WATSON'S FINANCIAL HIT
The state of Texans franchise spurs dark humor and harsh economic lessons
May 4, 2021, 6:04 pm
Prices for Watson memorabilia should tumble. Composite image by Jack Brame.
More cases are being filed against Deshaun Watson
That's one thing about Houston sports fans, there's no shortage of comedians around here. So when a photo of Deshaun Watson jerseys on sale for "50 percent off" (for real) at local sporting goods stores was posted on Twitter, it was like open mic night at Chuckles Comedy Club.
"That's half the cost of a massage session. Too soon?"
"Bill O'Brien is about to walk in and offer two first-round picks for a double XL."
And darkest ... "Uh, from what I've read, Deshaun Watson prefers his clothing 100-percent off."
Hey, it's a rough room. It didn't help that the same photo of Watson's jerseys for half-price showed Will Fuller's jerseys still going for full boat … and Fuller isn't even with the Texans anymore. The wide receiver signed with the Miami Dolphins several months ago as a free agent. Eddie George's Houston Oilers jersey from 25 years ago still sells for full price. Same for DeAndre Hopkins' and J.J. Watt's jerseys. Both now play for the Arizona Cardinals.
But seriously folks, Watson's problems go way deeper than his jerseys being put on the discount rack. The Texans quarterback is facing 22 civil lawsuits by masseuses claiming sexual misconduct, two of them accusing Watson of sexual assault, plus a separate investigation by the National Football League and the Houston Police Department. A report on ESPN says there's a strong possibility that Watson will be suspended for the entire 2021 NFL season for violating the league's personal conduct policy, and his days playing for the Texans likely are over.
Before Watson's legal problems mounted, his replica jerseys sold for about $100, children's sizes for $70. Now they're going for $50 and $27. Prices for Watson memorabilia, currently as high as $800 for autographed footballs and helmets, should tumble as his legal drama unfolds and a suspension and trade from the Texans appear imminent.
NFL insiders interpret the Texans' drafting of Stanford quarterback Davis Mills with their first pick (No. 67 in the third round) in last week's draft as the clinching sign that the Texans are resigned to move on from the Deshaun Watson era. The Texans quarterback crew now consists of journeyman Tyrod Taylor (47 starts over his 10-year career), Ryan Finley (four NFL starts} and rookie Mills (11 college starts).
Watson's financial hit, though not nearly as serious or troubling as his legal problems, is significant. Forbes estimated Watson's income from endorsements at $8 million last year. Some of his more lucrative endorsement deals already have been terminated or allowed to expire, like Nike, Reliant Energy, Beats by Dre and H-E-B supermarket.
His image, whether he is innocent or guilty, has received a blow that will be difficult to recover from. Unfair or not, Watson is no longer the untarnished local hero he was in 2020 when he signed a contract for $156 million that would keep him in Houston for many years. Now he wants out, he's demanded a trade, and many fans (and former fans) agree it'd be best for everybody if he left town.
Bobby Mintz, senior vice-president of talent relations for Houston-based TRISTAR Productions, one of the biggest sports memorabilia companies in the world, declined to comment specifically on Deshaun Watson's situation, but did explain what usually happens when a player is traded to another city or is suspended or becomes notorious for off-field actions. It isn't surprising that Watson's jerseys have lost half their retail value and trending downward.
"The market a player is traded from typically loses interest in him and thus resellers discount the items to move them," he said. In the case of a suspension, Mintz said, "Items typically don't sell at all until time passes and the player begins to play again. And when they do play, they need to play well."
There is the possibility that Watson memorabilia could regain value. The best hope for Watson collectors is for the quarterback to get back on the field, rehab his image and ultimately be elected to the Pro Football Hall of Fame.
"If the player goes into the Hall of Fame, his products get hotter and hotter. If he doesn't make the Hall of Fame, prices usually remain steady but you don't sell as much as they are not in the public eye anymore."
What if the player achieves notoriety or becomes an outlaw, as Pete Rose has done?
"Pete Rose being banned from baseball doesn't seem to have affected his value. He has been banned for so long, he continues to sell at a steady rate as people still look at him as the all-time hit king."
There is the possibility that Rose's merch has held its value because he was tossed out of baseball because of gambling, a crime that many people don't consider as very criminal, certainly not as serious and unacceptable as the allegations made against Watson.
