Football Federation Australia (FFA) has commenced negotiations for its next broadcast rights. While all football content controlled by the FFA will be potentially available for broadcasters, the A-League broadcast rights are the major item for sale.
Let me preface this opinion piece by stating that this is not a discussion about the quantum I expect the broadcast industry in Australia to pay for rights to broadcast local football. Such issues have been discussed before and I’m sure they will be discussed again. Rather, this is an opinion piece to stimulate a wish-list for how to spend the broadcast revenue, if there is a significant increase.
The current broadcast rights, which expire in June 2017, are worth $40 million per year, with Foxtel and SBS the two major broadcasters.
It has been reported the FFA is optimistic about doubling the existing broadcast deal, with the figure of $80m per annum often mentioned.
For the purpose of this discussion, I will assume this report is accurate and the FFA will receive $40m additional revenue per year from the next broadcast deal.
This is how I would like the FFA to share the $40m additional funds from the next broadcast deal.
I want the $40m fully spent on three broad football bases:
a) A-League: $13m (33%)
b) W-League: 8m (20%)
c) Grassroots football: $19m (47%)
Together, these three football groups cover every Australian who has an interest in Australian football.
A-League
From what I have read, the Collective Bargaining Agreement (CBA) between the FFA and the Professional Footballers’ Association (PFA) includes a clause that the A-League players will be entitled to one-third of any increase to the broadcast revenue.
Even if this is not true, I still think the A-League players should be entitled to such a share of additional broadcast revenue, given the players drive the A-League product and the A-League product drives the value of the FFA’s broadcast rights.
With this in mind, the A-League players will receive an extra $13m in total from the new broadcast deal. The current A-League salary cap is $2.6m per club, so this would result in a new cap of $3.9m per club.
W-League
The W-League currently has nine teams. Only eight of the ten A-League clubs have a W-League affiliate, with Wellington Phoenix and Central Coast Mariners not fielding teams in the W-League. Canberra United, who are not part of the A-League, does have a W-League team.
It has been reported that the W-League salary cap is currently $150,000 per club but there is no salary floor, so this figure is rarely reached.
I would like revenue from the FFA’s next broadcast deal to significantly transform the W-League as follows:
a) W-League to increase to ten teams with the Central Coast Mariners fielding a W-League team
b) Each team to play every opponent once at home in an 18-match season
c) Salary cap to be $900,000 per club, with the FFA fully funding the W-League salary floor of $800,000 per club with each W-League player being paid a minimum of $40,000 per annum and squads of 20 players.[4]
Grassroots football
For this discussion, “grassroots football” refers to all football played in Australia outside the fully professional A-League clubs.
For the 2015 financial year, the FFA’s operating revenue was $103,137.The FFA’s published financial statements do not itemise how much is invested in football at grassroots level, but anecdotal evidence suggests the FFA’s investment is insignificant.
With this in mind, I would like a development levy to compensate grassroots football clubs in Australia who produce players for the A-League. Grassroots football clubs outside Australia will not receive any compensation from this levy, since the FFA should not be responsible for grassroots football outside Australia.
The levy would be imposed on all A-League players, but fully funded by the FFA; it will not be an additional expense for the clubs. The levy would be additional to each player’s wage, so the players will not be disadvantaged.
The levy would be determined by each player’s annual wage:
Wage under $400,000 p.a.: 5 per cent levy
Wage over $400,000 p.a.: $20,0000 levy
While the total A-League salary cap will be set at $3.9m per annum (as described above), this includes players who were developed overseas, so I will assume that the total impact on the FFA will be no more than 5 per cent of the salary cap even allowing for wages of marquee players, who will be outside the cap.
The levy for each player would be then divided across the clubs where that player was registered between the ages of 13 and 17. For each year a player was registered at a grassroots football club in Australia, that club will receive 20 per cent of the levy that attaches to that player. If a player was registered with a foreign club, nothing is paid for that year.
So, for the elite A-League players who earn more than $400,000, each grassroots club that helped develop them will receive $4,000 per annum. If the club developed the player for all five years, that club will receive $20,000. This can become a significant source of income for grassroots clubs who produce multiple A-League players.
Even if the increase of $40m per annum broadcast revenue has been over-inflated, I would still like to see 100 per cent of the increased revenue from broadcasting being reinvested into the three bases I have identified.
