Some thoughts to the 70% increase in English Premier League TV income:
Our financial strategy
Stop feeling sorry for ourselves. We are not part of the easy-money league, so instead of complaining about Burnley’s financial strength, exploit the massive inefficiencies in England. Lazy recruitment strategies, unscientific risk-taking and chronic managerial processes put a lot of money on the table for those who know how to run a football club properly.
If your forward business model involves selling players, better to be close to a rich, lazy, unscientific and chronic league.
Player values
After the last increase in TV income in England was announced transfer fees appreciated markedly, even before the increase came into effect. Forgive the impersonal language, but player commodities are more valuable this week than they were last week, not just in England, but in Scotland and everywhere else.
The goalkeeper we sold for £10m last summer would command a higher fee, if we sold him next summer. A player we ‘hoped’ to earn £7m from selling should now have his target value adjusted to £10m.
More than ever, it is important to manage playing assets. Buy assets with development potential, hoard their registrations if necessary – Benfica employ and loan-out players to top leagues who would easily get into their first team. It helps build the player’s value, which helps build Benfica.
Player trading velocity
If player trading is important going forward, my hunch is that trading velocity should increase. To do this properly, it is absolutely crucial we invest more in the scouting process. Scouting and recruitment is as important to the club as tactics and team selection. Resource it accordingly.
SPFL TV deal
I’ve read lots about what we should do next in Scotland with regards to our TV deal, some ideas have merit, some not. What is perfectly clear is that the current deal is practically worthless. We must change. The potential downside is almost immaterial, as we’re starting from such a low point.
Bin SKY and BT, go it alone, or get one of the new media players involved, or better still, collaborate with the Dutch league, which has its own TV channel, have learned some lessons, have many of our challenges, and would benefit from the fresh content we could provide. There are more leagues in Europe with exactly the same challenges, if a pan-European league is a step too far, a collaborative TV infrastructure is a good start.
In football TV terms, we are the Straw Man, with nothing to lose. Lead a path away from Sky and BT, educate fans on how to link up with Virgin, Amazon or an equivalent, do something genuinely radical.
The Bubble
It’s a bubble. Just because the English TV market has not burst, doesn’t mean it’s not going to. Ask yourself a few questions:
Is this level of contract affordable by Sky or BT?
Will this new cash make the downside of relegation from the EPL any easier?
Will this cash make EPL clubs any more likely to change their business model, specifically, will they be more likely to spend less because they no longer fear relegation?
No, no and no. The downside of relegation from the EPL will become more onerous and clubs will fear relegation more.
Sky are enjoying enormous market power but the entrance into the market of Amazon Prime, Netflix and others, while the offerings from Virgin and BT have matured, leaves Sky open to competition in the TV and film market in the future which they have never experienced before.
You no longer need Sky to watch multi-channel TV, round-the-clock news, recent or legacy films. Their failure to maintain future Champions League rights, together with the fact that they are legislated out of the World Cup and European Championship rights, reduces their assets down to one lucrative prize: English Premier League football.
English Premier League football is the asset they are betting the farm on. They need this and as long as the ‘farm’ exists in the form of a nation uniformly consuming TV through them, they will pay whatever they can to retain these rights.
BT are in the process of buying market share. They are vastly better funded than Sky and need a strategic place going forward (which traditionally telephony isn’t).
It’s not a case of if Sky’s ability or desire to pay changes but when. Then the bubble will burst, then football will plunge into a reverse gear.
Until then, we play the system.
Busy week for CQN11 St Patrick’s Dinner bookings (Friday 13 March, Kerrydale Suite, Celtic Park). Email me for booking details, celticquicknews@gmail.com
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Bada Bing
Noticed your comment about the ‘Fargo’ TV series late last night.
I might have the wrong poster, but I remember it being discussed on here last year, and someone who had loved the film didn’t want to watch the TV version as he had found the film almost flawless.
Just wondered if it was you, and had changed your mind.
Sorry if I’ve got you wrong!
It could be good for you!!!!
Sevco fans seem to think the EGM is the answer to all their problems … I think a Happy Ending is still a long way off ….
http://www.onfieldsofgreen.com/a-happy-ending/
hrvatski jim
Excellent comments, based on RD’s interview.
