How the big four can learn from Bolton...+blackburn/everton
Moderator: Zulus Thousand of em
-
mullayo
- Dedicated
- Posts: 1149
- Joined: Mon Dec 19, 2005 3:12 am
- Location: Shivering in the Shaky Isles Godzone NZ
How the big four can learn from Bolton...+blackburn/everton
http://www.sportingo.com/football/how-t ... /1001,3604
As players' wages and ticket prices soar, is the average fan being priced out of the national game?
'It seems football fans are no longer prepared to pocket the cost of spiralling wages and match-day prices'
Until recently, English football has always been regarded as the domain of the working classes. But with Deloitte’s recent report into the finances of football predicting that Premiership footballers' wages will exceed £1billion in 2007-8 and that revenue for Premiership clubs will increase to an average of £69 million, is the real football fan being priced out of the market?
Football supporters are the lifeblood of clubs. A breakdown of Manchester United’s revenue for 2005, showed that match-day takings accounted for 41 per cent of their annual turnover, with 27 per cent coming from sponsorship and marketing and the remainder from media sources, such as television. This highlights that even a club such as United is heavily dependent on income generated from supporters to maintain its success.
Clubs have been very aware of this, and over recent years loyal supporters' contributions to their team’s revenue have increased dramatically, with fans being asked to pay over-inflated ticket and merchandise prices. Since 1990 the average football-ticket price has risen by 600 per cent, while, according to the Office for National Statistics, consumer prices in general rose around 80 per cent for the same period. Premiership clubs argue that these prices are value for money compared with other forms of entertainment, but with the £200,000 per week Premiership footballer about to become a reality, are clubs spending beyond their means to remain in the top flight?
The financial rewards on offer to clubs competing in the Premiership are substantial. The Premiership has brokered a new TV deal worth £625m, with the club finishing bottom of the league, next season, guaranteed at least £30m. The recent Championship play-off final was reportedly worth £60m to the eventual winners, Derby County. With the gap between the average Premier League and Championship clubs' revenue likely to rise to £70m in 2007-8, the consequences of relegation from the top flight could be disastrous for some clubs.
It is obvious that some clubs are living beyond their means. The same Deloitte report showed that only nine Premiership clubs reported pre-tax profits in 2005-6 with the total pre-tax profit for the Premiership, as a whole, falling from £62m to £11m over the same period. Fans at some clubs are beginning to stay away. Although there has been a slight rise in average Premiership attendances, 34,364 in 2006-7 from 33,875 in 2005-6, these figures have been greatly distorted by Arsenal’s move to the Emirates Stadium, and Manchester United’s stadium expansion, both significantly increasing their average attendances.
A more detailed analysis of Premiership attendances reveals that nine clubs had a lower average attendance in 2006-7, compared to the previous season, and of the clubs who recorded an increase, three were clubs promoted from the Championship.
Additionally, it appears that the younger generation is being priced out of attending Premiership games. According to the most recent Premier League supporter survey, the average age of the Premiership supporter was 43 and a complete generation is being lost to football. Some clubs are beginning to take action, with Everton, Blackburn Rovers and Bolton Wanderers reducing season ticket prices and offering concessions for the forthcoming season.
Other clubs need to take note. There is a reality that Premiership teams have to start living within their means, even Deloitte's have recommended the introduction of performance-related pay at the top level. It seems football fans are no longer prepared to pocket the cost of spiralling wages and match-day prices. If things don’t change, the loyal supporter may become lost to the game, and football will become the sole province of the 'prawn sandwich brigade'.
As players' wages and ticket prices soar, is the average fan being priced out of the national game?
'It seems football fans are no longer prepared to pocket the cost of spiralling wages and match-day prices'
Until recently, English football has always been regarded as the domain of the working classes. But with Deloitte’s recent report into the finances of football predicting that Premiership footballers' wages will exceed £1billion in 2007-8 and that revenue for Premiership clubs will increase to an average of £69 million, is the real football fan being priced out of the market?
Football supporters are the lifeblood of clubs. A breakdown of Manchester United’s revenue for 2005, showed that match-day takings accounted for 41 per cent of their annual turnover, with 27 per cent coming from sponsorship and marketing and the remainder from media sources, such as television. This highlights that even a club such as United is heavily dependent on income generated from supporters to maintain its success.
Clubs have been very aware of this, and over recent years loyal supporters' contributions to their team’s revenue have increased dramatically, with fans being asked to pay over-inflated ticket and merchandise prices. Since 1990 the average football-ticket price has risen by 600 per cent, while, according to the Office for National Statistics, consumer prices in general rose around 80 per cent for the same period. Premiership clubs argue that these prices are value for money compared with other forms of entertainment, but with the £200,000 per week Premiership footballer about to become a reality, are clubs spending beyond their means to remain in the top flight?
The financial rewards on offer to clubs competing in the Premiership are substantial. The Premiership has brokered a new TV deal worth £625m, with the club finishing bottom of the league, next season, guaranteed at least £30m. The recent Championship play-off final was reportedly worth £60m to the eventual winners, Derby County. With the gap between the average Premier League and Championship clubs' revenue likely to rise to £70m in 2007-8, the consequences of relegation from the top flight could be disastrous for some clubs.
It is obvious that some clubs are living beyond their means. The same Deloitte report showed that only nine Premiership clubs reported pre-tax profits in 2005-6 with the total pre-tax profit for the Premiership, as a whole, falling from £62m to £11m over the same period. Fans at some clubs are beginning to stay away. Although there has been a slight rise in average Premiership attendances, 34,364 in 2006-7 from 33,875 in 2005-6, these figures have been greatly distorted by Arsenal’s move to the Emirates Stadium, and Manchester United’s stadium expansion, both significantly increasing their average attendances.
A more detailed analysis of Premiership attendances reveals that nine clubs had a lower average attendance in 2006-7, compared to the previous season, and of the clubs who recorded an increase, three were clubs promoted from the Championship.
Additionally, it appears that the younger generation is being priced out of attending Premiership games. According to the most recent Premier League supporter survey, the average age of the Premiership supporter was 43 and a complete generation is being lost to football. Some clubs are beginning to take action, with Everton, Blackburn Rovers and Bolton Wanderers reducing season ticket prices and offering concessions for the forthcoming season.
Other clubs need to take note. There is a reality that Premiership teams have to start living within their means, even Deloitte's have recommended the introduction of performance-related pay at the top level. It seems football fans are no longer prepared to pocket the cost of spiralling wages and match-day prices. If things don’t change, the loyal supporter may become lost to the game, and football will become the sole province of the 'prawn sandwich brigade'.
What could've happened; did.
Who is online
Users browsing this forum: No registered users and 42 guests