University of Louisville athletic director Josh Heird says there is no “silver bullet” that will help his department’s current revenue race.
To compete in the increasingly commercialized world of college sports, programs of its size might spend more than $40 million a year on talent acquisition, revenue sharing and other costs, according to experts. But just five of Louisville’s 23 sports generate any revenue, according to the athletic department. Only football and men’s basketball turn profits.
Louisville, like a growing number of major conferences ′ public universities, is trying to narrow that spending gap and its supporters are trying to help by creating a new organization to oversee everything from third-party multimedia deals to hospitality packages.
This spring, Louisville launched Cardinal Ventures, a nonprofit designed to help the athletic department leverage its brand to generate new revenue streams, all to keep pace with the multibillion-dollar market around compensating athletes for the use of their name, image and likeness.
“We live in a highly, highly competitive environment and industry,” Heird said. “And if there’s anything that anybody can do to try to create even the smallest sort of competitive advantage, then they’re gonna look to do that.”
