Why LA Galaxy, New York Red Bull Fan Protests Could Become MLS’ New Normal

From a distance, the LA Galaxy appear to be progressing through the five stages of grief over the potential end of the Chris Klein era.

First came denial, when the Galaxy signed Klein to an unpopular contract extension in January that became the catalyst for calls for fan protests that have morphed into current supporters group boycotts of home matches. Then came anger via manager Greg Vanney and others within the club frustrated that protesting fans’ actions would be counterproductive to the club’s aims on the field.

In the last couple weeks, we’ve seen bargaining. Klein himself put out an unusual public statement asking essentially for fans to give the club the remainder of the season to prove his case. The Galaxy also hired former LAFC executive Will Kuntz as senior VP of player personnel in a move that could be construed as an attempt to win back fans’ confidence in the front office.

Then came Sunday’s 3-2 loss at home to El Trafico derby rivals LAFC. It was an occasion that could bring depression, not so much for the result as the atmosphere. On TV at least, the visiting Black & Gold supporters appeared to seize control of the stage as Galaxy supporters groups continued boycotts.

Galaxy supporters weren’t even the only ones boycotting on the weekend. Some New York Red Bulls supporters groups staged a walkout on Saturday night in response to what they saw as an insufficient response by the club and the league to Dante Vanzeir’s admission of using a racial slur in a match the week prior.

It’s unclear why the Galaxy are so insistent on retaining Klein after a decade at the helm that resulted in no major trophies since 2014. Perhaps it’s a fear that, if the Galaxy give in on fans’ demand to oust Klein, it could lead to a slippery slope where they are beholden to supporter wishes on all sorts of other issues.

But in this new era of MLS’ partnership with Apple TV, it may be that die-hard fans, the kind that fill supporters groups, have more leverage to enact change in their clubs than ever before. Because the health of that new TV pact depends far more deeply on those fans than your average rights deal.

As businesses, MLS clubs historically were more reliant on their most loyal consumers than other pro sports teams because they generated most of their revenues via matchday activities — tickets, parking, concessions and so on. The league’s TV revenues were paltry compared to other major North American pro sports leagues.

The new partnership with Apple nearly tripled the annual league-wide rights’ haul to $250 million. But the nature of the partnership — with its focus on the creation of the new subscription service, MLS season pass — also altered the nature of the relationship between the rights holder, the league and the viewer.

At a price of $99 annually, the centerpiece of the new deal was a 180-degree pivot from other league agreements in that it centered on creating a product that would cater first and foremost to the die-hard fan. While the expense of the package is well in line with norms in the sports industry, it is also above what casual fans would generally be expected to spend.

And since the partnership began, we’ve also learned that there appears to be pressure from Apple TV on the league to drive up the subscriber count, even if some of those subscriptions come free (as is given to season ticket holders) or at a discount (for those who already subscribe to Apple TV+). While full-price subscriptions would obviously be most desirable for Apple TV, the total subscription count would also be used when the company tries to lure potential advertisers.

Neither Galaxy nor Red Bull fans seem to be directly targeting the revenue streams most directly related to that new TV agreement. But they easily could. And their activities are bound to at least have a tangential impact on streaming subscriptions and season ticket sales. More generally speaking, while clubs may not want to feel subject to the whims of supporters, MLS and its primary rights-holder have never had more incentive to encourage clubs to keep their most loyal fans happy.

This spring is far from the first time that MLS fans have taken action in hopes of shifting club behavior. But it’s the first time they’ve done so in these new conditions. And maybe intuitively Galaxy and Red Bulls fans — supporters of two founding MLS clubs — sense their leverage is higher than its ever been.

If true, that’s something each club will have to accept in its own time and in its own way. The Galaxy aren’t quite there yet. But they’ve taken steps in that direction — four of them, in fact.

Source: https://www.forbes.com/sites/ianquillen/2023/04/17/why-la-galaxy-new-york-red-bull-fan-protests-could-become-mls-new-normal/