Nemesis
Roar Guru
For those who are willing to move outside their comfort zone, NFL is being streamed live via Twitter right now. It is reaching everyone on the planet who has access to the internet. All for free. For those who want to interact with other fans, having the Twitter feed adjacent to the video is very convenient. The future is here.
Nemesis
Roar Guru
I've been out of the loop for a while, but had a quick look at the NPL (Victoria) and regional areas are very well represented - albeit in Div 2 this season, but a few were Div 1 last season. Golburn Valley Suns: Shepparton Murray Utd: Woodonga Nth Geelong Warriors: Geelong Bendigo City: Bendigo Ballarat Red Devils: Ballarat There are also teams from Werribee and Whittlesea;; but maybe these are now considered parts of suburbia. Maybe fans from other States can provide input on how the regional towns are represented in other NPL.
Timmuh
Roar Guru
You're probably right. In regional areas though, are the young prospects getting appropriate coaching? I simply don't know enough about the set-up. I do wonder if in some of those areas an NYL team might bring the best players together with the best coaches, and a higher level of competition than available locally. In the major cities, certainly the top NPL sides have a good level of competition and coaching and NYL is largely a combination of youth and reserves for A-League sides. That is why I was focussing on regional areas, and those that may one day be able to form second tier clubs. In the short term the NYL players may go on to A-League or NPL, in the longer term that club's A2 team (and if promotion/relegation happens potentially A-League locally). Its probably not a priority, and perhaps I am over-estimating the potential benefits. I just saw it as an omission in comments so far, and a way to eventually build a second tier including more regions of the nation. You guys know more about the sport than I do, so I'm happy to concede the idea is not worth it.
Mister Football
Roar Guru
Sounds a bit like soccer circa 1863.
Bondy
Guest
Midfielder Off topic The Smurfs (Syd FC) have a new commercial its called " We're Sydney " check it out ...
Nemesis
Roar Guru
Bondy, it would be great to have the new broadcast arrangements up and running for A-League kick-off in October, but that now seems unlikely. But, we can live in hope. Yesterday, Kevin Perry who is a media analyst and seem to have good sources in the TV industry, said that Fox Sports has an exclusive time period to negotiate a new deal with the FFA. This exclusivity period ends on September 30. If a deal is reached before this date, then Fox Sports will arrange the on-selling of rights to Free To Air networks. It's unlikely this will occur. First exclusive period is nearing termination. Second, as Kevin Perry points out, the FFA will want to delay negotiations so it can deal directly with Free To Air networks and set up a lucrative bidding war between Fox Sports and Optus. Another interesting point from Kevin Perry's article: he mentions Free To Air TV will get Friday and Saturday night matches. This is very interesting indeed. http://decidertv.com/page/2016/9/13/fox-sports-welcomes-tim-cahill-as-a-league-broadcast-negotations-continue
Nemesis
Roar Guru
Bondy, since coming to this Forum, I've noticed there are a small group of posers who know absolutely nothing about Football, other than what they can access on Wikipedia. Because this group cannot engage in meaningful conversation, their only input is to launch personal attacks on people who offer insights. The poser you mention is a prime example. It comes to every discussion but adds nothing. At least Mister Australian Rules offers the occasional football insight; albeit always negative and sarcastic. But this other poser is a stalker. It has never added a single football insight. It just does not have the aptitude to do so.
AR
Guest
Bondy, I regularly commend Tuckerman for his articles, but I'll also say when I think one is rubbish...like it was the other day. It should be noted, that many other posters called that Tuckerman article BS, but I seemed to draw most of the ire. And if no-one has the courage to call Fuss on this ridiculous charade, then again, I'm quite happy to.
RBBAnonymous
Guest
Yes he is priming himself for a big announcement. He is going to announce the formation of a radical new game. Its played on large ovals in the winter time, there are 2 goals with four posts but instead of an imaginary height there is a bar which tells you if a goal has been scored. On the other side of the main posts will be glass perspex so that when the ball is stopped from going through it just bounces off and its play on. After all its not really fair to give someone points if they don't actually score a goal. There is no reward for mediocrity in this game. It will be 18 burly men in tight shorts to restrict movement, no offsides, no rules and use of hands will be firmly encouraged if only to take players out with their fists. A game that anyone can play, even ex-rugby and NRL stars because it requires no skill at all. The game is call Y - FFA. We like to name our sport after a league of course so that states of Victoria, WA, SA and even Tasmania will understand what we are talking about and so that they quickly latch on to this great new concept.
