How to fix Australian rugby, Part 1: State of play

By @Jeremy.Atkin / Roar Rookie

Australian rugby is in dire straits and there is serious doubt whether the game can survive in its current form.

From a financial perspective, operating costs have grown and the three primary revenue streams are all under pressure.
• Broadcast revenue (because overall TV ratings and in particular rugby ratings are down and so is advertising spend)
• Ticket sales (because match attendances have dropped)
• Sponsorship (because fans are turning away from rugby and key partners such as Qantas have been smashed by COVID)

From a fan’s perspective, both Super Rugby and the Rugby Championship have become stale, the calendar lacks logic and there is no meaningful link between the grassroots and the Wallabies.

From a organisational perspective, there is no evidence of alignment and little capacity for effective decision-making or strategic planning.

(Hugh Peterswald/Pacific Press/LightRocket via Getty Images)

Plotting a second-half comeback
All is not lost however. Regardless of how bad things seem, rugby isn’t going away. Schools and clubs will continue to play, Wallabies will continue to wear gold jerseys and fans will continue to argue on Twitter.

There are three concrete factors that give confidence in rugby’s resilience and potential:
• While small, the Australian rugby community is very passionate
• Rugby continues to have support among Australia’s corporate heavyweights
• Internationally, rugby is booming

Plan of attack
To survive, Australian rugby needs to solve three problems:
• Balancing the books
• Re-engaging fans
• Re-structuring how the game is organised

None of these problems are insurmountable, but they do require a plan that addresses all three, rather than just focusing on one and hoping the others take care of themselves. Over the next nine days, I’ll lay out what I would do across nine posts, breaking down the key issues and proposing a range of solutions.

Balancing the books
• Reducing the cost base
• Protecting and growing revenue

Re-engaging fans
• Fixing the calendar
• Winning more games
• Fixing the game itself
• Overhauling media strategy

Organisational re-structure
• Overhauling governance model
• Strengthening ties within the game
• Encouraging private ownership

Relatively little of what I am proposing is original — it’s an integration lots of ideas that are already being discussed. What I do think is unique is that most people are focused on fixing specific issues within Australian rugby, and none present a holistic view of how all the different bits and pieces might fit together. Hopefully, what I’m proposing fills this void.

My solution is by no means perfect, and I’d love to hear criticisms, so please have a read in the coming days, give it some thought and let me know what you think — starting with how to reduce operating costs tomorrow.

This post was originally published on Medium.

The Crowd Says:

2020-07-16T06:24:06+00:00

Gary Hogg

Guest


I agree that the media strategy has to happen. When you listen to the 6 o'clock news, 7pm ABC or any news service including print there is little of no coverage of Rugby. Maybe the NRL pay the news services to run stories and News Corp is a big investor in League

2020-07-13T05:52:44+00:00

Rhys

Roar Rookie


Totally agree. But I did read an encouraging article today about Forrest pledging financial backing of RA should administrative changes occur - which I think would result in the eradication at least somewhat of the games nepotism. He says that Mclennan and him are on the same page about changing things organisationally and that they were currently on 'the right track'. My hope that Mclennan can continue to foster this relationship, and slowly exert the changes in the admin needed desperately by the game. I believe it will be this path that will see Twig get into the heart of RA, as the financial hardships facing the code will necessitate any kind of change to get money.

2020-07-13T04:58:43+00:00

Honest Max

Roar Rookie


Although I’m not convinced that the NRC is needed or affordable, I agree wholeheartedly with almost every word you’ve said here. I think you’re nailed the big issues in the game.

2020-07-13T04:50:29+00:00

BeastieBoy

Roar Rookie


Extract of an Article by Georgina Robinson in SMH 13/07/20 Toomua said the game needs to be speed up ie have increased Continuity. He said “if you're forced to pack the scrum and you can't make it in time and a free kick is given against you, I guaranteed you'll make the scrum." Toomua said penalty goals should be eradicated and Super time won by the first team to score a try. Rugby Australia is unlikely to review the law variations …., as they would need to clear any further revisions with World Rugby. A review would take place after the competition finishes, a spokesman said. So we are trying to Save the game in Australia with both arms tied behind our Backs. RA need to grow a set and make many changes now to our rules to get back the Continuity and adventure.