It's important to remember that Watson has denied all allegations made against him. As they say in newsrooms: this is a developing story.
Most Popular
SportsMap Emails
Are Awesome
Listen Live
Through 20 games, the Houston Astros have managed just six wins and are in last place in the AL West.
Their pitching staff trails only Colorado with a 5.24 ERA and big-money new closer Josh Hader has given up the same number of earned runs in 10 games as he did in 61 last year.
Despite this, these veteran Astros, who have reached the AL Championship Series seven consecutive times, have no doubt they’ll turn things around.
“If there’s a team that can do it, it’s this team,” shortstop Jeremy Peña said.
First-year manager Joe Espada, who was hired in January to replace the retired Dusty Baker, discussed his team’s early struggles.
“It’s not ideal,” he said. “It’s not what we expected, to come out of the shoot playing this type of baseball. But you know what, this is where we’re at and we’ve got to pick it up and play better. That’s just the bottom line.”
Many of Houston’s problems have stemmed from a poor performance by a rotation that has been decimated by injuries. Ace Justin Verlander and fellow starter José Urquidy haven’t pitched this season because of injuries and lefty Framber Valdez made just two starts before landing on the injured list with a sore elbow.
Ronel Blanco, who threw a no-hitter in his season debut April 1, has pitched well and is 2-0 with a 0.86 ERA in three starts this season. Cristian Javier is also off to a good start, going 2-0 with a 1.54 ERA in four starts, but the team has won just two games not started by those two pitchers.
However, Espada wouldn’t blame the rotation for Houston’s current position.
“It’s been a little bit of a roller coaster how we've played overall,” he said. “One day we get good starting pitching, some days we don’t. The middle relief has been better and sometimes it hasn’t been. So, we’ve just got to put it all together and then play more as a team. And once we start doing that, we’ll be in good shape.”
The good news for the Astros is that Verlander will make his season debut Friday night when they open a series at Washington and Valdez should return soon after him.
“Framber and Justin have been a great part of our success in the last few years,” second baseman Jose Altuve said. “So, it’s always good to have those two guys back helping the team. We trust them and I think it’s going to be good.”
Hader signed a five-year, $95 million contract this offseason to give the Astros a shutdown 7-8-9 combination at the back end of their bullpen with Bryan Abreu and Ryan Pressly. But the five-time All-Star is off to a bumpy start.
He allowed four runs in the ninth inning of a 6-1 loss to the Braves on Monday night and has yielded eight earned runs this season after giving up the same number in 56 1/3 innings for San Diego last year.
He was much better Wednesday when he struck out the side in the ninth before the Astros fell to Atlanta in 10 innings for their third straight loss.
Houston’s offense, led by Altuve, Yordan Alvarez and Kyle Tucker, ranks third in the majors with a .268 batting average and is tied for third with 24 homers this season. But the Astros have struggled with runners in scoring position and often failed to get a big hit in close games.
While many of Houston’s hitters have thrived this season, one notable exception is first baseman José Abreu. The 37-year-old, who is in the second year of a three-year, $58.5 million contract, is hitting 0.78 with just one extra-base hit in 16 games, raising questions about why he remains in the lineup every day.
To make matters worse, his error on a routine ground ball in the eighth inning Wednesday helped the Braves tie the game before they won in extra innings.
Espada brushed off criticism of Abreu and said he knows the 2020 AL MVP can break out of his early slump.
“Because (of) history,” Espada said. “The back of his baseball card. He can do it.”
Though things haven’t gone well for the Astros so far, everyone insists there’s no panic in this team which won its second World Series in 2022.
Altuve added that he doesn’t have to say anything to his teammates during this tough time.
“I think they’ve played enough baseball to know how to control themselves and how to come back to the plan we have, which is winning games,” he said.
The clubhouse was quiet and somber Wednesday after the Astros suffered their third series sweep of the season and second at home. While not panicking about the slow start, this team, which has won at least 90 games in each of the last three seasons, is certainly not happy with its record.
“We need to do everything better,” third baseman Alex Bregman said. “I feel like we’re in a lot of games, but we just haven’t found a way to win them. And good teams find a way to win games. So we need to find a way to win games.”