Price fixing and commercial competency

214

Getting full retail price for your replica match shirts changes the profitability of your merchandise significantly.  When Celtic sell a shirt through their retail outlets, they buy that shirt from through the manufacturer’s distribution on similar terms to any other retailer.  An item with a full retail price of £60 will have a gross markup of around £10.

If the discount retailers have access to the merchandise, they need to cut into that margin to drive business to their stores (online or otherwise), so will make do with a £5 markup.  If you are a consumer, the difference between an item at £55 or the same item at £60 is very little, but if you are a club retail operation, that 100% increase in gross markup, could see your net margin increase by around 300%.

If you are a club and want to protect your margin – all clubs do, this is not a bad thing – an exclusive deal with one retailer is the road to travel.  This is legal.  If you permit only two retailers access to your merchandise, they will either compete or have to illegally collude to fix prices.

This morning’s news that Newco and two retailers face charges of illegal price fixing is more a sign of commercial competency than a club exploiting its own fan base.  They are inexperienced and perennial underachievers compared to Celtic’s commercial team.  I’m less exercised on the desire to get an extra £5 for your shirts, they all want this, for the reasons outlined above.

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  1. Caught up with the highlights of the Germany – England game. Credit to Channel 4 re broadcasting the England games over the next two years or so. Likewise the FA. Less so Harry Kane for yet another offside/blatant dive effort to get the equaliser. Thought I heard on the radio that fifteen of his fifty goals for his national team have been penalties, a high ratio by any standard. Three short of Rooney’s “record” few of which were scored in major finals. At least Rooney amassed a haul of trophies at Manchester, whereas Kane is averse to silverware, even when he makes it to a final. As for Rooney the manager, despite the desperate efforts of the media to talk up his efforts, Derby County are now in the old division three, albeit possibly with new owners, so lets see how he does down there.

  2. Tom McLaughlin on

    Harry Kane is a fantastic footballer and a terrific goalscorer. What does it matter if some of his goals are penalties? They all count and kudos to him for being so deadly from the penalty spot.

     

     

    He broke my heart with his stoppage time equaliser at Hampden after Griffith’s 2 spectacular free-kicks, but that’s what great strikers do. He effectively knocked Scotland out of the World Cup as we would have qualified with the victory.

     

     

    While I like to see England lose, I can still appreciate great England players and Kane is up there with the best strikers in the world.

  3. FRIESDORFER

     

     

    Enjoy your holiday!

     

     

    Menorca for us on Tuesday!

     

     

    Canny wait!

  4. Tim Malone Will Tell on

    My general opinion of the Nations League is that it adds another load of fixtures into a congested schedule for a relatively meaningless competition.

     

     

    However, what I would say, having watched a couple of good games on C4, is that teams seem to be going at each other trying to win rather than the cagey stuff we are used to in more “meaningful” competitions.

     

     

    Certainly, last nights Germany v England game was end to end with a lot of skill on show – a bit more like fitba as we knew it before avoiding defeat at all costs became the norm.

  5. Celtic Soccer Academy extend partnerships with four clubs from the United States of America

     

     

    By Celtic Football Club

     

     

     

    Celtic Soccer Academy is delighted to announce that they have extended their existing partnerships with four clubs from the United States of America until 2025.

     

     

    North Texas Celtic Futbol Club in Dallas, Texas, McFarland Soccer Club in Madison, Wisconsin, Kenmore Soccer Club in Buffalo, New York and Elkhorn Athletics Association in Omaha, Nebraska will all continue to receive support from the Soccer Academy to develop players, coaches and infrastructure over the next three years.

     

     

    These long-term partnerships involve the sharing of club methodologies through our coach mentoring programme, access to our coaching curriculums, coaching camps, and will also provide an opportunity for both players and coaches to travel to Scotland and receive a behind-the-scenes look at how Celtic develops young players to reach their potential.

     

     

    McFarland SC, and Kenmore have been partnered with Celtic for over five years, while Elkhorne Athletics Association has been a partner since 2016.

     

     

    The three year extension will see the Celtic Soccer Academy and North Texas Celtic in a decade-long partnership

     

     

    Carrie Langford, CEO of North Texas Celtic FC said: “It’s been the closest and most wonderful relationship we have had as an organisation.

     

     

    “Every year, we have brought players to Glasgow to train at Celtic FC with the Academy and with the women’s team creating some strong and very close friendships.”

     

     

    Celtic’s International Soccer Academy Manager, Ray Hewitt said: “We are extremely happy to re-sign all of the partners from the United States.

     

     

    “It is important that we continue to create long-term relationships with partner clubs, like those from North Texas Celtic and Elkhorn Athletics, to allow both sides of the partnership to fulfil their commitments in developing the game across the globe.

     

     

    “We are excited to continue working with all the clubs and help support their growth and development over the next three years and beyond.”

  6. Of course for those more cognisant with the rule book (Laws of the the Game) it might just matter if a penalty should not have been awarded in the first place. Less so for others.

  7. Tom McLaughlin on

    CELTIC MAC

     

     

    I didn’t think it was a penalty last night. Kane took a dive when he realised the ball was going beyond him. I said this last night.

