Showing posts with label revenue. Show all posts
Showing posts with label revenue. Show all posts

Saturday, 16 October 2010

What's There to Celebrate, Liverpool Fans?

Liverpool Football Club continues to dominate the financial pages with a series of measures and counter measures to decide the future ownership of the club. Later today, club chairman, Martin Broughton goes back to the high court in an attempt to overturn the ruling of a Texas court that yesterday halted the original high court ruling which effectively allowed the club to be legally sold. Apparently, the case all boiled down to a legal precedent set by some poor soul who locked himself out of his hotel room and who subsequently sued and lost his case for damages against the hotel.

This continuing farce reinforces everything that RTG has been trying to illustrate about the dangers posed by the corporate world in threatening the very future of football as a Sport. More and more of the influencing factors that affect football are discussed in the financial pages, rather than the traditional back pages. The sight of a handful of Liverpool fans emerging from the high courts as if celebrating a cup win disturbs RTG even more. What exactly are they celebrating? Are these the same supporters who welcomed Gillett and Hicks as saviours to the club just over three years ago?

These were, after all, owners who in their time have bankrolled, after Chelsea and Manchester City, the highest spending in English football history. Why exactly have these scarf waving supporters, yet again, satisfied themselves that a new set of saviours are waiting in the wings? The prospective new owners come with their PR led platitudes of humble intent and, supposedly, a commitment to a debt free future. Really?

How will a new football stadium, so prioritised as an essential step for Liverpool FC’s future development, be financed? Maybe, the prospective new owners, New England Sports Ventures (NESV), will do what they did for the Boston Red Sox, and CANCEL the development of a new stadium – despite Fenway Park, the Red Sox’s stadium, being the most antiquated ball park in Major League baseball with a paltry 37 thousand capacity. The CEO of NESV, John Henry, has a successful track record within several sports, including another baseball team, the Florida Marlins in maximising revenue streams for his ‘franchises’. He also has a reasonable track record of delivering success on the proverbial pitch (or diamond, court, rink etc). Not a dissimilar reputation, if slightly less sporting success, to a certain couple of other gentlemen of LFC’s recent acquaintance.

Until football and its powers recognise the futility of successive takeovers and the corporate machinations enveloping the game, this will just be one more bean fest for lawyers and other football hangers on, paid for by us supporters. It has to be recognised that any future prosperity of a football club has to be away from the corporate interests that are continuing to ebb away the spirit and essence of our beloved game. All those scarf wavers and “walk alone” warblers have also to realise that you cannot continue to welcome with open arms the next ‘big thing’ – just because their PR agency say they’re good blokes with tons of money. Whatever happens with the high court rulings, it is unlikely that much will change in reality for Liverpool in the next few years.



The Keeper

.…it’s a lonely life between the posts


In those difficult and tedious afternoons in between spit roasts and training sessions, the Keeper likes nothing more than a nice relaxing round of golf. Naturally then he was delighted with Europe’s Ryder Cup victory over the US last week. One of the interesting things about this victory was that European Captain Colin Montgomerie banned all the European team from Twittering during the tournament. The Keeper couldn’t help thinking modern day football managers could learn from this. I mean who wants to be party to the trivial outpourings of disillusioned millionaire footballers. “The Gaffa’s dropped me for Saturday. He’s a c**t.” or “Think we’re going to get stuffed this weekend.” Perhaps what we’re looking for is more along the lines of, “The Gaffa’s just stuffed my mobile phone up my aaaaaaaah!”

No such treatment from within the England camp where early signs were looking good ahead of the Euro qualifiers. Apparently after Robert Green’s recall following his gaff against the USA in the World Cup, he kept a clean sheet in training despite 100 shots on goal. The not so good news was that Rob and Kevin Davies were in a one to one training session together. Looks like Kev’s vow to England fans in The Sun this week that he will comfortably fill Emile Heskey’s boots is beginning to bear fruit.

