PPV Bonus Equation

[BBMN]

It's old. It may have changed. Please feel free to post any updated link in case it is now different. Randy Couture disclosed the structure years ago.

It's a tier system. You get so much for each purchase, for each tier. And you are still getting all the money for all the tiers under it. So the money compounds. At the time, the real money poured in if you were to make it to the fourth and final tier of 330+k buys.


100,000 – 175,000 buys – $1 per buy (you get nothing extra for the first 100k buys)
300,000 buys – $1.50 per buy
300,000 – 330,000 buys – $2 per buy
330,000 – plus buys – $3 per buy


If the PPV had 520k buys, you would get (75k+187.5k+60k+570k) $892,500. This is just the bonus, and doesn't include their salary.

With the same structure a million PPV sales would get you $2,332,500.

This structure was valid in like 2007, and may be higher now. I don't know.

If you main evented (and had this formula in your contract), you get the bonus. I have no idea if everyone that main events a PPV gets this money or not. I have no idea if there is a similar bonus plan for the co-main eventers. Again, this is old news, but with talk of what Ronda or Conor can get in one fight, I felt relevant. This is why people hype themselves. If you can main event a PPV more than once, you can make a lot of money in quick order. I feel this is also why some champions become safer once they get the belt.

Source - http://mmapayout.com/2007/10/ufc-pay-per-view-bonus-scale-goes-public/

 

[milliniar]

On mobile on break at work so no linking. Both Eddie Alvarez and overeems contract show us more recent and both are different. So we can make an educated guess that people can get different payouts. From the way he is talking Conor may have got gate% into his new contract as well.

 

[johncola]

What milliniar said.

Alvarez's contract was $1 per buys 200k-400k, $2 per buys 400k-600k, and $2.50 per buys over 600k.

 

[BBMN]

What milliniar said.

Alvarez's contract was $1 per buys 200k-400k, $2 per buys 400k-600k, and $2.50 per buys over 600k.

Wow, that's not good. They're paying less now. $3 for each purchase past 330k buys, is pretty good. If the top tier is now $2.50 for each purchase over 600k.... yikes. That's a step backwards for sure. A million PPV sales would net $1.6 million, not $2.3 million... about a third less.

 

[SeattleFightFan]

and Cro Cop said fuck all that noise, i want half a mil per fight, win or lose. in 2007, mind you. UFC said yes.

TS, each contract is different, but yes your main point is well understood; Conor and Chael have both been very vocal in their belief that Aldo is a joke for not making big money. i believe Chael said flat out that his PPV's have never hit the minimum for a bonus.

which does beg the question, should guys who don't like to do this (Aldo, Nick Diaz, etc) negotiate for something like Cro Cop's deal?

do some fans really not associate PPV bonuses with big shit talkers?

 

[SeattleFightFan]

Wow, that's not good. They're paying less now. $3 for each purchase past 330k buys, is pretty good. If the top tier is now $2.50 for each purchase over 600k.... yikes. That's a step backwards for sure. A million PPV sales would net $1.6 million, not $2.3 million... about a third less.

no. they're paying some people less.

 

[SocraticMethod]

Wow, that's not good. They're paying less now. $3 for each purchase past 330k buys, is pretty good. If the top tier is now $2.50 for each purchase over 600k.... yikes. That's a step backwards for sure. A million PPV sales would net $1.6 million, not $2.3 million... about a third less.

Or they're just paying Eddie less than Randy.

 

[Rational Poster]

Or they're just paying Eddie less than Randy.

Makes sense to me. Who the fuck is Eddie when compared to Randy anyway?

 

[BBMN]

Makes sense to me. Who the fuck is Eddie when compared to Randy anyway?

Mathematically speaking, they're the same thing. That is, if Person A sells 700k PPVs, and Person B sells 700k PPVs, they've accomplished the same thing for their employer.

and Cro Cop said fuck all that noise, i want half a mil per fight, win or lose.

Well we're talking about PPV bonuses, not salaries. If Cro Cop told them he did NOT want a PPV bonus.... well that would be weird. I've never heard that. I believe you're conflating salary and bonus money. Imagine if he refused a bonus and went on to win the title and have like 4 title defenses. We're talking about millions in lost PPV bonus money.

 

[Rational Poster]

Mathematically speaking, they're the same thing. That is, if Person A sells 700k PPVs, and Person B sells 700k PPVs, they've accomplished the same thing for their employer.

Except you can't compare the two.

Randy was the face of MMA as a whole for longer than Eddie has even been in the UFC.

In short, Eddie should count his lucky stars for ever getting a contract with a PPV bonus included. Not that it matters it's unlikely he'll be in a position to earn a PPV bonus anytime soon.

