History of NBA: The Success Behind the Big League

The NBA (National Basketball Association) is a household name worldwide. Everyone recognizes the logo, the commercials, and the basketball teams. That’s because this big league established itself in 1946 and has grown into this lucrative and prosperous business that every basketball fanatic loves. But how did the NBA claim this global success? Learn about the history of NBA here.

History of NBA: How it Started

Deemed the most significant professional sports league in the U.S. and Canada, the NBA is a favorite basketball league among most men worldwide. It’s a professional basketball league in North America and has 29 teams in the United States, with only one team in Canada. Overall, the NBA has 30 of the best basketball teams with the best talents in the world. 

The NBA was founded on June 6, 1946, in New York City, with Maurice Podoloff as its first president and commissioner. Its original name was BAA, which means Basketball Association of America. It then merged with its competitor, which is another basketball league called National Basketball League (NBL). And this is when the league changed its name to National Basketball Association (NBA). 

The NBA’s basketball season is from October to April, with playoffs extending into June, with each team playing 82 games. And as of 2020, NBA players are the highest-paid athletes based on average annual salary yearly. 

These are the 30 NBA teams:

• Atlanta Hawks
• Boston Celtics
• Brooklyn Nets
• Charlotte Hornets
• Chicago Bulls
• Cleveland Cavaliers
• Dallas Mavericks
• Denver Nuggets
• Detroit Pistons
• Golden State Warriors
• Houston Rockets
• Indiana Pacers
• Los Angeles Clippers
• Los Angeles Lakers
• Memphis Grizzlies
• Miami Heat
• Milwaukee Bucks
• Minnesota Timberwolves
• New Orleans Pelicans
• New York Knicks
• Oklahoma City Thunder
• Orlando Magic
• Philadelphia 76ers
• Phoenix Suns
• Portland Trail Blazers
• Sacramento Kings
• San Antonio Spurs
• Toronto Raptors
• Utah Jazz
• Washington Wizards

The Reason for NBA’s Success

NBA is the most successful sports league globally, amassing billions in revenue. And this is due to how innovative this professional basketball league is. For decades, it had to catch up to its competing sports leagues such as football and baseball. 

Moreover, the NBA is also the first league to transform its all-star game into a three-day weekend packed with fun events with impressive turnouts. The NBA is also responsible for turning NBA players into global stars due to worldwide broadcasting. The NBA dominated the other top sports league in America, the Major League Baseball.

Since it’s not a public company, the league doesn’t disclose detailed public financial reports. But one Forbes report that shows valuations of all 30 NBA teams, the league’s revenue in the 2018 to 2019 season reached around $8.6 billion. 

Each one of the teams is valued at $1 billion, and one team on average is worth $2.2 billion. This is about 14 percent higher than the former 2017 to 2018 season.

It’s no surprise why NBA players are the best-paid athletes in the world. Plus, it certainly also doesn’t shock everyone why the NBA’s revenue could reach up to billions. And that’s because the league amasses its revenue from several streams.

Revenue from TV

While many would like to see the action live on a court, many people also prefer to watch games on TV. And this is why NBA’s television revenue is a major part of its success. The league has garnered several television contracts that continue to increase over the years. 

During the 2016 to 2017 season, ESPN and TNT had to re-up their contracts to approximately $24 billion. It was a nine-year deal that earned the NBA around $2.6 billion per year. 

The NBA also had to ramp up TV advertisements, which is also one of the reasons why the league gained popularity over time. 

Revenue from merch

Another significant contributor to NBA’s revenue is merchandise, which accounts for around $1 billion annually. During the 2017 to 2018 season, the teams wore advertisements on their jerseys for the first time in the history of NBA. This is called the Jersey Patch revenue, which lets teams take home $9.3 million annually. 

Another revenue from merch is sponsorships. The NBA also gets sponsorship from major brands like Nike and Adidas, with contracts amounting to billions. 

Revenue from tickets

The ticket sales aren’t the NBA’s primary source of revenue. However, it still stacks up to incredible sales every season. For instance, tickets are sold at around $70 each. Multiply that by 15,000 to 20,000 attendees. You do the math. 

Worst draft in the history of NBA

According to experts, the worst draft in the history of the NBA was the 2000 NBA draft on June 28, 2000. It was the only draft wherein a college senior was considered the top overall selection. 

The only top pic was Kenyon Martin, first-rounder Jamaal Magloire, and second-rounder Michael Redd. 

Most high-performing teams

The top NBA players have been gaining stardom globally, with fanatics giving their full support in every game. These NBA legends list continues to grow, with names in each new generation. 

Some of the best players in NBA history are:

• Micheal Jordan
• Bill Russell
• Kareem Abdul-Jabbar
• WIlt Chamberlain
• Magic Johnson
• Larry Bird
• Oscar Robertson
• John Havlicek
• Rick Barry
• John Stockton
• Karl Malone
• Elgin Baylor
• David Robinson
• Julius Erving
• Charles Barkley
• Tim Duncan
• Kobe Bryant
• Kevin Garnett
• Shaquille O’Neal
• Steve Nash
• Dirk Nowitzki
• Allen Iverson and more!

It’s hard to establish who the best-performing teams are in the NBA. But the Boston Celtics have the most wins in the history of the NBA, with 3,513. The San Antonio Spurs carry the highest win-loss percentage, which is 2,261 to 1,442. Meanwhile, the Minnesota Timberwolves show the lowest win-loss percentage at 1,049 to 1,581. If you want to know the NBA team standings, check the official page.

Conclusion

The sports league juggernaut isn’t slowing down anytime soon. As long as basketball fans are still raving about their favorite teams and players, it’s no surprise this basketball league will enjoy revenue increases in the coming years.

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