Why teams today can't build without tanking(Suns case study)
Posted: Wed Oct 9, 2013 7:42 am
I have this discussion is so many threads, I just felt it would be handy to post it here, because I feel like people don't fully appreciate the NBA economy that existed in the pre-99 CBAs.
In the pre-99 period there were several key things that were different, which affected the NBA in ways that you know about, but which are understated when people see the balance of today's NBA.
The first thing is contracts, especially rookie ones. Yes, I'm sure you know all about them, but the degree to which they were different is something not even comparable. The pre-99 CBA's were a time when rookies could get a $64 million dollar rookie contract like Big Dog Robinson did ($101mill in today's money when adjusted for inflation). It was a time when a rookie could sign a 15 year, $74.4 mill contract like Chris Webber did, but with a 1 year opt out. Meaning rookies could force their way off their team right after being drafted. So right off the bat, teams had little to no leverage, because they were scared of players leaving them whenever they wanted, and they were scared of players asking for too much money (like KG's $126 mill contract, or Shaq's $121 mill contract- which with today's inflation is over $180 mill). Agents had huge amounts of power to force trades or make you overpay, and costs were going up and up. At the same time, overall salaries were relatively low. In 1995 the Bucks spent just over $16 mill in total on salary. 2 years later Jordan was making almost double that amount just by himself.
What all this combined to do was to create a system whereby some teams were legitimately not too fussed about winning games, or having a long term plan, just being able to make a profit each year. That's why the NBA had farm teams like the Clippers who had a winning record once in 26 years. The goal was to field some exciting, flashy, young (cheap) players who would create false hope and sell tickets (worst case they'd sell when better teams came to town), rather than to try to win. Sterling traded the 1995 #2 pick for spare parts. Why? Because he was worried about how much money the #2 pick would want. The Clippers were one of the only teams to get a work out with Kobe in 1996. They told him it was the best workout they'd ever seen. "But we can't draft you". Why? "Because people won't take us seriously if we draft a HS'er". The Clippers didn't care if Kobe was good, only if they could market him to fans (and by the time they could, he'd probably leave in free agency, assuming he didn't want too much money in the first place). The difference between a "good player" and a "better than good" player was not huge on the court, but it was huge salary wise. So a lot of teams just focused on getting good players, not great ones.
Then there was another variable to screw teams over. In the early to mid 90's, because salaries were so low (overall- not for new stars), it was still possible for stars to make much more money on endorsements than salaries. Jordan is the best known case of course- he was getting $3 mill a year on salary most of the time, but over $30 mill a year on endorsements. As the 90's progressed the gap started to shrink, but even in 1993 the salary cap was only $14 mill. This also meant a lot of teams lacked cap flexibility, driving the total price for non-star players down some years. It meant a lot of stars looked at teams and said "I can accept $4 mill from [crap team 1], or $3 mill from [good team 2], but I'll actually win on the good team, and make a tonne more in endorsements as a winner, so who cares about the $1 mill" (which is pretty much the choice Barkley made when he left Philly for the Suns, albeit by forcing a trade). The system was also in the middle of a massive adjustment- some stars were stuck on old contracts that had been absurdly long (and were still cheap), while new stars were driving salaries for marketable stars to ever more insane levels.
This created a league where the "haves" could easily get better at the expense of the "have nots". In that system, the Suns did great. They had success, a warm climate, existing good players to play with, etc. In today's CBA though those things matter very little, because players now make much more money staying with home teams, can't easily leave their home team for a long time (which creates ties to said team as well), and don't have the ability to trade endorsements for salary (because salary is usually more than endorsements per year, and because the global marketing of the NBA means city location is less important- though not completely irrelevant). And teams have stability in the salary cap to plan around- it's not just going to double in a few years.
The commonly cited analysis of Phoenix doesn't tackle that issue, which is why it's problematic. People cite the way the Suns "rebuild" after 1996 without needing to tank. The Suns were a 500. ball team in 1996 for one reason only- crippling injuries. It in no way reflected the talent on the team (who had won 59 games the year before). Then in 97 they had more injuries (and lost Barkley obviously). It wasn't a great situation, but they had a lot of talent on the team. So, how did they acquire that talent, and then rebuild into a contender again?
Well, their best player in 1998 (their next contention season) was probably McDyess. How did they get him? Denver knew he had one more year on his contract, and were terrified he'd want too much money (the same reason Sterling had traded the pick that was used to select him in the first place), so they moved him for whatever value they could get (which wasn't much- they got a pick). And you can see why- McDyess left Phoenix that offseason (ironically going back to Denver, who decided to pony up for him 6yrs, $67mill- $95 mill in today's money). A classic case of old CBA rules and uncertainty letting Phoenix acquire someone for very little.
They got Kidd for several reasons. Firstly, Kidd was unhappy in Dallas, feuding with his team mates, and wanted out. Agents had more sway then for the above mentioned reasons and others, and he got his wish. The assets traded for him? Cassell was acquired in the Barkley trade, AC Green was a solid throw in (though they were able to sign him for the reasons alluded to already), and Finley was just a good draft pick (another thing that's become harder to beat bad teams in, because scouting is much more thorough now). Dallas was one of those farm teams, who sucked for the whole 90's basically, constantly spent as little as possible, and never kept their good players (too expensive).
