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Building a sustainable Third Tier competition

Roar Guru
4th February, 2013
17

Much has been written about the need for a third tier competition in Australian rugby.

If the ARU chooses to go down that path, they must make a strategic choice from a variety of options.

Do they:

• Leverage a new competition from the Super Rugby brands
• Build a new European Heineken Cup style competition
• Build a new USA style University competition.

Here is my assessment of these three options.

University Competition

This caters to the existing powerful Universities by further entrenching their position within Rugby in Australia.

It would potentially take them out of their local competitions, degrading that competition in the process.

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This would allow them to cherry pick the best players from the remaining clubs – further weakening the local competition in the process.

It would further instil the false notion that Rugby is an “upper class” game and only would attract the interest of friends and families of players and rugby tragics.

TV interest in the short term would minimal, perhaps through the ABC.

This would be a new competition requiring new administration, operational systems and stand alone logistics to make it happen.

Heineken Cup Style Competition

This is the preferred model for the powerful suburban clubs of Australia.

This polarises suburban competition into two camps and will see the demise of the less successful clubs. The powerful clubs will argue that there are already too many clubs and any such rationalisation is healthy for the game.

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Spectator interest would be higher than the University comp – TV interest in the short term would come from the ABC.

This would also be a new competition requiring new administration, operational systems and stand alone logistics to make it happen.

Enhancing the Super Rugby Brand

A solution could be to have each franchise field – say an under 23’s team – where games in the Australian Conference are played before the main event.

This alternative leverages the existing Super Rugby administrative, operational systems, logistics structures and costs, specifically:

• Existing state-of-art training facilities
• Existing administration
• Travel and accommodation deals
• Venue hire
• TV infrastructure already located at the venue to televise the main game

It could be sold to Pay TV in a similar fashion to the Toyota Cup.

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It builds upon the Super Rugby brand while providing crowds attending Super Rugby with more product to view, which in turn has the potential to increase crowd sizes.

Rightly or wrongly it maintains the status quo of the current domestic competitions.

Blinkers aside, enhancing the Super Rugby brand is the least expensive model and offers the most realistic short term return-on-investment opportunity through an extension of the pay TV deal, therefore it is the most sustainable.

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