Securing the financial future of Queensland Cricket is at stake for new CEO Terry Svenson

Posting a modest loss recently, Queensland Cricket needs to transform and its new CEO is keeping an open mind about fresh money-making ideas that could save it from complacency

Cricket in Queensland is amid a transformational period. The last decade has seen our game evolve in its appeal to new fans and participants through innovations led by the dawn of the Big Bash League (BBL) and the introduction of new junior formats. And now, Queensland Cricket is seeking to apply this agile thinking to our financial management.

Our media consumption habits and the increased use of technology in our daily lives have affected how cricket is played and watched, just as it has impacted most businesses in how they engage with customers.

At a participation level, cricket like all sports, is tasked with the challenge of getting young people active through encouraging a healthy lifestyle in a digital age.

To do this, cricket has had to evolve to attract younger participants and time-poor parents. As a not-for-profit state sporting organisation, QC’s financial model has been relatively simple over the last decade.

Sammy-Jo Johnson of the Heat in action during the Women's Big Bash League (WBBL) cricket match between the Brisbane Heat and the Melbourne Stars at the Gabba in Brisbane earlier this year.

Revenue comes in, and almost the exact same amount goes out by way of investment in infrastructure, community cricket, fan-facing and elite cricket projects.

A lot of people might think that sounds pretty good. However, I want to challenge that. QC may be a not-for-profit, but we are also for-purpose and like many organisations, we have aspirations we want to fund.

As our strategic ambition states: we want to secure cricket’s future in Queensland. We want to ensure cricket participation in this state continues to grow, has improved facilities and is providing great experiences.

And, that no matter where you live, no matter your background, gender or ability, anyone can have their say, anyone can have a go, anyone can enjoy the game, and anyone can achieve their cricket dreams.

Queensland Cricket CEO Terry Svenson.

The challenge we now face as a not-for-profit state sporting body is: how do we increase our revenue streams so we can respond to these aspirations to continually grow and develop cricket in Queensland?

When compared with some other leading sports, we are in the enviable position of being funded “top down”. That is, funding from Cricket Australia represents the overwhelming majority of our revenue source thanks mostly to dividends of lucrative media rights deals and staging of international cricket tournaments. But has this made us complacent?

While we also generate approximately 22 per cent of our revenue from owned sources such as sponsorship, ticketing, membership and hospitality from the Brisbane Heat, is it enough and can we be doing more?

We are also grateful for the financial support all three levels of government provide our game, particularly at the community level, but should we take this for granted?

World number one tennis player Ashleigh Barty (right) is seen taking a selfie photograph with fans during the Women's Big Bash League (WBBL) cricket match between Brisbane Heat and Melbourne Renegades.

These are the questions that have been top of mind since I was appointed five months ago. Probing the answers to these questions is a key element of our refreshed strategy and represents the beginning of a shift to develop a line of thinking that focuses on bringing new revenue sources into cricket that will allow us to deliver a sustainable financial future for the organisation.

During the 2018-19 financial year, QC made record strategic investments into statewide infrastructure projects, our Premier Cricket program and the Queensland Country Cricket Association.

Combined with added operating costs related to expanded WBBL and BBL seasons, this resulted in us making a modest $81,000 loss compared to a $441,00 profit in 2017-18.

For me, this highlights the need to switch our financial mindset from relying on the same streams to focus on new revenue that allows us to invest back into cricket.

One area we may consider is opening up the talents of our marketing department to sponsors and partners in the form of an agency model.

The Brisbane Heat is QC’s biggest independent revenue earner, with the success of the club driven by our expertise in event management, marketing, design, brand strategy and video production. Our talent in this space allows us to offer these services as a value-add, with the next step being possibly extending our capabilities to become a full-service creative agency.

QC is about to embark on one of the most significant infrastructure projects undertaken in our history with the building of the National Cricket Campus which opens potential opportunities for us to maximise the value of our venues via commercial leasing and hosting opportunities.

While these ideas are still quite conceptual, this is the transformational mindset I know we need if cricket in Queensland is to be financially secure and in control of its destiny.

This is the transformational mindset I know we need if cricket in Queensland is to be financially secure.