Major sponsor KFC has turned up the heat on Cricket Australia to resolve its pay war
MULTI-MILLION dollar BBL naming rights sponsors KFC have turned up the heat on Cricket Australia to immediately resolve the pay crisis railroading the game.
Cricket
Don't miss out on the headlines from Cricket. Followed categories will be added to My News.
MULTI-MILLION dollar Big Bash naming rights sponsors KFC have turned up the heat on Cricket Australia to immediately resolve the pay crisis railroading the game.
KFC pour an estimated $3.5-$4 million into the game each year as one of CA’s top three corporate partners and their concerned call for administrators on both sides of the fence to realise the ugly war is killing the sport reflects growing anxiety and frustration among cricket’s leading sponsors.
Leading corporate partners have been left badly exposed by cricket’s lapsed pay agreement, as CA no longer controls the players’ image rights and are therefore unable to provide the protection against ambush marketing that giants like Qantas, Commonwealth Bank and Optus have forked out millions for.
PAY WAR: AUSSIE TEAM FOR SALE TO FOREIGN BIDDERS
PAY WAR: SMITH INSISTS PLAYERS WILL STAY UNITED
PAY WAR: ENGLAND GREATS FEAR FOR ASHES
The Daily Telegraph spoke to several of the sport’s corporate partners on Monday, and while some continued to play down the drama, others were outright damning of CA’s complete loss of control, with more than 230 players out of contract and no longer available to them.
CA can ill afford the crisis scenario of having major sponsors ask for their money back or walk away from unfulfilled deals.
KFC have been partnered with CA since 2003 and as well as backing the world-beating BBL they’ve also been naming rights sponsors for the Australian Twenty20 side.
The fast food icons stopped short of tipping their famous bucket on those in charge, but their pointed assessment that the ever-escalating situation has gone too far sends a clear enough message in itself.
“The dispute between Cricket Australia and the Australian Cricketers’ Association is unfortunate and one we hope will be resolved amicably as soon as possible for the benefit of the game,” a KFC spokesperson told The Daily Telegraph.
Mitchell Starc’s deal with Audi has left some sponsors feeling edgy, and it’s understood other leading stars are also set to announce similar car dealership arrangements in the near future.
Cricket Australia have indicated they aren’t concerned by Starc’s venture, given other leading players already have similar existing CA-approved arrangements with Toyota rivals.
Toyota issued a statement to say “we are confident Cricket Australia and the players (ACA) are working together to reach a mutual agreement, as soon as they possibly can”, sentiments also reflected by Optus.
The Commonwealth Bank declined to comment when approached.
Australian Cricketers Association general manager Tim Cruickshank has been in regular contact with sponsors concerned about where they stand with no MOU in place.
As revealed by The Telegraph, Cruickshank is set to fly to India later this week to discuss selling the collective image rights of the Australian cricket team to leading media companies in the subcontinent in a move aimed at supporting state male and female players out of pocket due to the dispute.
Cruickshank said the ACA is ready to help existing corporate partners who are worried about the lack of protection their multi-million deals are giving them and want access to players for promotional and advertising purposes.
“There’s no doubt sponsors are a bit anxious right now. This impasse creates a lot of uncertainty and having no MOU in place really exposes them,” he said.
“The commercial framework that was used during the expired MOU needs to remain in place to a certain extent; this is why we are communicating with current partners and offering our assistance wherever we can.”
One sponsor told The Daily Telegraph that CA risks eroding years and sometimes decades of trust they have built up with corporate partners by letting the drama drag for so long. Some are underwhelmed at the governing body’s assurances that the pay war wouldn’t damage their brands.
This was how Cricket Australia’s former general manager of operations Mike McKenna described the importance of corporate partners to cricket at a KFC sponsorship announcement in 2014. It gives some idea of what CA is potentially jeopardising in their fight to change the revenue share model.
“The relationship between CA and our corporate partners provides the financial foundations that underpin the success of the game, from the grassroots to the elite levels of competition,” McKenna said.
However, there is also a feeling from some around the game that players may only be biting the hand that feeds them by signing with rivals to CA sponsors — corporations that have effectively paid their handsome salaries for years and may continue to do so once a new deal is struck.”