Sausages
HIGH PRIEST IN THE TEMPLE OF GG/SNSD
- Feb 27, 2007
- 6,397
- 9,189
- AFL Club
- Brisbane Lions
- Other Teams
- Luton Town
then they'd best become familiar with this....
"Manchester United was floated on the stock market in June 1991 (raising £6.7 million),[140] and received yet another takeover bid in 1998, this time from Rupert Murdoch's British Sky Broadcasting Corporation. This resulted in the formation of Shareholders United Against Murdoch – now the Manchester United Supporters' Trust – who encouraged supporters to buy shares in the club in an attempt to block any hostile takeover. The Manchester United board accepted a £623 million offer,[141] but the takeover was blocked by the Monopolies and Mergers Commission at the final hurdle in April 1999.[142] A few years later, a power struggle emerged between the club's manager, Alex Ferguson, and his horse-racing partners, John Magnier and J. P. McManus, who had gradually become the majority shareholders. In a dispute that stemmed from contested ownership of the horse Rock of Gibraltar, Magnier and McManus attempted to have Ferguson removed from his position as manager, and the board responded by approaching investors to attempt to reduce the Irishmen's majority.[143]
In May 2005, Malcolm Glazer purchased the 28.7 percent stake held by McManus and Magnier, thus acquiring a controlling interest through his investment vehicle Red Football Ltd in a highly leveraged takeover valuing the club at approximately £800 million (then approx. $1.5 billion).[144] Once the purchase was complete, the club was taken off the stock exchange.[145] In July 2006, the club announced a £660 million debt refinancing package, resulting in a 30 percent reduction in annual interest payments to £62 million a year.[146][147] In January 2010, with debts of £716.5 million ($1.17 billion),[148] Manchester United further refinanced through a bond issue worth £504 million, enabling them to pay off most of the £509 million owed to international banks.[149] The annual interest payable on the bonds – which mature on 1 February 2017 – is approximately £45 million per annum.[150] Despite restructuring, the club's debt prompted protests from fans on 23 January 2010, at Old Trafford and the club's Trafford Training Centre.[151][152]Supporter groups encouraged match-going fans to wear green and gold, the colours of Newton Heath. On 30 January, reports emerged that the Manchester United Supporters' Trust had held meetings with a group of wealthy fans, dubbed the "Red Knights", with plans to buying out the Glazers' controlling interest.[153]
In August 2011, the Glazers were believed to have approached Credit Suisse in preparation for a $1 billion (approx. £600 million) initial public offering (IPO) on the Singapore stock exchange that would value the club at more than £2 billion.[154] However, in July 2012, the club announced plans to list its IPO on the New York Stock Exchange instead.[155] Shares were originally set to go on sale for between $16 and $20 each, but the price was cut to $14 by the launch of the IPO on 10 August, following negative comments from Wall Street analysts and Facebook's disappointing stock market debut in May. Even after the cut, Manchester United was valued at $2.3 billion, making it the most valuable football club in the world.[156] "
Lots of fan stuff there, isn't it? All that cash, up to their ears in debt, admittedly with a "sellable brand"....but where's the loyalty? The fans are basically a herd of cattle to be milked.
So, let's look at this bit....
"As the second English football club to float on the London Stock Exchange in 1991, the club raised significant capital, with which it further developed its commercial strategy. The club's focus on commercial and sporting success brought significant profits in an industry often characterised by chronic losses.[110] The strength of the Manchester United brand was bolstered by intense off-the-field media attention to individual players, most notably David Beckham (who quickly developed his own global brand). This attention often generates greater interest in on-the-field activities, and hence generates sponsorship opportunities – the value of which is driven by television exposure.[111] During his time with the club, Beckham's popularity across Asia was integral to the club's commercial success in that part of the world.[112]
Because higher league placement results in a greater share of television rights, success on the field generates greater income for the club. Since the inception of the Premier League, Manchester United has received the largest share of the revenue generated from the BSkyB broadcasting deal.[113] Manchester United has also consistently enjoyed the highest commercial income of any English club; in 2005–06, the club's commercial arm generated £51 million, compared to £42.5 million at Chelsea, £39.3 million at Liverpool, £34 million at Arsenal and £27.9 million at Newcastle United. A key sponsorship relationship is with sportswear company Nike, who manage the club's merchandising operation as part of a £303 million 13-year partnership established in 2002.[114] ThroughManchester United Finance and the club's membership scheme, One United, those with an affinity for the club can purchase a range of branded goods and services. Additionally, Manchester United-branded media services – such as the club's dedicated television channel, MUTV – have allowed the club to expand its fan base to those beyond the reach of its Old Trafford stadium.[10] "
Again, the "fans" are simply people who buy shirts and merchandise. Their loyalty isn't valued EXCEPT in a dollar sense. How wonderful. When s**t goes bad, people stop buying shirts. Just like memberships here, but I'd argue memberships are more about loyalty than revenue for the person who purchases the membership. But loyalty is a 2-way street - and MU have been able to separate the concepts to enable better revenue generation, because loyalty costs money.