2020-07-13T02:27:47+00:00

Muglair

Roar Rookie


"Cockroaches" was more of a compliment, RA cannot kill the clubs. One of first responses to RA's solvency issues was along the lines that club rugby will just continue on next season. In part, this is the problem, SR and international rugby increasingly have no connection to clubs. They should be driving interest in rugby so that juniors take it up at schools or clubs and then continue to play afterwards. Adult sport carries great life experiences and development opportunities. Some negatives of course, but young people should have some fun too. NRC should be a driver for club rugby. Instead it cuts the season short for players and supporters. For everyone except the NRC players the season finishes with the club grand final. It is then poorly promoted and when set up players from the same club would go to different clubs. It almost beggars belief. Why would we think those same people can promote attendance at SR games? I played over 30 years ago when there was only NSW and Queensland. Injuries and unavailability could be crippling because of no 3rd tier. NRC definitely helps players make the step up to SR, both getting recognised, but also preparing them. A proper NRC would definitely help development in the minor states. The point of NRC rugby? My personal belief is that rugby is a sport, not a business. It would be more successful financially if we had not lost sight of it. Sport is about the players and, money aside, the sporting and life opportunities that they can get out of it. Being able to play rugby at the highest level possible is the goal for many players. It might be the school 1st XV, 1st grade colts, consistent selection in a particular grade, 1st grade. It gets harder from there. We all know of players from our clubs that are a cut above everyone else. Sometimes they don't get the breaks, sometimes they are not SR level. We all want to see how they would go in better company. We all have favourite players at other clubs (possibly secretly) who we enjoy watching a couple of times a year for the same reasons. I would be playing NRC during the season on Sundays. If you leave it up to club rugby people to promote to club supporters, you might be surprised how much more support there is. Sydney is a perpetual under performer and I would not be surprised that a factor is the lack of support of the team and competition from the players' own clubs. That is not a criticism, club rugby is over already and won't resume until next year. Rugby supporters tend to be league fans as well and attention switches to the NRL anyway, as well as the RC games.

2020-07-13T02:06:29+00:00

Muglair

Roar Rookie


Sorry Max, Made no at attempt at communicating is different to was not good at communicating. The only safe assumption is that there was no plan. There has been no plan from Hamish so far either apart from public statements about SOO, Big Bash, changing rules, making it more attractive and private equity. I am disturbed. Castle refused to answer questions on her plans etc upon appointment because she was new to the sport and wanted to consult widely, which I do believe she did. I also believe she made a positive impression wherever she went, and she did go wide (across the country) and deep (all levels of the game). Astute, smart, charming but poor management and execution skills. One of my consistent complaints, that is the last we heard of it. Apart from occasional references to the existence of plans and strategies. What we need now urgently and within a short term time frame is a deep consultative review that results in something like Jeremy has produced; a detailed plan setting out a vision for where we want to be in 1 and 2 world cup cycles (ie 2023 and 2027), a detailed honest appraisal of where we are now, and a detailed pathway between the two. The only statement to date on this is McLean's announcement that the Board would be conducting such a review, in response to the "captains letter". Since there has been no announcement of such a review and no rumours of far and wide consultation, I guess it is still in the boardroom. If that is the case I am guessing they are letting Hamish decide what to do. You can't beg someone to come on board, hail him as the saviour, appoint an interim CEO and then tell him as Chairman, that is not his job.

2020-07-13T01:51:16+00:00

Muglair

Roar Rookie


Rugby will hopefully around long after Andrew and I have passed on, sadly only one of us will be remembered. Relying on one person is not a plan. Where we are today, even if he has the resources, rugby is a charity. Andrew should be expecting the vast rugby supporter base to step up to support him as well. Frankly, if we can not or will not, rugby does not deserve his support. Also by nature Andrew is a disrupter and entrepreneur. He will be expecting to apply time and resource to fix it and hand it back, even if he intends an ongoing interest and contribution. Even to date with GRR and WA it seems to me he his providing drive, impetus and resources but relying on rugby people to make it happen and deal with rugby issues. Important note this is miles different to what private equity will provide.

2020-07-12T23:23:53+00:00

Gregory

Guest


Re - engaging the fan; Fixing the game. The major issue with the game is that rugby is based around defence. The breakdown/maul is where rule changes need to be made, at present the offensive team will have approx. 4 players protecting the ball carrier while the defensive team will have one player with other defenders dropping off quickly to get back into the defensive line. Therefore throughout the game there are more defensive players on their feet than attacking players.