The other 3 best players on the 98 Suns are the usual reasons explained above. Cliff Robinson signed with them because he wanted to win and get paid at the same time. He signed a wink-wink $1 mill contract for 1 year with the Suns, who then turned around and gave him 5 years and 40 million the next offseason at age 32. Cliff's entire career prior to playing in Phoenix he had made under $14 mill over 7 years. They got #1 pick Manning because the Clippers were scared he'd want too much money, and traded him for washed up Wilkins (who had a name they could market) to save money, the same reason the Hawks didn't retain him (while the Suns pulled the same wink wink bull they'd done with Cliff- $1 mill for 1 year in the first year of Manning's tenure, then 6.8 mill a year for 6 years, a prohibitive contract at the time- that was the 6th highest salary in the NBA in 1996). Rex was just another of those "better than good but not great" players who was sick of playing for the Washington Generals (or joke owners like Shinn, whose first question during his rookie holdout for a better contract was "would you date a black woman?" http://sports.espn.go.com/ncb/news/story?id=2061773), and went to Phoenix (he also was the recipient of an inexplicable contract- given a wink wink minimum contract the first 2 years, worth a combined 500K, he was then rewarded with a ridiculous above market 6 year contract, which paid him $13+ mill over the first 4 years, and which he was only healthy enough to play for the first 2 years- Rex was waived 2 years later, and now works for Phoenix). All the sorts of contracts (and tampering) that don't happen today, and can't happen under the current cap. The same core was what was used to be successful over the next few years, adding Googs by overpayment (because the old CBA had hamstrung the Wolves into overpaying KG, they couldn't afford Googs), and moving guys the old CBA had let them acquire (like Manning) for new guys (like Penny).
That was the environment that benefitted Phoenix, and which doesn't exist anymore. People talk about how "such and such team has always been a winner, so they always will be". It doesn't work that way.
The short version is that contenders in the post-99 period almost all assemble teams with lotto talent (at least top 10, usually much higher), either by drafting guys to play for them (e.g. The Thunder), and/or trading lotto assets for players (e.g. The Celtics in 2008). There are virtually no exceptions, and the exceptions are inherently flukes you can't copy (either because of one off circumstances that fell your way, or the team being assembled in the pre-99 CBA environment, i.e Kobe and Shaq, who would never be able to force their way to the Lakers the way they did in the modern NBA). The lottery isn't perfect, but there's a reason so many teams have realised they need to use it now- it's the least bad, least luck dependant way of getting better. Even historically incompetent or mediocre franchises have shown they can turn it around (like the Clippers for eg).
In the pre-99 period there were several key things that were different, which affected the NBA in ways that you know about, but which are understated when people see the balance of today's NBA.
The first thing is contracts, especially rookie ones. Yes, I'm sure you know all about them, but the degree to which they were different is something not even comparable. The pre-99 CBA's were a time when rookies could get a $64 million dollar rookie contract like Big Dog Robinson did ($101mill in today's money when adjusted for inflation). It was a time when a rookie could sign a 15 year, $74.4 mill contract like Chris Webber did, but with a 1 year opt out. Meaning rookies could force their way off their team right after being drafted. So right off the bat, teams had little to no leverage, because they were scared of players leaving them whenever they wanted, and they were scared of players asking for too much money (like KG's $126 mill contract, or Shaq's $121 mill contract- which with today's inflation is over $180 mill). Agents had huge amounts of power to force trades or make you overpay, and costs were going up and up. At the same time, overall salaries were relatively low. In 1995 the Bucks spent just over $16 mill in total on salary. 2 years later Jordan was making almost double that amount just by himself.
What all this combined to do was to create a system whereby some teams were legitimately not too fussed about winning games, or having a long term plan, just being able to make a profit each year. That's why the NBA had farm teams like the Clippers who had a winning record once in 26 years. The goal was to field some exciting, flashy, young (cheap) players who would create false hope and sell tickets (worst case they'd sell when better teams came to town), rather than to try to win. Sterling traded the 1995 #2 pick for spare parts. Why? Because he was worried about how much money the #2 pick would want. The Clippers were one of the only teams to get a work out with Kobe in 1996. They told him it was the best workout they'd ever seen. "But we can't draft you". Why? "Because people won't take us seriously if we draft a HS'er". The Clippers didn't care if Kobe was good, only if they could market him to fans (and by the time they could, he'd probably leave in free agency, assuming he didn't want too much money in the first place). The difference between a "good player" and a "better than good" player was not huge on the court, but it was huge salary wise. So a lot of teams just focused on getting good players, not great ones.
