Silver Lake buying a stake in the ABs?
-
Silver Lake are involved with the UFC so must have some idea of how to build a global brand.
And for all of you that didn't read the article, this little fact.
Stuff has been told that the average age of a fan who attends a Super Rugby game is about 44 years old, a figure that spells trouble for the game if the underlying reasons are ignored.
So NZR needs to generate interest from the younger generation to survive.
-
@dogmeat said in Silver Lake buying a stake in the ABs?:
It's estimated Man Utd has a global fan base of 1.1 Billion - buggered if I know how they calculate that. So 60 mill is roughly 5% the size of United's - and they play wendyball!
firstly, that's retarded. 1 in every 7 is a Man U fan? yeah right
That said, the big premier league clubs and the two big spanish ones have massive global reach. But that's soccer. Loved by people everywhere. 1.1 billion is ridiculous though for one club.
-
@mariner4life guess they must have the metrics to measure it, and I assume thier definition of 'fan' is probably different to what we see ourselves when we support the ABs , Super team or M10 cup team?
-
@taniwharugby and massively overstated when you are selling global reach to commercial partners.
-
@mariner4life said in Silver Lake buying a stake in the ABs?:
@taniwharugby and massively overstated when you are selling global reach to commercial partners.
It was Silverlake saying that though, which does seem the wrong way around. It was also”potential” fans.
I’ve seen heaps of AB jerseys all over to world but mostly Asia, and they are just the ones keen enough to spend money. Anecdotal from me, but they must have done research?
-
I think the reach can be extended but it will come with costs (or opportunities, depending on how you look at it). Four markets where NZ rugby would have to make a bigger mark would be Japan, The USA, China (difficult), and India (can't see it).
In the short term, getting a greater connection between NZ rugby, Japan, and the USA would (I'm sure) lead to more opportunities. This will have costs, such as allowing more Japanese/US players into Super Rugby, and of course, perhaps extending the competition to teams from those areas. The ABs would probably also need to start playing more games in those countries.
Beyond that, e-sports/gaming is a huge opportunity, but rugby thus far has had relatively shit games. Getting a really fantastic and appealing rugby game would be great - the one problem is that there is no 'Super' (think Jonah) star to build that around, which I think is probably important.
-
@Bovidae said in Silver Lake buying a stake in the ABs?:
Silver Lake are involved with the UFC so must have some idea of how to build a global brand.
And for all of you that didn't read the article, this little fact.
Stuff has been told that the average age of a fan who attends a Super Rugby game is about 44 years old, a figure that spells trouble for the game if the underlying reasons are ignored.
So NZR needs to generate interest from the younger generation to survive.
Shit, I feel called out
First step is to get a decent video game going.
-
@Bovidae said in Silver Lake buying a stake in the ABs?:
Stuff has been told that the average age of a fan who attends a Super Rugby game is about 44 years old, a figure that spells trouble for the game if the underlying reasons are ignored.
Is that a bit of a throwaway line?
Not sure NZR has been ignoring youth rugby (provincial rugby maybe) but alot of it is likely out of thier control.
TR Jnr likely not playing this year (turning 16 this year) didnt play last year, main reason is he feels he is not big enough (despite me telling him he is bigger than I was when I played 1st 15 rugby - but most kids are bigger these days, and many go to the gym too, so just not big lumps)
I have told him to wait until the rally in March, go along see who's there before he makes a decision, but seems certain he wont play (which is easier for my life - no trainings, no Saturday gone having to drive to/from Kaitaia)
-
@taniwharugby I read it as teens and 20 somethings aren't going to watch live rugby as much now as previous generations did, not necessarily related to participation or funding of the game. They have other (non-sport) interests. They (NZR and Silver Lake) need to capture some of that market to survive.
-
@Bovidae while I have no evidence, I would think there would be a link between participation and attendance.
You'd think there wouldn't be many who don't play but go to games, whereas those who do play would likely go to some.
Obviously the provinces are more geared towards M10 cup when they gave minimal or no super games.
-
The problem is NZR is chicken feed and shit about making money off the ABs brand. The biggest thing they did (and dumbest) was dilute the name by adding it to the Maori and 7s. Silver Lake and the like, know how to drive a brand, and ABs is pretty darned big. People all around the world know the ABs, know super stars like Jonah, and there is money to be made off that. NZR can't/haven't done it, so they are getting the pros in. Man City is an example massive following around the world, obvs rugby is not the same scale, but ABs are even bigger within their sphere
-
Maybe an Anzac block buy out,
-
cool to see the Otago Chair pretty pretty open about things
-
Pay-walled:
Top All Blacks block $465 million deal in explosive letter to New Zealand Rugby
A more correct title would have been "NZRPA to block $465 million deal in explosive letter to New Zealand Rugby".
Some snippets:In an explosive letter sent to NZ Rugby directors and clubs, obtained by the Herald, the New Zealand Rugby Players' Association (NZRPA) expresses serious concerns over an offer to sell a 15 per cent stake in the organisation's commercial rights to United States technology investment giant Silver Lake.
The lengthy feedback, sent to NZR directors and clubs in late January, details concerns about "capital and expertise", "control" and "risk" and urges that alternative capital raising approaches such as government or public bonds be explored.
The country's 26 provincial unions are set to vote on the deal - that would see the creation of a new separate entity dubbed CommercialCo - at an NZR board meeting next month. The Herald understands a sale ratio between 10 to 15 per cent will be agreed on Monday. As part of the collective bargaining process, however, NZR requires the NZRPA's approval to sign off on the deal. This is where a major standoff has ensued.
The Herald can today reveal that $40m of the Silver Lake deal has been initially earmarked for immediate injection into the New Zealand game – 75 per cent of which would go to community level and shoring up balance sheets – with a proposal for the players to receive $6.5m. "From the players' perspective they are probably the one group that will be fine," Nichol said. "This is not about the players and what they earn, it's very much about is this the right thing for New Zealand rugby? Whatever is right for NZ rugby will ultimately benefit the players anyway.
Constitutionally NZ Rugby requires 50.01 per cent support from the provincial unions to pass the deal but is seeking a more significant mandate. On the basis of the PWC report, the provincial unions are expected to largely vote in favour, which would leave the NZRPA kingmakers.
(...) the NZRPA acknowledges the need to raise revenue. But it instead advocates hiring outside expertise, rather than selling a stake in the national game. It says NZR does not need to sell 15 per cent of income-generating assets, especially at a high cost of capital, to rebuild depleted reserves and grow revenue streams. "All of these ends can be achieved by accessing much cheaper capital, proceeding with the creation of a separate CommercialCo, hiring and incentivising world-class talent and engaging sports service providers directly," the letter states.
The letter also claims that in future it is certain there will be a "divergence of interests" between Silver Lake and NZR, and that conflicts of interest will arise when the US firm inevitably invests in other national unions such as Australia.
Listing risks, the NZRPA suggests the deal could change the nature of the relationship between supporters and their national teams, and cites concerns around the potential sale of Māori and Pasifika culture woven within NZ Rugby.
"The risks all arise because of the irrevocability of a sale of equity in NZR's income-generating assets. It is clear that once a share in the assets is sold it will never be bought back."
-
Full text of the letter is here
-
My reading of it is "pay is more and we'll vote for it"