Seen plenty of companies go under due to lack of investment in growth. Not many can stay the same and stay in front. AFL has taken some big gambles in investing massively in expansion and it has arguably paid off with revenue streams far in excess of the NRL's. That's not speculation or second guessing accounts, its fact. They started expansion a long time before they hit pay dirt, as did we. Sadly SL turned all of that back two decades for us, at some point we need to get back on the front foot with it if we want to capitalise off that growth.
If it wasn't enough last time with $1.2billion, and its not this time with $1.9billion will we have enough next time, or the time after, or the time after? It doesn't matter how much you have, its how you decide to spend it. AFL lay claim that a ninth game and two basket case teams still turned then a tasty profit this tv deal, I struggle to see why we could not have managed the same with two not so basket case expansion clubs?
But that has nothing to do with tv ratings so I'll leave it there.
Do we know what how this years ratings are travelling?
as for the personal insults, yeh whatever.
We saw how the ESL did with expansion particularly London.They dared and got shot in the foot.
The ARU had $58m in the Bak after 2003 and blew the lot.It doesn't matter how much you have,it's how it's spent.
And the Lion's expansion seemingly successful for a few years, is a basket case costing the club millions each year and crowds.The AFL is using money there in addition to Suns and Gnats to prop them up.It could be argued have they overreached ?
Companies who invest in growth usually have the money to spare e.g. Wesfarmers,Woolworths,Telstra,Harvey Norman.Or they have sufficient equity to secure loans to expand.
The Masters hardware chain was a classic example of not understanding the market or rushing in too early.
You see you are making the usual assumptions agin based on unknowns such as how much is spent or will be spent on the various things I've mentioned.
You can have $2bn ,but if players grab a large % ,grassroots ditto, admin ditto, the list goes on.For example Insurance costs skyrocket year on year,powere charge are going up, womens rl players are being contracted.
You see companies and individuals can and do take on board risk, they can end up making a motza or losing the lot.
Sporting organisations are supposedly non profit set ups,for the benefit of the game itself.You yourself noted waste in the administration for highly paid execs who did apparently little .
One thing I don't want (and I do want expansion),but I don't want an ARU situation where they are living hand to mouth.
If you don't;remember the details of the last Tv deal and Smith';s involvement,hardly helpful in the long run, you might understand.Again, once more again,.you ignore the current financials of the TV stations.
I suggest ch7 would hardly be over the moon with the Nth states Tv ratings, which formed part of the extra game.
The AFL might be happy, but there is no guarantee that sort of money will be there again.
In fact one of the reasons the NRL went early Tv negotiations,because technology is moving at such a swift pace, and the reason they want a digital dept.
How much do you think a herd of journalists is going to cost pa in the Digital Dept? hardly chicken feed.
I'll mention the fact Harry Trigaboff of Meriton holdings ,one of the wealthiest men in this country and a Tiger's fan, builds huge numbers of units.Guess what ,he doesn't borrow money, he has the money on hand to expand ,without placing a dent in his holdings.
AFL has 2 1/2 times the number of people going through the gate.The rich clubs hand over money in effect to the poorer ones.The AFL has never had to waste money on a SL war ,using up their war chest.
Their Tv deal is worth more but on a time basis not much in reality.
We were behind the 8 ball from 1998 and also whilst News half owned us.The AFL also had the clues on lobbying Govt to get funding for new stadiums.It took us til 2017 to do likewise.How much money has been spent on legals ,and Integrity units.The AFL don't have a bunker, that costs.
I've been on the receiving end of personal insults in threads and grinned and bore it.
FTA TV ratings ASAIK are down,is it any wonder with the nongs commentating on 9 and the poor form of Souths,Dogs and Tigers,well supported clubs.On that basis getting the Tv deal when we did appears to be the right one.
Stop ignoring the Titans and Knights NRL ownership and monies owed by Tigers and Dragons.It's all part of the cost mix.
$1,2bn 5 years ago,is probably the equivalent of $1.5.1.6bn now.Infaltion has this nasty habit of stuffing the purchasing power.
I don't know whether other NRL apps are taking the fans away.
What you haven't realised the $1.9bn doesn't really come into effect til 2018.And dopey Grant thew grants around like confetti $13m per club ,you go figure.
