ARU denies it has squandered money by using smaller stadiums
The ARU has rejected claims it could have made millions more from the England series by playing in bigger stadiums.
The ARU has hailed its small-stadium strategy for the Wallabies series against England as a financial success, rejecting claims it could have made millions more in ticket sales by playing in bigger stadiums.
The first two Tests were played at Suncorp Stadium (52,500 capacity) in Brisbane and AAMI Park (30,050) in Melbourne, while the third will be at Allianz Stadium (45,500) in Sydney on Saturday night.
The Brisbane Test drew 48,128, while 29,871 attended in Melbourne. The Sydney Test is just about sold out.
Suncorp hosts all Wallabies Tests in Brisbane, while it has been ARU policy since 2012 to play northern hemisphere teams at Allianz Stadium rather than ANZ Stadium (83,500).
The ARU switched the regular Melbourne venue, Etihad Stadium (53,359), to AAMI Park, which has more than 20,000 fewer seats.
More than one prominent rugby identity has told The Australian that if the Melbourne and Sydney Tests were played in the bigger venues, the ARU could have earned from $3m-$5m more from ticket sales.
While the last England Test at ANZ in 2010 drew only 48,392, this year’s series was a promoter’s dream with former Wallabies coach Eddie Jones returning to Australia in charge of England.
The ARU claimed the small-stadium strategy was a financial success and delivered a better spectacle for fans.
“We had to look at what sort of absolute numbers we’d get through the gate versus the ticket prices for each of the different categories that we sell,” ARU general manager of operations and marketing Rob Clarke said.
“And the primary driver for us for this England series was preferably to fill our rectangular stadia for the best fan engagement outcome that we can deliver.
“It wasn’t just a qualitative analysis we were looking at, we were looking at a quantitative outcome as well.
“We think we’ve got the mix just about perfect. I can assure you the ARU is not in the financial position to be throwing money away. We are very satisfied with the financial outcome of these Test matches.”
Asked whether the ARU had maximised revenue for the series, Clarke said: “We have very comprehensive modelling that shows us over the last 10 years by Test match by venue exactly what numbers we got and what the return was and certainly so far out of both Suncorp and AAMI Park we are very, very pleased with those results and we don’t think Allianz will be any different because it’s sold out.
“We were mindful of the fact that an Etihad Stadium that isn’t full is not a great experience for a rugby fan.
“The atmosphere you can create at Etihad when it’s full is fantastic, but one of the things we learnt through that French Test in 2014 where we didn’t have a full stadium and the game itself wasn’t actually very entertaining was a poor fan experience.
“The strategy this year was very much about giving our fans an up close and personal experience through playing in smaller, boutique, rectangular grounds.
“We’ve been able to blend our ticket pricing to a point where the revenue return from those matches has met our budget. On the whole, we are very happy with the way it has come together.”
There is an argument that a team such as England, one of the biggest drawcards in world rugby, should play exclusively in Australia’s major rugby cities, Sydney and Brisbane.
“I don’t agree with it,” Clarke said. “We’ve got a national footprint. It’s a key part of our strategy.
“Melbourne is a very significant sports market.”
But the future of rugby at AAMI Park is up in the air after the playing surface broke up during England’s 23-7 win against the Wallabies last Saturday night, which embarrassed the ARU.
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