Emile, of course, will no longer feature in Fabio Capello’s plans but who knows if the next England manager may also try and persuade him out of retirement. Early indications from whoever is in charge at the FA (and the Keeper certainly doesn’t know!) are that the next manager has to be English. I mean there’s a whole crop of eager English guys out there just itching to be given the chance. Stuart Pearce and Sam Allardyce for instance… well, it certainly is probable the next England manager will possibly be English…Steve McClaren and Ian Holloway, to name a couple…I mean he doesn’t have to be English by any means, that would just be the preferred option! Harry Redknapp (assuming he’s not otherwise engaged in rough sex at Her Majesty’s pleasure)?...we’ll do whatever we have to do to get the best manager….English or otherwise!

What is in no doubt at all is that the next Olympic Games will definitely be an English affair. It seems that West Ham (not really from around there) are still favourites to pip North London rivals Spurs (definitely from nowhere around there) to taking over the stadium as their home when the Olympics is finished. Ed Warner, Chairman of UK Athletics said that the West Ham bid was more sensitive to the Olympic Legacy in that it involved retaining the running track around the stadium. Well, if the Keeper had to watch West Ham in their current form every week, he’d want to be as far away from the pitch as possible also. Not only that, the original ‘innovative’ design actually intended to make the top tier of the stadium easy to dismantle and be recycled after the games. What football fans in the 60’s and 70’s would have given for such an opportunity to be able to wreck a ground so easily!?

Monday, 11 February 2008

Debate Futile In Laying Supporters' Fears To rest

There are few prizes for guessing what our main topic of discussion is today. There we were last week discussing how best to develop the England team, in the aftermath of Fabio Capello’s first match in charge. While at the same time, facing up to the depressing prospect of trying to get enthusiastic about watching Czech Republic versus Holland this summer, when Richard Scudamore, Chief Executive of the Premier League announces plans to hold an additional round of fixtures to the Premier League Programme to be played abroad. This would entail a seeded draw of additional matches to be played over one weekend in five different cities around the world. This is so far removed from the views of ordinary supporters, managers and respected commentators as to be laughable, not to mention completely against the best interests of the fitness of English players.

RTG is all for expanding revenue-making ideas for the Premier League, especially if that money is equitably distributed and finds its way to, not only the lower leagues, but to the development at the grass roots and, therefore, international level. After all, we don’t want to turn back the clock now. We are where we are. But this revenue ‘expansion’ idea is too high a price to pay and exactly what will it achieve?

Firstly, this totally changes the competition within the league – a league that has been going for 120 years - with one home and away fixture against every team as its basis. Scudamore’s proposal makes a nonsense of this competition.

Secondly, is it right that the Premier League parks itself in countries that, either have their own well-developed leagues, or have fledgling competitions that they are trying to develop? No doubt Scudamore and the Premier League bosses have taken the recently staged NFL game at Wembley as their inspiration, but then there is no developing American Football league in England to speak of.

Thirdly, one of the stated aims is to increase the Premier League’s supporter base in these cities/countries. But again taking the NFL game at Wembley as an example, what did that game actually achieve? RTG suspects strongly that the majority of those attending were American expats/servicemen rather than ‘native’ limeys who are now suddenly avid supporters of the New York Giants or the Miami Dolphins. It certainly pissed off the Dolphins fans because they lost one of their home games (one of only eight).

Do the Premier League really believe that these one-off, contrived fixtures will boost the supporter base in these cities/countries? There may well be marginal take up of new supporters, but then if a replica shirt costs the equivalent of one month’s wages, as it does in some of the proposed locations, what real scope is there for ‘exploitation of opportunities within these target markets’? RTG could see a lot of scope for arguments over where individual clubs would prefer to go in order to maximise revenue opportunity. Los Angeles or Calcutta? No contest!

Until RTG hears of a better proposal, we still believe that we should go the whole way with showing every game live, on a pay-per-view basis, again as long as the revenue is equitably distributed throughout the English game. If that means Chinese or Indian supporters having to buy a TV season ticket and watch it at unsocial hours of the night so be it. If the Premier league is as popular in these countries as they keep telling us, they will surely be prepared to do it. Likewise, if they feel compelled enough to visit England, they can pick the club they wish to visit and watch. On a cautionary note, one only needs to look at the Premier League’s deal with a Chinese free-to-air TV channel for last season which predicted audiences of 30 million, only to find that actual viewing figures were so small as to not warrant a rating.

