Television rights are one of the most important features of a professional sports league’s success. Valuations for different codes are being grossly misjudged, to suit the hidden agendas of a few vested interests.
Sports such as rugby league and football are suffering and being undermined by stakeholders such as Foxtel and the AFL, all to suit the AFL’s aspirations for a billion-dollar TV rights deal.
The AFL is working very hard on convincing everyone that they deserve a billion-dollar TV deal and are almost succeeding with Victorian journalists like Caroline Wilson and numerous others giving just about any excuse to justify the AFL’s demands.
Recently Citigroup’s valuation of estimated the deal’s worth to be under a billion dollars, warning broadcasters would not be able to an investment of that scale over five years. The AFL product just doesn’t give back what it claims.
The AFL wants to think it is number one in the sporting landscape and along with this, thinks a billion dollars would justify a domestic league with little international interest.
Foxtel, on the other hand, is looking at this from a different point of view, but with the same ends in mind. It suits their agenda to boast of the AFL’s importance and support other channels footing the bill.
The Murdoch family’s increasing control of free-to-air channels is a serious conflict of interest. Foxtel will inevitably come out on top, Seven and Ten shareholders will not.
Foxtel currently sits on some of the most valuable sports content in Australia and it isn’t AFL. The NRL is one of Foxtel’s most important sporting assets, with weekly rugby league earning the strongest ratings of most Foxtel shows.
Only one match of the NRL is played live on free-to-air per weekend and Foxtel has a huge hold on NRL viewers with Saturday night and Monday night fixtures getting huge, exclusive viewership. AFL has up to five matches per week on free-to-air, some screened live depending on where you live. The NRL’s three games on the same station, two of which are delayed and full of ads, does not compare.
The NRL isn’t getting the TV rights deal it deserves with superior television content, Monday night matches, State-of-Origin, internationals and interest from England. The AFL has none of these things bar a small friendly with Ireland that is barely covered. Nothing compared to a rugby league test or World Cup.
The Socceroos are the other cash-cow for Foxtel, making up some of the broadcaster’s highest rating programs. The highest-ever rating Foxtel recorded was for a Socceroos fixture against Uzbekistan in 2009. A pay-television company getting exclusive rights to all international matches is just about unheard of in any other country ranked in FIFA’s top 30 country.
Again we can see Foxtel undermining the support and popularity of the Socceroos by focusing on the AFL and hoping the Socceroos will go unnoticed.
Rugby league and football revenues are being leeched by those who like to play up AFL interests. Foxtel is happy to go along with the AFL groupies and praise the competition, a press conference from Foxtel CEO Kim Williams being one example of Foxtel singing the AFL’s praise and hoping NRL would go unnoticed.
If Foxtel and others succeed in convincing everyone that the AFL is worth a lot more than NRL in terms of TV rights, they will not have to cough up for their monopoly on the competition and face the reality that rugby league is actually is highly valuable and a vital asset. Same goes for Socceroos fixtures.
It suits the AFL’s agenda, as they are obviously looking out for their own and want as much money as possible. When it comes to the AFL modesty doesn’t exist, just ask those Gaelic players who are swept from their local county teams in Ireland to earn big dollars and turn their backs on their cultural homeland.
The real losers in a new billion-dollar AFL rights deal won’t be Foxtel, who would probably have to fork out a modest supplementary amount to cover their ideal situation, but free-to-air channels Seven and Ten who will be sucked dry by the AFL to get little back for paying ridiculous amounts of money.
Seven and Ten will lose much of their valuable content to provide for the AFL as can be seen already in recent boardroom moves to cut back spending and reshuffle priorities.
Seven has already ruled out bidding for the highly popular MasterChef Australia program to focus on bidding for the AFL and not upset the Murdoch family, according to AAP.
Seven are being bled dry and in terms of alternative sporting content, rugby union looks to fade in the background.
Ten will be lacking funds to cover their sports-exclusive OneHD channel, which will be reformatted to feature a wider range of male-specific content. This is all to provide for the AFL and current Murdoch reign on the company.
Seven and Ten will be paying for Foxtel’s slice, as Foxtel want free-to-air to keep much of AFL coverage. Williams stated in the previously mentioned press conference that Foxtel do not want to cover AFL exclusively and can’t imagine bidding for all AFL games.
He also said that it was important for the AFL to be shown on free-to-air as it increased exposure – exposure lacking in A-League and Super Rugby, to which Foxtel has exclusive rights.
This seems like a strategic plan as Foxtel will retain some important live AFL games that aren’t covered by free-to-air, but won’t be paying nearly as much as Seven and Ten for their content of 4 or 5 weekly games that might not even be exclusive.
Foxtel are happy to have the weekly Richmond or Port Adelaide home game and the occasional Collingwood, St. Kilda or Geelong blockbuster.
