[MUSIC] >> Welcome back. We're very proud and privileged to bring you a new module in this second session of our course, representing the professional athlete. It relates to soccer football, the worldwide sport, the most popular sport in the world. We're actually going to trace the pre-professional all the way through, and including the professional and peak professional years, and then, the post professional years of a hypothetical virtual superstar in the making. Perhaps the next David Beckham. We're going to do that through a play act, first and foremost with my teaching assistant. Ricky Volante will be joining us shortly, but we'll ask you at each of these inflection points, where would you recommend that the next Beckham, go ahead and play in his Academy? For which league? For which team? How would you force a loan-out or a transfer, in the course of that career? Is it most important to play for a champion in your league where you're from, or should you seek a loan-out or a transfer to another league and be a champion there? How important is the World Cup? How important is FIFA? What certifications, what regulations do you need as an agent to represent the next David Beckham? We're going to take you through each of these stages and then, as you're finishing that career trajectory, how do you monetize your brand? How do you have a brand that stays through and including your retirement years? When you're finished playing for all the various champions leagues throughout Europe, do you come to the US and play in the MLS as Beckham did, and do you go ahead and perhaps have a clause in your contract which we'll hear in the play act. That allows you to buy an MLS team and then build a new stadium in Miami. That's the kind of thing we're going to ask you to progress with us through and including the pre-professional and the post retirement years. We think you'll find it interesting. A lot of analogies, a lot of metaphors to what we see perhaps in golf and tennis, the Sharapova case study, the Arnold Palmer case studies that we looked at with our golf and tennis modules. Are not really a parallel, perhaps, to the NCAA rules, you'll hear that that amateurism concept, has nothing, has no place in the world, the wonderful world of soccer and professional soccer football, pre-professional, to play for your school would make no sense for the next super star. You'll hear these kinds of not so hypothetical questions as we ask you to virtually manage the next superstar talent in the wonderful world of professional soccer football. So, welcome to this next module and now I'll welcome a play act with our teaching assistant Ricky Volante which we rehearsed for you, and then we hope you'll find it enjoyable. And for those of you who don't know soccer football, we hope we'll find it informative. Thank you. To help me explore the wonderful world of soccer football, is my teaching assistant Ricky Volante. Welcome back Ricky. >> Thank you for having me Professor. >> Thanks for being with me. So, we're going to explore the virtual career of a superstar in the making. We use David Beckham, perhaps, the next David Beckham as the example. We'll talk and play act our way through how you would as his, virtual agent. Manage his career. Let's take him to the age of six, or nine, or twelve years old we know from the path that David himself trod the academy system would make the most sense. At what age would you recommend as family and himself, the next David Beckham that he enter the academy program for his country, for his native country? >> Well it would depend essentially on talent in the end. For the very special player or if they have the right genealogy, as we've seen with Lionel Messi's son. There is no limit to how young you might want to sign on and begin to start to become as good of a player as you can, at as young of an age as you can. But at the same time you do need to keep in mind that education is important, we do see a lot of players essentially in England and across all of Europe. Who tend to sign on between eight and twelve, when a typical American players, or child is going in high school or middle school and things like that. It tends to line up appropriately and be a replacement essentially for our advanced education system. Now which academy you would go to an idea that's very foreign to American fans and players is that you tend to go to the academy of where you're regionally located. So while you might be from Leicester, some place like that who is a team that bounces back and forth in promotion and relegation if you're from Leicester, you would probably still go to their academy. Now, on the other hand, if you're David Beckham and Ryan Giggs or someone along those lines and you're an extremely special talent then you have the ability to get invited by Manchester United to join their academy. And to begin going through as a player through their youth academy, and being educated through schooling as well as receiving the training and things that you need to be a successful soccer player. >> So we see this in America and in the United States, the famous ball leadbetter academies for the individual sports. Now a company, IMG of course, they'll bring people from around the world to go into an academy system, especially for tennis and golf, at a very young age. Similar to what you're saying. But in so doing the amateurism concept just goes out the window. You're not going to play those golfers, those tennis players who are at the academy. Are going, some will go to Division One programs, we hear that from our golf and tennis experts, but a Maria Sharapova, gifted like that is going to go immediately into the pros and so what we're shattering here is the concept of amateurism. So a great gifted soccer football player is not aspiring to play for Oxford or Cambridge right? That would be, no offense to my old Alma Mater, but Oxford's soccer football team would not be where the next Beckham would