> 00:01:58,200 Speaker 1: coming here to the US. Hopefully the COVID situation, hopefully 34 00:01:58,240 --> 00:02:01,800 Speaker 1: we'll have eased up. I hope so, and hopefully we 35 00:02:01,800 --> 00:02:05,280 Speaker 1: could put on one great World Cup event. Uh can 36 00:02:05,360 --> 00:02:09,160 Speaker 1: you take us through what's going on right now? Uh 37 00:02:09,400 --> 00:02:13,280 Speaker 1: with trying to help plan that and what it takes, 38 00:02:13,360 --> 00:02:19,440 Speaker 1: especially going through COVID. Yeah, now, the the um without 39 00:02:19,440 --> 00:02:22,840 Speaker 1: a question, you know, a World Cup hosted in the 40 00:02:22,880 --> 00:02:27,359 Speaker 1: United States, Canada, Mexico, will be an incredible experience. And 41 00:02:27,480 --> 00:02:30,240 Speaker 1: you know, the last time we had a World Cup 42 00:02:30,320 --> 00:02:34,560 Speaker 1: over here was and it was chief as uh you know, 43 00:02:34,639 --> 00:02:38,720 Speaker 1: most successful World Cup from an economic standpoint, So UM, 44 00:02:38,760 --> 00:02:41,760 Speaker 1: I have no doubt that this next World Cup will 45 00:02:41,800 --> 00:02:46,480 Speaker 1: also be a incredible success for FIFA and for the 46 00:02:46,560 --> 00:02:49,960 Speaker 1: sport and will help drive the relevancy of the game 47 00:02:50,320 --> 00:02:54,360 Speaker 1: uh in North America. So uh exciting times. You know, 48 00:02:54,520 --> 00:02:57,760 Speaker 1: this phase relating to the World Cup, there's a lot 49 00:02:57,840 --> 00:03:00,480 Speaker 1: happening in different areas. But you know, as far as 50 00:03:00,600 --> 00:03:06,000 Speaker 1: MLS is concerned, MLS is is really doubling down on 51 00:03:06,080 --> 00:03:11,240 Speaker 1: its investment in youth development and player development. UM. MLS 52 00:03:11,320 --> 00:03:17,160 Speaker 1: academies are UM youth setups where each club basically has 53 00:03:17,720 --> 00:03:20,680 Speaker 1: young kids from you know, twelve years old to eighteen 54 00:03:20,720 --> 00:03:24,320 Speaker 1: years old who are getting an opportunity to train and 55 00:03:24,320 --> 00:03:28,200 Speaker 1: and and learn the game and really really great learning environments. 56 00:03:28,800 --> 00:03:31,480 Speaker 1: UM You're you're seeing the fruits of that labor now 57 00:03:32,160 --> 00:03:36,280 Speaker 1: as more and more young Americans are are what we 58 00:03:36,360 --> 00:03:41,440 Speaker 1: call homegrown players are playing on the weekends for MLS 59 00:03:41,520 --> 00:03:45,280 Speaker 1: teams and and and really contributing and some of them 60 00:03:45,280 --> 00:03:49,080 Speaker 1: are making the leap uh to to to play overseas 61 00:03:49,240 --> 00:03:53,680 Speaker 1: and so um that there's un without a doubt, there's 62 00:03:53,720 --> 00:03:56,920 Speaker 1: there's incredible talent here in the United States and the 63 00:03:56,960 --> 00:03:59,520 Speaker 1: talents getting better and better. And I think, you know, 64 00:03:59,520 --> 00:04:03,680 Speaker 1: in the world you want to swim with the tide um. 65 00:04:03,720 --> 00:04:06,800 Speaker 1: There is no doubt that the that the talent here 66 00:04:06,840 --> 00:04:08,760 Speaker 1: in the US is getting better and better. So I 67 00:04:08,800 --> 00:04:10,880 Speaker 1: feel all of us that are involved in the game 68 00:04:11,480 --> 00:04:14,640 Speaker 1: from a player development standpoint are in a really good 69 00:04:14,640 --> 00:04:18,040 Speaker 1: spot because you know, the kids are getting better and 70 00:04:18,080 --> 00:04:22,800 Speaker 1: better at every age. UM, So exciting times for for 71 00:04:23,160 --> 00:04:27,240 Speaker 1: the US and Canada, UM as as the league continues 72 00:04:27,320 --> 00:04:30,599 Speaker 1: to grow. Hey, Richie, it's Mike up in Boston. UM. 73 00:04:30,680 --> 00:04:32,840 Speaker 1: A couple of years ago the United States lost to 74 00:04:32,920 --> 00:04:36,120 Speaker 1: Trinidad and Tobago and that knocked him out of the 75 00:04:36,200 --> 00:04:38,880 Speaker 1: qualifying for the World Cup for the first time since 76 00:04:39,320 --> 00:04:42,360 Speaker 1: six Was that a tipping point for you and your 77 00:04:42,560 --> 00:04:46,640 Speaker 1: your group for Soccer Ventures to invest fifty million dollars? 