One win!? How much does it really cost?

[Zagi-CRO]

Team $ per one win
1 ****Tampa Bay D Rays 365,659
2 ****Florida Marlins 429,676
3 ****Washington Nat 511,610
4 ****Pittsburgh Pirates 566,733
5 ****Arizona Diamond 578,528
6 ****Colorado Rockies 604,711
7 ****Cleveland Indians 642,430
8 ****San Diego Padres 652,928
9 ****Milwaukee Brewers 855,259
10 ****Minnesota Twins 904,297
11 ****Texas Rangers 910,916
12 ****Cincinnati Reds 957,014
13 ****Kansas City Royals 972,703
14 ****Toronto Blue Jays 987,263
15 ****Philadelphia Phi 1,004,811
16 ****Atlanta Braves 1,039,177
17 ****Oakland Athletics 1,044,302
18 ****Detroit Tigers 1,081,595
19 ****St. Louis Cardinals 1,157,523
20 ****Los Angeles Angels 1,162,248
21 ****Chicago Cubs 1,172,592
22 ****Houston Astros 1,202,178
23 ****Seattle Mariners 1,209,782
24 ****San Francisco Gi 1,270,691
25 ****New York Mets 1,309,451
26 ****Los Angeles Dodgers 1,322,616
27 ****Baltimore Orioles 1,355,867
28 ****Boston Red Sox 1,489,856
29 ****Chicago White Sox 1,509,331
30 ****New York Yankees 2,017,437


:dance

Arizona, Colorado, Cleveland, San Diego made an excellent job!!

CWS, Baltimore, Mets, SFG, Houston are money losers!!

[skyking162]

Don't forget about replacement-level. A teams should be able to spend the minimum (about $13 million -- 2006 Marlins) and still win a significant number of games (about 48 if you assume replacement level teams win at a .300 clip). So you really want to compute marginal dollars per marginal win, which is a measure of how well teams spend their money above what they have to spend.

For example, if the Yankees spend $200 million on 95 wins, you'd do:

($200 million - $13 million)/(95-48) = $187 million/47 ~= $4 million per marginal win.

Of course, you could get even more advanced and consider things like minor league payroll, draft costs, and management salaries. Teams have to pay those costs, too. Some would be included in the minimum cost to run a team and some would be throw in the "above-replacement" category.

[Zagi-CRO]

Ok, SkyKing, a very good approach.

For 2007 payroll:

Tampa spent $ 24,123,500 for 66 wins.
NYY spent $ 189,639,045 for 94 wins.

MW - marginal win
Pmin - payroll for a team with minimum payroll
Pmax - payroll for a team with maximum payroll
Wmin -
Wmax

MW= (Pmax-Pmin)/(Wmax-Wmin)
MW= 165,505,545/28
MW=5,910,912

or MW ~ $6 million !!

Let say, each additional win would cost Yankees $6 Million.

Of course, I agree with you, it's a simple approach without other costs /managment, minor payroll etc./