want end up playing. >> No, that would almost be career suicide in a lot of senses. Because you see these very special talents like David Beckham, like Wayne Rooney, like Ross Barkley now with Everton, who debut when they're 16, 17, 18. And if your off at college then your missing your prime, almost your peak years when you're first entering, and you're a step faster than everybody else, because you're so young and fast, and. >> And it's a giftedness. Like Clint Frazier who's with us, baseball. At least he got through high school and then he was eligible for the draft. We talk about football in the NCAA. They're no equivalent of the NCAA that the next Beckham has to worry about, or you have to worry about as his agent. >> Correct. That's a completely foreign model to them. If you end up in the US and going to college, it's probably because you weren't going to be a superstar soccer player to begin with. >> Is hockey the next best analogy, where you're going to go play for a pre-professional team, if you're good enough, the juniors up in Canada? >> Yeah, I mean beyond golf and tennis and the ING model that we see there, I would say that hockey is probably the next closest equivalent to what you want, how you want to handle your player, your soccer player. >> So let's take the next Beckham and Man United has said please come into our academy, not Beckham's son but the next Beckham, he's that gifted. So now he's 12 he's entered the Man United Academy, you're counseling his family, not worried about amateurism, they're going to take care of the education too. Where, how do you want to progress his career? When is it too soon to put him on too big a stage, as you're trying to push him into the Man United team itself. >> Well, typically, you'll see your first team debuts, or at least your promotion from the youth system onto the reserve team at the age of 16. Now if you're an extremely special talent, there is a chance that even for a Manchester United, that you could get your debut within a year or two after that. So Wayne Rooney debuted with Everton when he was 16 years old. Man United bought him several years later and then was immediately, the Man United star and face of Nike soccer that he is today. However, that's a special case. >> Special, yeah. >> A very special case. >> That's the LeBron that we talk about in basketball at 18. Before the one and done rule. He was ready, willing, able out of St. Vincent–St Mary's. It's the same sort of giftedness we're talking about. But let's stay with that so now let's say he gets promoted. He's 17, 18. He's on the reserve squad, but there's somebody ahead of him, this hypothetical next Beckham. And he's just not getting the playing time. Is the attorney agent would you recommend a loan out to another team. So he could get more playing time, but stay under a Man United contract? >> Now that, that is certainly an avenue that a lot of players have taken successfully. We've seen many Manchester United players who have gone out on loans, particularly in their early years. Because when you're playing for a club such as Man United, or Barcelona, or Real Madrid, or someone along those lines, there is going to be an extremely talented player ahead of you. And until you're capable of overtaking that spot and getting your playing time there, seeking out a loan, and possibly going to someone like an Ajax in Netherlands or something along those lines. Where you're playing for a quality team in a quality league, just not quite to the level of the Premier League or Serie A or the Bundesliga. Or something else. >> So this would be the equivalent for baseball terms of going to Triple A or a farm club almost right? You're still under contract at the big club, is that a fair analogy or metaphor? >> I would say that's about as close as you can get with a baseball metaphor. That's the crucial there as the player you want to stay with Manchester United and one day debut for that top class team. So by doing this, you're still getting your experience somewhere else, you're still getting your playing time somewhere else. But at the end of the day, you're still a Manchester United player. >> Now you're still log jammed, the hypothetical next Beckham. Still can't make his way back to the Man United club, the big club so to speak. When do you demand a transfer? If you're managing this person's career. >> [COUGH] Well in soccer, 23 to 25 tends to be that age range. That's when you're really going to make your mark. That's when you're either going to become the next Cristiano Ronaldo, or Gareth Bale, or someone along those talent lines, or you're going to become the next burnout. And if you're still in a log jam and still unable to get any sort of playing time, we'd just saw it with Manchester United this past summer. Chicharito Hernandez a top quality striker in the world. Met in Team Mexico one of their best strikers as well. Very, very popular in the United States. Just still, couldn't get playing time. But then again, when Robin van Persie and Wayne Rooney and Falcao are all ahead of you. >> [LAUGH] >> It's difficult. And then, when on loan to Real Madrid and was able to go there. And now it's saying that I'm never coming back to Manchester United. So, there's several Italian clubs that are pursuing him. He still has the opportunity maybe to stay with Real Madrid. But he's 26 and he's now realized that he's at that age where it's make or break. And if you have to force your way out of Manchester United or someone along those or a team along those lines. You've gotta do what you gotta do. >> And each of the clubs, they have the equivalent sort of of a three year fair play rule. So you have to be careful to not overspend, as far as the team side goes, too much or else you're going to run afoul of the UEFA rules on fair play. >> Yeah, so, UEFA does have financial fair play which takes each three year period. And analyzes the team's spending versus their costs. And if you go