Analysis Stadium deals - what, how, when - why we need a new one and the SA footy paradigm shift happening

LFC2010

Brownlow Medallist
Apr 28, 2010
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and the fans start paying for the hotel!!. knew this would friggin happen which why I was dead against this flamn hotel!!!!.

Chandler, Olsen, Hurley and co are deadset scumbags!.

once you start not spending money at the venue like I did last season, it's easy to do.
I also read a 600ml soft drink is now $6.10... LOL!!.
 
i don't really get why the AFL are trying to kill their own league but i guess there must be a long term goal in play
 
Reckon if it worked at the G, all stadiums would be doing it, they're not !!
Worked at the Atlanta Falcons new stadium in 2017. Reduced the prices by up to 50% and total revenue was greater. Don't know what happened to profits, but the Falcons had happy fans.
 
Aug 14, 2011
44,794
16,853
Trafalgar
AFL Club
West Coast
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Mclaren Mercedes F1
Worked at the Atlanta Falcons new stadium in 2017. Reduced the prices by up to 50% and total revenue was greater. Don't know what happened to profits, but the Falcons had happy fans.

Here in Aus, venue managers seem more interested in what the catering contractor can do for them, the big disconnect?
 

LFC2010

Brownlow Medallist
Apr 28, 2010
21,473
23,687
Adelaide
AFL Club
Port Adelaide
Other Teams
Liverpool, Boston Celtics
Worked at the Atlanta Falcons new stadium in 2017. Reduced the prices by up to 50% and total revenue was greater. Don't know what happened to profits, but the Falcons had happy fans.

Exactly, keep fans happy they keep coming, upset them and they'll stop.

prices weren't to bad when the stadium opened, now they're ridiculous!!!.

I hate saying this, but If I want a summer sport fix I may attend an NBL match at the Entertainment Centre instead of going to the AO, mainly to see what it's like.
 
Here in Aus, venue managers seem more interested in what the catering contractor can do for them, the big disconnect?
It is a case of, the team owns the stadium and wants to keep their fans happy vs stadium managers/owners don't give a s**t about the customers as they aren't their fans.
 
Last edited:
Mar 1, 2014
13,887
17,507
People's Republic of Onkaparinga
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Port Adelaide
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The SMA is citing the Oval Overheads including $4M in rent as the major overhead and the reason for the price increase. Last year 863,105 fans attended Power and Crows AFL home games at the Adelaide Oval. That $4m is covered by approximately $4.60 profit on every AFL patron and does not include other events. So where does the rest of the money go? Doubtless there are other overheads but a couple of pints of beer for every patron at one match a year covers the $4M rent component. The SMA is also citing the rising cost of produce. Maybe I am lucky but my local publican can charge me $6.50 a pint and still make a profit and the price of beer has not risen at my local for two years.

Obviously the State Government collects the rent as Stephen Marshall was all over tonight's TV trying to justify the increase. The Libs must be starting to stink among AFL followers as the Footy Express is under threat and the State Government is backing the latest price increases.
 
This is what Wee Licker meant by 'grow the pie'.

I wonder if it's possible for the SMA to go out of business if no one buys anything from the ground? Let's find out.
 
The SMA is citing the Oval Overheads including $4M in rent as the major overhead and the reason for the price increase. Last year 863,105 fans attended Power and Crows AFL home games at the Adelaide Oval. That $4m is covered by approximately $4.60 profit on every AFL patron and does not include other events. So where does the rest of the money go? Doubtless there are other overheads but a couple of pints of beer for every patron at one match a year covers the $4M rent component. The SMA is also citing the rising cost of produce. Maybe I am lucky but my local publican can charge me $6.50 a pint and still make a profit and the price of beer has not risen at my local for two years.

