Dragons CEO Peter Doust responds to #saveoursaints critics over future of NRL club
PAUL KENT THE DAILY TELEGRAPH APRIL 16, 2015 8:05AM SHARE
What started as a flood of protest following the Dragons opening two losses has quietened all but the hardcore Dragons fans, who have maintained their commitment to force change.
Dragons chief executive Peter Doust maintains he has legitimate answers to all their concerns, but admitted in the absence of a broad platform not all his answers are being heard and that sometimes misinformed comments are being interpreted as fact to fill the void.
So last week I Tweeted to #SaveOurSaints fans to send me their questions and I would present them to Doust.
Most were repetitive, some irrelevant, but on Wednesday I spoke with Doust and put the pertinent questions to him.
TRANSFORMED: Red-hot Dragons flying again
SHARING: Honest best policy for defensive Dragons
Dragons CEO Peter Doust has stood firm in the face of critics as the football team have i
Dragons CEO Peter Doust has stood firm in the face of critics as the football team have improved.
@Chrys_Xipolitas: What specific steps are you taking to move away from reliance on debt from the NRL for survival?
Doust: The Dragons have a four-year business plan, which has been approved by the board and the ARL Commission and includes the elimination of debt by 2017. Its about growth through revenue, through a number of strategies: right game right venue, marquee game growth, membership growth and attendance growth.
@rvpredv: Doust is a big believer in organic growth. So he says. Why let go of our best juniors?
Doust: You cant keep them all. We have kept a lot. But when other clubs want to pay overs, in our view, we have to keep our salary cap balanced for the future. Brett Morris is a particularly good example of a club (Canterbury) that wanted him to play fullback and we already had a fullback.
In contract. Sometimes you dont get to have a choice. We dont want to pay overs because we need to keep our salary cap balanced in the future.
We were trying to retain a winger, not pay a fullback. As you know, theyre part of the spine and weve already got one.
@NRLman:what do you think of ANZ stadium offering free/discounted tix to our home games after Red V members have paid full price?
Doust: Members tickets are discounted and membership programs include many other benefits such as discounts on merchandise, access to players, community days, fan days, signing sessions. Anything we can do to provide value for families is a good thing, and these special offers are just that.
Some Dragons fans havent been backwards with their criticism of the club management.
Some Dragons fans havent been backwards with their criticism of the club management.
@uncle_hair: a RedV member on the hill wants to play a part in how his club is run. What process must he go through to get on the board?
Doust: Since the joint venture was set up voting rights were established through the licenced clubs. So the member has to stand for election to the board of the licenced clubs. But we are going through a review of our governance.
Its time after 15 years. As the Leagues Club has diminished its contribution to football, its appropriate to consider a review of joint venture governance.
Our review is real. It started last year. It includes input from the NRL, a review of best practices in other sport. It takes in consideration of private ownership models and membership representation.
@michaeljf69: FULL details of the review mentioned in the SMH. Is it a real review, info gathering or just to placate angry fans?
Doust: Its a real review. It started early last year but its a detailed process we need to go through. Its not something you should hurry because it will sit with the club for a long time in the future. It needs to be researched and we need to get it right.
@LukeMcLachlan1: I would like a complete review of food & beverage prices @ Home games. Currently iron ore is cheaper then a pie & beer!
Doust: Venues set the price for food and beverages, not the clubs. But its something were working on. Weve recently introduced member discounts in co-operation with ANZ Stadium and at Kogarah and were looking to do the same at WIN.
@NRLman: we hear you sold our 4 home games for $100k per game. Is that true and do you think that is fair value?
Doust: The movement of the four games provided over $1 million per annum. And we see that as part of our long-term strategy for sustainability of the club. And its enabled us to put in place a growth program.
The cost of suburban grounds are escalating and the NSW Government has made it clear theyre not interested in investing. We run the risk of being left behind by some of the bigger brands that are playing at these bigger venues.
The Anzac Day marquee game is a good example of where we want to be. It enables us to keep playing games at WIN Stadium and Kogarah. In a crowd sense weve got to remember that our crowds last year increased from 12,400 to 16,600 under the right game, right venue strategy.
@rvpredv: right game right venue is a fail. Kogarah would of handled 20k fans. Atmosphere electric. Sold our soul for $$$$
Doust: Right game, right venue is a four-year plan. Our year one were as anticipated in 2014. Its too early to conclude it failed. If you look at the history of the Bulldogs and Rabbitohs theres enough valuable analysis to support that it works.
Twenty thousand people would still have not been accommodated at Kogarah or WIN because theyre licensed for less than that. Our average at the bigger grounds is 24,800. On average, we get a sign-on fee and a guarantee per game at the bigger venues.
To open the gates at Kogarah or WIN costs the club is $100,000 a game. Weve got to bring in big screens, pay for traffic management and security costs.
Thats infrastructure provided free of charge at the bigger venues. Its because we have these bigger games that we can afford to keep games at WIN and Kogarah.
