What will A-League expansion mean for the A-League TV deal?

By Nick Symonds / Roar Guru

A key reason why FFA selected the newest expansion clubs was to boost the A-League’s falling TV ratings. The fate of the league could hinge on their success or failure.

Success for these new clubs will largely depend on how many fans they can attract and they have just a short amount of time to find them. They need to make an impact right from the start.

Starting with Western United, they have some serious challenges to overcome and it’s going to be an uphill battle to attract and keep supporters. The bid had originally started as a Geelong-based proposal but the bid team soon saw that there wouldn’t be enough support there.

Geelong has just 4-5,000 registered players, most of whom don’t watch the A-League and of those who do most already support either Victory or City. But most people in Geelong support the Cats in the AFL and they would be the biggest competitor for attention.

This then led the bid team to turn their attention to Western Melbourne with its population of over 700,000 people.

Unfortunately, there aren’t any suitable stadiums in Western Melbourne that are up to A-League standard, so they’ll have to build their own. This has led to them taking matches to Kardinia Park in Geelong and Eureka Stadium in Ballarat during the long construction process.

Both of these however are oval shaped and in the case of Kardinia Park, it has 36,000 seats. Not to mention being a two-hour round trip from Tarneit by car.

When you think that a popular and well-established club like Wanderers struggle to get their fans to travel just 11km to another stadium in the same city, it’s hard to see many fans from Western Melbourne making the journey to Kardinia Park on a regular basis. Likewise, to Ballarat.

Brisbane Roar have had a similar problem getting their fans to travel to the Gold Coast when Lang Park has been unavailable. Again, it’s the same story.

When it comes to the other expansion team in Sydney however, things look a bit more positive.

Unlike Western United who will have a nomadic start to life, the South West Sydney-Macarthur club will play out of Campbelltown Stadium from Round 1, while it is upgraded. Having a single home will be a major advantage that they will have compared to Western United.

Additionally, Campbelltown Stadium has ample parking close by as well as a railway station that’s within 100 metres of the ground.

One of Campbelltown Stadium’s other tenants. (Joe Frost)

These are big differences compared to Western United who will need to have a railway station built and paid for by the Victorian Government. It might have helped Western United if they had chosen to build their stadium close to either Laverton or Hoppers Crossing stations instead.

Crowds at Campbelltown stadium have been modest for matches involving Sydney FC with typical attendances of around 5-6,000 but a couple of Wanderers matches have drawn crowds of about 10,000.

It’s hard to know exactly what sort of crowds SWSM will get, but they’re certainly making a big effort to engage the community having rolled out a club survey to over 80,000 people to work out the club’s name, colours and logo as well as working through other issues.

When it comes to identity, the South West Sydney / Macarthur region already has some history to draw upon with the Western Suburbs Magpies NRL team.

After looking through some of the comments on their Facebook page there was a clear preference for black and white to be the club’s colours.

A few kit designs were put up with the classic black and white stripes being in there as well as a white shirt with a black band across the chest similar to Fulham and another with a diagonal black sash on white, similar to Vasco Da Gama.

The same person who posted the Fulham and Vasco Da Gama style designs also designed a black and white crest, featuring the historic Lansdowne Bridge from the Southern Districts association logo in the top left corner and a ram from Macarthur in the bottom right divided by a sash reading Athletic.

This symbolically unites the two main associations in the region. It looks good to me.

I think that Macarthur will be able to create a strong community vibe similar to Wanderers, albeit on a smaller scale. It’ll be good to see the Black and White Army up one end and the Red and Black Bloc down the other in the Western Sydney Derby.

The Red and Black block. (AAP Image/Dan Himbrechts)

When it comes to the West Gate Derby it might not be too bad, when you think that the latest instalment of the Melbourne Derby drew 32,000 fans with only about 5-6,000 of those supporting Melbourne City, then Western United might actually be able to match that figure.

So, looking at both new expansion clubs it’s a bit of a mixed bag.

Both seek to represent catchment areas in large growth corridors and each has real potential for the future. But I don’t think that either is likely to provide enough of a boost to TV viewing numbers in time to really increase the size of the next TV deal.

This is a problem when the clubs are asking for 90 per cent of TV revenue, up from 65 per cent at present.

How owners will react if they can’t get a return on their investment rather than continuing to lose money is the big question.

As it says in the FFA’s Whole of Football Plan, “In the absence of a measurable and sustained increase in the value of A-League licences, it is difficult for clubs to commercially justify increased investment in their facilities, on-field and off-field capabilities.”