The really scary point, which RTG has raised in previous postings, is that, forget what supporters want, or the opinions of club managers, players or administrators, it only requires the vote of 14 Premier League club owners and it’s a done deal. Ten of those owners have arrived within the last few years – wonder which way they are likely to vote?

Reclaim the Game – The Weekend’s Events

Roll Moddle No.1. Sylvain Ebanks-Blake of Wolverhampton Wanderers has been charged with causing bodily harm after a night club bouncer was smashed over the head with a bottle. He’s due in court on 20th February.

Whilst the minute’s silence was impeccably observed by all at Old Trafford (apart from someone letting off fireworks outside), the emotional wave seemed to have overwhelmed the United players as they lost 2-1 at home to City. Note that the 40th anniversary didn’t go according to plan either with a lucky 1-1 draw against struggling Bolton. Perhaps, they should simply have kicked off at 3:04pm (the time of the disaster) as a symbolic final laying to rest of the disaster. No doubt, though, the 60th anniversary will provide revenue opportunities too good to pass up.

The African Cup of Nations was won again by Egypt who beat Cameroon 1-0 in the final. Despite the pundits talking up the tournament and some genuinely spectacular goals, the overall impression RTG got was that it is not of a standard or suitably well-attended to merit being held every two years. If RTG’s desire to see a world schedule is to be realised, it has to go to every four years (irrespective of history and tradition) and be scheduled in a compatible manner with European/World competitions. Otherwise, RTG suspects that African players may well soon start to disappear from top sides in the leagues.

Hat’s Off. Take Bow(Or Not)!

Player of the Week – John Carew. OK it was only Newcastle who seem to be shipping goals a plenty as well as losing now Big Sam has departed but a hat-trick is always worth a mention.

Villain of the week – Richard Scudamore. See Above. Special mention also to the people who let off fireworks during yesterday’s minute’s silence.

Heroes of the Week – Manchester City fans even if they were encouraged by a special letter from David Gill and a 20p Taiwanese, sweat shop-made scarf in City colour.

Shock of the Week - Manchester City winning 2-1 at Old Trafford. Their first double over United since the 1969/70 season and their first win at Old Trafford since 1974. Maybe their fans earned themselves some good karma with their excellent behaviour.

Cliche of the Week - "Looking a little jaded after international duty midweek." Who knows the reasons why exactly but so many games in 'The Best League in the World' were decidedly lacklustre this weekend.

Monday, 17 December 2007

Grand Slam Sunday Just Reinforcing the Status of England's Elite

‘Grand Slam Sunday’, or was it, ‘Super Sabbath’, came and went. In the end, not so much Grand or Super anything really, more Damp Squib. Not because both games weren’t interesting. They were quite compelling, in fact, if you were a supporter of any of the teams involved, or, if you were a ‘cognoscenti’ of football tactics. Nothing much has been decided from the match results, although it has probably confirmed the outcome of the premiership – a three way fight between Arsenal, Chelsea and Manchester United, with Liverpool bringing up the coat tails of the so called Big Four. The hype though for the matches was, to put it into the modern football vernacular, “massive”. Sky, as is their wont, started the build up weeks ago. No doubt Richard Keys, Sky’s Grand-Super Slam presenter, had his stock of long winded rhetorical questions prepared even before that. Even the BBC was mesmerised enough to switch the Match of the Day (Two!) highlights programme from ‘dead air’ BBC2 Sunday post 10pm slot, onto mainstream BBC1 to accommodate Super-Grand Sabbath.