over I believe it was 45 million euros this past year over that three year period. And you suffer a loss larger than that then your team's going to get something from basically a reprimand from UEFA. All the way up to a Champion's League ban, which is hugely significant. Teams the economic impact of a team qualifying for the Champion's League can be anywhere from 10 million. And this is now Sterling or 15 million Euros in that area just by being there. And then depending on how far you go, it could be anywhere up to 50 million or more. So that is a huge, huge piece for the team. >> And on the transfer fee now what is the agent get on each transfer and who pays it? >> Very different than the model we're used to in the United States. >> Yes, the transfer fee, I mean that would obviously, it would depend on the role of the agent. The player would obviously have a set portion that goes to the agent, now depending on how much the agent, if he's actively seeking the transfer he could possibly get more. But otherwise, he'll get that set fee for whatever it would be in the contracts. You know, 5% or something along those lines. >> So is the team ultimately double paying, I mean, the equivalent? Right? It's almost like the Japanese posting system in baseball. You gotta pay the Japanese league or team. Then you got to pay the player over and above that. >> Yes, now direct payments to the agent we've seen that as well, which that's where FIFA and UEFA have started to step in and third party ownership and actually banned that. So get the team having to pay the agent outright is quickly becoming a thing of the past. However, they are doing the work for you in a sense, they're the ones that are actively seeking the transfer not necessarily the team. I mean there are times where teams match up and there's a player that makes sense to go from team to the other. But at the same time, the majority of the time it's the agent who's actively seeking out a team that would best fit for his player. >> What certifications do you need to run across each of the major leagues throughout all of Europe to be able to explore and find the best deal for your next Beckham. >> Now, fortunately despite the fact that there's the German Bundesliga. There's Serie A in Italy, there's the French Ligue 1, there's Liga in Spain, there's Premier League in England, and many more. Fortunately, they all fall under the umbrella of FIFA. So as long as you're a FIFA certified agent you have the ability to go across all of these leagues and work with all of these teams to try to seek a transfer or just negotiate on behalf of your client. >> Let's go there. How important is it then, for your next Beckham, as we keep calling him, to play in the World Cup. Which FIFA has just organized and run in Brazil. Quite successfully, by all reports. Despite a lot of noise in the system getting to the point that they got to. But the worldwide coverage of that on social media and otherwise was unprecedented. How important would it be for the next Beckham to go play in the next World Cup? >> Now this is another concept that's very unique to soccer and not necessarily. It's very foreign to Americans whereas the World Baseball Classic has basically become a chore. It's something you want to avoid at all costs, if you're a professional baseball player. Now on the other hand for a soccer player, representing your nation is the ultimate glory. And winning the World Cup is beyond, that will be the greatest accomplishment in your entire career if you're able to do so. So being able to go to Brazil or to Russia in 2018 and represent your country is a huge honor to these players. It's what they ultimately seek to do. There are very few that get to ultimately say that they got to do this. And then even fewer that get to say they won a World Cup. So but winning, but for that superstar player winning this World Cup, opens so many more avenues for you. In terms of endorsements and things along those lines. >> Now is that going to be specific to Brazil, going to be specific to somebody from the German team, will be Germany centric sorts of opportunities? Again you're managing the best player on on the German team that just won the World Cup. Or is it a worldwide modernization that comes through the team that he plays for in Germany. Well, fortunately for the players on Team Germany, the majority of them represent Bayern Munich. >> Mm-hm. >> And the ones that don't, the majority of the rest of them represent Borussia Dortmund. >> These are the two most publicized teams in the Bondas league, so already they're a step above the players on their team that are playing for Shocka or teams that are historically good, but not as good these days. So they already have the ability to monetize across all of Germany. >> Mm-hm. >> Just by being a player for Bayern Munich. Now winning the World Cup? That opens the doors to the entire world. Particularly when you look at the numbers and you see that this past World Cup broke the record in terms of social media, broke the record in terms of TV deals. Broke the record in terms of internet deals and things along those lines, so these players were seen across the entire world and are now Thomas Mueller for instance is now as close to a German household name as you might get in the US for a soccer player. So, and winning that opens so many more doors for these players. >> How about brand damage? Let's go to Mister Suarez, how much damage can happen when you're on that worldwide a stage? >> You saw the GIFs and the memes, I believe they're called were on Twitter within minutes of that occurring. You already had pictures of pulling down his shirt and showing the bite mark, his brand was damaged before the final whistle even went and he didn't even receive a card on the play. [LAUGH] So when you're on that international stage, a lot of things can go wrong [LAUGH] at such a faster pace than we've seen in the past. >> But let's just stay