Inflation Rate Of Professional Sports Salaries

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Team Name Arizona Diamondbacks Atlanta Braves Baltimore Orioles Boston Red Sox Chicago Cubs Chicago White Sox Cincinnati Reds Cleveland Indians Colorado Rockies Detroit Tigers Florida Marlins Houston Astros Kansas City Royals Los Angeles Angels Los Angeles Dodgers Milwaukee Brewers Minnesota Twins Montreal Expos New York Mets New York Yankees Oakland Athletics Philadelphia Phillies Pittsburgh Pirates San Diego Padres San Francisco Giants Seattle Mariners St. Louis Cardinals Tampa Bay Rays Texas Rangers Toronto Blue Jays TOTAL # Players Payroll 25 25 26 28 28 26 23 26 27 25 24 24 24 29 25 26 26 24 25 25 25 26 22 26 28 27 26 30 23 25 769 $78,869,333 $82,372,500 $82,250,111 $80,978,533 $61,584,333 $31,006,000 $44,767,200 $76,938,090 $61,258,690 $60,225,167 $19,008,000 $51,806,667 $22,835,500 $51,464,167 $87,696,667 $35,770,333 $16,542,500 $32,285,666 $79,449,762 $92,327,810 $30,906,333 $47,011,333 $27,423,334 $53,816,000 $53,342,826 $58,760,000 $62,093,023 $62,815,129 $69,920,921 $45,518,332 $1,661,044,260 $ Per Player $3,154,773 $3,294,900 $3,163,466 $2,892,090 $2,199,440 $1,192,538 $1,946,400 $2,959,157 $2,268,840 $2,409,007 $792,000 $2,158,611 $951,479 $1,774,626 $3,507,867 $1,375,782 $636,250 $1,345,236 $3,177,990 $3,693,112 $1,236,253 $1,808,128 $1,246,515 $2,069,846 $1,905,101 $2,176,296 $2,388,193 $2,093,838 $3,040,040 $1,820,733 $2,160,006 1 Year Delta % Change $70,269,333 $74,622,500 817.10% 962.90% — --$66,478,533 — — — — — — — --------------$45,746,667 $22,375,500 ------------------------------- 458.50% 754.90% 4864.20% — — — — — $70,578,333 795.60% — $22,073,000 249.90% — — — — — — — — — $1,605,969,498 2916.00% Social Media Report UpDog Kombucha By Bo Hawkes Purpose UpDog is a small, but growing beverage company located in Winston Salem, North Carolina. The business was founded by two Wake Forest students. With a focus on “healthy living,” UpDog’s mission is to provide naturally fermented tea to kombucha drinkers. On their website, UpDog states that “Kombucha is a naturally fermented tea that is rich in probiotics, prebiotics, and antioxidants to promote digestive, immune, and overall health.” This report is prepared for the UpDog kombucha company. The purpose of this report is to provide advice to UpDog regarding their social media efforts and to provide a comparison to how their competitors are engaging with users on social media. The goal is to assist UpDog in their efforts to reach more users on social media, thus increasing their brand awareness. Target Demographic/Consumers According to a Slate article, kombucha took the top spot in 2009 as the most liberal product in America. However, the popularity and perception of kombucha has come a long way since then. Market Watch magazine says that, “Overall, the kombucha category has grown from $1 million in sales in 2014 to $1.8 billion in sales in 2019,” and that “Kombucha, as a whole, is one of the fastest-growing grocery segments in the past decade...” Understandably, consumers who are conscientious about their health and lead an active lifestyle are the main demographic that drinks kombucha. A study by Numerator on Brew Dr., which is one of the most popular kombucha brands on the market, found that the primary consumer profile of theirs is under the age of 34, is Asian, earns between 20-40 thousand dollars per year, and holds an advanced degree. For the younger age demographic, product packaging and labeling is important. Lumina Intelligence conducted a study that concluded, in 2020, that 98% of health claims made for kombucha products pertained to “general wellness.” This demonstrates that kombucha companies understand that their consumers are attracted by the product for the reason that it will positively effect their general health. Social Media Accounts UpDog Instagram ❖ Posts feature young people drinking and enjoying UpDog kombucha ❖ Features pictures of locations where UpDog can be purchased ❖ More women than men featured ❖ Average between 100-150 likes per post ❖ Heavy use of hashtags ❖ Most commonly used hashtags are: ➢ #kombucha ➢ #updogkombucha ➢ #booch ➢ #local ➢ #drinklocal UpDog Facebook ❖ Linked with Instagram account ❖ Posts from Instagram are also posted to their Facebook page ❖ Profile picture is the black and white UpDog logo ❖ Cover photo features a display of the bottle packaging for seven of their flavors ❖ ‘About’ has website link and a contact email UpDog Twitter No account UpDog YouTube No account Competitors The competitors featured below are three of the leading brands within the kombucha industry. The term ‘competitor’ is a bit of a stretch for UpDog, as they have not reached the point where they are competing for shelf space with the below companies. Yet, UpDog should strive to achieve the success that these companies have reached. Thus, it is important that UpDog understands what works and doesn’t work, in regard to social media efforts, for these leading companies. GT’s Founded in 1995, GT’s is a producer of handcrafted, raw kombucha. GT’s was the first company in the USA to make kombucha available to consumers on the shelves. The company is located in Los Angeles, California. GT’s Instagram ❖ 226k followers ❖ Following 565 users ❖ Link to their website in bio ❖ Post almost daily ❖ No hashtag use ❖ “Full Bloom” Instagram live series ➢ GT Dave (founder) speaks with special guests ❖ Photoshoots of various flavors (bottled) ❖ Unveiling of new flavors/bottles ❖ Inspiring quotes that center around yoga Posts with highest engagement: GIVEAWAYS! GT’s Facebook ❖ Linked with Instagram account ❖ Profile photo is the purple and white logo ❖ Cover photo says “Transform your health...with billions of living probiotics.” The photo features the bottles of five flavors. ❖ ‘About’ has website link, contact email, and the company’s origin story GT’s Twitter ❖ Same profile photo and cover photo as Facebook ❖ Bio has three sentences in it ➢ Location is LA ➢ Link to website ❖ Linked with Instagram account ❖ Retweet tweets that mention GT’s or GT Dave GT’s YouTube ❖ Videos focus around yoga, special guests, and food/drink recipes ❖ Videos are posted nearly every month ❖ Most popular videos: ➢ 1) https://www.youtube.com/watch?v=qM0XHitzIWc ■ Video explains what kombucha is, the history behind it, and the health benefits of the drink ■ 3 million views ■ Video is almost 2 minutes long ➢ 2) https://www.youtube.com/watch?v=OQB7ofBKCTs ■ Video promotes GT’s, while spreading the message of unity and coming together ■ 1 million views ■ Video is 1 minute long Brew Dr. Founded in 2008, Brew Dr. has been referred to as one of the quickest growing companies in the USA. Brew Dr. is a producer of organic and raw kombucha. The company is located in Portland, Oregon. Brew Dr.’s Instagram ❖ 64.5k followers ❖ Following 5,774 users ❖ Link to website in bio ❖ Photoshoots of various flavors ❖ Posts about social issues/important days ➢ Native American Heritage Day ➢ MLK quotes ➢ “My race is not a virus” ➢ 1% of sales to fight injustice ➢ International Women’s Day ➢ Trans visibility ❖ Occasional hashtag usage Post with highest engagement: GIVEAWAY! Brew Dr.’s Facebook ❖ Linked with Instagram account ❖ Profile photo is white font with green background ❖ Cover photo features six flavors ❖ Below cover photo, there is a link to YouTube video interviewing the founder ❖ Short, one sentence in ‘about’ description ❖ Website and contact email in ‘about’ Brew Dr.’s Twitter ❖ One sentence in bio ➢ Location is listed as Portland ➢ Link to website ❖ Profile photo is same color scheme as Facebook, but font is more playful ❖ Cover photo is same photo as Facebook, but it now has two people picking up the drinks ❖ Linked to instagram account, but also create other tweets ❖ Makes use of memes, polls, and links to articles...occasionally replies to users when they mention Brew. Dr. ❖ Retweets users who post pictures of them enjoying Brew Dr. Brew Dr.’s YouTube No account Health-Ade Founded in 2012, Health-Ade is a producer of kombucha, which they sell in 16 different flavors. The company is located in Los Angeles, California. Health-Ade’s Instagram ❖ 155k followers ❖ Following 496 users ❖ Hashtag #followyourgut is in bio ❖ Link to website in bio, as well as their TikTok account ❖ Does not use hashtags in the initial caption, but comments on the post with lots of hashtags ❖ Photos feature people enjoying their kombucha ❖ Photoshoots of various flavors ❖ Photos of the occasional influencer enjoying their kombucha Post with highest engagement: TAG A FRIEND! Health-Ade’s Facebook ❖ Linked with Instagram ❖ Posts are same as Instagram, with no deviation ❖ Option to shop for their flavors on the page ❖ ‘About’ includes a paragraph about their mission….and link to website and contact email ❖ Profile photo is their blue anchor logo with white background (same as Instagram) ❖ Cover photo features one of their bottles, surrounded by fruit and a martini glass Health-Ade’s Twitter ❖ Not linked with Instagram ❖ Profile photo and cover photo are same as Facebook ❖ Bio is one sentence about how they can ship free to customers ❖ Hashtag #followyourgut in bio ❖ Location is LA ❖ Majority of content is retweets of people praising their kombucha ❖ Will occasionally post same pic as Instagram, but not often ❖ Occasionally post an article about kombucha benefits Health-Ade’s YouTube No account Recommendations for UpDog Firstly, it is beneficial for UpDog to create a Twitter account and link it to their Instagram. This way they are able to, in addition to Instagram and Facebook, remind consumers of their brand. Through looking at the three competitors and their Twitter accounts, it appears that all three retweet users who post tweets praising the beverage and post pictures of them enjoying it. This appears to work well in creating brand loyalty, as users then feel they are connected to the brand. Furthermore, by retweeting other user’s tweets, those that follow UpDog on Twitter can see how others are enjoying the beverage. In running the UpDog Twitter account, it would be beneficial to link the Instagram account and retweet fairly often. In regard to UpDog creating a YouTube account, it would not be advised. It would be in the best interest of UpDog to focus on improving their Instagram, Facebook, and Twitter first, and then creating a YouTube account. Only one of the three competitors above has an active YouTube account, which is indicative of how challenging it is to create and post content to YouTube. Creating quality and engaging videos to YouTube is no small challenge. Furthermore, UpDog would benefit from posting more giveaways and engaging posts on their Instagram, Facebook, and Twitter. In analyzing the competitor’s social media accounts, it was clear that posts centered around a giveaway or inviting followers to tag a friend received the most engagement. Additionally, the photos posted to the UpDog social media accounts need to include more men. It is understandable that UpDog wants to feature women, as it is a “Women Founded” company, but featuring more women than men is only limiting to their brand following. Posting infographics and information about the health benefits of kombucha would also be largely beneficial for UpDog. Additionally, the power of influencer marketing cannot be overlooked. Brew Dr. does an excellent job of this, as they post content of celebrities and influencers enjoying their beverage. There is no need for UpDog to hire an A-list celebrity for a promotional post, but by featuring and tagging an influencer in a post, UpDog’s post will be visible in the “tagged” section for followers of that influencer to see.
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Running Head: INFLATION RATE OF PROFESSIONAL SPORTS SALARIES