Then there was another variable to screw teams over. In the early to mid 90's, because salaries were so low (overall- not for new stars), it was still possible for stars to make much more money on endorsements than salaries. Jordan is the best known case of course- he was getting $3 mill a year on salary most of the time, but over $30 mill a year on endorsements. As the 90's progressed the gap started to shrink, but even in 1993 the salary cap was only $14 mill. This also meant a lot of teams lacked cap flexibility, driving the total price for non-star players down some years. It meant a lot of stars looked at teams and said "I can accept $4 mill from [crap team 1], or $3 mill from [good team 2], but I'll actually win on the good team, and make a tonne more in endorsements as a winner, so who cares about the $1 mill" (which is pretty much the choice Barkley made when he left Philly for the Suns, albeit by forcing a trade). The system was also in the middle of a massive adjustment- some stars were stuck on old contracts that had been absurdly long (and were still cheap), while new stars were driving salaries for marketable stars to ever more insane levels.
This created a league where the "haves" could easily get better at the expense of the "have nots". In that system, the Suns did great. They had success, a warm climate, existing good players to play with, etc. In today's CBA though those things matter very little, because players now make much more money staying with home teams, can't easily leave their home team for a long time (which creates ties to said team as well), and don't have the ability to trade endorsements for salary (because salary is usually more than endorsements per year, and because the global marketing of the NBA means city location is less important- though not completely irrelevant). And teams have stability in the salary cap to plan around- it's not just going to double in a few years.
The commonly cited analysis of Phoenix doesn't tackle that issue, which is why it's problematic. People cite the way the Suns "rebuild" after 1996 without needing to tank. The Suns were a 500. ball team in 1996 for one reason only- crippling injuries. It in no way reflected the talent on the team (who had won 59 games the year before). Then in 97 they had more injuries (and lost Barkley obviously). It wasn't a great situation, but they had a lot of talent on the team. So, how did they acquire that talent, and then rebuild into a contender again?
Well, their best player in 1998 (their next contention season) was probably McDyess. How did they get him? Denver knew he had one more year on his contract, and were terrified he'd want too much money (the same reason Sterling had traded the pick that was used to select him in the first place), so they moved him for whatever value they could get (which wasn't much- they got a pick). And you can see why- McDyess left Phoenix that offseason (ironically going back to Denver, who decided to pony up for him 6yrs, $67mill- $95 mill in today's money). A classic case of old CBA rules and uncertainty letting Phoenix acquire someone for very little.
They got Kidd for several reasons. Firstly, Kidd was unhappy in Dallas, feuding with his team mates, and wanted out. Agents had more sway then for the above mentioned reasons and others, and he got his wish. The assets traded for him? Cassell was acquired in the Barkley trade, AC Green was a solid throw in (though they were able to sign him for the reasons alluded to already), and Finley was just a good draft pick (another thing that's become harder to beat bad teams in, because scouting is much more thorough now). Dallas was one of those farm teams, who sucked for the whole 90's basically, constantly spent as little as possible, and never kept their good players (too expensive).
The other 3 best players on the 98 Suns are the usual reasons explained above. Cliff Robinson signed with them because he wanted to win and get paid at the same time. He signed a wink-wink $1 mill contract for 1 year with the Suns, who then turned around and gave him 5 years and 40 million the next offseason at age 32. Cliff's entire career prior to playing in Phoenix he had made under $14 mill over 7 years. They got #1 pick Manning because the Clippers were scared he'd want too much money, and traded him for washed up Wilkins (who had a name they could market) to save money, the same reason the Hawks didn't retain him (while the Suns pulled the same wink wink bull they'd done with Cliff- $1 mill for 1 year in the first year of Manning's tenure, then 6.8 mill a year for 6 years, a prohibitive contract at the time- that was the 6th highest salary in the NBA in 1996). Rex was just another of those "better than good but not great" players who was sick of playing for the Washington Generals (or joke owners like Shinn, whose first question during his rookie holdout for a better contract was "would you date a black woman?" http://sports.espn.go.com/ncb/news/story?id=2061773), and went to Phoenix (he also was the recipient of an inexplicable contract- given a wink wink minimum contract the first 2 years, worth a combined 500K, he was then rewarded with a ridiculous above market 6 year contract, which paid him $13+ mill over the first 4 years, and which he was only healthy enough to play for the first 2 years- Rex was waived 2 years later, and now works for Phoenix). All the sorts of contracts (and tampering) that don't happen today, and can't happen under the current cap. The same core was what was used to be successful over the next few years, adding Googs by overpayment (because the old CBA had hamstrung the Wolves into overpaying KG, they couldn't afford Googs), and moving guys the old CBA had let them acquire (like Manning) for new guys (like Penny).
That was the environment that benefitted Phoenix, and which doesn't exist anymore. People talk about how "such and such team has always been a winner, so they always will be". It doesn't work that way.
The short version is that contenders in the post-99 period almost all assemble teams with lotto talent (at least top 10, usually much higher), either by drafting guys to play for them (e.g. The Thunder), and/or trading lotto assets for players (e.g. The Celtics in 2008). There are virtually no exceptions, and the exceptions are inherently flukes you can't copy (either because of one off circumstances that fell your way, or the team being assembled in the pre-99 CBA environment, i.e Kobe and Shaq, who would never be able to force their way to the Lakers the way they did in the modern NBA). The lottery isn't perfect, but there's a reason so many teams have realised they need to use it now- it's the least bad, least luck dependant way of getting better. Even historically incompetent or mediocre franchises have shown they can turn it around (like the Clippers for eg).