Obviously the State Government collects the rent as Stephen Marshall was all over tonight's TV trying to justify the increase. The Libs must be starting to stink among AFL followers as the Footy Express is under threat and the State Government is backing the latest price increases.
How do they get $4m rent? Their rent is/was as per Adelaide Oval Redevelopment and Management Act 2011

18—Special annual sublease fee
(1) SMA is liable to pay the following amounts to the State on account of a sublease
granted to SMA under section 5:
(a) in relation to 2015/2016 financial year—$200 000;
(b) in relation to 2016/2017 financial year—$400 000;
(c) in relation to 2017/2018 financial year—$600 000;
(d) in relation to 2018/2019 financial year—$800 000;
(e) in relation to 2019/2020 financial year—$1 000 000;
(f) in relation to each succeeding financial year while SMA holds a sublease over
any part of the Adelaide Oval Core Area under this Act—$1 000 000 (indexed).
......
(4) In this section, $1 000 000 (indexed) for a particular financial year means an amount
obtained by multiplying $1 000 000 by a proportion obtained by dividing the
Consumer Price Index for the quarter ending on 31 March in the financial year
immediately preceding the relevant financial year by the Consumer Price Index for the
quarter ending on 31 March 2019.

So their rent will only go up $200,000 this financial year

The Sinking Fund isn't rent.

It is a control on the SMA by the state government who put in $535m + $30m thrown in by the feds, to get off their arse and go and find more events and use the profits from them to put into a blocked bank account to use to pay for major capital repairs or capital improvements to keep the stadium up to date and not let it run down like footy park became run down.

The first sinking fund contribution was in 2016 and was $2,684,717. In 2017 it was $2,765,085 and in 2018 it was $2,850,521. The 2018 figure was only released as part of the 2018 accounts by the Auditor General a few weeks ago, because he only shows audited accounts up to 30 June 2019 in his annual report, and as the SMA has a 31st October balance, we are always 1 year behind with that info.

So that probably went by $80,000 in 2019 and probably will go up $80,000 in 2020 and yes it will be about $3mil in 2019/20 but its not rent.
 
Oct 12, 2007
30,501
52,047
The Hills
AFL Club
Port Adelaide
Worked at the Atlanta Falcons new stadium in 2017. Reduced the prices by up to 50% and total revenue was greater. Don't know what happened to profits, but the Falcons had happy fans.
Depends on your defininition of "worked" though doesn't it.

On levels of priority where do you think the SANFL/SMA put...

1. Happy Port fans
2. Profits

On SM-G960F using
BigFooty.com mobile app
 
So where does the rest of the money go?

According to the tables within the PDF posted on the previous page, they’re hiring staff like it’s going out of fashion.

An additional $7,500,000 on the SMA wagebill from 2014-2018, which given the absence of capacity expansion and diminishing matchday attendances, I assume would be for Gordon Ramsay’s guest spot at the Hill Of Grace, or for university-accredited sherpas to accompany the roof climbers.
 

bushwood

Club Legend
Jan 11, 2009
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home
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Randolph and Mortimer are running Adelaide Oval, this will never get any better. Old out of touch cronies that couldn’t give a s**t about the clubs, the atmosphere or the enjoyment of the patrons. I refuse to drink in that place, load up before and after. s**t situation.
 
May 26, 2017
20,813
42,868
Uruguayana, RS (BRA)
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Port Adelaide
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Worked at the Atlanta Falcons new stadium in 2017. Reduced the prices by up to 50% and total revenue was greater. Don't know what happened to profits, but the Falcons had happy fans.
That's one of the main things that have called my attention when living in the US. Americans tend to make $100 profit by selling for $2 100 units of something that production cost is $1. In Brazil, we tend to make the same profit by selling 2 units for $51.

It is insane. We do the same thing with TAXES. It is an absolutely anti-market environment, and we wonder why we are so poor.
 
Apr 13, 2006
32,868
77,030
The Bitter End
AFL Club
Port Adelaide
Dunno - once you’re stuck in Adelaide Oval watching some classic Hinkleyball, even $1 beers couldn’t get me to drink.

Hinkleyball + alcohol = angry pap.

It's the only way I get through the games. It still ends up with Angry Pap(a), but it numbs me to it. Another good reason for taking next year off. Will save me thousands, SMA lose income and my current loathing of the PAFC will not be as visceral.
 
Sep 18, 2011
8,992
24,395
here
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Port Adelaide
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Chelsea / Ferrari F1
Dunno - once you’re stuck in Adelaide Oval watching some classic Hinkleyball, even $1 beers couldn’t get me to drink.

Hinkleyball + alcohol = angry pap.
With $1 beers I wont know what I'm watching by halftime...though this is the case even when I'm sober watching Hinkley dross.
 
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