As usual, the hype over-awed the events. Disturbingly, though, the mainstream Premiership and Football League programmes were almost completely overlooked. Is this what English football has amounted too? Ever more predictable in form and shape, are we to go the route of Scottish and other European national leagues, where nobody but the predictable two or three forever win the major honours? Like Scotland, the lack of competitiveness for major honours is being echoed throughout European Leagues. It is well over two decades since the either of the Glaswegian Big Two relinquished their title. After all, we have the predictable regular members of the European Champions League from Spanish, German, Italian and French leagues, supported by the usual crowd from Norway, Ukraine, Russia and the Balkans.

Supporters surely want a competitive league and the lack of this competition is being reflected in crowd attendances at matches outside of the Big Four. Five to ten years ago, it was practically impossible to buy a ticket on match day for a Premiership game. Now, apart from the Big Four, you can get a ticket on the day for most games. Indeed, gone are the days when Manchester United or Arsenal would draw a full stadium to Middlesbrough or Bolton, for instance. Current economic conditions will only serve to exacerbate the problems as people question more strongly the priorities of their spending: save for a rainy day or spend a couple of ton on taking my kids to a game when I know we won’t win, or, will be rolled over by a Big Four team?

But, what of the world wide support and viewing public? The world wide market is increasingly making its mark. TV, from outside of the UK, is changing football dynamics. Whether it's in the form of a Vietnamese beer commercial (unavailable in the UK) being put out on the Emirates advertising boards or the rumoured changing of kick off times to suit Asian markets. Payments for televising football on overseas rights are paltry compared to what are paid by Sky, Setanta and the BBC for their various television packages in the UK. Big matches have viewing figures of 5-8 million in the UK, maybe double digit millions for the FA cup final. Overseas the viewing figures run into hundred’s of millions if not billions. Logically, it must follow that as there are hundreds of millions of viewers ex-UK, that these are far more profitable for the broadcasters and advertisers than UK viewers – especially given the low amount that the Premiership receives for overseas rights. It must therefore also follow that, as those ex-UK markets get economically stronger, - and they will - broadcasters will want to maintain or increase those audience figures. How do they do that? Well, they just keep showing the so called popular Big Four and thus keep perpetuating and maintaining the elite in English football.

RTG believes that we need to open the market completely to television – given that RTG cannot see a way that we can move away from football commercialisation – but controlled and suitably shared by all in the Premiership and in English football – yes, including Burton! All matches available for viewing by all. The revenues would be so great, that inevitably, there will be huge arguments over the spoils. But they would dwarf anything that is available now. Yes, it might well be a recipe for disaster, but that is what we are heading for anyway. At least this gives a huge benefit for the UK balance of payments, rather than the faceless multinational corporations who are gorging themselves on football money. It might just save the soul of football. It might just bring about a more equitable environment. If billions can be made from one match – and just one billion dwarfs the total annual revenue of all Premiership clubs – then that money could just build a generation of sportsmen and women to match England’s potential.
Or, it could just go into a few players/managers/agents and the pockets of other hangers on. If we, the supporters who care about the game, do not get a say in how it is run, that's exactly where all the money will end up. RTG thinks we can have the voice. Join us.

Reclaim the Game - The Weekend's Events
  • Fabio Capello confirmed the worst kept secret in football and took the England job. He had ac tually stated he really wanted the job. Which makes you wonder why the FA were so keen to sign him up and at such expense. There was no particular rush so perhaps Brian Barwick might have bided his time. Or was it the case that he just couldn't bear to look a fool again if he'd lost Capello. The Italy national manager earns £1.5M per year. Spain £350K per year and Billic at Croatia earns £47K per year. At £6M per year for Capello could RTG suggest that Brian Barwick is not the best negotiator in the world?
  • Tom Hicks' son proposed to his girlfriend in the centre spot 24 hours before Liverpool's game with Manchester United as he gave her a tour of the stadium. Given the current state of Hicks and Gillet's financial plans for the new stadium, it is likely he'll be able to take her back for their 10th anniversary.
  • David Beckham's recent modelling gig for Georgio Armani underwear raised a few eyebrows and indeed a few questions in Posh's direction as to whether he'd fortified himself down below with a pair of Galaxy football socks. Posh was quick to defend Davids saying the meat and two veg was all genuine. However, a fashion commentator was heard to remark, "he looks to me like he's all veg and no meat."