2020-07-12T22:51:37+00:00

Train Without A Station

Roar Guru


http://www.greenandgoldrugby.com/aru-financial-position/ Here's some facts from somebody else.

2020-07-12T22:44:18+00:00

sheek

Roar Guru


TWAS - that's what you say, but I would prefer to hear that from someone without an apparent axe to grind. I'm not a fan of O'Neill, but it's too easy, even for you, to confuse facts with opinion.

2020-07-12T17:29:32+00:00

Honest Max

Roar Rookie


I hope eradicating nepotism is on the agenda. Far too many important positions are taken by old boys who’ve no relevant experience or qualifications or clue. These blokes couldn’t run a school tuckshop, let alone an operation as broad and complicated as RA, QRU and NSWRU, but there they are on boards and in senior management roles taking space and stealing oxygen. Being a 100 cap Wallaby means you were a good player that made a bundle of money playing rugby - you have earned no extra say or importance in the game than the people that shelled out big bucks to watch you play.

2020-07-12T17:09:24+00:00

Honest Max

Roar Rookie


One pedantic correction - it’s $7m. The last $5m is the increase to the $2m already laid down.

2020-07-12T17:08:02+00:00

Honest Max

Roar Rookie


Good to hear!

2020-07-12T17:00:47+00:00

Honest Max

Roar Rookie


RFU owns Twickenham and plays 100% of their home games there. Great day out - bars stay open long past full time. But the English clubs are supported by rich owners pouring in their own cash and losing a pile of it.

2020-07-12T15:59:55+00:00

Honest Max

Roar Rookie


Not sure I agree with you there. Firstly, you call the clubs cockroaches? They are the sport of rugby. Without them, there is no game. Plus, they epitomise why rugby is so awesome - the pro teams on tv are merely entertainment in comparison. Secondly, how exactly will the pro game have a positive impact on the 100 year old clubs? There wasn’t much positive impact on the Brisbane rugby league clubs when the Broncos came to town. Also, how many tiers of rugby should we have? Four doesn’t seem sustainable in any way. I do like the concept of the NRC, but it is merely a construct designed to develop players for higher levels, however is that’s what the entire object of the sport should be? There are 100k people playing each week, plus who knows how many volunteering, watching, supporting... these ‘supporters’ care about their school/club and the sport more than most casual rugby fans care about the precious Wallabies, let alone the NRC franchises. I’ve been to NRC games, and while they are good quality, there was no passion from supporters, and I don’t think there will ever be much passion. Check out Clay Christensen on YouTube explaining ‘jobs to be done’ and I think you’ll agree that the ‘job’ the NRC does is focused on the tiers above it - what job does it do for the clubs and their supporters?

2020-07-12T15:20:19+00:00

Honest Max

Roar Rookie


Haha. Sure thing Zac.... maybe soccer is busted too, eh? Soon there will be nothing to stop league taking over the world.

2020-07-12T15:19:14+00:00

Honest Max

Roar Rookie


I agree except for one thing. In my opinion, RA seems to have a plan. Raelene Castle did, but she wasn’t good at communicating it, and so far so good for Hamish. In 5 years we will get the Lions and we’re a good shot at hosting the RWC in 2027 - two events that JON was blessed to get in his tenure. As it think he was an empty suit, i back Hamish and co to do a far better job with investing the windfall.

2020-07-12T10:26:23+00:00

Muglair

Roar Rookie


They are going to screw over everybody

2020-07-12T10:07:40+00:00

GibbonRib

Roar Rookie


I'm not sure that's the case. Certainly some sports don't need an international game, their club game is big enough. But rugby generally leans on the international game more than others. That's not just in Australia either - in the UK, soccer is massive because of the club game. But rugby is also massive-ish, and that's primarily because of the international game. If the England soccer team didn't exist the EPL would be just fine. If the 6 nations didn't exist the British club rugby game would collapse. Australia does need to (re)invent a vibrant, sustainable club game, but having a successful wallabies team would be a massive help towards that.

2020-07-12T09:52:04+00:00

GibbonRib

Roar Rookie


Possibly. But the fact that CVC are already involved with the Pro 14 and English league might actually help align the European unions and clubs to pull in the same direction (or at least not in completely the opposite direction to each other). I read that CVC have also had talks with NZ and SA, nothing substantial yet, but it may point to the way forward. It will take a lot of money to get everyone on board, but it's possible CVC could do that. I just hope they don't screw over the PIs and other tier 3 countries in the process.

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