One subsidises the other. The mix is keeping faith with our traditional grounds while providing the opportunity for growth.
(KENT:All five games at bigger venues are the Dragons five biggest crowds since rd 1 2014. Kogarah average: 10,556. WIN average: 11,583).
@jim_zaf: why should the leagues club continue to control the JV board when it has decided to withdraw financial support from JV?
Doust: The Leagues Clubs arent withdrawing financial support. They will remain providing over $1 million per annum, but this is why we are reviewing governance structure.
@jimkat2: if the club continues to struggle financially, at what point does he become accountable & what would the outcome be?
Doust: Its not true to say the club is struggling financially. We have a clear business plan approved by the board and commission, which will see the club be profitable by 2017. Remember, only two clubs in the game are presently making a profit. My accountability is reviewed by the board and the NRL and my peers, what can I say?
@lukej83: why do members not have voting rights until 3 years of membership after signing up to a 5 yr membership?
Doust: Thats a Leagues Club regulation, it doesnt apply to the football club and its a standard convention of the Licenced Clubs Act. While on membership, we are reviewing our whole member consultation program.
Were revamping it. Because its clear a sector of our membership want to be heard so were going to review our consultation process. Theres only one club (South Sydney) that has member representation on boards of their clubs at the moment.
Were going to include more direct communication with our members. Were going to introduce a members advisory forum and ask members to nominate to be a part of a regular meeting on issues. We introduced a suggestion box at last weeks game.
Things appear to have turned around for the Dragons on the field.
Things appear to have turned around for the Dragons on the field.
@Chrys_Xipolitas: Board considering changes to governance at the Dragons several times. What are the specific changes and when will they occur?
Doust: We are considering it but again its not something we need to hurry because it will sit with us for a long time.
@saintredsfc: leagues clubs contribute $0 in funding now. Why are directors of FC board appointed off leagues club board?
Doust: Its not true to say the Leagues Clubs contribute no funding. But one of the things were reviewing is private ownership, or having more independent directors.
@michaeljf69: Fans get told they dont have the relevant information to make informed decisions, but everything is then in-confidence?
Doust: I dont accept the fact everything is in confidence. There are certain things in contractual terms you have to keep confidential. But we are committed communicated to members, fans and corporates. Our business plan is on the website and has been since May 2014.
@saintredsfc: doust says new plans approved by @NRL will make #RedV profitable by 17. Any details on these plans.
Doust: As I said, the business plan has been on our website since May 2014. Its in the annual report. The details are in the annual report. Its something we have made fully available.
PAUL KENT THE DAILY TELEGRAPH APRIL 16, 2015 8:05AM SHARE
What started as a flood of protest following the Dragons opening two losses has quietened all but the hardcore Dragons fans, who have maintained their commitment to force change.
Dragons chief executive Peter Doust maintains he has legitimate answers to all their concerns, but admitted in the absence of a broad platform not all his answers are being heard and that sometimes misinformed comments are being interpreted as fact to fill the void.
So last week I Tweeted to #SaveOurSaints fans to send me their questions and I would present them to Doust.
Most were repetitive, some irrelevant, but on Wednesday I spoke with Doust and put the pertinent questions to him.
TRANSFORMED: Red-hot Dragons flying again
SHARING: Honest best policy for defensive Dragons
Dragons CEO Peter Doust has stood firm in the face of critics as the football team have i
Dragons CEO Peter Doust has stood firm in the face of critics as the football team have improved.
@Chrys_Xipolitas: What specific steps are you taking to move away from reliance on debt from the NRL for survival?
Doust: The Dragons have a four-year business plan, which has been approved by the board and the ARL Commission and includes the elimination of debt by 2017. Its about growth through revenue, through a number of strategies: right game right venue, marquee game growth, membership growth and attendance growth.
@rvpredv: Doust is a big believer in organic growth. So he says. Why let go of our best juniors?
Doust: You cant keep them all. We have kept a lot. But when other clubs want to pay overs, in our view, we have to keep our salary cap balanced for the future. Brett Morris is a particularly good example of a club (Canterbury) that wanted him to play fullback and we already had a fullback.
In contract. Sometimes you dont get to have a choice. We dont want to pay overs because we need to keep our salary cap balanced in the future.
We were trying to retain a winger, not pay a fullback. As you know, theyre part of the spine and weve already got one.
@NRLman:what do you think of ANZ stadium offering free/discounted tix to our home games after Red V members have paid full price?
Doust: Members tickets are discounted and membership programs include many other benefits such as discounts on merchandise, access to players, community days, fan days, signing sessions. Anything we can do to provide value for families is a good thing, and these special offers are just that.
Some Dragons fans havent been backwards with their criticism of the club management.
Some Dragons fans havent been backwards with their criticism of the club management.
@uncle_hair: a RedV member on the hill wants to play a part in how his club is run. What process must he go through to get on the board?
Doust: Since the joint venture was set up voting rights were established through the licenced clubs. So the member has to stand for election to the board of the licenced clubs. But we are going through a review of our governance.