So what is the point of paying one billion dollars over five years for one league, no other content, no highly marketable content or international interest? Even the A-League sells highlights packages to 110 countries through Foxtel and I doubt the AFL gets half that coverage internationally.
The A-League are desperate for domestic growth and exposure, while Foxtel are arguing to keep exclusive coverage in the next round of negotiations for Australia’s premier association football competition.
The A-League and Super Rugby are the competitions in most need of free-to-air television exposure but Foxtel will argue how the sports will suffer if a measly one match a week is show on free-to-air.
It is totally hypocritical that Foxtel should defend AFL’s right to free-to-air coverage when it has so much exposure in Melbourne newspapers and television shows, while strangling the sports of rugby and football which are in a constant battle for media attention and public interest.
Free-to-air stations should be focusing on multiple sports broadcasting as it widens their demographic and gets more interest from the corporate world. If Seven and Ten can’t realise they are being cheated, and the NRL and FFA can’t demand what they deserve, only AFL will prosper.
This also relates to the theory recently discussed on The Roar, that with so much focus on the AFL domestically, our international sports results are suffering.
It disappoints me to see Seven losing interest in rugby and Ten not broadcasting A-League matches. Nine are bad enough at broadcasting overseas cricket, so if they got involved with the Socceroos or the Rugby World Cup, it would hopefully be a broadcast of a high standard.
In this confusing landscape of sports broadcasting, self-interested minorities are trying to deceive the rest of the nation and other sporting codes. Rugby league, football and rugby union all need to take a stand against the Foxtel-Murdoch monopoly and ask for what they deserve.
Statistics don’t lie, nor do business assessments, so hopefully the nation won’t be turned upside down for a billion-dollar AFL deal that benefits no-one else.
william 11
Guest
and association footbal still beats you shown in 200 countries
The main game
Guest
State of Origin in 2 states and always is 2 states. Its not a national event!!!! My god no one gives about this state of origin thing but NSW and QLD. Can any of you NRL lot get this in your brains. It may be on but no one is watching it, except you 2. The rest of Australia is watching a sport that involves them. AFL is this countries indigenous sport.
AC
Guest
This is the best and fairest article ever written on this subject
Wiliam 11
Guest
Discrimination,Discrimination Lets c , I have oz co. and want sell my product i have a Million dollar budget so a Place my ad at the Collwobles v some other team say beer barrel lads , nnow only poeple from the land of oz watch these 36 people hand ball and kick the bladder about thats, say 5 million poeple i just spent 20 c person to promote my product. Now these other guys go all overthe place play in font nation of 100 million people only 1 in 10 watch the game, you tell me where you would invest your dollar, and is the RL AND FOOTBAL the cash cow for THE 400 AFL PLAYERS THINK ABOUT.
Crosscoder
Roar Guru
My mates actually follow union,so sorry that stuffs the theory. Do bother to check my post,simply clarifying the anomaly or plainly simple bad maths ,Caro Wilson has a habit in exhibiting in the print media. Whatever the AFL achives they achieve,but please do not inflate it ,above the actual level,that is all. I await the NRL's Tv contrcat with interest,knowing fiull well c7 wants to bid despiute getting the AFL.Interesting times ahead melad.
Redb
Roar Guru
Well Crosscoder, one of your RL mates posted this on this thread, how accurate do you think? "The AFL only deserves $500 million over 10 years for its broadcast rights." The fact is the figure is going to be circa $1B for 5 years despite what you rugby league fans think.
Crosscoder
Roar Guru
Actually $1.025billion.Whats 200million between friends, as an error.The Caroline Wilson school of dysfunctiuonal maths. The first second and third generation of Australians have and are continuing to make their preferences known,and it is basically the status quo. Flashing 10s of millions of dollars and flooding the TV with promos,has made minor differences in the northern states.The SL war did more to assist. Australians invented the Hills Hoist.it still looks an ugly addition to the Aussie backyard.There is absolutely nothing wrong with foreign influence,else the Poms would not have introduced the Rolls,Bentley,Jaguar,the MG but we have the Holden LOL.'Nothing wrong with the Holden BTW. The NRL does not compete with the ESL.They are completely different competitions ,in two different countries(that means overseas for AFL fans).Both these rl comps are marketed individually ,have excellent ratings on TV,and the only time either have contact with each other,is the WCC. And the big unknown of course ,is the amount of money rugby league secures on the next TV rights/internet rights/sponsorship.Because as any one within the Tv industry is well aware, the code rates its proverbials off. Even dear old Caro Wilson,noted in the Age after stating ch7 will get the AFL"Network sources last night confirmed Leckie,a staunch rugby league fan,remain determined to stay in the race for "four"(?) free-to-air weekly NRL games soon to be up for grabs".Meaning all the FTAs will be bidding for the NRL /SOO. The arrogance explicity outlined in Commo's last para,is the same turn off type arrogance constantly displayed by AFL officialdom and media and some of their fans.It goes down like a lead balloon in the nthn states,and still they are too naive to get the message.
