MCG cash battle over multimillion-dollar advertising boards
A fierce fight is on for the lucrative contract to sell advertising space inside the MCG and Marvel Stadium during AFL matches.
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A fierce battle for the lucrative contract to sell advertising space inside the MCG and Marvel Stadium during AFL matches is heating up.
The league quietly put out a tender for the deal to operate the digital signs on the boundary line at both grounds, worth tens of millions of dollars.
Tensions are now rising as TLA, formerly owned by Collingwood chief executive Craig Kelly, is taking on incumbent advertising company MKTG.
Industry sources say TLA has been working hard on its bid, while MKTG has the runs on the board to ensure delivery of the rotating ads that are prominent during television broadcasts.
Kylie Rogers, executive general manager customer and commercial, is heading up the process.
The deal had been expected to be finalised before Gillon McLachlan quit as chief executive but may now be delayed.
“The AFL is currently running a tender process for the signage and content contract at the MCG and Marvel Stadium from 2025 and beyond,” the AFL said in a statement.
“MKTG are a long-term partner and have the current contract to manage these assets up until 2024.”
It comes as new details have emerged about AFL general manager of commercial Peta Webster’s study visit of the United States funded by MKTG.
Ms Webster was last year given a guided tour of LA Live, formerly the Staples Center and the SoFi Stadium, the home of the NFL team the Los Angeles Rams.
Ms Webster also attended an Angel City women’s soccer game – the team is owned by Serena Williams, and actors Natalie Portman and Eva Longoria.
Ms Rogers has previously gone on a similar trip, at MKTG’s expense, as part of its deal with the AFL.
“As part of our partnership, we collaboratively attend and research world’s best practice at venues domestically and internationally,” the AFL said.
“Once the tender process is complete, the AFL Commercial operations department will work with all partners on next steps, with the end goal delivering a best in-stadium experience for fans and clubs.”
Brad Hardie first reported details of disquiet about the deal on WA radio.
The in-ground advertising boards are seen as one of the AFL’s most prized assets.
Companies’ names are emblazoned on digital boards that roll over during coverage and are prominent at boundary throw ins.
A 30-second television commercial during the AFL grand final can cost up to $175,000 but there are concerns that people tune out to scroll their phones.
The MCG and Marvel Stadium boards cannot be avoided during television broadcasts.
Advertisers also value the boards because up to 90,000 people see them live when they attend a game.
The Herald Sun is among the advertisers who use the screens, along with tableware brand Maxwell Williams.
The AFL is offering TLA and MKTG the rights to all the signage in the ground, as well as the advertisements on the scoreboards.
The winning company can then sell that space to advertisers.
Mr Kelly sold out of TLA in 2019, when it was purchased by QMS for $32 million.
He remained as chief executive until he took the top job at Collingwood in January,
The 1990 Premiership player’s resume was lauded when he was announced as the club’s new boss, with a news release detailing how he founded TLA in 1996.
stephen.drill@news.com.au