Swans warn of funds struggle

[Mike_B]

Swans warn of funds struggle - News - realfooty.com.au

"We're assuming it will be a pretty tough year," he said. "For some reason, it's been harder to pre-sell memberships and hospitality. That probably means we are dependent on having an exceptional year on the field."

For some reason???? The reason is clear - a hike in prices at a tough time financially for so many. If the club really does read this board, they sure haven't conveyed the sentiment of members and supporters to Dick now have they. That statement just beggars belief and is a really really sad indictment on the decision making process at the club right now.

[chalbilto]

Reading that article I don't understand how can the AFL keep proceeding with implementing a team in Western Sydney for 2012.
Taking into consideration for example the economic downturn viz; recession, diminishing corporate and crowd support, Sydney's tough market due to competition from other codes, diminishing television ratings, fickleness of Sydney populace, how can they even contemplate proceeding for 2012 start.
I am not an economist, nor a marketing guru, don't have a MBA, university degree, not involved in corporate world, but I just don't get it.
Maybe I just have a simplistic outlook at life and have too much common sense to be clever.

[SwansFan1972]

Swans warn of funds struggle - News - realfooty.com.au



For some reason???? The reason is clear - a hike in prices at a tough time financially for so many. If the club really does read this board, they sure haven't conveyed the sentiment of members and supporters to Dick now have they. That statement just beggars belief and is a really really sad indictment on the decision making process at the club right now.

Absolutely. Having given up our membership after ten years for no reason other than the 32% price rise on our family season ticket (which was originally a 67% rise before the gold/silver concourse capitulation), it is particularly galling to read Colless' statements.

"We have no latent supporter base". Bollocks! You did Richard, but you burned out a big swathe of it with the poorly timed and ill thought out membership restructure.

If the club does go cap in hand to the AFL, they better hope that headquarters proves to have as little knowledge about Sydney as we all suspect. A Q&A could go something like this ...

Demetriou: "What have you done to shore up your balance sheet recently"?

Colless: "Well, we gave some members discounts relative to last year (oops, seems we couldn't really afford them hey!), we introduced split packages so that people who had grumbled a bit - but always bought a full season membership - can get out of luvving the club a lot cheaper by only having a seven game SCG only ticket.

In the interests of inequity and imbalance, we ensured that the biggest price increases fell onto the kids - we just weren't making enough out of the kids seats (we didn't give it too much though really - but in hindsight, we can't afford to take a long term view that cheap kids seats now eventually will grow into committed adult members). Who has the time to wait for that fruit to ripen?

We cannibalised revenues from club members who were happy to go to Homebush. Our strategically brilliant approach meant that a family ticket within a full membership package was the equivalent of $70 a game, but if you dumped out of full membership and bought a silver SUPER SUPER DUPER pass, it only costs $45 for near enough the same seats. Looks like a few might be doing that - damn it!

Oh, and we sunk 500k into a standalone licensed club in the red light district of Sydney, right at the same time as the industry was bleeding buckets through the impact of smoking bans and increased pokie taxes. We all had to pick our jaws up from the board table in shock when we were surprised by a big red hole in the bottom line.

And we've been dead set unlucky that the world chose the last six months to go into meltdown. It sure did mess about with our membership restructure - or that is what we keep telling ourselves anyway."

Demetriou: "Hmm, you've made it a bit tough for us Dick. Do we spray our money up your wall, or should we stick to our script and put it up West Sydney's instead. Let us think on it a while and we'll get back to you".

And am I bitter? Hell yeah - especially when I read drivel such as Colless' statements. Essentially saying he has no idea how it has come to this surely confirms general incompetence at management level. WHY DOESN'T HE KNOW? What has he been doing all off-season? And if he truly doesn't know, then he should be replaced by someone who does, or can find out, and can try and fix the mess.

[Chilcott]

This is a major worry. What do we have - 5 clubs asking for handouts.

Wouldn't be surprised if we have a couple more over the next few years.

In the wake of the generous TV rights cash a few years back, the AFL and the clubs allowed for exhorbitant increases in expenditure at all levels, especially player salaries and football department spending.

What the hell will they do if the TV stations refuse to part with the same amount of cash next time the TV rights come up for tender (which may be likely considering the global economic outlook).

Along with the diminishing sponsorship, lower memberships and increased operating costs - the AFL and the clubs bottom lines will take a pounding.

[Mike_B]

There will be a squeeze on player payments - relatively speaking they earn damn good money for what they do. If there isn't money to pay them, well, barring a change to 11-a-side or something like that, the only other option is to reduce the amount they're paid.