Commo
Guest
This article raves on about no international interest about Australian football which means that the game is over valued. I can assure everyone that there is zero overseas interest in Australia's domestic soccer competition. Who would be interested in watching a Z grade competition compared to Euro Leagues. Estimated worth = zero. This argument is similar to suggesting that the NBL has huge overseas interest because basketball is played in the US and Europe. People prefer to watch the best of the best like the NBA. The AFL is definitely the best of the best. The NRL is arguably the best of the best, however competes with Super League in the UK. I think it is about time for first and second generation Australians to face the fact that Australians have invented one of the best products (AFL) in the world. 1.25 Billion dollars worth to be precise. All the more money to convert the pommy lovers in NSW to the Australian way of life.
John (syd fc and swans member)
Guest
Bit of myth that. Singing may paper over the lulls better in football, but I've never attended a football game that can match the sound of a large afl crowd in a close game. Everyone just is screaming when afl is at its most intense and the noise overlaps around the ground until it's deafening. Closest I've experienced was the uruguay qualifier, but that had 80k and ive attended games with 40k fans that beat it. Watch the last 5 mins of last nights freo game to see what kind of sound even only 40k fans can make.
Wiliam 11
Guest
yes supporters with passion , some that know the truth and some that will not listen and understand...............
Wiliam 11
Guest
It appears that the sponshership deals all relate to the number that watch a game , nobody seem to have taken in consideration the inpact to viewing coac=h potatoes ib aisia when our A league matces are played, the add the Asian Champions league When the overseas teams play Australian teams 10 million per game ..... any body got figures here.... A.F.L will never get that amount of support no matter even if the wholle of the country was to watch......... And finaly Australia v one of the top 10 ten in the world..... FOXTELL WE Football win the numbers game ( with out usung Hands) OLEEEE OL OELLL EOLLLL
Wiliam 11
Guest
Sorry Woodman, But N.S.L. (National Soccer league) was the first National Football comp The AFL was formed out of that decocratic lot then known as the V.F.L.......In 1916 you were the V.F.L......
Wiliam 11
Guest
Democratic? A legue series that is lob sided so no all teams play each other on even playing feilds, so games are not even played , some teams are dsadvataged in the there home/away game ratios, And the draft it looks more like a slave market, Democratic my foot league has become a circius.
International
Guest
HA?? The code that doesn't even have the teams facing each other an equal number of times throughout a season to better suit a couple of the 'bigger clubs' needs is democratic? Well if that what the people are saying then the people are fools...
Irish
Guest
Guys, I lived in Ireland and Europe and I could watch the NRL anytime I wanted. I could also watch the Super 14 anytime I wanted. The thing is people over in Europe were actually interested in those comps whereas they wouldn't have a clue about Aussie Rules and really couldn't care. That also goes for Ireland where you'd think that they would folow the AFL but you can only watch it on TG4, (Ireland's Gaelic Language program) on a 20 min highlights package. In reality the NRL and Super Rugby are considered elite competitions and are seriously followed overseas. The AFL, as entertaining and professional as it is, is a domestic comp with little relevance beyond the southern states of Australia.
Queensland's game is rugby league
Guest
That's nice. It's also the reason soccer won't be a mainstream sport in Australia over the next 120 years.
Bondy
Guest
Queeensland's game is rugby league. Nothing changes in Football over the 120 odd years of history to this day the goal average remains the same 2.97 just under three goals per match it's simple .Thats why the world loves it ,it's simple to watch and play.
Queensland's game is rugby league
Guest
The Roar were great. If there was more scoring in soccer then I'd watch the Roar more often.
Bondy
Guest
Queensland's game is rugby league. May i congratulate you for what you're amazing A League Football team The Roar achieved this season two trophies very impressive and played the best football in the League all season, i think 29 games undefeated. And Asian Champions League Football next season very impressive.
Queensland's game is rugby league
Guest
The problem for cricket and soccer is hardly anyone gives a stuff about their domestic leagues. Cricket Australia would be dead if it wasn't able to commercialise the hell out of its national cricket team. Soccer would be a lot stronger if the Socceroos were commercialised as much as the national cricket team, but they cannot do this because there is very little room on the calendar for international matches. "On a hypothetical note I would suggest that if Melbourne Victory Played Sydney FC at AAMI and at the same time Melbourne Demons played Sydney Swans at the MCG on FTA the A league would out rate the AFL in the Sydney market and the same with Brisbane vs Sydney in the Brisbane market A league would go close to outrating the AFL and all for a fraction of the cost. but don’t tell the tv ex’s that, they still think AFL is worth a billon dollars even though half the popualtion don’t care about the game." That's one of the most insightful things I've ever read on this website.