with that. So now we're talking about the magnification, the multiplication of the endorsement opportunities, social media and otherwise, for the individual player. What would be the most important pinnacle for Manning maybe winning that Superbowl, they finally accomplished. His brother's [COUGH] won two Super Bowls. What's the equivalent in the soccer football world, is it winning at the Champions League level or is it winning a World Cup or is it a tie for first? >> Well, this is an argument that you see very, very often these days, it depends on the club. I would say, who they play for to begin with. A team like Manchester United has always focused on winning the Premiere League first, the Champions League comes second. Now, if you look at a team like Real Madrid, winning the Champions League comes above everything else and they build their teams to win the Champions League. So it would depend now, if we're talking about the Manchester United player first winning the Premiere League, that's definitely a step in the right direction. Winning the FA cup, even though it's lost some of its prestige in the past, getting that double, the double trophy bear is hugely important. And then for Beckham and the class of 92 as we saw in 99, winning the Treble, a rare feat, particularly for an English team. Winning the Treble is essentially the pinnacle of success in terms of your club. Now winning the World Cup you could argue that winning the World Cup is better than winning the Treble, but I could point you in the direction of plenty of English fans that who would disagree with that statement. Now granted, they haven't had the best track record in the World Cups in previous years. So, it would depend on your audience who you're trying [LAUGH] to argue to. >> Tied for first, tied for first. Okay. [LAUGH]. >> Both are hugely important from an endorsement standpoint >> Yeah. >> and a monetization standpoint. >> So lets take the next Beckham through and including the travel through and including having one ball, lets just make it somewhat hypothetical is the next step to play in the MLS, for example, as Beckham did and I know as the agent attorney for Beckham, you have negotiate the equivalent of a bird exception where you get the highest sort of unlimited in MLS pay for Beckham as he would come play for the Galaxy. Is that sort of the next, next penultimate, almost last step for a player of Beckham's quality? >> Well, with Beckham he was very unique in a lot of senses. After winning the Treble in 99, he ended up having a fallout with Manchester United's coach at the time and ended up then going to Real Madrid. Now at Real Madrid, then he won just about everything you could win at Real Madrid, then he went to AC Milan, won just about everything you could win at AC Milan. Then decided why not go to the MLS. Why not venture into the US market. It's hugely important particularly for a player that was astute as he was in terms of monetizing his brand not just within Europe, but across the entire globe and particularly within the US. And then when he came over to the MLS, one of the key clauses that he wanted included in his contract was the ability to purchase an MLS franchise once he finally decided to retire. He goes to the Galaxy. Again, wins everything you can win with the Galaxy, because well, he had everywhere else. And then to top it off, he ended up getting loaned to PSG to go and win the French league for playing with them half the season. So again, a very unique, unique player to be able to say that he won a league championship in the English, French, Spanish, Italian and US leagues. And one of the key things that Beckham did was kind of break the perception that the MLS is a retirement home. >> Mm-hm. >> [LAUGH] For international soccer players in particular that, and you even saw this, this past summer with Ashley Covey said that I wasn't ready to go lay on the beach for a season. So that, it was a step in the right direction for the MLS in trying to draw these talents in and then it also forced them to create the exception that you mentioned, which is now essentially, become the Beckham rule. Which allows you to designate now up to three players, depending on their age and then they don't count against your MLS cap, which is again a unique thing within soccer. That there is one league that has a cap. So you can spend six and a half million dollars a season to have David Beckham. Whereas you're spending two and a half million on the other 20 players on your team. [LAUGH]. >> And they're proud to be playing with them. [LAUGH] Happy and proud to the exposure they get. So let's finish this with, now you're going to be an owner of a franchise, you're going to build a new stadium in Miami. Last reports are that that's still in process. It's that sort of the Michael Jordan play when you become a billionaire equivalent through the branding of the jump man and everything else that Jordan's been able to do couple of questions there. Is that the last best plan? Did he, was he able to monetize a brand that is unique to Beckham? We talked about that. LeBron, Jordan owning the jump brand the jump man brand. LeBron what kind of unique, specific decision or return trademark, intellectual property could he own or should he own as he transitions? LeBron does. So what if any intellectual property has Beckham been able to monetize as he heads to being an owner like a Jordan in the NBA that he's going to have forever like Arnold Palmer does with his logo. >> Yes. And again, with Beckham it was, he was kind of the trailblazer there in terms of professional soccer players doing this pitch on a global scale. And that was actually one of the reasons for this fallout with the Manchester United coach who in his biography, said that he thought that Beckham was more concerned with the hairstyle that he was trying to debut as opposed to what he was doing on the field. And so you saw that throughout his career that