78 00:04:48,320 --> 00:04:49,760 Speaker 1: I think it was a tipping point for a lot 79 00:04:49,760 --> 00:04:52,720 Speaker 1: of books. You know. UM, you know, these things happen 80 00:04:52,760 --> 00:04:55,200 Speaker 1: in sports, as you guys know, you're a Boston fan, 81 00:04:55,279 --> 00:05:00,800 Speaker 1: so you've seen it, you know. UM, But without a doubt, UM. 82 00:05:00,839 --> 00:05:02,880 Speaker 1: I think for a lot of folks that were involved 83 00:05:03,040 --> 00:05:07,039 Speaker 1: are involved in the game. UM. It was a point 84 00:05:07,080 --> 00:05:10,039 Speaker 1: in time where, you know, some decisions were made to 85 00:05:10,040 --> 00:05:11,919 Speaker 1: sort of come in and say, hey, hey, what what 86 00:05:12,000 --> 00:05:14,000 Speaker 1: can we do to sort of ensure this doesn't happen 87 00:05:14,000 --> 00:05:19,000 Speaker 1: in the future. UM. Major League Soccer again is you know, 88 00:05:19,320 --> 00:05:23,360 Speaker 1: investing probably somewhere between fifties to sixty million annually in 89 00:05:23,480 --> 00:05:29,440 Speaker 1: their youth UM programming, the academy programming. They just launched 90 00:05:30,360 --> 00:05:34,559 Speaker 1: a national league for UM, sort of the top youth 91 00:05:34,760 --> 00:05:39,480 Speaker 1: competitive structure in the United States. UM. And so as 92 00:05:39,480 --> 00:05:42,560 Speaker 1: a league, I feel that there's UM, it's been a 93 00:05:42,560 --> 00:05:45,120 Speaker 1: recognition that you know, you've got to sort of put 94 00:05:45,160 --> 00:05:47,280 Speaker 1: your money where your mouth is and invest in the future. 95 00:05:47,880 --> 00:05:50,880 Speaker 1: And and that's happening through Major League, Major League Soccer. 96 00:05:50,920 --> 00:05:54,839 Speaker 1: It's it's it's UM exciting to watch UM. But that 97 00:05:54,960 --> 00:05:56,760 Speaker 1: was definitely a moment where I think everyone in the 98 00:05:56,800 --> 00:06:00,160 Speaker 1: sports said, hey, you know, let's let's go let's take 99 00:06:00,200 --> 00:06:03,040 Speaker 1: a close look at what we're doing and and think 100 00:06:03,160 --> 00:06:08,680 Speaker 1: through how can we improve the environments and and improve 101 00:06:08,800 --> 00:06:12,160 Speaker 1: the the I would say, the learning environment so our 102 00:06:12,200 --> 00:06:15,960 Speaker 1: talents can maximize their potential, so Richie. Let's talk about 103 00:06:15,960 --> 00:06:20,040 Speaker 1: this homegrown nature, because it's clear I think to anyone 104 00:06:20,080 --> 00:06:23,240 Speaker 1: who has looked at the world of soccer, especially globally, 105 00:06:23,400 --> 00:06:26,560 Speaker 1: that that's what that's the leg up, as it were, 106 00:06:26,680 --> 00:06:29,400 Speaker 1: that a lot of the European clubs and the South 107 00:06:29,440 --> 00:06:34,400 Speaker 1: American clubs and elsewhere really have on American soccer. I mean, 108 00:06:34,520 --> 00:06:38,240 Speaker 1: I think about the academy system just in the Premiership 109 00:06:39,040 --> 00:06:41,839 Speaker 1: over in the UK as an example. I mean, I 110 00:06:41,880 --> 00:06:45,240 Speaker 1: have a buddy whose son is a budding star and 111 00:06:45,480 --> 00:06:48,120 Speaker 1: went in to the academy system in some form of 112 00:06:48,120 --> 00:06:50,560 Speaker 1: fashion when he was five six years old. I mean, 113 00:06:50,600 --> 00:06:54,679 Speaker 1: it's incredible how early they are homegrown in many ways. 114 00:06:55,160 --> 00:06:58,800 Speaker 1: Talk to us about building the infrastructure, though, because that 115 00:06:58,880 --> 00:07:03,240 Speaker 1: doesn't come without cost. It obviously takes investment, not only 116 00:07:03,279 --> 00:07:06,400 Speaker 1: from the teams themselves, but from companies sort of building that, 117 00:07:06,839 --> 00:07:09,400 Speaker 1: as it were, ecosystem around it. How do you go 118 00:07:09,480 --> 00:07:14,240 Speaker 1: about both building it but also expanding it. Yeah, now, 119 00:07:14,720 --> 00:07:16,360 Speaker 1: I think, you know, it is a bit of a 120 00:07:16,400 --> 00:07:20,160 Speaker 1: foreign concept for a lot of our um American sports. 121 00:07:20,200 --> 00:07:23,280 Speaker 1: Although I would say it's happening in baseball, I just 122 00:07:23,320 --> 00:07:25,680 Speaker 1: don't see it as much, you know, in the Dominican Republic. 123 00:07:25,720 --> 00:07:28,000 Speaker 1: You's got a lot of use academies that are developing 124 00:07:28,320 --> 00:07:30,000 Speaker 1: a lot of tough talents that end up in in 125 00:07:30,280 --> 00:07:34,000 Speaker 1: the big league, right UM. But in soccer it is 126 00:07:34,360 --> 00:07:37,200 Speaker 1: something that's been done for many years. And in Europe, UM, 127 00:07:37,280 --> 00:07:43,119 Speaker 1: South America they have some incredible UM learning environments UM here. 128 00:07:43,200 --> 00:07:46,080 Speaker 1: You know, I spend time looking at different models from 129 00:07:46,080 --> 00:07:48,640 Speaker 1: around the world and sort of came back and at 130 00:07:48,680 --> 00:07:53,160 Speaker 1: the Philadelphia Union we UM made a choice to say, Hey, 131 00:07:53,200 --> 00:07:54,640 Speaker 1: this is gonna be the way we want to try 132 00:07:54,680 --> 00:07:57,800 Speaker 1: to compete UM. But we had to