AFL’s compensation may be huge
Roar Guru By Mister Football, 11 May 2010 Mister Football is a Roar Guru
- Tagged:
- AFL, Andrew Demetriou, FFA, football, Football World Cup
109 Have your say
Related coverage
Some sectors of sports fandom within Australia are currently having a chuckle over the fact that the AFL has voluntarily labeled itself as not being a “major event” in the context of Australia’s 2018/2022 World Cup bid.
This follows the recent news that all relevant sports bodies have reached agreement with the Federal Government on the way forward in relation to the bid and the stadiums required, should the bid be successful.
Those same fans are probably failing to read between the lines of what has actually been agreed to the last 24 hours, so I thought I would do my best to highlight some salient points.
The first question that everyone should ask is why the largest and most prosperous sporting body in Australia, which runs the most successful sporting competition in the land, would willingly suffer the ignominy of labeling itself as minor?
Our first clue is in this ABC report that appeared on their website Monday afternoon.
When asked about the possibility of compensation, the AFL’s chief operating officer, Gillon McLachlan, responded as follows (also replayed on Fox Sports News):
“We can’t forecast that … what we know is the formula’s there, not to provide a windfall gain but to provide that we’re not any worse off. The number will be the number. Given we’re a billion dollar industry now … and half the games could potentially be impacted, it might well be a large number.”
This follows on from an ABC report on the AM show on Monday morning, where the interviewer suggested it will be “tens, if not hundreds of millions of dollars.”
In the same program, it was suggested that the bill for compensation would be met jointly by the taxpayer and the FFA.
All of this reminds me that exactly six months ago I estimated a figure of $300 million to compensate the AFL for a disrupted season (at the time that included both the MCG and Etihad being lost to the AFL for 10 weeks).
That figure might be reduced by about a third now that Etihad is being retained by the AFL.
The other thing I suggested at the time was that the dividend the German FA received back in 2006 would only cover a small fraction of that estimated compensation figure.
Now put yourself in Andrew Demetriou’s shoes, negotiating directly with the Federal Government (with the FFA having been sidelined a few months back).
Now do you see how this story ends?
Recommend this story.
The Turkey 10
The Turkey 10 teams have now been selected, as Wild Turkey Bourbon's sport sponsorship kicks into the next exciting phase.
Choose which side you're going to support and get in the running to win $2,500!
Simply visit Wild Turkey Australia on Facebook for your chance to win.
Find out more.
- Explore:
- AFL, Andrew Demetriou, FFA, football, Football World Cup
May 11th 2010 @ 1:53am
eastperthroyals said | May 11th 2010 @ 1:53am | Report comment
WHAT THE AFL HAVE DONE IS THE MOST SELFLESS ACT IN HISTORY
OUR GREAT INDEGENOUS CODE STEPPING ASIDE FOR A SMALLER EVENT AND NOT ASKING FOR ANYTHING IN RETURN
NO WONDER THIS GREAT GAME IS PICKING UP STEAM OVERSEAS WHERE BY THE TIME WE GET THE WORLD CUP IN 2022 AUSSIE RULES WILL BE IN THE TOP 3 SPORTS WORLD WIDE
AND OUR WORLD CUP COULD SURPASS FIFAS IN TERMS OF GLOBAL APPEAL AND IMPORTANCE BY MID CENTURY
May 11th 2010 @ 9:39am
captain nemo said | May 11th 2010 @ 9:39am | Report comment
eastperthroyals, you are funny mate. Classic. People are going to laugh at you when you have saved up enough for your contiki tour
classic
May 11th 2010 @ 9:33pm
JamesP said | May 11th 2010 @ 9:33pm | Report comment
Easy on the caps lock dude…
May 13th 2010 @ 11:08pm
David said | May 13th 2010 @ 11:08pm | Report comment
The one thing you are forgetting is that Australian Football has no representative level at which to play. They created State of Origin back in the 70s with the games involving the best players from clubs that were doing well in the respective leagues at the time. The result was that the clubs themselves prevented these players from being selected citing “injuries” whenever Origin games were played. This, in the end, stifled representative Australian Football out of existence. It is the clubs themselves who are responsible for Australian Football having no “Next Level” to play at. I realise we have International Rules but the only reason clubs allow their players to play these games is the gentler nature of International Rules where there is not as much chance of career restricting/ending injury.