If this club and league is the model the AFL wants to follow, they can get stuffed. Bigger isn't better.
"Manchester United was floated on the stock market in June 1991 (raising £6.7 million),[140] and received yet another takeover bid in 1998, this time from Rupert Murdoch's British Sky Broadcasting Corporation. This resulted in the formation of Shareholders United Against Murdoch – now the Manchester United Supporters' Trust – who encouraged supporters to buy shares in the club in an attempt to block any hostile takeover. The Manchester United board accepted a £623 million offer,[141] but the takeover was blocked by the Monopolies and Mergers Commission at the final hurdle in April 1999.[142] A few years later, a power struggle emerged between the club's manager, Alex Ferguson, and his horse-racing partners, John Magnier and J. P. McManus, who had gradually become the majority shareholders. In a dispute that stemmed from contested ownership of the horse Rock of Gibraltar, Magnier and McManus attempted to have Ferguson removed from his position as manager, and the board responded by approaching investors to attempt to reduce the Irishmen's majority.[143]
In May 2005, Malcolm Glazer purchased the 28.7 percent stake held by McManus and Magnier, thus acquiring a controlling interest through his investment vehicle Red Football Ltd in a highly leveraged takeover valuing the club at approximately £800 million (then approx. $1.5 billion).[144] Once the purchase was complete, the club was taken off the stock exchange.[145] In July 2006, the club announced a £660 million debt refinancing package, resulting in a 30 percent reduction in annual interest payments to £62 million a year.[146][147] In January 2010, with debts of £716.5 million ($1.17 billion),[148] Manchester United further refinanced through a bond issue worth £504 million, enabling them to pay off most of the £509 million owed to international banks.[149] The annual interest payable on the bonds – which mature on 1 February 2017 – is approximately £45 million per annum.[150] Despite restructuring, the club's debt prompted protests from fans on 23 January 2010, at Old Trafford and the club's Trafford Training Centre.[151][152]Supporter groups encouraged match-going fans to wear green and gold, the colours of Newton Heath. On 30 January, reports emerged that the Manchester United Supporters' Trust had held meetings with a group of wealthy fans, dubbed the "Red Knights", with plans to buying out the Glazers' controlling interest.[153]
In August 2011, the Glazers were believed to have approached Credit Suisse in preparation for a $1 billion (approx. £600 million) initial public offering (IPO) on the Singapore stock exchange that would value the club at more than £2 billion.[154] However, in July 2012, the club announced plans to list its IPO on the New York Stock Exchange instead.[155] Shares were originally set to go on sale for between $16 and $20 each, but the price was cut to $14 by the launch of the IPO on 10 August, following negative comments from Wall Street analysts and Facebook's disappointing stock market debut in May. Even after the cut, Manchester United was valued at $2.3 billion, making it the most valuable football club in the world.[156] "
Lots of fan stuff there, isn't it? All that cash, up to their ears in debt, admittedly with a "sellable brand"....but where's the loyalty? The fans are basically a herd of cattle to be milked.
So, let's look at this bit....
"As the second English football club to float on the London Stock Exchange in 1991, the club raised significant capital, with which it further developed its commercial strategy. The club's focus on commercial and sporting success brought significant profits in an industry often characterised by chronic losses.[110] The strength of the Manchester United brand was bolstered by intense off-the-field media attention to individual players, most notably David Beckham (who quickly developed his own global brand). This attention often generates greater interest in on-the-field activities, and hence generates sponsorship opportunities – the value of which is driven by television exposure.[111] During his time with the club, Beckham's popularity across Asia was integral to the club's commercial success in that part of the world.[112]
Because higher league placement results in a greater share of television rights, success on the field generates greater income for the club. Since the inception of the Premier League, Manchester United has received the largest share of the revenue generated from the BSkyB broadcasting deal.[113] Manchester United has also consistently enjoyed the highest commercial income of any English club; in 2005–06, the club's commercial arm generated £51 million, compared to £42.5 million at Chelsea, £39.3 million at Liverpool, £34 million at Arsenal and £27.9 million at Newcastle United. A key sponsorship relationship is with sportswear company Nike, who manage the club's merchandising operation as part of a £303 million 13-year partnership established in 2002.[114] ThroughManchester United Finance and the club's membership scheme, One United, those with an affinity for the club can purchase a range of branded goods and services. Additionally, Manchester United-branded media services – such as the club's dedicated television channel, MUTV – have allowed the club to expand its fan base to those beyond the reach of its Old Trafford stadium.[10] "
Again, the "fans" are simply people who buy shirts and merchandise. Their loyalty isn't valued EXCEPT in a dollar sense. How wonderful. When s**t goes bad, people stop buying shirts. Just like memberships here, but I'd argue memberships are more about loyalty than revenue for the person who purchases the membership. But loyalty is a 2-way street - and MU have been able to separate the concepts to enable better revenue generation, because loyalty costs money.
If this club and league is the model the AFL wants to follow, they can get stuffed. Bigger isn't better.