Dave Gallop (Photo by Paul Barkley/LookPro)

Thankfully though, the current deal is locked in until 2023 and even if it was to drop by a third then that still would leave about the same amount as the clubs are currently getting.

All FFA would have to do would be to increase player registration fees to make up the shortfall, which they will have to do anyway if the league becomes independent.

But perhaps the biggest unknown in all of this is what Channel 10 will do. Not only have they given up Formula One and Supercars for the most part to FOX, but they have lost the BBL to Channel 7 and the NBL to 9.

Because of this the A-League might appeal to them, especially if they get to receive all broadcast advertising revenue unlike their current deal which stipulates that most goes to FOX who they simulcast from.

In conclusion, the new expansion clubs might not be able to sway FOX to increase the size of the next TV deal as FFA might hope but the A-League show will still go on regardless. But if Channel 10 who are now owned by CBS choose to enter the fray then the A-League could get a whole new lease on life.

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The Crowd Says:

2019-02-28T13:59:20+00:00

Nick Symonds

Guest


FACT CHECK: "And it’s estinated that over 1.8m watch some form of the HAL on tv/media each week – if a third of those can be pursued to part with $10/month for the privilage that’s $72m/year if we can keep them through the off-season." - 1) Are you sure that "estinate" is from an accurate and reliable source? 2) The combined average viewing figures for the A-League across both FTA and FOX comes to 75,000 per game. Even if you apply that to a 16 team comp with 8 matches per round that's 600,000 in total, or exactly a third of 1.8 million. What you are basically saying then is that the other two thirds are streaming it. In other news, FFA have released their 2018 National Participation Report which found that there are now 1.8 million football participants in Australia. It's amazing to think that %100 of football participants in Australia now watch the A-League. 3) 600,000 subscribers x $120 per year = $72 million > Correct

2019-02-28T08:09:32+00:00

Midfielder

Roar Guru


Nick Timely article... I am at a lost TBH on where our ratings are going... I have been banging on about this for 25 years ... but the answer to our rating and growth lies with the district association and their park teams.. Alas, since the mid 50's we have had franchise based systems of one form or another ... P & R will and can happen but not without growing the Football market and the key to that is in the player base ... and thats what people give lip service to, but no plans on how to do it.. The solution is staring us in the face .. its just that everyone running Football starts from essentially an NSL cub level or higher ... and thats not where the player base is...

2019-02-28T07:52:23+00:00

The Joy Of X

Roar Rookie


@ Waz You made the EXTRAORDINARY claim that it has been "estimated that over 1.8m watch some form of the HAL each week". When challenged by Maximus Insight for evidence of such a preposterous claim, you offer no links, or any evidence. Most would deduce, therefore, you have little credibility. Similarly, Maximus Insight and Working Class Rugger (on another thread) have provided links and evidence to rebut your claims that Kayo streaming figures of the A League in 2018/19 might be significant. Their strong evidence- with relevant links- was that the streaming figure was very likely to be very small, probably averaging below 7k per game...but again, you were unable to offer any links or evidence to support your claims. Why do you think that Fox is disputing it has a legal obligation to pay an additional $5,000,000 from 2021 for Western United? (Hint: Was Fox expecting expansion teams to be in areas in Melbourne and Sydney where it was reasonable to assume they would attract much interest and 'big' crowds/big derbies- and therefore provide a big boost for Fox ratings/subscriptions etc.?) And what implications are there, based on this dispute, as to what Fox perceives to be the long term benefit/value of covering the A League when the Rights' Agreement ends?

2019-02-28T05:08:01+00:00

Waz

Roar Rookie


As you offer no alternative facts, figures or research and you just attack/attack what’s been presented you just come across as a Mr. Football type who will challenge anything that may be remotely positive for football. You just needed to mention Pepper Pig and you were there lol. Google a few things and see what comes up! It’s not unusual for close to or over 500,000 to watch the HAL GF so that lends some credibility to that 600k figure. And basic economics suggests that a lower cost product ($120/year instead of the $720/year it used to cost on Foxtel) will increase demand. While you’re googling you might want to enter the term “price elasticity”. I don’t want to get too hung up on my actual figures (they are guesstimates at best) but the central point is football has to think differently and not just “how much will fox pay?”

2019-02-28T04:24:03+00:00

Jack Russell

Roar Guru


Advertising revenue is going to be close to zero if no-one's watching. You're living in bizarro world if you think any FTA network will pay anything for the rights to a product that simply doesn't rate. No doubt audiences would increase if all matches were on FTA but the rights would be worth zero.