do it in 133 00:07:58,160 --> 00:08:01,320 Speaker 1: an American way. We could just copy what was happening 134 00:08:01,320 --> 00:08:04,840 Speaker 1: in Germany or France or England, because we're a different 135 00:08:04,840 --> 00:08:08,640 Speaker 1: culture and and so one of the key elements that's 136 00:08:08,680 --> 00:08:13,280 Speaker 1: really important in our society here is education. So the 137 00:08:13,320 --> 00:08:17,680 Speaker 1: Philadelphia Union Academy UM has a partnership with a school 138 00:08:17,680 --> 00:08:20,440 Speaker 1: that I started, the first of its kind. It's essentially 139 00:08:20,440 --> 00:08:25,320 Speaker 1: at Juilliard for soccer players UM. Where UM kids are 140 00:08:25,840 --> 00:08:28,160 Speaker 1: brought into the environment they get an opportunity to get 141 00:08:28,200 --> 00:08:34,120 Speaker 1: an incredible education and also get that chance to train 142 00:08:34,400 --> 00:08:36,960 Speaker 1: and compete at the highest level. And if you want 143 00:08:36,960 --> 00:08:40,679 Speaker 1: to be at the highest level in a sport like soccer. 144 00:08:41,480 --> 00:08:43,680 Speaker 1: You know, you can't just train from four to six 145 00:08:43,720 --> 00:08:47,080 Speaker 1: pm on during the week with a game on Saturday. 146 00:08:47,240 --> 00:08:50,480 Speaker 1: You have to be immersed into a culture. And UM 147 00:08:50,559 --> 00:08:55,199 Speaker 1: why the academy, our school allows us to to do 148 00:08:55,240 --> 00:09:00,920 Speaker 1: that and and so UM, it's a holistic environment, you know. 149 00:09:01,000 --> 00:09:04,480 Speaker 1: And and and there are kids that are, um, you know, 150 00:09:04,480 --> 00:09:06,800 Speaker 1: you'll you'll read in the papers about a Brendan Aaronson 151 00:09:06,880 --> 00:09:09,320 Speaker 1: who's gonna you know, who's gone pro and come through 152 00:09:09,320 --> 00:09:12,640 Speaker 1: this school and gone pro. And we have some examples 153 00:09:12,640 --> 00:09:15,120 Speaker 1: of that for sure, But the vast majority of the 154 00:09:15,160 --> 00:09:17,920 Speaker 1: kids that are coming in the environment are using soccer 155 00:09:17,960 --> 00:09:20,400 Speaker 1: as an opportunity to get an education, and they're going 156 00:09:20,440 --> 00:09:23,480 Speaker 1: on and getting Division one scholarships and they're going to 157 00:09:23,520 --> 00:09:26,079 Speaker 1: school and so it's a you know, it's a different 158 00:09:26,120 --> 00:09:28,920 Speaker 1: way of measuring success for the Philadelphia Union in our club, 159 00:09:29,240 --> 00:09:31,360 Speaker 1: but we're really proud about those stories as well. It's 160 00:09:31,400 --> 00:09:33,640 Speaker 1: not just the kids that are making the leap to 161 00:09:33,679 --> 00:09:36,840 Speaker 1: go pro. It's the vast majority are are using soccer 162 00:09:36,880 --> 00:09:39,880 Speaker 1: as a tool to get an incredible education and life 163 00:09:39,880 --> 00:09:45,360 Speaker 1: transform transforming. UM. But yeah, that the the commitment to 164 00:09:45,440 --> 00:09:50,760 Speaker 1: the environment, UM, you know, to to sort of develop 165 00:09:50,880 --> 00:09:54,840 Speaker 1: top talents. You you need to think holistically. We we 166 00:09:54,960 --> 00:09:56,760 Speaker 1: like to think of the athlete and a student in 167 00:09:56,800 --> 00:10:00,959 Speaker 1: the center and surround that athletes and student with um 168 00:10:01,000 --> 00:10:03,080 Speaker 1: all the different components that they need. You know, what's 169 00:10:03,120 --> 00:10:05,760 Speaker 1: happening on the field, what's happening off the field, nutrition, 170 00:10:06,240 --> 00:10:09,200 Speaker 1: the education pieces, all those elements need to come together, 171 00:10:09,240 --> 00:10:11,640 Speaker 1: and so they need to create that environment which is 172 00:10:11,679 --> 00:10:15,280 Speaker 1: really focused on how can we help these top talents 173 00:10:15,400 --> 00:10:19,600 Speaker 1: maximize their potential? And every kid leads needs a bit 174 00:10:19,640 --> 00:10:22,960 Speaker 1: of a different equation. Some kids may need more support, 175 00:10:23,280 --> 00:10:26,800 Speaker 1: um uh in certain areas than others. So it's it's 176 00:10:26,880 --> 00:10:32,000 Speaker 1: it's highly individualistic, uh in terms of the focus. You're 177 00:10:32,120 --> 00:10:35,040 Speaker 1: the minority owner of the Philadelphia Union, and I've always 178 00:10:35,120 --> 00:10:39,560 Speaker 1: wanted to ask an owner. Yes, it's a business anytime 179 00:10:39,600 --> 00:10:43,680 Speaker 1: you own a sport sporting team, but obviously you are 180 00:10:43,920 --> 00:10:47,040 Speaker 1: one of the biggest cheerleaders for the team also, and 181 00:10:47,080 --> 00:10:50,960 Speaker 1: I just wonder where is the line of demarcation when 182 00:10:50,960 --> 00:10:53,719 Speaker 1: it comes to cheering for the team and also realizing 183 00:10:54,080 --> 00:10:59,200 Speaker 1: this is an investment in my team. Yeah, no, I 184 00:10:59,240 --> 00:11:03,960 Speaker 1: think it's really important to have that line and to UNDERSTANDUM. 