Another thing you must be mindful of is the absolute rabble Australian Football fans are when compared to fans of other sports. No matter what level the rivalry between let’s say Queensland and New South Wales in Rugby League the New South Wales fans would gladly cheer the Queensland players (and vice versa) when they’re wearing the Green & Gold and score against Great Britain or New Zealand. Cricket fans don’t seem to mind who’s wearing the Baggy Green either. Though I’m NSW born and raised I still thouroughly enjoyed every Shane Warne wicket and every Matthew Hayden century. I remember one Test match at the MCG with the Victorian crowd chanting for Mark Waugh.
If there is to be an Australian Football World Cup then it will entail players of DIFFERENT clubs playing for the SAME TEAM wearing the NATIONAL COLOURS. therefore it MUST involve the UNITY of ALL the fans! Could we ever see a Collingwood fan cheering an electrifying run and bounce attack by a current Adelaide player? How about a Sydney fan annoyed because a North Melbourne player was harshly tackled? What about an Essendon fan excited about a West Coast players game saving mark or a Carlton fan elated about a Brisbane player kicking a match winning goal? When you watch your country play the players will come from any club in the game, even clubs you may consider arch rivals and you must be able to cheer FOR them when they wear your country’s colours. I just CANNOT see this happening EVER!! This is because the fan base of the AFL is a complete, utter and total RABBLE!!!! How do I know? I’ve been a Swans fan for 20 years and going to the games I’ve felt that we AFL fans could NEVER experience the unity Australian soccer fans had – all pulling together – in the last World Cup and I deeply mourn this. We have people overseas all trying to grow our game and we MUST support them. And though they will be our biggest foes in future we MUST give every praise we can to the Greater Western Sydney team for having the courage to do what they’re doing despite the doomsayers saying it will fail.
Though I am a Swans fan I crave going to a game one day shoulder to shoulder with Demons, Power, Lions, Dockers, Bombers, Hawks, Cats etc. fans all for the common cause of cheering together for our country. So let’s all encourage our clubs to draft players from other countries to kick start the growth of our game. We should be able to maintain our rivalries and still pull together for the nation for an International match just like they can in other sports. I’m with you eastperthroyals but it is yet to be seen whether anybody else is.
May 11th 2010 @ 1:56am
eastperthroyals said | May 11th 2010 @ 1:56am | Report comment
Sorry i just got so emotional i am so proud of the AFL
andrew and co are just amazing
ok im shaking
and soccer fans youre welcome
May 11th 2010 @ 2:01am
eastperthroyals said | May 11th 2010 @ 2:01am | Report comment
Good luck soccer wc lets hope we win the bid now
i think the fifa should pay the AFL $ 700 million in compensation
The East coast rugby league should get $ 32 million in compo
once again good luck ffa with your bid
And you are welcome
May 11th 2010 @ 2:11am
Kurt said | May 11th 2010 @ 2:11am | Report comment
OK I think it’s time for us AFL fans to let this issue go. The deal is done and Australia is now submitting a bid that will succeed or fail on its own merits. By continuing to fan the flames of this argument we just provide an opportunity for soccer Australia and SBS to blame us if the bid fails.
So I invite you now to join me in taking a vow of silence on the WC bid…
May 11th 2010 @ 7:39am
MV Dave said | May 11th 2010 @ 7:39am | Report comment
What and not have Pip provide us with some amusement with another 100 plus rhetorical posts…geez where’s the fun in that.
He could churn out another dozen or so blogs on this topic by December outlining how the AFL could collapse in a big heap if a few weeks of a season 12 years away is disrupted…as Richie Benaud would say…”marvellous that”.