2019-02-28T03:30:47+00:00

Baggio

Guest


Exactly get rid of the salary cap and cavernous stadiums. Unlike other sports, football has an unlimited supply of talent from overseas. Any team could of picked a Broich, Castro or Berisha at the time. So I do not think Sydney or Melbourne would necessarily dominate (which they are now anyway!). Smaller clubs could also innovate and try and develop players, like Sydney united or Melbourne Knights did in the old NSL. It will allow bigger marquee players as clubs wont think they are wasting their spot on old has beens. Unfortunately though old has beens are the ones which get the casual fans in. For me having a second div is not the answer.

2019-02-28T03:29:38+00:00

RF

Roar Rookie


Frankly, the idea of Ten throwing serious weight behind the A League as mainstream programming could only be believed by the kind of people who think that Kubrick faked the film of the moon landings.

2019-02-28T02:43:40+00:00

Bilbo

Guest


"A full scale move to FTA could do wonders. When the Ashes moved from FTA to subscription service SKY in England, viewing figures dropped from 7.4 million to just 2 million. A move from FOX to TEN with a greater number of matches on their primary channel, plus associated news coverage could have the reverse effect." Seriously Nick, you can't just manufacture fans by putting games on FTA. Having A League coverage expanded on FTA may have more casual fans tuning in but tbh there aren't that many going around. The A league has been around for over ten years and if people were that keen on tuning in then they would be already. I'm a big supporter of the NBL and have been for 30 years but even I know we'll never get back to the heady days of the 90s. People I speak to today are surprised when I mention I went to a game on the weekend.. "oh is the NBL still around?" they ask Same thing happens when I mention I went to a Melb City game.. "oh what are they?" Advertisers of FTA want eyeballs, for that you need something with more of a mainstream pull and to most Australians the A League is more like an obscure David Lynch film

2019-02-28T02:41:31+00:00

Fadida

Roar Rookie


Agree totally on the cap, as I'm sure club owners do

2019-02-28T02:24:22+00:00

Bilbo

Guest


Are we missing that Channel 10 were not keen enough to drop their own coin on a deal for A league coverage? It has been provided to them by Fox Sports as some have mentioned in a promo type deal that I wouldn't say is working out that well. I doubt 10 would invest much of their own hard earned for something that would be outrated by a Matthew McConaughey rom com that has already been shown 34 times.

2019-02-28T02:16:03+00:00

RF

Roar Rookie


Nick, to be blunt, I would not believe anything coming out of FFA under the current management, least of all their interpretation of viewing figures.

2019-02-28T01:52:33+00:00

Nick Symonds

Guest


"Why on earth would Ten want to ramp up their tie in with the A League with the ratings in free fall?" - FFA are currently negotiating a deal with network TEN for next season, although numbers on FOX have declined significantly, Greg O'Rourke has stated that numbers on FTA were "up by 18 per cent year-on-year for hours viewed". Seven and Nine have the AFL, NRL, BBL and NBL which potentialy frees up channel TEN to purchase the rights to the A-League now that they have been taken over by CBS. A full scale move to FTA could do wonders. When the Ashes moved from FTA to subscription service SKY in England, viewing figures dropped from 7.4 million to just 2 million. A move from FOX to TEN with a greater number of matches on their primary channel, plus associated news coverage could have the reverse effect. - Greg O'Rourke comments (ABC): https://www.abc.net.au/news/2019-02-10/too-much-sport-ratings-attendance-cricket-football-basketball/10792710 - FFA negotiations with ten (SMH): "Last season had an average ratings of 51,000 for each game while the 2016-17 season average audience was 63,000 per match. The A-League's peak average rating on Fox Sports was almost 75,000 in the 2012-13 season which included Alessandro Del Piero at Sydney FC and the birth of Western Sydney Wanderers. "The FFA has entered negotiations for a new free-to-air partnership for next season with its partnership with Channel 10 yet to attract a broader reach. The A-League has been televised live on 10 for the past two seasons after Fox Sports purchased the FTA component, moving it to 10 as part of its former partnership with the network. The current agreement doesn't encourage promotion from 10 with sources suggesting Fox Sports retains the bulk of advertising revenue from Saturday night games." https://www.smh.com.au/sport/soccer/fox-sports-threaten-to-withhold-5m-from-ffa-over-western-united-20190221-p50zeh.html

2019-02-28T01:22:47+00:00

Brendo51

Roar Pro


I think the bridge needs work but as a starting point I think its spot on. Using the Ram is a fantastic idea

