The current financial crisis should serve as a dire warning for Rugby League
As a fan I can see that the game is very over-valued. It is not worth the money being spent on it. 20,000 to a semi already proves my point.
The current financial crisis in Wall St has been brought on by banks thinking that they can shift debt to other institutions with the attitude of "its not mine, someone else can sort it out". As Costello predicted, it was only a matter of time before someone figured out that there was too much money in the system and the whole thing was just WAY too over the top.
The same thing WILL happen with the NRL; specifically with the highly paid players.
Benji is not worth $400,000
Sonny is not worth $400,000
Orford is not worth $500,000
$300,000 absolute TOPS for the most HIGHLY rated players, and even that is pushing it.
League fans, I kid you not that the sponsors of your clubs will be looking at their books and asking "is our $500,000 a year sponsorship of this team actually worth that money?" and they will figure out that it isn't. A $4m cap is already at the peak of what league can afford. Any more and we will be as guilty as those people in New York who shifted bad debt into packages and sold them in London. Gasnier and Sonny and all the players who left have done us a service by leaving because honestly the league, as an economy of its own, could only afford what they were being paid - no more!
Further more, the league can't afford to spend time and money on teams like Melbourne. They offer nothing. I ask you which is better:
1: 44,000 PAX sold out SFS with 20,000 wanting tickets (Tigers v Dragons) or
2: 20,000 PAX half empty stadium (yay cronulla!)
which is better? Because, as a code, Rugby League can not survive with teams like Melbourne in the comp. Simple demand and supply shows that a condense and local comp would provide a richer and more popular game in Sydney and Brisbane. Limited yes, but more able to battle out the economic tsunami that is approaching.
*end boiled up rant*
As a fan I can see that the game is very over-valued. It is not worth the money being spent on it. 20,000 to a semi already proves my point.
The current financial crisis in Wall St has been brought on by banks thinking that they can shift debt to other institutions with the attitude of "its not mine, someone else can sort it out". As Costello predicted, it was only a matter of time before someone figured out that there was too much money in the system and the whole thing was just WAY too over the top.
The same thing WILL happen with the NRL; specifically with the highly paid players.
Benji is not worth $400,000
Sonny is not worth $400,000
Orford is not worth $500,000
$300,000 absolute TOPS for the most HIGHLY rated players, and even that is pushing it.
League fans, I kid you not that the sponsors of your clubs will be looking at their books and asking "is our $500,000 a year sponsorship of this team actually worth that money?" and they will figure out that it isn't. A $4m cap is already at the peak of what league can afford. Any more and we will be as guilty as those people in New York who shifted bad debt into packages and sold them in London. Gasnier and Sonny and all the players who left have done us a service by leaving because honestly the league, as an economy of its own, could only afford what they were being paid - no more!
Further more, the league can't afford to spend time and money on teams like Melbourne. They offer nothing. I ask you which is better:
1: 44,000 PAX sold out SFS with 20,000 wanting tickets (Tigers v Dragons) or
2: 20,000 PAX half empty stadium (yay cronulla!)
which is better? Because, as a code, Rugby League can not survive with teams like Melbourne in the comp. Simple demand and supply shows that a condense and local comp would provide a richer and more popular game in Sydney and Brisbane. Limited yes, but more able to battle out the economic tsunami that is approaching.
*end boiled up rant*