Mister Football
Roar Guru
There used to be a regular soccer poster called Fussball who predicted that the new TV deal would be worth $100 million per annum. On the 442 board, they reference an article by Buzz in the DT saying that the new deal will indeed be $100 million per annum. It makes me wonder whether Buzz and Fussball are one and the same? I am thinking that an announcement on the new deal is very close at hand. The FFA Chairman has been extremely quiet of late (with the new season only a couple of weeks away), I am guessing he is priming himself for a very big announcement.
marron
Guest
Trennery Boy was Houdini was conchie was.... Perhaps he was the fellow who went beserk in a perth pub on the weekend when they changed the channel from the GWS game.
marron
Guest
Sensible maybe - but dare to dream MF, I say. Good luck.
Mister Football
Roar Guru
There's a core group on this board who keep introducing other sports to the discussion, often with little relevance to the topic of the day. I"m not sure what can be done about it.
Nemesis
Roar Guru
Timmuh, I like your idea about the Women's FFA Cup and the prize-money. To be honest, I don't even know if there is any prizemoney for the Champions or Premiers at the moment, so that gives you some idea how tight the finances are at FFA HQ. In relation to the NYL, I'm not sure how much benefit that competition is at the moment other than giving squad players match practice. To me the NPL competition is far more useful for the A-League clubs. I'm pretty sure all the Australian A-League clubs now have NPL teams who play 26 matches during winter. The beauty of this competition is that the A-League teams field u20 players in their senior NPL team and they play against adults; rather than just playing against kids. The A-League teams also field a team in the NPL u20 competition and this time the players are all u17; again they're playing against older kids which is very good experience.
Midfielder
Guest
RBB Its late I think you are right in many ways I have my personal thoughts on why some of this may be so ... will post some time tomorrow
Timmuh
Roar Guru
Obviously, I'm looking at this as somewhat of an outsider. Looking at all the below, I'm surprised nobody has mentioned the NYL. To me, that is the perfect place to get some regional areas involved and prospective players not currently seen at the national level some exposure and into better coaching systems. In some cases; Geelong, Wollongong, South Tasmania,Canberra; they may also be the seeds for later A2 clubs. Then the A2 club would have a youth set-up associated with it, and in the meantime a larger pool of better prepared players for A-League and NPL. Clubs which are not attacghed to an A-League (later A2) club may need to be allowed to play an extra over-age player or something to be competitive. Other options might be a Womens Cup, an extra round of the FFA Cup and perhaps higher prize money (I'm thinking more of the early rounds here).
Griffo
Roar Guru
Never a truer word typed AZ. People can also click the "! Report" button to indicate things are getting a bit off topic...mods don't know otherwise. You don't have to answer and dive in to every pile of steaming troll ? comment that gets left. The game won't suffer if you leave it alone. You have supposed to have developed will power and some self-control by the time you reach adulthood...
RBBAnonymous
Guest
@ Midfielder And I think that is what is frustrated fans, clubs and stakeholders alike. I am not trying to blame the FFA, but they are the ones who must decide which direction to take football. By not disclosing anything or informing clubs it will only generate more distrust and uncertainty. It might trigger things that I dont even want to contemplate like breakaway leagues or even AFC expulsion. These are the extremes of what can happen. I believe that a league of 14-16 teams is a solid number in the A-league. I am happy for that number to occur as suggested a while back by other posters where is there is promotion but no relegation until we get to the number that is required. Yes we need to connect the supporter base because they are out there. We have a huge number of participants. Do we need an new A-league video game like FIFA17, do we need more social media, do we need more clinics. Does having tiered football also connect our support base. Are we trying to put the cart before the horse. Some ideas to ponder.
Bondy
Guest
Does anybody have a prediction as to when the broadcast deal will be announced ? ...
RBBAnonymous
Guest
Pity not all of us can made solid contributions like you can. Nice avatar btw...........what sport is that, can anyone play?