Excerpts from The Wrestling Doctor, W.S. Thomason’s June 24 post. The good doctor illuminates factors that will affect TNA Knockout and WWE Diva brands into the future, especially if both companies compete for wrestling talent from the same pool.
A lot of feedback to last week’s column centered on whether or not I know something about the contracts of TNA Knockouts. I do not (nor ever did) claim to know the details of contracts. I use specific wrestlers as examples that I couple with past events in order to predict what is likely to occur in the future (much like everyone else who anticipates anything). This approach worked very well in predicting the change in direction for the WWE women’s division. I also am confident that the WWE will make attempts to snatch up several of the Knockouts, if for no other reason to weaken TNA in one area where it clearly has the WWE beat. I also did not state that the WWE would gobble up Knockouts immediately; however, I believe that they will at the first opportunity. The establishment of the WWE Divas title means they will be looking to bring in both eye candy and seasoned wrestling talent to add to the mix of both Raw and Smackdown. They can find the eye candy anywhere, but the wrestling talent is not coming exclusively out of FCW.
Contracts are great for the present, but remember that they run out. The wrestler in question then must make a decision based on many factors beyond whether or not a company is going to use them in the right way. A major consideration for wrestlers is whether or not the company with which they sign is going to provide them with a paycheck that will allow them to properly plan for the future.
Life factors are often the tipping point when it comes time for wrestlers to decide between staying with the smaller company that respects their abilities and appreciates their character, or a larger organization that may marginalize their role but provide for their financial needs. It is the reason that the WWE has been so successful in scooping up top wrestlers in the last 25 years, and why they will have an excellent chance of luring away most of the TNA talent in which they are interested once their contracts expire.
There is a prevailing idea in the industry that the WWE is the “big time.” Most wrestlers want to work there just to prove that they have “made it”; Sting is the only modern-era legend in the business who can claim otherwise. TNA may have a lot of talent who tow the company line now, but most of them will take the first offer they get from Vince McMahon. Do not forget that TNA has a poor track record of properly contracting its talent, so an opportunity to go north may come sooner rather than later for many.
If the advantages of signing with the WWE are coupled with a wrestler’s dissatisfaction with their TNA role, the decision is a no-brainer. Knockouts like Roxxi may become unhappy with TNA if only Gail Kim and ODB are kept at the top with Awesome Kong. In such a case, a mid-card spot in the WWE will look even more attractive when compared to a mid-card place in TNA.
For those workers who are under proper contracts, we have to consider whether or not TNA will be around in five or fewer years, or whether or not they will continue to be able to pay their talent (the cause of death for most wrestling companies). I hope that TNA sustains itself, but it all depends on how much money they are making and (far more importantly) how they are investing those profits to create reserves for the future. No one in the IWC knows for sure, since TNA is a private company. However, there are two things that we do know:
1. There is a lot more to being a successful wrestling company than having top notch workers, compelling storylines, and passionate fans. The original ECW enjoyed an abundance of all of these things, yet they went under in less than a decade, despite existing during the industry’s most profitable era. Paul Heyman was perhaps the most brilliant booker in wrestling history, but he made poor business decisions that undercut everything he built.
2. TNA cannot put more than 1,500 people in an arena for pay-per-view in wrestling-rich areas like Memphis, Norfolk, and Greenville. Their TV ratings and buy rates are frozen. The salaries of the big stars are subsidized by Spike. They are attempting to expand their core audience in a time where people are cutting back on non-essential expenses. They over-charge for on the road pay-per-views and house shows, most likely because that is the only way they can break even. These factors are not favorable for the future of the company. TNA could run out of resources if they are too quickly expanding their live event schedule and payroll. Their recent UK tour has been successful, but remember that WCW had great international runs during both its low point in early 1993 and its dying days of late 2000. TNA has to do solid business across the board, not just across the pond or in select areas of the US.
I hope that TNA not only survives, but grows and flourishes. I would love to see the day when Impact tapings draw 6,000 to 10,000 fans to arenas across the country. TNA’s existence is good for wrestling as a whole. I regularly am hard on TNA in this column because I love wrestling, and believe that everyone benefits when Vince McMahon has to look over his shoulder once in a while. I am not confident that TNA’s current state, from both a business and creative standpoint, is headed in the direction to sustain long-term growth. I really hope that I am wrong, but we will have to wait a few years to see.
In the meantime, you can bank on seeing some of TNA’s loyal talent jump to the WWE in the next few years. Just about everybody on the current WWE roster worked under contract for somebody else at one point. Contracts are not the only thing that TNA needs to put up to keep the WWE’s hands out of its pie.
(source: www.411mania.com)