USL continues to find traction as several key metrics climb

The USL is aiming for another record season in 2018, as the second-division soccer league is riding a wave of success thanks to club launches and the MLS expansion hopes of current members.

The 33-team league added six new teams for the 2018 season, which began last weekend, including teams in Las Vegas and Nashville, which was granted an MLS expansion spot earlier this year. Last season, the league eclipsed 2 million in total attendance for the first time and made a $10 million investment to launch a centralized broadcast platform called USL Productions.

The league, now in its eighth season, has seen its profile improve recently largely due to the success of Cincinnati and Sacramento, both of which are competing for MLS expansion spots and consistently top the league’s attendance. Last season, Cincinnati averaged nearly 22,000 fans per game, which would have ranked seventh in MLS. Overall, seven of the 12 groups that put together bids for the latest rounds of MLS expansion have clubs currently in the USL.

Leaguewide attendance topped 2 million last year and is projected to climb again this season. Photo: em-dash photography / louisville city fc Leaguewide attendance topped 2 million last year and is projected to climb again this season. Photo: em-dash photography / louisville city fc Leaguewide attendance topped 2 million last year and is projected to climb again this season. Photo: em-dash photography / louisville city fc

The growth continues, as teams across the league are up more than 30 percent on average in season-ticket sales compared to last season, according to USL President Jake Edwards, who is forecasting more than 2.5 million fans attending USL matches this year, a more than 20 percent increase from last year.

Sponsorship revenue for the clubs is up 45 percent compared to last year, Edwards said. Franchise values are steadily increasing as well, with Edwards noting that recent investments into teams are being valued at 3.5 to 5 times revenue multiples. USL expansion fees are currently set at $5 million and are expected to rise again next year, up from roughly $500,000 in 2013.

The league is negotiating extensions of its national media deals with ESPN and SiriusXM. According to industry sources, not only will the league’s new deal with ESPN provide additional exposure through ESPNU and ESPN2 broadcasts during the season — typically only the league’s final was shown nationally on linear television — the remainder of the league’s games are expected to be available on ESPN+ when the streaming product launches later this spring.

Locally, Edwards said the league will enter this season with every one of its non-MLS affiliated clubs having its own television deal with a local network, compared to 18 last season and two in 2016. Edwards said the league is working with clubs on local streaming deals as well. USL Productions produces all of the teams’ local games.

Edwards said the league is hoping this additional exposure will help it expand its licensing business and bring on league-level sponsors. The USL is working with longtime MLS consumer products executive Stu Crystal on a new licensing program for the league and its teams. While some of that will come to the market this year, Edwards said the plan is to launch it in full in 2019.

The USL is going to market with several commercial opportunities this year as well, with the goal of landing up to five deals this season. Currently, the USL does not have any nonendemic, league-level partnerships. Nielsen Sports is advising the league on its broadcast and commercial opportunities.

The league is also launching another full division, which will serve as the USL’s own second division, or third nationally, starting in 2019. Edwards said they’re pitching partners the ability to market across both leagues, which combined will likely be in upward of 50 markets across the country.

“For us, these last few years have been about creating value and platforms that made sense for partners — I think we’re there now,” Edwards said.