It must kill Doomcaster to hear a Scottish manager talking positively about the game, whilst pointing the SFA in the right direction.
Livibhoy,
I share your views on Kompany, albeit with limited viewing of him.
My suggestion of City signing VvD and leaving him for a season, along with Jason, is wishful thinking on my part.
It is obvious that we are a feeder club for players to use as a stepping stone to a higher level of league and salary.
Dundee Untd, etc., are a stepping stone to us, lower down the chain.
That’s the way of the football world.
The way I see it we have two options:
Options One
Call their bluff, be prepared to set up our own tv channel. I’m not happy to pay for Sky as I don’t watch a lot of English football, but if the channel offered decent quality Celtic coverage I’d pay a monthly fee, reflective of not showing EPL games and other sports but a few games a week.
The money Sky pay is pathetic, it’s an insult and I would estimate it is not in-line with viewing figures. Give us a reasonable deal (and by this I mean at least double) or take a running jump. I would say a boycott would work well, and it would, but it won’t happen.
Going it alone (as in Celtic, or Scotland as a whole) will at least drive up competition. If it works it could be more lucrative, if I sizeable chunk of Scottish (and ex-pat) subscriptions switched it would certainly get Sky and BT’s attention.
Option Two
Offer summer football. I really don’t understand the ‘people go on holiday argument’ – aye? So what? People go on holiday at Easter and Christmas and other times of the year as well? They do Christmas shopping etc. Not everyone does everything at the same time – if they did we could skip a weekend and problem solved anyway.
The TV companies would love a league they could run over the summer, negotiate on this point and surely the offer would rise dramatically.
There could be an issue with international competitions but in reality only Celtic are effected by this and we should be able to get by while players are away. It may cause issues further down the line if more money leads to more internationalists at a higher level but we’re not really there right now.
And for crying out loud summer football is a must, regardless, and youth and amateur level! Why do our unders teams need to follow the same pattern as the professional ranks? It makes no sense. Less call offs, better standard of pitches, higher involvement and better football might just lead to better players in future generations.
Going to be at Belfast International tomorrow. Unfortunately not part of a welcoming party for the Hootenanneyers.
Im heading for Barca and I thought I might try out CQN TripAdvisor for any tips on decent places to eat.
I know WDH has posted plenty of times of a Michelin star place in the Gothic Quarter.
Im travelling in a group of 8 (4 couples) so any personal recommendations would be great. Maybe without the Michelin prices though.
Will check back in later.
Thanks in advance
HH. s
I agree with some of what Paul67 says in today’s article, we must explore other avenues for Scottish football and TV.
I also agree that the EPL is a bubble that will burst, unfortunately that may be some time away.
Something I don’t think Paul67 is considering though is all those supporters of other sports that subscribe to sky.
I love Rhyder Cup, Lions Tours, international cricket and various other sports that are on Sky. I don’t however pay for it as I usually rely on streams. Sometimes they are great but not always.
For me once SKY is solely availible through the internet this will be when the bubbly will burst. Using satelites to broadcast TV is not cost effective compared to the revenue generated by these same satelites if they are used for mobile phone.
Once Sky and others are forced to stream online then it’s a free for all and the market will colapse.
As others have said previously the way ahead should be SPFL TV on youtube or similar.
Livibhoy
Citeh didn’t have their Ya Ya out on Wednesday against Stoke, but won 4-1 at the hardest away ground for the top 4 or 5 to gain points, apart from against each other.
They also scored 3 magnificent goals, the third,I think from Milner,being the result of a brilliant interchange between Nasri and Silva.
After seeing how well Barca played in their last couple of games, that should be a cracking CL tie.
Inter .
Media predicting that Podolski will play v Atalanta thus allowing Palacio to be rested before the Celtic game.
Same people also predicting that Campagnaro will replace the injured Nagatomo and that Brozovic will play on Sunday thus allowing Kovacic to be rested before the Celtic game.
Setting up a TV channel:
http://media.corporate-ir.net/media_files/irol/10/104016/presentations/BSkyB_SSSL_Published_PriceList.pdf
From the BSkyB document attached. Realise it is very old it would cost around £150k a year to get a channel to air.