185 00:11:04,200 --> 00:11:08,520 Speaker 1: While I might be passionate about the sport of of soccer. 186 00:11:09,360 --> 00:11:12,600 Speaker 1: Um that you know, you know, it's not I'm not 187 00:11:12,679 --> 00:11:15,920 Speaker 1: a coach, right or I'm not an expert, um you know. 188 00:11:16,040 --> 00:11:19,600 Speaker 1: So therefore Jay Sugarman and I J is the principal owner. 189 00:11:20,040 --> 00:11:24,480 Speaker 1: Richard Levivich is another minority owner. We've made decisions to 190 00:11:24,520 --> 00:11:27,000 Speaker 1: sort of bring in key people that can help drive 191 00:11:27,880 --> 00:11:30,319 Speaker 1: the business in different areas. You know. So you've got 192 00:11:30,800 --> 00:11:34,000 Speaker 1: um Tim McDermott and his whole team at the front 193 00:11:34,080 --> 00:11:36,840 Speaker 1: office that are focused on sort of the business components 194 00:11:36,920 --> 00:11:41,000 Speaker 1: of what makes the club work, from sponsorship, sales, tickets, 195 00:11:41,040 --> 00:11:44,080 Speaker 1: et cetera. Um. Then on this technical side or on 196 00:11:44,120 --> 00:11:47,280 Speaker 1: the sporting side, we have what we call a sporting director, 197 00:11:47,320 --> 00:11:50,160 Speaker 1: which you know, sort of America I think they would 198 00:11:50,240 --> 00:11:52,839 Speaker 1: call a general manager. And this is the person who's 199 00:11:52,880 --> 00:11:55,840 Speaker 1: making a decision on, hey, what's our methodology, who are 200 00:11:55,840 --> 00:11:58,440 Speaker 1: our coaches, how are we going to train our players? 201 00:11:58,559 --> 00:12:01,120 Speaker 1: How how does the account me fit with our second 202 00:12:01,120 --> 00:12:03,920 Speaker 1: team and with our first team, And so allowing those 203 00:12:04,000 --> 00:12:07,960 Speaker 1: experts to come in and run the business, um uh 204 00:12:08,000 --> 00:12:10,560 Speaker 1: and understanding that you know, that's why you brought them in, 205 00:12:10,679 --> 00:12:12,840 Speaker 1: you know, UM, not to try to second guests or 206 00:12:13,240 --> 00:12:17,520 Speaker 1: pretend that we know which player would be better. Um uh. 207 00:12:17,559 --> 00:12:20,600 Speaker 1: And so I think success is really about, you know, 208 00:12:20,679 --> 00:12:22,839 Speaker 1: being able to put that passion and check and keep 209 00:12:22,880 --> 00:12:27,160 Speaker 1: it in check and allow your experts to do their work. Richard, 210 00:12:27,240 --> 00:12:29,120 Speaker 1: is not a lot of time to get this thing 211 00:12:29,160 --> 00:12:31,679 Speaker 1: going here because I believe that the qualifying for the 212 00:12:31,720 --> 00:12:34,959 Speaker 1: World Cup is less than a year away? Is that right? Yea? 213 00:12:35,600 --> 00:12:40,160 Speaker 1: And so help us understand, Richie sort of how it 214 00:12:40,240 --> 00:12:42,720 Speaker 1: all of it's together with with soccer in this country 215 00:12:42,760 --> 00:12:45,760 Speaker 1: because I feel like it and I'm a big soccer fan, 216 00:12:45,880 --> 00:12:49,240 Speaker 1: as I know many of our listeners are. And while 217 00:12:49,960 --> 00:12:52,760 Speaker 1: it feels like it's been building for a while and 218 00:12:52,800 --> 00:12:55,640 Speaker 1: the MLS has been at it for a while, we 219 00:12:55,760 --> 00:12:59,480 Speaker 1: do see these spikes which you have alluded to when 220 00:12:59,559 --> 00:13:03,680 Speaker 1: there is World Cup, hopefully one that the US national 221 00:13:03,679 --> 00:13:06,120 Speaker 1: team on the men's side is playing in. We've obviously 222 00:13:06,160 --> 00:13:10,679 Speaker 1: seen a lot of success for the US women's national team. 223 00:13:10,800 --> 00:13:14,040 Speaker 1: Has it gone more slowly though than you expected? As 224 00:13:14,080 --> 00:13:16,600 Speaker 1: someone who cares as much about the game and what's 225 00:13:16,640 --> 00:13:19,400 Speaker 1: the next inflection point? Or are we in it right now? 226 00:13:20,880 --> 00:13:25,720 Speaker 1: I think we're in it, And you know, um um, 227 00:13:25,760 --> 00:13:30,719 Speaker 1: I would say that, you know, my focus is around 228 00:13:31,360 --> 00:13:35,080 Speaker 1: how do we accelerate the growth that's already happening. You know, 229 00:13:35,200 --> 00:13:39,240 Speaker 1: so the sport is becoming more and more relevant. UM 230 00:13:39,480 --> 00:13:42,160 Speaker 1: kids today are more attuned to sort of the soccer 231 00:13:42,200 --> 00:13:44,880 Speaker 1: stars than