Hats off Take a Bow (or not)!

Player of the Week - Marcus Bent. For his impressive hatrick in Wigan's 5-3 demolition of Blackburn. Special mention to Roque Santa Cruz for his hatrick in the same game. Sadly he finished on the losing side.

Villain of the Week - Asylum and Immigration Tribunal for deporting Watford's Al Bangura who fled Sierra Leone aged 15 and made it to Watford where Adie Boothroyd had high hopes for him. Talk about going for the low hanging fruit!

Hero of the Week - Fabio Capello. Well here's hoping!

Shock of the Week - Inverness Caledonian Thistle 3 Celtic 2. Given that ICT are now in the top flight it is not quite as big a shock as the 'super caly go balistic, Celtic are atrocious!' days of old, but a shock nonetheless. Even more so as they were two nil down.

Cliche of the Week - Anything with the word 'Fab', 'Fab-ulous', 'Fabio'. Think you get the drift!

Monday, 5 November 2007

If You Want a Free Market, Let's Have a Free Market!

Sports Minister Gerry Sutcliffe has attracted much criticism following his comments that some footballers' wages (and in particular John Terry's) were 'obscene'. In addition, he claimed that ordinary fans of Manchester United were being priced out of going to watch matches due to the excessive rises in ticket prices. Chief amongst his critics was PFA Chairman, Gordon Taylor, who pointed out that there are many sportsmen who earn far more than John Terry and that it was not the place of a Sports Minister to criticise a sport that brings in so much money into the country and the UK economy. Though RTG doubt very much that over 50% of JT's wages go in taxes to the government as claimed by Mr Taylor.

We at RTG want to make our position perfectly clear on this matter. RTG are not against players being paid fabulously, if that is what the market dictates. RTG are not for salary caps - which would be totally unworkable in a cash-rich business anyway - and we are not here to pass judgement on what anybody does or does not earn. Nor are RTG here to discuss the morality of a footballer's wages versus a nurses wages, for example. These are far bigger issues concerning global capitalism and civilisation itself. There are far better, and more qualified, philosophers and commenatators than ourselves for that. But, given that the highest paid player, in a matter of less than 20 years, has gone up by a factor of about 20 times, it's hard not to believe at times that footballers get paid unbelievably large sums for doing a job that most would give their right arm to do.

What RTG struggles to come to terms with is how the supposed 'free market' operates in an uncompetitive manner in football. RTG believe that no club should spend beyond its means to pay over-inflated players' wages. One of the most dangerous consequences of Abramovich's regime at Chelsea is the hyper-inflation to players' wages and transfer fees. At the time he arrived, the Leeds financial crisis had appeared to deflate the market - that is, the cost of players and their associated pay demands. Abramovich's millions served to re-ignite inflation in the transfer market as well as to land Chelsea in a situation where the club is completely reliant on the funding provided by one person - obtained through highly dubious means. But that's another story.

It is not for RTG, or anyone, to tell Chelsea or Abramovich how to spend their money. But it seems highly uncompetitive for teams to spend way beyond their revenue. Leeds and others, quite rightly, have been handed penalties for spending beyond their means - it is a form of cheating! So what is different about Chelsea's current situation? RTG cannot give you the exact figures, after all we are dealing with massaged balance sheets and financial statements, but their over spend must be in the region of £200M - £300M since Abramovich took over. This for a club that was reportedly within days of filing for administration itself. RTG stress this has nothing to do with Chelsea itself. But, anecdotal evidence from a small number of Chelsea fans would suggest that their recent success has been tainted in their own eyes by their financial advantage.

Lets us state again that RTG is not against the free market. But how can it be a free market when clubs are being subsidised by rich patricians. Clubs' spending on players should be linked to revenue earned. Of course this is an over-simplification but we believe the FA, and the clubs themselves, should be made to be more transparent in their financial dealings to make a workable solution. It seems ludicrous that the world's biggest and richest sport has virtually no financial controls, regulations or restrictions - unlike many other sports.