he'd certainly had the sense of how to monetize himself and monetize his brand, particularly in colognes, underwear and clothing, he was hugely successful in and didn't hurt with his looks. So and then not to mention, he was arguably one of the greatest players in the world at the time. And throughout his entire career at every single place he stopped, it was as if he was expanding his brand a little more, country by country almost. Jumping from league to league and being successful everywhere. And how he's finally retired. >> And decided the next logical step is to go ahead and exercise this clause, purchase this team and now begin to continue the ascension of the MLS into at least the conversation of being a league that players want to come to. And he's trying to really pioneer that idea by being so involved and being hands on and starting his own franchise, selecting. He's been very hands-on in selecting the site of the stadium, selecting exactly where he wants it in Miami. He's been very astute into the location, he knows that when you come to a soccer game, it's more than just about the game, it's an experience in itself. He's been trying to scout beach locations and things like that, where you would have access to the beach and the clubs as soon as you left the stadium or on your way into the stadium. So he clearly is very, very aware of how to monetize himself, how to monetize his brand. So he doesn't necessarily to go back to the original question, he doesn't have a logo, he doesn't have the Beckham logo. But David, the name David Beckham is a brand in and of itself at this point. >> Yeah, and let's finish. Go all the way back. How important is just winning as just win. Like Al Davis used to say with the Raiders just win. Nike just do it. [COUGH] How important? Now you're counseling almost the pre-professional next Beckham. Don't take your eye off the perfect your craft. Be a champion, as you've suggested as is the real Beckham proven that is the ultimate and most important part of your branded campaign is to be a champion wherever you play, you go all the way back to a Manziel. Maybe got no offense to those who manage him, but he got so far ahead of himself with his branding campaign and the finger roll and [COUGH] trade marking Johnny Football, you can't take your eye off your craft. Right? You need to maintain that brand, you need to be giving you a leading question, you need to be continuously perfecting your craft to the point where you're near the peak of your professional career. And for people to go ahead and pick product, because, hey, if Johnny endorses a Snickers bar, I want one too. >> And that's 100% accurate once again. As we've seen with the other leagues and Cristiano Ronaldo, who we haven't mentioned yet, is a great prime example of that. Started in Portugal, went to Manchester United, won everything there was to win at Manchester United. And now is at Real Madrid and has won everything there is to win at Real Madrid. Started off as this very scrawny, very small [LAUGH] soccer player and is now in terms of mass and size and speed is essentially the perfect combination of talent. When you look at a soccer player and he has at the same time managed to slowly roll out campaigns to monetize his brands. Beckham was a little different as you saw with the fallout with the head coach particularly with someone of Sir Alex's stature. So maybe he didn't always go about it the right way, but he always was clearly talented. Whereas a player like Renaldo would be who I would point to for my hypothetical player say, this is what you want to do. You want to just continuously make yourself better and better and better, Because you've gotta win. [LAUGH]. >> So couple last questions, we didn't rehearse these, but Liverpool, Man United. Greatest rivalry in all of sports. >> I'm biased. I am a Manchester kind of fan. And I would say, yes. The best way to describe it would be the Yankees and Red Sox multiplied by other rivalries in American sports and then on steroids. [LAUGH] That's the best way to describe Manchester United, Liverpool and they just played yesterday in fact. Fortunately, a three nothing win for the good guys. [LAUGH] So. >> Last question. Best player ever. You get this about Jim Brown, we talked about Jim Brown and his publicity rights case. [COUGH] History of the NFL, we talk about that. Greatest player Pele or Beckham or somebody else? Talked about that in golf, talked about that in tennis as well. >> Pele, it's really difficult to overcome the talent that Pele had. Beckham, if not for having fallen out with Sir Alex and the way they ended up exiting Manchester United, it is a blemish on his, otherwise, stellar career. But now with Lionel Messi and Christiano Ronaldo, their ability to score at any given moment regardless of what the other team tries to do to defend them. They will certainly be in the conversation at the end of their career, if they're not already there at this point. [LAUGH]. >> Well, it's so much fun to share this play act with you. So much fun to invite you to join this conversation. Who's the greatest ever? What's the greatest rivalry ever? For whom would you vote in golf? Tennis? We've heard from our experts there. We've now play acted, who's the best ever and how would you manage that career from the beginning through the middle to end of a career like the next David Beckham. We really look forward to hearing from you to virtually and actually manage a soccer football player's career through these various stages. Very different from the other leagues we've looked at. Perhaps, most similar to golf and tennis based on that separate module. But we'll invite you to interact with us and we very much look forward to getting your views in this wonderful world of soccer football to which we're proud to have welcomed you through this initial play act. So stay with us for the next part of this module and thanks for your attention on this part. [SOUND]
