Minor hoops shakeout ahead?

by Bruce Baskin
Published on May 13, 2001 under American Basketball Association (ABA)

by Bruce Baskin

MINOR LEAGUE HOOPS SHAKEOUT LOOMS AHEAD

One of their franchises was recently put up for auction for $50,000 on eBay, with no takers. A number of their teams routinely draw "crowds" of 100 or less. Their franchises fold or move with alarming regularity. And yet, the United States Basketball League may be one of the most stable of eight leagues in the alphabet soup that is minor league basketball.

This past season saw the demise of the Continental Basketball Association after 55 seasons of operation, while both the International Basketball League and American Basketball Association 2000 slogged through their campaigns amid oceans of red ink. Neither the IBL and ABA2000 are sure bets to operate next season. In fact, it would be impossible to find any minor league basketball circuits not beset by financial problems and shaky franchises.

Why hasn't the boom experienced by minor league baseball and hockey in recent years been repeated in basketball? It could be successfully argued that basketball is a more popular sport in America than baseball, certainly more so than hockey. It is possible to walk down a residential street in this country and NOT see a basketball hoop along the way, but it's not likely. This begs the question of why basketball has largely been a failure at the minor league level.

One reason is the placement of minor league teams in markets that simply won't support them. The ABA2000, for example, placed a team in San Diego, where a number of previous efforts at pro basketball, including the NBA, had failed miserably. The USBL graveyard is filled with headstones of teams that tried to make it in East Coast cities, where they had to go head-to-head with major league baseball and other prime entertainment diversions. The northern-tier International Basketball Association has done well in some cities, but has had no success in Western Canada, where hockey is king.

A large population base is no guarantee of a team's success, but that reality has been lost on too many minor league basketball operators. As well, the lack of a salary cap almost ensures the collapse of IBL and ABA2000 teams under the weight of their own payrolls. The USBL and IBA wisely have caps in place.

Still, despite this long litany of failures, minor league basketball should be doing better. There are some franchises that have performed relatively well off the court, and they may provide a blueprint for success. Teams operating in smaller cities, such as Dodge City in the USBL and Bismarck in the IBA, have drawn fans because they face less competition for the entertainment dollar. Their relative isolation has worked for them, whereas minor league basketball teams in major league markets have almost unanimously netted disastrous results. The CBA was most successful in the mid-Eighties because of franchises in places such as Sioux Falls, Rockford, Rapid City and LaCrosse (Wisconsin). Things started going downhill when the league placed teams in larger cities like Chicago, Pittsburgh and San Diego. Isiah Thomas' dubious involvement as league owner was merely the final nail in the CBA's coffin.

The CBA is not likely the last minor league to go under. As mentioned, the IBL and ABA2000 are both living on a hope and a prayer, while some of the lesser minor leagues like the National Rookie League and Southwest Basketball League are questionable bets for the future. All eyes are on the startup National Basketball Development League, which is scheduled to open play next fall under the auspices of the parent NBA. While many observers are predicting success for the NBDL, the league's eight franchises will be placed in the football-crazy south where basketball has rarely been a success at the professional level.

There IS a market for minor league pro basketball in the United States, but success will remain elusive for most teams and leagues until their owners realize that, in some cases, smaller is better.