Exploiting inefficiencies in the agent business: one agency lowers its commissions

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This is interesting. Darren Heitner of Forbes is reporting that one agency which represents a lot of baseball players — Performance Baseball – is cutting its commission fees from the typical 5% to 1.5%:

”We saw a fiercely competitive landscape where everybody looked the same.  The agents basically offer the same services, pretty much the same fee structure whether it is 4% or 5%, and I could literally hear the sound in my ear from a meeting a couple of years ago where a guy was saying ‘you guys are all really the same.’  My partner and I said let’s focus on what we do best and what we really enjoy doing.”

The article notes that, in reality, not all agents are the same, as some provide different services to their clients. Scott Boras, for example, famously has an entire operation of training, personal business management and general hand-holding professionals on staff to be one-stop shopping for clients. Others, like the guys at Performance, are more about doing the deals and that’s it. Yet, for some reason, all still charged the same basic commissions.

Interesting to see some agents go to the budget model (though I doubt they’d call it that). Maybe it will help disrupt the pattern in which some agents do a ton of work for a player between the ages of 18 and 25 or something and then get tossed aside for someone else just before the player hits free agency.

The Buffalo Blue Jays? The team has reportedly asked about playing there

The Buffalo Blue Jays
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The Buffalo Blue Jays? Is that a thing? Maybe.

The Toronto Blue Jays are, officially, set to begin their season at Rogers Centre in Toronto on July 29. Mike Harrington of the Buffalo News, however, reports that they are looking at alternatives:

Multiple sources confirm to The Buffalo News that the Bisons’ parent club has finally reached out to Rich Baseball Operations in the last couple of days to examine the possibility of Toronto’s home schedule being played in Buffalo this summer.

This report of a potential for the Buffalo Blue Jays to make their debut comes a couple of days after the strict restrictions on movement for Jays players — they are reportedly required to stick to the Rogers Centre and the connecting hotel or face harsh punishment — met with at least some backlash. The restrictions are inevitable, however, given that Canada is requiring a 14-day quarantine for people traveling into the country. Since the Jays will be playing all road games in the United States, there is little choice for them but to be restricted to their hotel and the ballpark after arriving back in the country after playing games in the states.

As Harrington notes, Buffalo is not an ideal option given the less-than-major-league-level lighting and clubhouse space present in the Triple-A park, so it would not be ideal. Like everyone else these days, however, the Buffalo Blue Jays — er, I’m sorry, the Toronto Blue Jays — have little choice but to scramble.