they were ten years ago and certainly twenty 232 00:13:44,960 --> 00:13:47,559 Speaker 1: years ago. So again we're swimming with the tide. The 233 00:13:47,640 --> 00:13:50,640 Speaker 1: question is how do you accelerate it and the idea 234 00:13:50,720 --> 00:13:55,120 Speaker 1: around player development. UM. The women are are in the 235 00:13:55,160 --> 00:13:58,000 Speaker 1: fortunate position where they're already the global leader, and for 236 00:13:58,080 --> 00:14:01,400 Speaker 1: them it's about how do we, you know, sustain and 237 00:14:01,679 --> 00:14:04,440 Speaker 1: and hold up that sort of position. On the men's 238 00:14:04,440 --> 00:14:06,320 Speaker 1: side of the game, we've got some catching up to do, 239 00:14:07,000 --> 00:14:11,040 Speaker 1: and so the question is how do we accelerate um 240 00:14:11,160 --> 00:14:14,240 Speaker 1: our development of the sport here to sort of speed 241 00:14:14,320 --> 00:14:17,080 Speaker 1: up that catch up process. But if you step back 242 00:14:17,120 --> 00:14:20,920 Speaker 1: and look at it, you know, at the data and 243 00:14:20,960 --> 00:14:23,160 Speaker 1: the trends and trajectories, and you look at sort of 244 00:14:23,280 --> 00:14:26,440 Speaker 1: all the ingredients like we have in the United States, 245 00:14:27,000 --> 00:14:33,120 Speaker 1: the ingredients to be a global superpower in the sport, population, athletes, infrastructure. 246 00:14:33,600 --> 00:14:36,960 Speaker 1: You're now beginning to see an MLS over the last 247 00:14:37,440 --> 00:14:42,760 Speaker 1: i'd say eight years, a deeper investment into this player 248 00:14:42,760 --> 00:14:46,040 Speaker 1: development idea. UM. When the league first started twenty five 249 00:14:46,120 --> 00:14:48,200 Speaker 1: years ago. You know, of course, the first dollars that 250 00:14:48,240 --> 00:14:50,960 Speaker 1: came in weren't directed at setting up academies. They were 251 00:14:50,960 --> 00:14:55,400 Speaker 1: directed at getting first teams, building soccer specific stadiums, and 252 00:14:55,520 --> 00:14:59,440 Speaker 1: so there's a natural evolution of the sport, you know. UM, 253 00:14:59,480 --> 00:15:03,120 Speaker 1: as the league has evolved, you know, now there's more 254 00:15:03,160 --> 00:15:06,080 Speaker 1: attention and focus being put into sort of the future 255 00:15:06,640 --> 00:15:10,000 Speaker 1: and those future environments. But anyone that I've had that's 256 00:15:10,040 --> 00:15:13,160 Speaker 1: come over from UM other parts of the world that 257 00:15:13,200 --> 00:15:16,320 Speaker 1: are experts and are involved with big, big clubs that 258 00:15:16,400 --> 00:15:20,000 Speaker 1: have reputations of developing talent, world class players, they all 259 00:15:20,040 --> 00:15:21,840 Speaker 1: look at the talent over in the United States and 260 00:15:21,880 --> 00:15:25,720 Speaker 1: they're blown away. They're just absolutely blown away. So, UM, 261 00:15:25,800 --> 00:15:29,440 Speaker 1: the question is, how do we help accelerate and give 262 00:15:29,520 --> 00:15:33,560 Speaker 1: these these talented kids that we have here in this country, UM, 263 00:15:33,640 --> 00:15:36,360 Speaker 1: the opportunity to maximize their potential. And that's kind of 264 00:15:36,360 --> 00:15:39,120 Speaker 1: where we're focused. And if we can do that, can 265 00:15:39,160 --> 00:15:42,320 Speaker 1: you imagine, you know, a point in time where the 266 00:15:42,400 --> 00:15:46,000 Speaker 1: United States developed a player who is the Lebron or 267 00:15:46,040 --> 00:15:49,760 Speaker 1: the Michael Jordan's of soccer, not just a top fifty 268 00:15:49,800 --> 00:15:52,480 Speaker 1: guy in the world, but literally the top guy in 269 00:15:52,520 --> 00:15:55,520 Speaker 1: the world. What that would do to the relevancy of 270 00:15:55,520 --> 00:15:57,160 Speaker 1: the sport. You would take a lot of people that 271 00:15:57,200 --> 00:15:59,400 Speaker 1: are sort of sitting on the fringes of the game 272 00:15:59,480 --> 00:16:02,000 Speaker 1: right now might tune in, you know, to watch a 273 00:16:02,040 --> 00:16:04,840 Speaker 1: game here or there. It could really help drive the 274 00:16:04,880 --> 00:16:08,360 Speaker 1: relevant to the sport, and so UM the investment into 275 00:16:08,680 --> 00:16:12,000 Speaker 1: the future and into our youth. It's great for the game, 276 00:16:12,160 --> 00:16:15,120 Speaker 1: it's great for the league, it's great for MLS UM 277 00:16:15,160 --> 00:16:19,320 Speaker 1: and we believe it's going to help pool UM Sports 278 00:16:19,320 --> 00:16:22,720 Speaker 1: consumers into the game. UM because we Americans, what do 279 00:16:22,760 --> 00:16:24,840 Speaker 1: we like? We like the Michael Jordan's, we like the 280 00:16:25,080 --> 00:16:27,120 Speaker 1: we