Thursday, September 14, 2023

Tour Wars: Unpacking the Merger between MLP and PPA

 

Rivals Join Forces, Creating Uncertainty in Pickleball Merger between PPA and MLP leaves players and owners wondering about the future
The blockbuster merger between rival pickleball organizations Professional Pickleball Association (PPA) and Major League Pickleball (MLP) is leaving many questioning what the future holds. As hosts Thomas Shields and Zane Navratil discussed on the "Picklepod" podcast analyzing the deal, uncertainties abound for players, team owners, and even the APP. While contracts are expected to be honored, some MLP players feel "punished" for their loyalty in signing early for less money, Shields explained. With salaries destined to drop after an unsustainable spike, Navratil pondered if some might "go back to the real world" when their lucrative deals expire. Team owners now face running their clubs as independent businesses. "I don't know if all of these owners have ever run a business in their life," mused Shields. The hosts were doubtful about the ability to fund long-term operations. "They're going to have to sell," predicted Navratil about ownership groups lacking the capital to keep up. APP Tour founder Ken Herman sees opportunity amidst the turmoil. With PPA and MLP "dramatically increasing their cost of business," Herman believes APP's "financially responsible path" may allow it to emerge as "the only one left standing" someday, Navratil relayed. The merger leaves unanswered questions about the future roles of Steve Kuhn and Connor Pardoe, who built PPA and MLP respectively but lost power. Pardoe's "baby" being "taken out" by those with "deeper pockets" shows what can happen when "money prevails" in business, Shields reflected. While the united entity brings optimism for pickleball's growth, uncertainty remains about branding, league operations, and long-term viability. But as Shields noted, anything can happen in the world of pickleball.

Discussion Topics List
  1. 00:00 - 00:45 - Introduction and addressing Jimmy mentions in comments
  2. 00:45 - 01:14 - How unified the new organization will be
  3. 01:14 - 02:29 - Structure of merged entity and board seats
  4. 02:29 - 03:13 - New holding company owning PPA and MLP
  5. 03:13 - 03:49 - $50 million investment from MLP owners
  6. 03:49 - 04:16 - Player contracts expected to be honored
  7. 04:16 - 05:03 - Steve Kuhn's role and focus on amateur pickleball
  8. 05:03 - 05:28 - Hiring a new CEO to run merged entity
  9. 05:28 - 06:19 - Frustration from some MLP players about contract differences
  10. 06:19 - 07:26 - Reasons for the merger and uniting top players
  11. 07:26 - 08:01 - Maintaining PPA and MLP brands and events
  12. 08:01 - 08:46 - Player salaries not sustainable long-term
  13. 08:46 - 09:07 - Need for growth metrics to attract more funding
  14. 09:07 - 09:58 - Teams now solely owned by individual owners
  15. 09:58 - 10:48 - Challenges for owners running teams as businesses
  16. 10:48 - 11:38 - What happens to players signed but not on teams
  17. 11:38 - 12:15 - Standards expected for team operations
  18. 12:15 - 12:51 - Zane found out about merger before public announcement
  19. 12:51 - 13:28 - Zane's perspective on speaking out about PPA
  20. 13:28 - 13:57 - Likelihood of player boycott at Atlanta event
  21. 13:57 - 14:27 - Number of players signed across organizations
  22. 14:27 - 14:58 - Options for undrafted players still under contract
  23. 14:58 - 15:32 - Press release before details to players
  24. 15:32 - 16:03 - Frustration about contract differences for early MLP signers
  25. 16:03 - 17:13 - Players with best options likely to stay in pickleball
  26. 17:13 - 17:52 - Reasons for maintaining separate PPA and MLP brands
  27. 17:52 - 18:28 - Benefits of consolidating into one brand
  28. 18:28 - 19:07 - Letting brands run separately at first and re-evaluating
  29. 19:07 - 19:58 - Sharing resources to reduce overhead
  30. 19:58 - 20:48 - Kuhn and Pardoe losing some power from merger
  31. 20:48 - 21:25 - Pardoe and Kuhn's future roles uncertain
  32. 21:25 - 22:27 - Wealthy owners prevailing over Pardoe and Kuhn
  33. 22:27 - 23:01 - What the merger means for the APP Tour
  34. 23:01 - 23:42 - APP's stable approach compared to PPA and MLP
  35. 23:42 - 24:04 - APP as a 'cockroach' surviving turmoil
  36. 24:04 - 24:58 - APP's perspective on the merger announcement
  37. 24:58 - 25:23 - Speculation on players retiring after contract terms
  38. 25:23 - 25:57 - Pickleball industry opportunities for players
  39. 25:57 - 26:36 - Benefits of one tour name and brand
  40. 26:36 - 27:21 - Letting brands run separately initially
  41. 27:21 - 28:22 - More financially prudent to have one brand
  42. 28:22 - 29:10 - Future possibility of fully combining brands
  43. 29:10 - 29:58 - Kuhn and Pardoe losing power from the merger
  44. 29:58 - 30:43 - Pardoe and Kuhn's pride and visions dashed
  45. 30:43 - 31:09 - People with money prevailing over Kuhn and Pardoe
  46. 31:09 - 31:57 - Pardoe's effort to 'save his business'
  47. 31:57 - 32:45 - Uncertainty for lesser-known players
  48. 32:45 - 33:32 - Players leaving pickleball after contract terms
  49. 33:32 - 34:20 - Pickleball industry opportunities for players
  50. 34:20 - 35:38 - Rationalizing separate brands under one entity
  51. 35:38 - 36:57 - Sharing resources to reduce overhead
  52. 36:57 - 37:54 - Benefits of focusing on one unified brand
  53. 37:54 - 38:43 - Letting brands operate separately initially
  54. 38:43 - 39:40 - Future possibility of fully combining brands
  55. 39:40 - 40:37 - Kuhn's diminished role but still board seat
  56. 40:37 - 41:24 - Pardoe's uncertain future role
  57. 41:24 - 42:21 - Wealthy owners prevailing over Kuhn and Pardoe
  58. 42:21 - 43:18 - Speculation on wrapping up given limited details
  59. 43:18 - 44:15 - More details and feedback expected before next recording
  60. 44:15 - 45:12 - Rapid changes for Kuhn and Pardoe in short timespan
  61. 45:12 - 46:09 - Pardoe's effort to 'save his business' by rushing to meetings
  62. 46:09 - 47:06 - Uncertainty for lesser-known contracted players
  63. 47:06 - 48:03 - Players potentially leaving pickleball after contract terms
  64. 48:03 - 48:59 - Pickleball industry opportunities for players
  65. 48:59 - 49:56 - Maintaining separate brands questioned
  66. 49:56 - 50:53 - Benefits of unified brand and efforts
  67. 50:53 - 51:50 - APP's stable approach compared to PPA and MLP
  68. 51:50 - 52:46 - The APP 'cockroach' surviving potential turmoil
  69. 52:46 - 53:43 - APP's statement on merger announcement
  70. 53:43 - 54:40 - Preview of topics for next recording

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