Inflation Rate of Professional Sports Salaries

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INFLATION RATE OF PROFESSIONAL SPORTS SALARIES

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Purpose
The list of Major League Baseball (MBL) history’s top earners is quite fascinating, something
made even more interesting by incorporating the rate of inflation of their earnings over the
years. Salary spikes contribute significantly to the fact that elite Baseball players make a lot of
money today than ever before. MBL stars are plaid quite handsomely.

Baseball players sign some of business's longest contracts, not just sports. While projection of
the inflation rate of salary is important, it is hard to forecast such inflation accurately. Baseball
players are compensated handsomely for their skills. There is a massive difference between the
salaries that baseball players get and that other people enjoy. The average MLB salary back in
1992 was 32-times the yearly American household income. Come 2010, baseball players made
66 times higher than the yearly American household income (Wolfersberger).

INFLATION RATE OF PROFESSIONAL SPORTS SALARIES

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Similarly, MLB teams spent millions of dollars on plyer salaries through free-agent
contracts. Teams and their executives have to ensure that such money is spent wisely to create
efficiency among teams and players. Using descriptive models, this report looks at the inflation
rate of MBL players' salaries.
With the help of baseball prospectus analysis, this report looks at the rate of inflation in
baseball professional sports salaries. The report looks at different teams and how they
compensated their players collectively, as well as individually between 2018 and 2020. The aim
is to identify how compensation rates changed over the period as well as the determinants.
Data
From Baseball Prospectus, we are retrieving the data for the years 2018, 2019, and 2020 for 30
MBL teams. The data includes the number of players, the collective compensation by each
team, the individual player compensation for each team, a 1-year delta for each team, as well
as a percentage change.

INFLATION RATE OF PROFESSIONAL SPORTS SALARIES

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Fig: Average player salary in Major Leaque Basebal from 2003 to 2021 (in milllion U.S. dollars)
(Statista)
Big Budgets
According to Baseball Prospectus, New York Yankees are the leading team in terms of payroll.
This is the amount of compensation to its players collectively rather than individually. As such,
it is the team that invests the highest amount of money ($92,327,810) in its players. This is very
high compared to the mean payroll, which is $55,368,142.
This creates a significant difference of $36,959,668. This means that New York Yankees
compensates its players a lot more compared to the rest of the teams in MBL or within the
industry. The team has 25 players and the payroll amount is divided by the number of players
to get the dollars per player. This means that each player gets $3,693,112. This makes New York
Yankees the team that compensates its players most handsomely. Its number of players lies

INFLATION RATE OF PROFESSIONAL SPORTS SALARIES

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within the mean range hence the team is not among those with the highest number of players,
or the least.
Small Budgets
Minn...


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