Reclaim the Game - The Weekend's Events

  • It was suggested by respected football journalist, Patrick Barclay, at the weekend that Steve Maclaren's main achievement in managing England was to rid the players of the idea that England was a team of superstars - and that he was actually doing a good job. Strange then to find Maclaren jetting 5,000 miles to go and check out David Beckham's fitness in advance of the Croatia Euro 2008 qualifier. Stranger still, that he chose to ignore an entire Premiership programme to watch a charity match that LA Galaxy won 12-4 against Hollywood United: a team consisting of 40+ year old ex-pros, the guitarist from Def Leppard and assorted "Where Are They Now" ageing popstars. But rest assured, he does not treat David Beckham as a superstar! Perhaps he just fancied a week in the sun at the FA's expense.

  • Four South Korean internationals, including the national team captain were caught 'cavorting' and 'drinking' in an Indonesian brothel. They were all handed one-year suspensions from international matches and the captain was stripped of his position. Aside from the fact that their offences were fairly innocuous in comparison to some of the rape and roasting allegations against Premiership players, RTG wonders what the FA would do in such circumstances to England players? Suspect FA!

  • You might get sick of RTG banging on about this but we're going to keep doing so because it is important. Once again a decision that would certainly have been referred to the video referee (were it allowed) would have produced an indecisive decision. Chelsea's second goal against Wigan began with a move where Shaun Wright-Philips stretched to keep a ball in play that may or may not have gone out. We can't tell and neither could Sky. Fair play to the BBC for having such limited time available that they didn't even feel it was worthwhile discussing. RTG is convinced that the result would not have been changed by this ruling either way. So, again, let's all stop and think for a moment before we go down the media's chosen route and stop every game for minutes at a time to make decisions that actually won't be as clear cut as the lazy pundits would have us think.

  • RTG has touched on this before but it comes to our attention again. Gus Poyet has left Leeds United and Dennis Wise for the bright lights of the Premiership as assistant manager to Juande Ramos at Spurs despite the fact that Leeds have only just lost their first game of the season. But despite Leeds' unbelievable run that still sees them challenging for promotion despite a 15 point deduction at the beginning of the season, RTG can't help remembering the plight of Rotherham who, despite being top of the league at Christmas (in similar circumstances) ended up being relegated. Deducted points are (as they should be) a serious hindrance to progress over the course of a season.

Hats Off (take a bow) - Or Maybe Not!

Player of the Week - Benjani Mwaruwari. Now top scorer in the Premiership in what the papers like to call "an unfashionable team" and coming off the back of a staggering away win at St James' Park of four goals to one.

Hero of the Week - Darren Cann. Referees Assistant at the Emirates. Alert enough to see that the ball had crossed the line and also had the balls to give the decision immediately and no more needed to be said. Job done.

Villain of the Week - Steve Maclaren. Steve! You did the right thing by dropping Beckham as captain of England. Maybe (and just maybe) you dropped him a bit too early from the team (but that showed you were too wary of what the press were looking for you to do). But you brought him back admidst the scrutiny of a baying media rather than having the courage to pick your own team. And where are you now? Flying 5,000 miles to watch Beckham play a charity game to see if he is fit enough to play in a crucial qualifier against Croatia. Look Steve, you don't have to be England manager to know that if he wasn't fit two weeks ago, he probably is not now fit either for such an important game. We've got the players to qualify for Euro 2008 without the need for that. But sadly, we're now relying on Israel to bail us out and a plane trip to LA is not going to change that Gaffa!

Shock of the Week - Arsenal's advertising hoardings. Continuously providing us with a reminder of the refreshing qualities of a Vietnamese beer that, to our knowledge, is not even available here. It does not take a genius to work out that, maybe...just maybe, there was a different audience in mind when this ad space was procured. Perhaps the 12:45 kick off provides a clue.

Cliche of the Week - "Nobody complains about [insert other sportsman's name] earning more than footballers". We get the point Graham but frankly your members do earn a lot of money and hopefully feel grateful once in a while for that.