Demetriou presided over the AFL during a period when Australian rules became a national sport. He also heard the same warnings that chair Peter V’landys and the commission are now hearing from their existing clubs.
The AFL went ahead anyway and emerged with a stronger and more valuable competition.
“We found that every time we expanded the competition … you had the same comments from clubs and they went something like this - where are they going to get the players from, you are going to dilute some of our distribution dividends, you are going to take some of our members, not enough sponsorship dollars, the standard and quality of the play will go down,” Demetriou told Weekend Read.
“Interestingly, we expended our competition three times and it was always though global financial crisis. The last one when the GWS Giants came in it came off the back of 2007 and 2008, and everyone thought this was our Armageddon.
“When the Adelaide Crows came in it was on the back of the global financial crisis in 1987-88. But what ended up happening was every time we expanded the competition, everything else grew - crowds grew, the number of players in the talent pool grew, all the revenues grew, sponsorships grew, revenue grew, broadcast rights grew, and interestingly the distribution to the clubs grew.
“So they didn’t go backwards. I think if you do it properly and you are bold - and I think V’landys is bold to be honest …. if you see it through, things should grow.”
Some people would point to the GWS Giants and Gold Coast Suns, and suggest expansion hasn’t necessarily been a good thing. Both clubs have struggled to gain traction in their respective areas, and come at a huge cost to head office.
Demetriou insisted had already paid their way despite the hundreds of millions that have and continue to be poured into the respective clubs.
“I haven’t got the numbers in front of me, I am not there any more,” he said.
“The two new teams cost a lot of money to put in. It is over $200-300 million over 10 or 20 years, But it has come back in broadcast rights, sponsorship, media.
“It has already paid its way. There is no doubt about that.”
Clubs ready to stand their ground on pay demands
The NRL extended an olive branch to their clubs this week when they offered them $7 million as compensation for being forced to move the game to south-east Queensland.
Under the offer, each club was given a slice of the pie contingent on how many home games they were forced to give up.
The clubs were grateful of course but there was a caveat. The offer they received also made it clear that any new funding would supersede previous arrangements.
The NRL and some of their clubs have been at loggerheads over claims that they are owed a combined $24 million under the terms of a deal struck five years ago.
The clubs have legal advice that the agreement still stands. The NRL has their own legal advice that it has been superseded by subsequent deals.
Just to end any debate, the NRL want the clubs to forego their claims in return for $7 million. It is understood some clubs have jumped at the offer.
Others are more hesitant given they stand to make a lot more should their legal advice be right over the $24 million clause, which is due to come into effect on November 1, 2022.
Ethan on the move
Ethan Bullemor is expected to be unveiled as a Manly player as early as next week, having finally secured a release from the Brisbane Broncos.
Bullemor is expected to sign a three-year deal with the Sea Eagles and give Manly some depth in the front row at a time when they could be set to undergo some upheaval.
Representatives for prop Marty Taupau are still exploring his options on the open market and there is every chance if a good deal comes along, he could be gone at the end of the season.
That’s why Bullemor’s signing is a coup for the Sea Eagles. It is understood the paperwork on his clearance from the Broncos has been finalised and all that remains is to ink the deal with Manly, which is considered a fait accompli,
The Broncos are expected to replace Bullemor with a more experienced forward capable of showing their young pack how to win.
Change on way at Titans
The Broncos aren’t the only Queensland club undergoing change in their playing ranks. The Gold Coast have already allowed Ash Taylor and Tyrone Peachey to leave, the pair having come to the end of their respective contacts.
It is understood Jamal Fogarty has also appeared on the radar of rival clubs despite only signing a new deal with the Titans earlier this year.
Perhaps Fogarty and his people can see the writing on the wall. The outstanding form of Jayden Campbell means he is likely to start next season at fullback.
That will mean a move for AJ Brimson to five-eighth, meaning only one of Fogarty and Toby Sexton will wear the No.7 jersey. Sexton is the future for the Titans and shares the same management company as Fogarty.
As for Peachey, he has been offered to the Wests Tigers and Canberra. The asking price is $400,000 a season and the clubs are unlikely to meet those demands. It means Peachey may have to reduce his expectations if he wants to find a new home.
Matterson on the move
Brad Arthur’s selection during the finals series has arguably provided a window into Parramatta’s future. Much has been made of the Eels cap concerns given the number of players they have who are about to enter the final year of their deals.
Ryan Matterson is among them, but so is Dylan Brown, Clint Gutherson, Marata Niukore, Isaiah Papali’i, Junior Paulo, Maika Sivo and Reed Mahoney.
The Eels have plenty of salary cap space for 2023 but all told it equates to about $4 million worth of talent and something has to give. Matterson seems like the most likely to give way given the way he has been used over the finals series.
He will play off the interchange bench this week and wasn’t even in the side on opening weekend. Parramatta are well stocked for back rowers. Niukore is expected to attract big offers in the vicinity of $500,000 from elsewhere, most notably the Warriors.
The Eels want to keep him but he won’t come cheap. Nor will Papali’i, who was signed on a bargain basement deal and will warrant a healthy upgrade. That leaves Matterson as the most likely to make way, having been shopped around by his management earlier this year.
The dirty business of new energy
Charities must stay away from slavery and funding political sides.
Seeing a doctor for ‘free’ is just not honest, GPs explain
Medicos have given a frank policy critique and a reality check.
The ARL Commission have found an unlikely ally in their bid to expand the premiership. As the game closes in on the addition of a 17th team - funding is expected to be confirmed soon enough and a final call could arrive as early as grand final week - former AFL chief executive Andrew Demetriou has chimed in on the benefits of adding a new team.