like the global leaders, and there's no there's no 281 00:16:27,200 --> 00:16:30,320 Speaker 1: question that we have the ingredients to produce that here 282 00:16:30,360 --> 00:16:33,000 Speaker 1: in the United States UM. And when we do, I 283 00:16:33,040 --> 00:16:35,600 Speaker 1: think that would be a big step up for UH, 284 00:16:35,760 --> 00:16:39,840 Speaker 1: for the game and its relevancy. You've touched off on 285 00:16:39,880 --> 00:16:44,320 Speaker 1: it earlier about women's soccer, and it's known all throughout 286 00:16:44,360 --> 00:16:48,600 Speaker 1: the world. You know who Megan Rapino is UH, And 287 00:16:48,680 --> 00:16:51,520 Speaker 1: I just wonder, though, how long is it going to 288 00:16:51,640 --> 00:16:56,600 Speaker 1: take for the pay discrepancy between the women and the men. 289 00:16:57,240 --> 00:16:59,760 Speaker 1: When does that catch up. And it's not just soccer, 290 00:17:00,040 --> 00:17:03,080 Speaker 1: it's in a lot of sports. I don't know on that. 291 00:17:03,240 --> 00:17:06,879 Speaker 1: I think that there's no doubt that the system that 292 00:17:06,920 --> 00:17:09,000 Speaker 1: we have in the place in the United States, with 293 00:17:09,119 --> 00:17:12,560 Speaker 1: you know, youth travel soccer and then college soccer on 294 00:17:12,600 --> 00:17:17,119 Speaker 1: the women's side, and then professional soccer has um given 295 00:17:17,200 --> 00:17:20,439 Speaker 1: us a competitive advantaged m relative to other parts of 296 00:17:20,480 --> 00:17:22,399 Speaker 1: the world. I would say that other parts of the 297 00:17:22,400 --> 00:17:24,280 Speaker 1: world are now catching up on the women's side of 298 00:17:24,320 --> 00:17:27,680 Speaker 1: the game, but we have an incredible talent pool here 299 00:17:27,720 --> 00:17:30,560 Speaker 1: on the women's side and and the game there is 300 00:17:30,600 --> 00:17:35,879 Speaker 1: about maintaining that that global leadership position, um, you know, 301 00:17:35,960 --> 00:17:38,000 Speaker 1: in terms of the men's side of the game, and 302 00:17:38,240 --> 00:17:42,920 Speaker 1: and and what's happening there um, you know, the as 303 00:17:42,960 --> 00:17:46,000 Speaker 1: it relates to sort of salaries and things that you know, 304 00:17:46,040 --> 00:17:49,360 Speaker 1: the market when you're looking at UM. Let's just take 305 00:17:49,359 --> 00:17:53,320 Speaker 1: coaches for example, and you've got coaches that are, um, 306 00:17:53,359 --> 00:17:55,280 Speaker 1: you know, part of big premiership clubs. You know what 307 00:17:55,359 --> 00:18:00,159 Speaker 1: they're what they're generating in terms of their salary is 308 00:18:00,240 --> 00:18:02,760 Speaker 1: quite high, and that's driven by the global market. So 309 00:18:03,240 --> 00:18:06,040 Speaker 1: how you balance and find balance on that, I'm not 310 00:18:06,119 --> 00:18:09,120 Speaker 1: quite sure. That's a question for the folks at US 311 00:18:09,160 --> 00:18:14,000 Speaker 1: Soccer and and maybe some executives at at at MLS, 312 00:18:14,000 --> 00:18:18,199 Speaker 1: but um, you know, there is no doubt, um, you 313 00:18:18,240 --> 00:18:20,480 Speaker 1: know a difference right now between what's going on with 314 00:18:20,520 --> 00:18:22,000 Speaker 1: the men and the women. The men are in a 315 00:18:22,040 --> 00:18:24,600 Speaker 1: game where we need to catch up. Um. The women 316 00:18:24,640 --> 00:18:28,080 Speaker 1: are in a game where they need to maintain and 317 00:18:28,080 --> 00:18:33,760 Speaker 1: and and continue that sort of world dominant position at G. 318 00:18:33,960 --> 00:18:36,920 Speaker 1: I love the idea of the YFC Academy getting these 319 00:18:37,000 --> 00:18:41,640 Speaker 1: kids into training them academically and athletically, but not everyone 320 00:18:41,760 --> 00:18:46,720 Speaker 1: is is falls under that umbrella, is wants to participate 321 00:18:46,760 --> 00:18:49,000 Speaker 1: in that. How do you attract and developed a highly 322 00:18:49,040 --> 00:18:51,239 Speaker 1: skilled player who just doesn't want to be part of 323 00:18:51,240 --> 00:18:54,040 Speaker 1: this academy? Is there still an avenue for someone like 324 00:18:54,080 --> 00:18:59,879 Speaker 1: that to make a major contribution to American soccer? Yeah? Absolutely, 325 00:18:59,880 --> 00:19:02,760 Speaker 1: I mean they're you know, not every MLF club has 326 00:19:02,760 --> 00:19:05,640 Speaker 1: a school that's connected to it. Um. And so there 327 00:19:05,680 --> 00:19:11,360 Speaker 1: are some um great talents that are you know not 328 00:19:11,359 --> 00:19:14,760 Speaker 1: not sort of following our model. But it with within 329 00:19:14,800 --> 00:19:17,879 Speaker 1: Philadelphia Union, I can tell you our doors are getting 330 00:19:17,960 --> 00:19:23,640 