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Will We Witness An ATP-WTA Merger?

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There have been a lot of talks about a possible ATP-WTA merger lately. Although it is no longer a new concept, it remains to be seen on whether it will come into fruition sooner or later.

Roger Federer brought up this concept once more when he made a series of posts from his official Twitter account two weeks ago in our ATP-WTA 2020 news, mentioning that this might be the perfect time for a possible merger especially since tours are halted due to the coronavirus pandemic.

“Just wondering… Am I the only one thinking that now is the time for men’s and women’s tennis to be united and come together as one?” said Federer.

“I am not talking about merging competition on the court, but merging the 2 governing bodies (ATP and WTA) that oversee the men’s and women’s professional tours,” he added.

Several other players agree to the Swiss native’s thoughts, saying that it should have happened a long time ago since it would help the sport overall.

WTA boss Steve Simon and ATP chief Andrea Gaudenzi are apparently warming up to the idea, but does this mean that a plan is in the works?

WTA’s Steve Simon and ATP’s Andrea Gaudenzi are said to be considering the ATP-WTA merger
WTA CEO Steve Simon during the retirement of Martina Hingis in Singapore

What does it mean when these two organizations combine and how will this be executed? Today, allow SBOBET to discuss the ramifications of this possible move.

 

Looking at the current situation

Tennis as we know today is being led by three separate entities – the International Tennis Federation (ITF), Association of Tennis Professionals (ATP), and the Women’s Tennis Association (WTA).

These three major groups are responsible for holding various tours which include the Grand Slams, the Olympic events, Davis Cup, and Federations Cup, among others.

The ATP and WTA operate as separate entities and they have their own set of tours besides the major ones mentioned. At the same time, the ATP and WTA have distinct platforms to where fans can watch their tours which are overseen by the ITF.

Around 2002, ATP has explored the idea of having a merger when the WTA was popularized by Serena and Venus Williams. However, fast forward to today, ATP has significantly overtaken WTA in terms of profits and star power which would make the merger a complicated proposition since the WTA will look to benefit more from it.

Especially with all sports taking a major financial hit due to COVID-19, if there’s one group who would be reluctant for a merger, it will most likely be the ATP.

 

The devil is in the details

Merging the ATP and WTA would definitely be a game-changer for the sport and it will invite drastic changes from its business model and how the game will be marketed across the globe.

A huge benefit for this possible move will be more on the marketing perspective since it will give additional exposure to both the men’s and women’s division.

For the most part, the audience seems to be more interested in watching ATP tennis with the likes of the Big 3 and their young upstarts. If you’re a fan of women’s tennis, chances are that you only know the likes of the Williams sisters, Naomi Osaka, and Coco Gauff.

With the merger, additional exposure is guaranteed especially since it will be likely that they will share a platform for fans to get their dose of tennis action.

However, the same can’t be said when it comes to the financial aspect of this possible merger. If these two groups are to be combined, expect the term “revenue sharing” to be a touchy subject in their talks.

Since the 2008 Wimbledon where both the men’s and women’s divisions agreed to pay their winners equal pot money, ATP’s revenue difference over WTA has increased to a staggering 54-per cent or $37.4-M according to a study in 2014. That is the same case last year when ATP made almost $150-M in yearly profits while WTA was really lagging behind.

In a merger, the ATP would most likely share their revenues with the WTA. But if they can beef up on their marketing efforts, I don’t see any reason as to why WTA won’t catch up with the ATP’s profit level soon.

While a merger is quite possible, the ATP-WTA 2020 odds of it happening any time soon isn’t likely just yet. By the looks of it, it seems that the WTA is pushing for it rather than the ATP as of the moment.

 

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