20 Questions with New Tapout Owner Jamie Salter

Sherdog.com: What are some of the changes fans will notice with Tapout and Silver Star in 2011?
Salter: 2011 is near from now, but what I think you’re going to notice with Tapout, is that we’re going to build it into a brand that will have an emphasis on performance as well as on lifestyle. We’d like to build it into an athletic apparel company. It will be more about collections. We will slow down the amount of licenses that have been given out. We’ll pare back some of the licenses. There are some things that Tapout has licensed off that the brand should not have its name on. So, we’ll definitely be cleaning up a little bit of the distribution and cleaning up some of the products that Tapout had lent its name to. We’re going to have to change that a little bit.

Sherdog.com: Can you be more specific about some of the licensed products Tapout would no longer work with? For instance, would the Tapout gyms continue?
Salter: We definitely like the Tapout gyms and are in full support of that. There’s some other things that are going on that we will not be supporting. We’re also looking at the distribution; there needs to be some lines on the distribution on where we should and shouldn’t be, but more importantly, we have to be very careful on what we allow Tapout’s name to be on.

Sherdog.com: Can you give an example of a Tapout licensed product we won’t see in the future?
Salter: I can’t give you an example as that wouldn’t be fair to the licensees that are in play right now. If I gave you a list of all the licenses we have out there right now, you’d know which ones will probably not make the 2011 list.

Sherdog.com: Will Tapout be sold in Walmart stores?
Salter: We don’t sell Walmart the Tapout brand. We do not sell Walmart or Target the Tapout brand.

Sherdog.com: Could the other brands appear in those chains?
Salter: I don’t really want to give away what our distribution strategy is. As far as the other brands go, we think we have our distribution strategy mapped out and there’s no doubt about it. Walmart is definitely on our minds to definitely figure out how to do business with them, but it will not be with Tapout.

Sherdog.com: Will the look of Tapout change at all as it moves to the next level?
Salter: I’m not the creative guy and I don’t profess to be, but I think the product in general in the space is definitely changing a little bit. It’s becoming a little more cleaner and not just with Tapout, but with all of the companies that are in the space. You’ll definitely see a more technical product in the Tapout line in a go-forward basis. You’ll continue to see some of the same looks in the Tapout line, but you’ll also see some cleaner looks.

Sherdog.com: The opulent Tapout headquarters in Grand Terrace, Calif., was a destination for fans to meet fighters and the Tapout Crew, and partake in warehouse sales and other special events. Will that remain open?
Salter: The warehouse is already moved to our own warehouse down the street in Ontario. Traditionally, the way that Tapout had run its business model: they were a license model, so they have best-in-class partners for different categories in the U.S. We’re selling off the inventory to the different distributors around the world to make sure they have enough inventory and we’re converting the distributors and licensees around the world so we’ll have a full “IP model,” in 60 days around the world. So, somebody that was a distributor in Germany will now be a licensee.

As far as the office goes, we stripped down the place because we’re going to different business model. The intentions are to move Skyscrape, Punkass, and others to either our Los Angeles or Orange County offices.

Sherdog.com: Has Tapout President Marc Kreiner exited the company?
Salter: Marc Kreiner has left the company and he’s going to pursue other things in life.

Sherdog.com: What will be Dan “Punkass” Caldwell and Tim “Skyscrape” Katz’s involvement?
Salter: Dan Caldwell will be the president of Tapout and Skyscrape will be on the creative and P.R. side, and really managing the athletes. He knows the athletes better than anyone. He knows who’s hot, who’s not. He really is in the know. Skyscrape is a very important person to the team. Dan is the creator of Tapout. He’ll be with us forever. We wouldn’t have it any other way.

Sherdog.com: With the fighter sponsorships’ system and Tapout’s “Support the Sport” mantra, will those initiatives remain in place?
Salter: One hundred percent. We believe it’s all about the athletes and they’re a big part of our marketing program. They’re a big part of the business and we’ll continue to sponsor them and continue to rely on them to lead the company into the next era.

Sherdog.com: Last summer, the UFC enacted a policy where clothing companies and other sponsors would pay an upfront sliding-scale fee to the promotion, which then would allow them to sponsor the athletes fighting in their shows. What’s your take on this?
Salter: To me, the UFC is a league. It’s just like the NFL, which is a great brand and there’s rules. And if that’s one of the rules the UFC has so one can play, then it’s one of the rules they have so one can play. It’s no different than the NFL or the NHL. There’s rules in the NHL where the player gives up his name and likeness rights while he’s in the NHL. This doesn’t happen in the UFC. I think the UFC is extremely fair and I have no issues with their program today.

I think the UFC has put a tremendous amount of money into ratifying and controlling and building up a sport that has given these athletes an incredible opportunity to do something they enjoy. You’re not ever going to get an argument from me on what the UFC is doing. They’re running a business just like I’m running a business and the NFL’s running a business.