Speaker 1: knocked on, uh consistently. Top talents want to be in 331 00:19:23,680 --> 00:19:28,000 Speaker 1: our environment because they recognize that not only is it 332 00:19:28,040 --> 00:19:29,840 Speaker 1: a place where they can get a great education, But 333 00:19:30,040 --> 00:19:33,920 Speaker 1: just the the ability to sort of develop and work 334 00:19:33,960 --> 00:19:37,480 Speaker 1: on their game and the commitment to player development from 335 00:19:37,480 --> 00:19:41,080 Speaker 1: our club makes it, you know, a place where top 336 00:19:41,080 --> 00:19:43,000 Speaker 1: talents want to be. So we're not having a problem 337 00:19:43,040 --> 00:19:46,560 Speaker 1: with kids and saying hey, you know, um, I'd love 338 00:19:46,600 --> 00:19:48,119 Speaker 1: to be a great soccer player, but I don't want 339 00:19:48,119 --> 00:19:51,760 Speaker 1: to come into your environment. I think they recognize like, wow, 340 00:19:51,800 --> 00:19:54,600 Speaker 1: this is the thing that can accelerate my growth. This 341 00:19:54,680 --> 00:19:56,800 Speaker 1: is the environment that can help me even become better. 342 00:19:57,240 --> 00:19:59,800 Speaker 1: And so, um, we have kids and families that are 343 00:20:00,040 --> 00:20:02,280 Speaker 1: knocking on our doors constantly to try to get in. 344 00:20:02,480 --> 00:20:04,679 Speaker 1: It's a very fortunate position for us to be in. 345 00:20:05,040 --> 00:20:08,080 Speaker 1: But other clubs in MLS don't necessarily have a school, 346 00:20:08,480 --> 00:20:10,120 Speaker 1: and so they're doing it their way, and I think 347 00:20:10,160 --> 00:20:13,200 Speaker 1: it's you know, no difference than our other sports. You know. Um, 348 00:20:13,359 --> 00:20:15,359 Speaker 1: how how the Patriots want to go about sort of 349 00:20:15,400 --> 00:20:17,719 Speaker 1: their business is going to be different than you know, 350 00:20:17,960 --> 00:20:22,400 Speaker 1: other teams. So every every club has to have their 351 00:20:23,400 --> 00:20:26,080 Speaker 1: identity on how they want to try to compete in 352 00:20:26,080 --> 00:20:28,920 Speaker 1: For Philadelphia Union, the school is a is a key 353 00:20:28,960 --> 00:20:32,000 Speaker 1: piece to our strategy, um for how we want to 354 00:20:32,040 --> 00:20:35,160 Speaker 1: go try to compete with the rest of the league. So, Richie, 355 00:20:35,200 --> 00:20:37,800 Speaker 1: as we wrap up here, I just wanted to ask 356 00:20:37,800 --> 00:20:41,480 Speaker 1: you one more question, and that is about the MLS 357 00:20:41,520 --> 00:20:44,560 Speaker 1: and you know, valuations of teams. You know, we're looking 358 00:20:44,600 --> 00:20:47,359 Speaker 1: at people just scrambled by all sorts of professional leagues. 359 00:20:47,440 --> 00:20:50,000 Speaker 1: These days. It feels like we've had a new class 360 00:20:50,000 --> 00:20:54,000 Speaker 1: of owner come in to the league. And you know, 361 00:20:54,160 --> 00:20:57,320 Speaker 1: you've got uh an example of that right there in 362 00:20:57,320 --> 00:21:00,600 Speaker 1: your doorstep in Philadelphia with the owners of the Sixers. 363 00:21:00,920 --> 00:21:04,840 Speaker 1: Where do you sort of put MLS and professional soccer 364 00:21:05,000 --> 00:21:08,800 Speaker 1: in the in the landscape of other professional sports in 365 00:21:08,920 --> 00:21:14,560 Speaker 1: terms of growth and valuation and ambition, Yeah, I think, Um, well, 366 00:21:14,640 --> 00:21:17,919 Speaker 1: one quick question. Do you guys have kids, yes, do 367 00:21:18,000 --> 00:21:20,720 Speaker 1: they play soccer? Do they any of them play soccer? 368 00:21:20,920 --> 00:21:24,840 Speaker 1: You know my kids don't. Uh, they played when they 369 00:21:24,840 --> 00:21:30,000 Speaker 1: were younger and now they played lacrosse. Yeah, you know there. 370 00:21:30,000 --> 00:21:32,280 Speaker 1: My point on that question is that there's there is 371 00:21:32,320 --> 00:21:35,679 Speaker 1: some you know, the trends in trajectories that are working 372 00:21:35,720 --> 00:21:39,400 Speaker 1: in the favor of soccer in this country are are there, 373 00:21:39,480 --> 00:21:41,639 Speaker 1: and you know, the growth in the sport with the 374 00:21:41,720 --> 00:21:45,960 Speaker 1: younger generations, who again identify with with the sport and 375 00:21:46,359 --> 00:21:49,280 Speaker 1: understand the sports completely different than it was twenty years ago, 376 00:21:49,320 --> 00:21:52,639 Speaker 1: and that those that that waves continues to move in 377 00:21:52,680 --> 00:21:55,480 Speaker 1: the right direction. Um. You know, as it relates to 378 00:21:55,520 --> 00:21:58,160 Speaker 1: sort of the league, you know, there's a finite number 379 00:21:58,200 --> 00:22:01,040 Speaker 1: of of of you know teams. You know that the 