Its time after 15 years. As the Leagues Club has diminished its contribution to football, its appropriate to consider a review of joint venture governance.
Our review is real. It started last year. It includes input from the NRL, a review of best practices in other sport. It takes in consideration of private ownership models and membership representation.
@michaeljf69: FULL details of the review mentioned in the SMH. Is it a real review, info gathering or just to placate angry fans?
Doust: Its a real review. It started early last year but its a detailed process we need to go through. Its not something you should hurry because it will sit with the club for a long time in the future. It needs to be researched and we need to get it right.
@LukeMcLachlan1: I would like a complete review of food & beverage prices @ Home games. Currently iron ore is cheaper then a pie & beer!
Doust: Venues set the price for food and beverages, not the clubs. But its something were working on. Weve recently introduced member discounts in co-operation with ANZ Stadium and at Kogarah and were looking to do the same at WIN.
@NRLman: we hear you sold our 4 home games for $100k per game. Is that true and do you think that is fair value?
Doust: The movement of the four games provided over $1 million per annum. And we see that as part of our long-term strategy for sustainability of the club. And its enabled us to put in place a growth program.
The cost of suburban grounds are escalating and the NSW Government has made it clear theyre not interested in investing. We run the risk of being left behind by some of the bigger brands that are playing at these bigger venues.
The Anzac Day marquee game is a good example of where we want to be. It enables us to keep playing games at WIN Stadium and Kogarah. In a crowd sense weve got to remember that our crowds last year increased from 12,400 to 16,600 under the right game, right venue strategy.
@rvpredv: right game right venue is a fail. Kogarah would of handled 20k fans. Atmosphere electric. Sold our soul for $$$$
Doust: Right game, right venue is a four-year plan. Our year one were as anticipated in 2014. Its too early to conclude it failed. If you look at the history of the Bulldogs and Rabbitohs theres enough valuable analysis to support that it works.
Twenty thousand people would still have not been accommodated at Kogarah or WIN because theyre licensed for less than that. Our average at the bigger grounds is 24,800. On average, we get a sign-on fee and a guarantee per game at the bigger venues.
To open the gates at Kogarah or WIN costs the club is $100,000 a game. Weve got to bring in big screens, pay for traffic management and security costs.
Thats infrastructure provided free of charge at the bigger venues. Its because we have these bigger games that we can afford to keep games at WIN and Kogarah.
One subsidises the other. The mix is keeping faith with our traditional grounds while providing the opportunity for growth.
(KENT:All five games at bigger venues are the Dragons five biggest crowds since rd 1 2014. Kogarah average: 10,556. WIN average: 11,583).
@jim_zaf: why should the leagues club continue to control the JV board when it has decided to withdraw financial support from JV?
Doust: The Leagues Clubs arent withdrawing financial support. They will remain providing over $1 million per annum, but this is why we are reviewing governance structure.
@jimkat2: if the club continues to struggle financially, at what point does he become accountable & what would the outcome be?
Doust: Its not true to say the club is struggling financially. We have a clear business plan approved by the board and commission, which will see the club be profitable by 2017. Remember, only two clubs in the game are presently making a profit. My accountability is reviewed by the board and the NRL and my peers, what can I say?
@lukej83: why do members not have voting rights until 3 years of membership after signing up to a 5 yr membership?
Doust: Thats a Leagues Club regulation, it doesnt apply to the football club and its a standard convention of the Licenced Clubs Act. While on membership, we are reviewing our whole member consultation program.
Were revamping it. Because its clear a sector of our membership want to be heard so were going to review our consultation process. Theres only one club (South Sydney) that has member representation on boards of their clubs at the moment.
Were going to include more direct communication with our members. Were going to introduce a members advisory forum and ask members to nominate to be a part of a regular meeting on issues. We introduced a suggestion box at last weeks game.
Things appear to have turned around for the Dragons on the field.
Things appear to have turned around for the Dragons on the field.
@Chrys_Xipolitas: Board considering changes to governance at the Dragons several times. What are the specific changes and when will they occur?
Doust: We are considering it but again its not something we need to hurry because it will sit with us for a long time.
@saintredsfc: leagues clubs contribute $0 in funding now. Why are directors of FC board appointed off leagues club board?
Doust: Its not true to say the Leagues Clubs contribute no funding. But one of the things were reviewing is private ownership, or having more independent directors.
@michaeljf69: Fans get told they dont have the relevant information to make informed decisions, but everything is then in-confidence?
Doust: I dont accept the fact everything is in confidence. There are certain things in contractual terms you have to keep confidential. But we are committed communicated to members, fans and corporates. Our business plan is on the website and has been since May 2014.
@saintredsfc: doust says new plans approved by @NRL will make #RedV profitable by 17. Any details on these plans.
Doust: As I said, the business plan has been on our website since May 2014. Its in the annual report. The details are in the annual report. Its something we have made fully available.
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