May 11th 2010 @ 10:25am
BigAl said | May 11th 2010 @ 10:25am | Report comment
Kurt . . . this request would probably be more effective, if addressed to The Roar editorial staff.
May 11th 2010 @ 2:29am
eastperthroyals said | May 11th 2010 @ 2:29am | Report comment
are you referring to me
if so i will take a vow of silence i was only saying how proud i was of the AFL
May 11th 2010 @ 4:24am
Kurt said | May 11th 2010 @ 4:24am | Report comment
Not specifically you, no. You clearly have quite a bit to say on the topic and I for one do not feel comfortable asking you to deny the world your special and unique perspective.
May 11th 2010 @ 9:12am
Son of a Gun said | May 11th 2010 @ 9:12am | Report comment
Did East Perth get beaten on the weekend.
One of the my most dangerous times at the footy was a East Perth/West Perth game ( i follow West Perth), there was a very big crowd on hand for the derby – around 7 or 8 thou.
At half time during the during the traditional kick on the ground involving every man and his dog, and a zillion kids with auskicks balls, it wa the most dangerous place to be with unco-ordinated East Perth supporters never finding their intended target with the ball but Garlic munchers and their kids, and usually their heads, their were kiddies going down everywhere.
Dangerous times indeed.
May 11th 2010 @ 6:15am
Tifosi said | May 11th 2010 @ 6:15am | Report comment
Absolutely no way FIFA will accept a bid that pays so much to other sports and dictates who plays where.
FIFA control all the cards and will look at the FFA bid as some sort of joke i think.
They dont need Australia to host the World cup, they have better alternatives. The FFA should have realised this when they thought it was a good idea that they would launch a bid.
However once again the FFA really have little clue what they are doing.
May 11th 2010 @ 9:13am
AndyRoo said | May 11th 2010 @ 9:13am | Report comment
Sorry Tifosi I don’t agree.
Now the AFL are on board I see it as a tremendous positive for our bid and I am all for talking them up. Something that annoyed us while they were negotiating should now be turned into a strength.
The AFL have average crowds bigger than Sierra A, MLB, Primera Liga and the NBA. 10 or so of their teams call the MCG a home ground at some stage during their season and they are prepared to give that ground up for 10 or 12 weeks in the middle of their season!
That’s tremendously generous and not something that I would expect from other sports in America (our chief competitor). They are getting the other sports involved but it is just window dressing. MLB won’t alter it’s schedule one iota and if the tournament clashed with the NFL they could forget about it there is no way they would come to the party. As it is the world cup is just seen as some summer festival to provide extra stadium rent .
Then we look at Qatar who’s biggest stadium at the moment I think isn’t even large enough to fit the criteria of 45k. A pretty good indicator of the fact that 45k stadiums would be white elephants wheras for all the negative talk about places like Geelong they would love a 45k stadium and are excited about it.
May 11th 2010 @ 10:00am
Michael C said | May 11th 2010 @ 10:00am | Report comment
Mostly correct AndyRoo – - and the perspective is absolutely correct.
I’m astounded that there are still people willing to bash the AFL – - and they seem blinded regarding 2 things -
1. blinded to just how significant an initial ‘ask’ was thrust upon the AFL
and
2. blinded to just what the AFL has acquiesced to
I’m really not sure what some people seriously expected……but, we’ve had a negotiation, and the AFL had a clearly stated initial position regarding Docklands – - – (which got ignored at their peril by the FFA) – - – so, the final position post negotiations and the AFL has, as AndyRoo has pointed out – made a very big gesture around the MCG given it’s clear significance to the game/code/league.
May 11th 2010 @ 11:39am
slickwilly said | May 11th 2010 @ 11:39am | Report comment
the proposed kardinia park redevelopment is certainly a major plus for the afl…
May 11th 2010 @ 12:56pm
Michael C said | May 11th 2010 @ 12:56pm | Report comment
I’m still not convinced about Kardinia Park – - it only delivers a relatively small net gain in capacity,
a fair chunk of the funding is likely to be in the reconfig and post event deconfig of the venue,
so, the lasting legacy is diminished relative to total spend.