[connolly]

Reading that article I don't understand how can the AFL keep proceeding with implementing a team in Western Sydney for 2012.
.
I am not an economist, nor a marketing guru, don't have a MBA, university degree, not involved in corporate world . . .
:

and therefore have a good grasp on reality. The loonies really are in charge of the AFL asylum

[timthefish]

Reading that article I don't understand how can the AFL keep proceeding with implementing a team in Western Sydney for 2012.
Taking into consideration for example the economic downturn viz; recession, diminishing corporate and crowd support, Sydney's tough market due to competition from other codes, diminishing television ratings, fickleness of Sydney populace, how can they even contemplate proceeding for 2012 start.
I am not an economist, nor a marketing guru, don't have a MBA, university degree, not involved in corporate world, but I just don't get it.
Maybe I just have a simplistic outlook at life and have too much common sense to be clever.

perhaps they feel that the recession provides them with an advantage: due to their comparatively large cash reserves they can risk to do what the other codes can't in expanding their position. they can get three years jump on the counter-measures that league can otherwise put in place.

bagging the afl is very fashionable, but they have rarely put a foot wrong in terms of business over the past decade.

[connolly]

perhaps they feel that the recession provides them with an advantage: due to their comparatively large cash reserves they can risk to do what the other codes can't in expanding their position. they can get three years jump on the counter-measures that league can otherwise put in place.

bagging the afl is very fashionable, but they have rarely put a foot wrong in terms of business over the past decade.

Demetriou is just lucky. He was hit in the arse by a rainbow when he was born. The television rights bidding war was a one off. And the over paid pretender is about to tip millions of the windfall down the dunny on the Gold Coast and the west of Sydney teams. The money should be invested on grass roots development of the game in the ARL/AFL contested regions.

[Nico]

"For some reason" smacks of a comment of someone who really has lost touch. Everyone knows that NSW has been in a recession for 2 years and dough is tight. Where's Dick been all this time.

It really was a silly comment. If he had said "we know that things are tough in NSW and accept that right now memberships might drop off a bit" then he would have retained some credibility.

To say we don't have a latent supporter base is again a strange comment. I thought we had at least 7000 Melbourne members last year the comment is a kick in the guts for all those Sydney supporters that have stuck by the club. It almost sounds like he is saying Sydney supporters are not real supporters.
Every club has a latent supporter base of at least 15000. They just stuffed up the membership packages big time in the city where they needed to retain them.

I have had no problem with him as President and he was there in the the tough times and has seen us through, but maybe it's time for Richard to move on.

[Cardinal]

Can we vote him out ?

[R&WtilIDie]

Latent means there, but not active. As in, all those who will take up memberships, already have.


Although, I don't think I agree with that statement either. I think, if anything, Sydney has the biggest latent supporter base. I'd say if you did a survey in Sydney, you'd get over 100,000 people saying their team was the Swans. Maybe more. How to convert to memberships is the key.

I've been a Swans supporter since the early nineties, I was vaguely aware of some membership business, but it was only when I came to Melbourne from Sydney in 2003 that I REALLY understood what membership was about. What's the advertising like in Sydney for membership? Perhaps, this is the key.

[johnno]

Sorry to go off a bit off topic here, but there is a big footy thread on the same subject and this moronic Kangaroos supporter on there really got me fired up with some of his stupid comments. Apparently he is absolutely 100% sure that the swans will fold in 2 years, thats right, 2 years time and the AFL will install a brand new Sydney team and start from scratch. And no, he wasnt refering to the new West Sydney franchise. Well, did it get a response from me? Have a look for yourselves and tell me what you think. I'm there under username Jswan. i really paid out on that moronic Kangas supporter. I used to admire the kangaroos over the years, always the underdogs and somehow finding a way to succeed and make the finals, but after reading that stupid idiots comment, I think they go straight to the top of my list of teams I hate.

[goswannie14]

Probably Kanga from RWO!!!

He might be upset by my suggestion a few months ago that within 5 years of the new GC team, North will have merged with them.

[Kanga]

Probably Kanga from RWO!!!

He might be upset by my suggestion a few months ago that within 5 years of the new GC team, North will have merged with them.

Sorry to disappoint you, but alas it was not me suggesting the disappearance of the Swans in the next two years. The AFL has bailed the Swans out before and will do so again (if needed - as it does with other clubs including mine). The reality is that even on this site there has been a lot of sniping about NMFC being all but extinct - I find it pretty amusing that when the shoe is on the other foot and there is a BigFooty thread about the Swans finances some supporters get very very defensive!

The AFL want two teams in NSW and two teams in QLD for the simple reason that it enables a match every week from those states to be broadcast into Melbourne.

For what its worth i at least try to be constructive with my posts on here - (generally) - and cannot wait for round one when we will all have something much more interesting to discuss. I am predicting that both our teams will struggle this year against teams with much quicker midfields and potent fwd lines.

Finally, not that upset about the suggested merger b/w GCFC and NMFC - heard it all before.

[connolly]

moronic Kangaroos supporter

tautology alert!