2019-02-28T00:49:14+00:00

Rodger King

Roar Rookie


You raise some interesting points RF. None of us knows, with any certainty, what the media landscape will look like in 2023. I suspect that FTA viewing will be even more disastrous than it already is, all if not most sports will be feeling the pinch. What can be done? 1. Well for a start the A League clubs will be having far more say in what they want the game and clubs to look like. I hope their first priority will be to expand the league to 16 teams asap. Where the additional clubs come from doesn't matter [no really it doesn't], be it from NSW and Victoria or Qld, the ACT or even SA & WA. 2. The salary cap is needed but it needs to be far higher than it is and only the clubs can determine what that cap should be. The problem with that of course is that the rich get richer while the others fall by the road side and become also runs. 3. Stadium ownership is something that is on everyones wish list atm. Apart from the new Victorian outfit no one owns their stadium and hire fees for some is just plain robbery. [IMO] AUFC could buy Hindmarsh from the state government but there is a rumour that there could be plans to build a rectangular stadium over the railway tracks leading into Adelaide station. I think it is more an 'election promise' than a desire to actually do something for the sport. For us oldies we will still go to home games, still watch away games on what ever format is available to us and continue to support the game.

2019-02-27T23:58:33+00:00

Maximus Insight

Guest


Sorry but where has it been "estimated that over 1.8m watch some form of the HAL on tv/media each week"? I'd say that is nonsense. Perhaps some roy morgan type survey suggested that many at least occasionally watch the A league in some form or other? You certainly cannot deduce from that that there would 600K will to pay $100 plus per year though

2019-02-27T23:41:32+00:00

Jordan Klingsporn

Roar Guru


Looks alright.

2019-02-27T23:41:16+00:00

RF

Roar Rookie


Why on earth would Ten want to ramp up their tie in with the A League with the ratings in free fall? There is nothing to suggest that there is an appetite among the broader public for watching the game on television. And let’s face it – most (MOST not ALL) the football this season has been the equivalent of swallowing a fistful of Dame Edna’s moggies. The A League would have be totally rebooted with the salary cap gone and genuine marquees for this to have even a remote chance of coming off. Anyone who thinks that there is any possibility of anything but a reduced offer from Fox next time round needs to see someone about medication, because unless the ratings rise by more than the amount they have fallen since this deal was signed, nothing but a half to two thirds offer – if any offer at all – will be forthcoming. The faint light at the end of the tunnel is that handing over the running of the League to the clubs will deliver all these things. The owners obviously have a massive vested interest in keeping the League operating but, my word, they have some work to do over the next two seasons, and improving the quality of the marquees and the playing squads in general has to be the starting point. And that can’t be done with the cap. I’m not going to point out individual players, but I think we could all quite easily come up with a list of players who have been round and round the clubs and should not be anywhere near a match day squad but somehow still are. Make no mistake, the salary cap is the biggest problem the A League has, closely followed by clubs playing out of carvernous outsize stadiums (the biggest issue for both Sydney FC and Brisbane Roar, but seemingly unsolvable for both) that kills the game on television. Not much can be done about the second, but getting rid of the cap can be done, and immediately. Control what we can, and manage what we can’t.

2019-02-27T23:37:54+00:00

Nick Symonds

Guest


Building their own stadium is a big thing, it's just the timing of their entry and nomadic start for the club that are the the main concerns for me. The name's a bit generic but if that's what the fans want that's all that matters, but I'd have gone with Red Star from the Western Star butter and Weekly Star newspaper logos. The colours I'm not so bothered about, they're OK.

2019-02-27T23:29:50+00:00

Nick Symonds

Guest


In case you missed it, here's the hyperlink to the crest design from the article: https://www.facebook.com/photo.php?fbid=10156146794587253andamp;set=p.10156146794587253andamp;type=3andamp;theater - I like the way that the crest captures the history of the area. The historic Lansdowne Bridge of the SDSFA is a local landmark that was built by convicts in 1836 and spans Prospect Creek which was the boundary between Liverpool and Fairfield. The ram of Macarthur of course goes back to when pioneer John Macarthur owned a large part of the area which he used for farming sheep ranging across Camden, Campbelltown and Wollondilly Shire. Most modern logos are just a series of interlocking letters, but I prefer local symbols and history. - Thoughts anyone?

2019-02-27T23:07:59+00:00

jamesb

Roar Guru


Over this past week I have seen an NRL trial game on NRL Live Pass. And an FFV NPL game on youtube. No prizes for guessing what component will be important in the next A League broadcast deal. Mind you the one significant thing about the recent expansion is Western United building their own stadium.

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