PPV is obviously the way to go for Scottish football and I would say £5 per month would be a sound subscription.
100k subscribers is £500k a month. Obviously bars and clubs would need to pay a premium on that. I would approach big Scottish brans for sponsorship. You want to promote how Scottish you are then support our game. Put pressure on them and get the MSP’s to help Scottish football out by asking them to speak on behalf of the football supporting nation (the people who vote for them). More people talk about football than politics in my work. How do get on the nations side and get more votes? get our football sorted. I’m sure the MP that helped Hearts out will coast to his seat this May.
We then have a channel to sell world wide. We can undercut almost every other nation because we have a zero starting point. We can sell advertising revenue. It would also be important to make the channel free to view one day a week. I would suggest a Monday for the highlights and the game of the weekend in full. This would entice more subscribers. There would also be a terristrial package which would include highlights.
Now £500k a month means that we are not improving on our current deal. It means we are worse off but that is just subscriptions it’s also a very low estimate. You then factor in sposnorship. Selling the game abroad, etc.
Would other channels be interested in our goals and highlights? Probably.
I guess it would cost about £30k to film a football match and the expertise lies with the companies that the league may be competing with but Setanta done it and they were major players from nowhere. I’m sure that the Irish broadcasters would be willing to share some expertise.
Our own channel for Scotland should be something that is looked at and we can set our own KO times and compete.
Here’s a thought. Reduce ticket prices and make the Saturday games 1pm KO’s and make the TV match a 3pm KO. Live football 3pm in Scotland on the TV. Watch how many pubs and other subscribers come on board with that happening.
If the BBC and Sky/BT don;t want to play ball then show some ambition and mix it up.
Nobody is helping our game so we help ourselves.
LB
as i say unionist scum
Any bhoys in Vilamoura want to hook up for game tomorrow let me know
Hail hail
beatbhoy
I didn;t say City were terrible just that in my opinion they had a golden opportunity to have two fantastic CB’s for the next decade in their team. I hope they don;t though.
It was a strange result at Stoke City they have been quite impressive this season but injuries have hit them. Watched them in the FA Cup a few weeks ago and was impressed. City should be bagging those scorelines against Stoke though comparing monies spent on players.
LB
Greenyin …
Get a Grip!!
beatbhoy : Yeah. I got that. One Graeme would be proud of.
It has to be said, a certain Kevin Muscat is surprisingly AWOL from that list.
I recall him putting one player out of the game (for good) with one truly superb effort.
Sadly, I can’t find any video of the tackle I am thinking of.
Now, I wonder, which Glasgow team did he play for again….?
https://twitter.com/thaitims/status/566228635632537600
HAIL HAIL …. !!!!!!!!
Paul 67
The player trading element of our business is by a mile the most important source of non fan income. That’s not telling you or the club anything new obviously.
What is critical in all of that is we can and should become the “go to ” club outwith England , for both players and English clubs , for players who want a stepping stone to the “Promised Land” of England , while it lasts.
The more we can develop and sell players like Ki,VW , FF and , inevitably, VVD (and you could probably have included Izzy and Kayal in that list were it not for injuries) the more we position ourselves in that role.
Of course, we’d all prefer to keep the very best and play our way to glory and riches but that is a dream which , for the moment , stretches further away.
It has always been that way , of course, going back to Charlie Nicholas, KD , Crerand and even earlier to McGrory ( still, as an aside, our greatest ever player IMO) , albeit that he is different of course in that , possibly uniquely in our history , he had the chance to become the most expensive player in history at a time when he was probably the most lethal striker on the planet and declined to leave.
Indirectly, isn’t it adverts for gambling that are keeping the show on the road for Sky and BT?
There are many blights on football – in-play gambling and betting on just about anything related to the game can’t be a good thing. We are in the process of watching an ever more corrupt game vanishing up its own erchie if we are not careful.