380 00:22:01,400 --> 00:22:04,119 Speaker 1: league isn't going to be a league of sixty teams, right, 381 00:22:04,160 --> 00:22:06,840 Speaker 1: It's gonna there's a finite number there. So there's um, 382 00:22:07,119 --> 00:22:11,280 Speaker 1: um a lot of values sort of built in sort 383 00:22:11,320 --> 00:22:13,360 Speaker 1: of being one of those owners that one of those 384 00:22:13,400 --> 00:22:16,640 Speaker 1: cities that is part of that league. UM. I think 385 00:22:16,720 --> 00:22:20,959 Speaker 1: that MLS has made incredible strides over the last you know, 386 00:22:21,080 --> 00:22:27,000 Speaker 1: especially uh fifteen years. Um, you're seeing more um uh 387 00:22:27,240 --> 00:22:30,199 Speaker 1: soccer specific stadiums. You know, I've had guests that you know, 388 00:22:30,240 --> 00:22:33,280 Speaker 1: I've taken to Philadelphia Union games, or you come out 389 00:22:33,320 --> 00:22:34,760 Speaker 1: to l A and you go to an l A 390 00:22:34,760 --> 00:22:36,560 Speaker 1: s C game or a game in Atlanta, and the 391 00:22:36,680 --> 00:22:40,480 Speaker 1: environments are are incredible and people are surprised about the 392 00:22:40,600 --> 00:22:43,960 Speaker 1: energy that you see. And so I think, UM, MLS 393 00:22:44,080 --> 00:22:48,280 Speaker 1: is in a very very strong position. Um despite this 394 00:22:48,280 --> 00:22:51,679 Speaker 1: this crazy um pandemic that we're all sort of in. 395 00:22:51,760 --> 00:22:55,400 Speaker 1: Everyone in businesses is struggling with but you know, net net, 396 00:22:55,480 --> 00:22:57,600 Speaker 1: you know, you see what's happening with the league and 397 00:22:57,640 --> 00:22:59,280 Speaker 1: the growth in the sport, and I think it's very 398 00:22:59,400 --> 00:23:01,560 Speaker 1: very well because Asians, and that's why people want to 399 00:23:01,560 --> 00:23:03,560 Speaker 1: be a part of it. And that's why you know, 400 00:23:03,640 --> 00:23:08,560 Speaker 1: folks are looking at um getting into ownership positions and 401 00:23:08,720 --> 00:23:13,119 Speaker 1: MLS and is very competitive and the valuations have continued 402 00:23:13,160 --> 00:23:17,159 Speaker 1: to go go up. Um uh. So you know, I 403 00:23:17,200 --> 00:23:20,439 Speaker 1: think the MLS is riding on the coattails of some 404 00:23:20,880 --> 00:23:25,680 Speaker 1: you know, nice demographic uh support for the sport. And 405 00:23:26,119 --> 00:23:28,400 Speaker 1: I don't think that if I look out and say, hey, 406 00:23:28,440 --> 00:23:31,560 Speaker 1: his soccer is going to go down twenty years from 407 00:23:31,600 --> 00:23:33,960 Speaker 1: now or is it on the rise? All the trends 408 00:23:34,000 --> 00:23:36,480 Speaker 1: and trarectories are showing us that it's on the rise, 409 00:23:36,520 --> 00:23:39,040 Speaker 1: and it's continue to be on the rise. Those of 410 00:23:39,119 --> 00:23:41,120 Speaker 1: us that are involved in the game are now asking, okay, 411 00:23:41,160 --> 00:23:45,040 Speaker 1: well how do we accelerate that? Um. But you know, 412 00:23:45,160 --> 00:23:47,600 Speaker 1: the long term prospects for the sport are very positive, 413 00:23:47,640 --> 00:23:51,040 Speaker 1: and people don't get into professional team ownership with a 414 00:23:51,080 --> 00:23:54,080 Speaker 1: short term focus. It's not like a private equity we're saying, hey, 415 00:23:54,119 --> 00:23:56,400 Speaker 1: we're gonna get in and try to flip a company 416 00:23:56,440 --> 00:23:59,560 Speaker 1: and get out in three to five years. Um. These 417 00:23:59,600 --> 00:24:04,000 Speaker 1: are longer term play. Um, so I think it's a 418 00:24:04,040 --> 00:24:07,200 Speaker 1: it's a very smart bet. Yeah, absolutely, Yeah. And your 419 00:24:07,200 --> 00:24:09,800 Speaker 1: point about the soccer specific stadiums, I think is a 420 00:24:09,840 --> 00:24:12,520 Speaker 1: really good one. We've certainly seen a huge amount of 421 00:24:12,800 --> 00:24:16,159 Speaker 1: enthusiasm in all the places that you describe. All right, 422 00:24:16,240 --> 00:24:19,000 Speaker 1: Richard Graham, thank you so much, Owner of the Philadelphia 423 00:24:19,119 --> 00:24:22,840 Speaker 1: Union of MLS, founder of the y SC Academy, and 424 00:24:22,880 --> 00:24:27,119 Speaker 1: founder for Soccer Ventures. Catch our podcast right here every Monday, 425 00:24:27,160 --> 00:24:30,240 Speaker 1: Wednesday and Thursday. I'm Jason Kelly. Find me on Twitter 426 00:24:30,480 --> 00:24:32,840 Speaker 1: at Jason Kelly News and I'm Mike Lynch. You can 427 00:24:32,880 --> 00:24:35,679 Speaker 1: follow me at Lynch e w CBB, and I'm Michael 428 00:24:35,680 --> 00:24:39,080 Speaker 1: Bar at Big Bar Sports. You're listening to Bloomberg Business 429 00:24:39,080 --> 00:24:41,919 Speaker 1: of Sports from Bloomberg Radio around the world.