  8. Friesdorfer at8:18

     

    Really envious that you are holidaying in Turkey. Been missing Turkey these last few years after 12 years on the trot. We keep in touch with the folks out there and plan to go back next year with whole family.

     

    TURKEYBHOY’s updates on the inflationary shenanigans have been interesting. Enjoy your hols and the Efes. Looking forward to your review at holiday’s end.

     

    P.S. Where in Turkey are you going?

  9. tom mclaughlin

     

     

    Then it does matter if some of his goals are penalties.

     

    Actually the award was contentious, for a couple of reasons. One, that Kane was offside when the ball was originally played forward but was ruled onside, I think, by a possible touch on the ball from the defender, (shades of Benzema last week) and two the question of whether Kane was fouled at all, as in sufficient contact to cause him to go down. And proof positive I think, that VAR will not necessarily benefit an attacking Celtic in the SPL next season.

  10. Those heading for Turkey please don’t let the MAD ONE know.All you will be doing is exploiting,in his words,the poor people of,wait for it,Asia Minor !!!!!.

     

    Think I will move to Asia Senior.Anyone know where it is?.

  11. Tom Mac,

     

     

    I agree with you on Harry Kane.Has got even better since he has been given the chance to drop back a bit.Great vision,and passing ability.Must have assisted in most of Son’s goals.

     

    Great footballer.

  12. Tom McLaughlin on

    Celtic have removed the green covers arou d the walls of Celtic Park and will replace them with new covers in the next few weeks.

     

     

    No details have been released, but my preference would be white coverings as a background to new pics and wordage.

     

     

    Brighten the place up a bit.

  13. Tom surely you can’t replace new Celtic Banners without refreshing other structures,The whole stadium especially on the outside needs a big cleanup,some fans will be fed up with me continuing going on about it being upgraded,also I have mentioned Barrowfield to ,I just want our Stadium looking good and as promised for Barrowfield some parts of it opened to the community in the east end of Glasgow.,

  14. My suggestion is electronic signage, which can be updated immediately, and apart from showing ads, show various other Celtic connected items, images, ie Ticket sales, starting time team news etc, you know what I mean. Mind you with the cost of lekky going thru the roof, maybe not !! :))

     

    por cierto

  15. ST TAMS on 8TH JUNE 2022 10:36 AM

     

    FRIESDORFER

     

     

     

     

    I’m off to Turkey on Sunday.

     

     

     

     

    Whereabouts are you going?

     

    ————————–

     

    Merhaba

     

     

    I am off to Turkey on 2 July. Alanya

     

     

    D :)

  16. I see that renowned upholder of truth and honesty, Dave King, has denied the accuracy and validity of the judgement that said Sevco were running a cartel on their replica strip prices:-

     

    ————————————————————–

     

     

    But King – in charge of the Ibrox giants during that period – refutes the allegations in the Herald.

     

     

    He insists he was “not aware” of any price fixing and added it would have been impossible for the likes of managing director Stewart Robertson to have entered into any agreement without his say-so.

     

     

    King said: “I was absolutely not aware and, due to the club’s prior embarrassments with retail, James Blair and I kept such a tight control over all commercial contracts that I don’t believe it was possible for Stewart (Robertson), or any other executive at the club, to enter into such an arrangement without my knowledge.

     

     

    “Absolutely not true to my knowledge. Based on the hardships that fans had endured I preferred to keep the prices as affordable as possible while still providing a profit for reinvestment into the squad to win 55.”

     

     

    But Rangers countered the accusations in a statement earlier this week. They said: “The Rangers Football Club Limited confirms it has today received a Statement of Objections (‘SO’) from the Competition and Markets Authority (‘CMA’) which sets outs the CMA’s preliminary findings in relation to its investigation into the pricing of Rangers-branded replica football kit between September 2018 and November 2018.

     

     

    “The SO represents the CMA’s provisional view only. It is not a finding that Rangers has broken the law and does not mean that the CMA will issue a final decision or impose a fine on Rangers.

     

    “Rangers is committed to operating its business in full compliance with all laws, including competition law, and treats this matter very seriously.

     

     

    “As such, Rangers will review in detail the CMA’s preliminary findings and will be submitting its response to the CMA in due course.

     

     

    “Rangers notes that it has cooperated with the CMA since the investigation was initiated and will continue to do so.”

  17. Tom McLaughlin on

    TIMBHOY163

     

     

    I know you have regularly championed the need for a stadium upgrade of Celtic Park in these columns and I agree with you 100%.

     

     

    As you and I have both said on more than one occasion – the South Stand is a disgrace and needs to be pulled down and rebuilt.

     

     

    The replenishment of the covers around the exterior of the stadium, while welcome, is merely a cosmetic exercise and a very small part of the bigger picture.

  18. Tom McLaughlin & TimBhoy163:

     

     

    And a fans’ cafe beside the Superstore would be nice also.

     

     

    notgoneawayCSC

  19. DAVID66

     

    Enjoy

     

    I’ll be celebrating my 62nd birthday that day.

     

     

    I’m off to Side

  20. Thanks Tom for the reply on Celtic Park,also Almore saying about a fans cafe outside I’m all for that ,better than the pie in the sky Hotel

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