And, in reality – - the State Govt, city of Greater Geelong Council, the AFL, and Geelong would probably work together to achieve that outcome irrespective.
May 11th 2010 @ 2:24pm
AndyRoo said | May 11th 2010 @ 2:24pm | Report comment
“And, in reality – – the State Govt, city of Greater Geelong Council, the AFL, and Geelong would probably work together to achieve that outcome irrespective.”
That’s the point. The stadium makes some sense without the Fifa world cup so it’s not massive amounts of money down the toilet that a complete white elephant would be.
May 11th 2010 @ 2:57pm
Michael C said | May 11th 2010 @ 2:57pm | Report comment
and that’s what a lot of people miss the point of when pushing the benefits of the legacy etc……..that’s often said in the sense of a ‘windfall’ legacy,
as compared to a logical one that would happen anyway but might see an extra $100 mill from the Fed’s than otherwise might occur.
Now – regarding the potential size of compensation – - that limits the amount of cash that may be deemed able to be splashed on stadia and the like.
The NRL will have major displacement too……and there’ll be FFA people fearful that the NRL membership campaigns will really have kicked in by then – as, basing it on the 2 years prior to the WC year……what if the NRL is suddenly doing 25K crowd averages and the displacement from major stadia will really burn them too.
It’s always the question, AFL is one thing, NRL another…..but, combine the two in this equation……and what do you have???
May 11th 2010 @ 3:16pm
slickwilly said | May 11th 2010 @ 3:16pm | Report comment
certainly costa, cook and co have talked about a 3-phase process for rebuilding kardinia park but im not sure those plans envisaged a rebuild of this magnitude… pity york park wasnt flagged as the seating arrangements there could do with a touch up)
take your point on lasting legacy relative to total spend… hope the australian tax payer are feeling generous
May 11th 2010 @ 9:38pm
JamesP said | May 11th 2010 @ 9:38pm | Report comment
Costa, Cook and Co have talked about Stage 3 which they hope to kck off which will bring it to 36k or so (Stage 2 bought it to 30k). This would be stage 4 (over 40k).
May 11th 2010 @ 7:16am
Son of a Gun said | May 11th 2010 @ 7:16am | Report comment
I don’t care whether we get the world cup or not, but if we do i hope we get the stadiums where we do play Australian Rules footy upgraded, and properly upgraded.
I guess the one big thing that many doomsayers are forgetting is the political and international networking clout of Lowy.
But it’s more than likely that he will not be around to see a soccer ball kicked or a forward tripped in anger.
May 11th 2010 @ 8:57am
Art Sapphire said | May 11th 2010 @ 8:57am | Report comment
Why don’t to take Kurt’s advice and give it a break. I even suggested to you yesterday that you head off to Manuka this weekend and cover the Swans v Bulldogs game. You wrote a great piece of gonzo journalism last season.
The hundreds of thousands of words you have wasted since then waging some self styled anti-WC campaign has been an absolute waste of you talent.
May 11th 2010 @ 12:09pm
Norm said | May 11th 2010 @ 12:09pm | Report comment
Don’t be ridiculous Art, he hasn’t got any talent to waste.
May 11th 2010 @ 9:15am
Midfielder said | May 11th 2010 @ 9:15am | Report comment
I think the AFL reaction to the WC has been very loud very public and in the long run will do the AFL harm in a number of ways… to busy this week to expand but will post my tho’s latter…
May 11th 2010 @ 9:22am
slickwilly said | May 11th 2010 @ 9:22am | Report comment
yet afl crowds and memberships are up this season midfielder… those measures would indicate people are interested in the quality of football on display than any aside issues to do with the WC bid
May 11th 2010 @ 9:41am
Midfielder said | May 11th 2010 @ 9:41am | Report comment
Wait for my comments … don’t presuppose what I mean…
May 11th 2010 @ 9:52am
slickwilly said | May 11th 2010 @ 9:52am | Report comment
my comment is not in any way contingent on what your observations may or may not state (and its a little narcisstic of you to suggest otherwise)… simply making the point that despite all the coverage of the negotiating process in both the media and blogosphere, afl are experiencing higher crowd attendences and memberships this season… those people dont seem to be overly fussed about what transpired over the summer
May 11th 2010 @ 11:03am
Baz35 said | May 11th 2010 @ 11:03am | Report comment
Don’t speak to early dude. Average crowds for the year collapsed below 40,000 this week (39,467)!