Lots of futile debate on Scottish football value – bottom line, nothing creative or inventive will happen as long as Doncaster and regan are ruining our game. His way of promoting the game is to threaten Armageddon. Who would invest in a product you disrespected ?
bobby murdoch’s curled-up winklepickers
14:21 on 13 February, 2015
Glad to help . Hope you all have a super time .
HH
beatbhoy-i had the film Fargo on planner 3 or 4 times and never got round to watching it…..i thought the series was really good,Billy Bob Thornton (with a great wig:) ,and Martin Freeman excellent,other bhoys on here might be better to reply,cheers HH
Sicilian radio pundit predicting this v Celtic
Handanovic/ Juan Jesus / Santon / Ranocchia / Campagnaro / Medel / /Guarin / Kovacic / Shaqiri / Palacio / Icardi
1 Italian !
67 heaven.
Fuzzy Friday glow after looking at that pic.
Braw stuff. :))
City get some terrible results, and it seems they lose focus unless it’s a ‘big’ game.
Of course they miss Toure, what team wouldn’t, but, as you say, should still be able to win most games with the squad they have.
Inconsistent at times, but capable of some wonderful football.
For Livibhoy, sorry.
Belfast Bhoys have a right good time and remember to come home:))
of what?
watching wee jay winning goal of the month there, and then Lenny speaking about him on SKY, not ashamedto admit i got a wee teary eyed.
god bless them both
We also need to get out of the pit of talking our own game down. Look where that has got us. Look where talking their own, often dull game up, has got the English.
Be positive and maybe the TV companies and sponsors will see us in a positive light.
The media are much to blame for what has gone on in the past with their constant negativity… maybe RD has a part to play in changing that. Aberdeen, Dundee Utd also.
and god bless big sammi as well
angelgabriel
13:58 on
13 February, 2015
Apparently Aberdeen have been refused further tickets from Celtic for the league
game on Sunday March 1st.
1800 sheep have purchased tickets.
Empty seats make no sense.
Do Celtic think we’ll have a full house for
a ridiculous midday kick off ?
=======================================
Sell out or not is irrespective for a few reasons.
1.Empty seats dont wreck toilets.
2.Given previous damage 1800 is a manageable number.
3.Revenue from increased sales may not cover additional stewarding and damage.
4.We have consistently supported Aberdeen as an away fixture when they were half full,yet we are now being squeezed, re our allocation, which is only part covered and gives un-restricted views of the North Sea.
So having analysed the facts and given the Fiscal aspect consideration……………………….
Stuff them.
Neganon,as usual,your anti Nats rhetoric comes to the fore.Yes,we have accepted the vote.There will be another.In the meantime,you will see in May what real democracy is.
You harp on and on about the “Act”to try and hammer the SNP.You totally fail to mention the corrupt government in power in Westminster.The “Sex scandal”cover up.The shocking abuse of “Expenses”.I wont go into the rest because its a waste of time with you with your blinkers on.Roll on May when we will have a real Scottish government,with teeth.
Afternoon
Bad day at work. Feeling more than a little sad as the ray of sunshine that made it bearable moves on to greener pastures.
FeelingsentimentalCSC
Jimbo67
Ooopla !
Sorry ! 2 Italians ( Ranocchia / Santon ) not 1
Pod i
13:53 on 13 February, 2015
Now that’s a map.
Many thanks
HH
Excathedra44.
I was blissfully unaware of extensive
sheep vandalism.
If so, as you say.
Stuff them .HH
mullet and co 2
13:04 on 13 February, 2015
The sky bid will cost £300m more than analysts forecast they could go to. This means they are stripping out cost from the rest of the business to pay for it.
A lot can change in football and certainly in daily business that could mean sky’s risk is huge.
In the interim we should do all that Paul says and we press Uefa to wake up and smell the coffee and see that they have an inferior product .
This is a great point. Sky TV have openly stated that their bid will have to funded from cost savings elsewhere in their business. This will not be low numbers of high earners, it will be large numbers of modestly paid call centre and processing centre workers who will see their jobs either taken off shore or automated.
The irony of ordinary working people losing their jobs so that Sky can charge them ever increasing subscription fees is unbearable.
Sevco as big as 15/8 and Hibees as short as 11/8 tonight, hate it when the bookies catch on to the obvious.