 

[TatooNU]

It's old. It may have changed. Please feel free to post any updated link in case it is now different. Randy Couture disclosed the structure years ago.

It's a tier system. You get so much for each purchase, for each tier. And you are still getting all the money for all the tiers under it. So the money compounds. At the time, the real money poured in if you were to make it to the fourth and final tier of 330+k buys.


100,000 – 175,000 buys – $1 per buy (you get nothing extra for the first 100k buys)
300,000 buys – $1.50 per buy
300,000 – 330,000 buys – $2 per buy
330,000 – plus buys – $3 per buy


If the PPV had 520k buys, you would get (75k+187.5k+60k+570k) $892,500. This is just the bonus, and doesn't include their salary.

With the same structure a million PPV sales would get you $2,332,500.

This structure was valid in like 2007, and may be higher now. I don't know.

If you main evented (and had this formula in your contract), you get the bonus. I have no idea if everyone that main events a PPV gets this money or not. I have no idea if there is a similar bonus plan for the co-main eventers. Again, this is old news, but with talk of what Ronda or Conor can get in one fight, I felt relevant. This is why people hype themselves. If you can main event a PPV more than once, you can make a lot of money in quick order. I feel this is also why some champions become safer once they get the belt.

Source - http://mmapayout.com/2007/10/ufc-pay-per-view-bonus-scale-goes-public/

I thought Mighty Mouse was quoted as saying the PPV bonus points dont start until 250K, that is why he makes peanuts.

 

[BBMN]

Except you can't compare the two.

But one can, and I just did.

If Fighter A sells X PPVs, and Fighter B sells X PPVs, then both fighters did the same amount of work for their employer, and that's all that matters to the companies bottom line. Literally.

I thought Mighty Mouse was quoted as saying the PPV bonus points dont start until 250K, that is why he makes peanuts.

Yea, that's why I wanted to hear from people if they knew if the system had been changed. If they no longer give a cut for the bottom tier (100k-175k) then it will absolutely crush someone like MM.

 

[Rational Poster]

But one can, and I just did.

If Fighter A sells X PPVs, and Fighter B sells X PPVs, then that's all that matters to the companies bottom line. Literally.

You can do a lot of things in this world but just because you do them doesn't make you not wrong.

Randy Couture will always be worth more than Eddie Alvarez in the real world.

 

[BBMN]

You can do a lot of things in this world but just because you do them doesn't make you not wrong.

Randy Couture will always be worth more than Eddie Alvarez in the real world.

What if Eddie goes a tear, and wins 10 in a row, gets the belt, and a ton of people tune in to see him fight..? You're saying he deserves less than someone else, because because. You're simply saying because.

 

[milliniar]

I thought Mighty Mouse was quoted as saying the PPV bonus points dont start until 250K, that is why he makes peanuts.

Well his contracted ppv buys don't start till 250k every fighter can in theory have a different ppv buy clause, most have none. It will be on most champs and other big names.

 

[SocraticMethod]

But one can, and I just did.

If Fighter A sells X PPVs, and Fighter B sells X PPVs, then both fighters did the same amount of work for their employer, and that's all that matters to the companies bottom line. Literally.

You're correct, obviously, but you're also kind of proving the other side's point. Randy is/was a much bigger name/star than Eddie. It's pretty common for bigger stars to get paid more than a lesser star for doing the same thing.

If a 5-time All Star and MVP candidate hits 40 home runs and a rookie on the team does the same, they've provided the same amount of home runs for the team, but the All-Star/MVP is going to be getting paid a lot more for those results because he's already established and his contract/salary is based on what he did in the past. Randy was already an established UFC champion (and may have already been in the HOF) when he signed that contract - Eddie was not.

 

[mag5585]

Was Gil's contract public due to them going back and fourth with bellator?

 

[Rational Poster]

What if Eddie goes a tear, and wins 10 in a row, gets the belt, and a ton of people tune in to see him fight..? You're saying he deserves less than someone else, because because. You're simply saying because.

He would be paid less because at the time he signed the contract he was worth less and is still worth less.

I'm not going to speculate on fantasy, but if Eddie does go on a tear he'll likely renegotiate long before he has time to win 10 fights in a row, but he won't get that opportunity.

Eddie was only offered PPV points to snub Bellator of one of their top fighters, not because Eddie is actually worth it or anyone cares about him.

My prediction is UFC188 is the last PPV we see him on and if he drops another fight he'll be renegotiating just to stay because I'm certain they overpaid for him.

 

[TatooNU]

Chael stated he made more then Anderson for their rematch due to the PPV points. LMAO