May 11th 2010 @ 9:43pm
JamesP said | May 11th 2010 @ 9:43pm | Report comment
Not quite – 39,520
This includes last nights 42k effort
http://www.footywire.com/afl/footy/attendances
May 11th 2010 @ 11:23am
slickwilly said | May 11th 2010 @ 11:23am | Report comment
not a bad crowd average for a minority game on the world stage… looking forward to a cracking match at subiaco friday night in front of another bumper crowd
May 11th 2010 @ 2:35pm
Michael C said | May 11th 2010 @ 2:35pm | Report comment
Midfielder -
I thought the FFA was very loud and very public when they attempted to kick sand in the face of the AFL by announcing to the world that they would be using stadiums X, Y and Z…….where Z was “Docklands” and we all knew that as of 18 odd months ago (12 months prior at that time) that the AFL had no intention of giving up Docklands.
It was therefore made public.
Don’t then complain that the AFL engaged the FFA in the public domain.
May 11th 2010 @ 9:44am
JAJI said | May 11th 2010 @ 9:44am | Report comment
Us in Sydney are “devastated” that the AFL season may have to be “disrupted” for 12 weeks to make way for the worlds biggest sporting event. I also hear the producers of the SBS show “The Iron Chef” are celebrating – given the challenge this show provides to the AFL in its Sydney ratings. “Ouch”
They may crow its a billion dollar industry but the AFL must first conquer The Iron Chef and Sydney TV before it can take on the World Cup….
May 11th 2010 @ 9:50am
Son of a Gun said | May 11th 2010 @ 9:50am | Report comment
I think the AFL would be more than happy to be able to sidestep Sydney if possible for all sorts of historical and anti Vic arguments, but it cannot.
Easier to sell ice to Eskimo’s than Australian football to the Australian football hating Sydney league/soccer crowd.
The AFL has a decent niche which will only get bigger with GWS.
As generations roll by, less and less people hang on to the prejudices of their parents.
May 11th 2010 @ 10:03am
punter said | May 11th 2010 @ 10:03am | Report comment
Ever thought that it’s not a anti Vic or anti Australian football & that maybe there are people (I know hard to understand if you come from Melbourne) that may prefer Football or Rugby to our so called indegenous game.
Simple & fact, while it’s the most popular game in Australia, it’s not loved by half the population.
May 11th 2010 @ 10:22am
Ken said | May 11th 2010 @ 10:22am | Report comment
Where abouts are you from Son of a Gun? Having lived in Newcastle and Sydney all my life I can honestly say that an anti-Victoria sentiment isn’t prevalant. I’ve always thought it was more the other way around – that Melb/Vic were fixated on trying to ‘beat their big brother’ in Sydney.
That said, if by ‘prejudices of their parents’ you mean in their simple preference of sports then I agree. When I was a kid growing up we never talked about ‘Rugby League’ – it was just footy – it was the only football. Some kids played soccer on the weekends if their parents didn’t want them to get hurt (a stereotype I know but this was a commonly heard opinion and I think it is even now) but even Union seemed foreign and Aussie Rules was just this wierd sport that popped up Wide World of Sports on the weekend. I’m sure if you’re from an AFL area your experience is reversed. With all the codes expanding, kids today won’t be quite so indoctrinated into the dominant sport of the area, they will be exposed to multiple codes from a young age – on the face of it the choice seems to be an obvious benefit but I have a certain nostalgia for when you could ask someone which football team they followed and there was no confusion of what you meant.