Handled correctly, the NRL’s salary cap investigation into Cameron Smith can solve fifteen-sixteenths of the code’s problems as it heads towards an independent commission.
All it needs to do is recommend that Smith’s club, the Melbourne Storm, be wound up.
The Storm, like Paterson’s Curse, is a pretty-looking purple noxious weed. A very well-run and successful rugby league club, with three premierships in its first decade and a bit, a brilliant coach and some of the best players in the game’s history, Melbourne is the extravagant indulgence that is dragging everything else down.
First, some history.
Melbourne was founded as a sop, a gift to appease those who had tried, through Super League, to make the people’s game their own. The chief recipient was John Ribot, who in his playing days was a bullocking, exciting winger for Newtown, Wests, Manly and Australia. Ribot, a Queenslander, had formed a coalition with some Brisbane powerbrokers and News Limited to break the Australian Rugby League’s hold on the sport and was the founding CEO of Super League.
After two years of separate competitions, Super League re-merged with the ARL to form the NRL, partly owned by News. To keep the peace, Ribot was given a club in Melbourne, which he ran for its first seven years. It suited him, and it suited the new league to expand into the southern “market”.
Owned by News, the Storm was allowed to operate at a loss. Rugby league clubs have often depended on subsidies, but this was the first time the subsidising body was the code’s owner, a media organisation whose income derived indirectly from the fans of the other clubs. Melbourne became everyone’s gift to John Ribot.
The Storm immediately won a premiership in 1999, its second season, and established the kind of club culture that flourishes in an environment of exile. Nobody recognises or bothers the players in Melbourne’s streets, the club is their family, they have nothing to do but focus on their football, and they are encumbered by none of the old-boys networks or habits of slackness that take root in clubs that are hundreds of years old.
Run by competent administrators and utilising the best scouts, Melbourne has been able to spot players like Smith, Greg Inglis, Billy Slater, Israel Folau, Cooper Cronk, Ryan Hoffman, Scott Hill and Matt Geyer in their footballing infancy and hothouse them south of the border.
All well and good. Another two premierships and four consecutive grand-final appearances followed. A great success. Why, then, isn’t there an overwhelming push for a second Melbourne NRL franchise?
Because, for all of its onfield success, the Storm franchise is a failure. Melbourne has been haemorrhaging money at a rate that has only recently become clear. They have a tiny, if devoted, fan base which is not large enough to sustain the club. They have not been successful in attracting the media’s, sponsors’ or the public’s interest in Melbourne to the degree where they can be financially viable. They are kept alive by the largesse of News Limited. And now that News is pulling out of the game, Melbourne expects the other clubs to continue to help it win premierships at their expense.
As the books have been opened in the process of forming the independent commission, from the other 15 clubs there has been a collective: “Eh? Come again?”
Melbourne, with such deep pockets for players, coaches, staff and facilities, has been living beyond its means to the tune of about $6 million a year. News — which derives some of its income from the fans who subscribe to pay-TV and go to games — has been covering those losses. The main sticking point in the move towards an independent club-owned commission has been Melbourne holding out its hand asking everyone else to keep covering its losses and funding its success.
Now, think how this looks to the other clubs. Of every dollar they scrap and beg for, in sponsorship drives or marketing pushes or merchandise ideas, some of it goes to a club that is allowed to walk away with premierships. Every other club has to fight tooth and nail to remain profitable. Cronulla has never won a premiership. St George hasn’t won one for 30 years. Souths haven’t won one for 40. North Queensland and the Gold Coast, two good new clubs in real rugby league communities, haven’t won a premiership.
Meanwhile Melbourne, which has had its sugar daddy buying premierships for it, now wants them to keep up the inflow so it can continue to live beyond its means. Eh?
Every other club has to compete under the salary cap for the best players. Not Melbourne, which has been able to spend what it likes and — in the ultimate outrage — keep the best forward in Australia, the club captain, due to News Limited, through Foxtel, actually paying him again.
And for what? So the NRL can call itself a national game? Comparisons may be drawn with the benefits enjoyed by the Sydney Swans over the years. But at least there is a real, thriving interest in the AFL in Sydney. At least some players from Sydney, and NSW, actually play for and have played for the Swans. (Melbourne Storm’s count of locals: nil.) At least the Swans draw good crowds and the public’s affection even when they’re not winning.
The Melbourne Storm, even having sucked the best playing talent out of the other clubs, even being winners, still can’t pay its way. How is that fair? And how is it fair that fans of the other clubs have to pay Cameron Smith’s wage not only once, but twice?
The answer is simple. It only requires some brave souls to stand up and say to the Storm: you’re on your own now, and good luck to you.
Malcolm Knox is an award-winning author and journalist. He writes for Back Page Lead, a new sports opinion site at backpagelead.com.au.
This is the most absurdly ill-timed article that I’ve seen in a long time.
Melbourne Storm today is where Sydney Swans were about 20 years ago (1990). The Swans had an established supporterbase in Melbourne (SMFC) and moved to Sydney in 1982. The Storm were started from scratch in 1998.
20 years ago the Sydney Swans were a complete joke. They played at a decrepit old stadium (tick) that was built for another code and just happened to be suitable for their game (tick). They had a small band of passionate local supporters (tick), another band of interstate supporters (tick) and a new stadium was being built (in their case out at Homebush) where they could play in some semblence of modernity (tick).
The Melbourne Storm’s new stadium opens for business in a few weeks, with swish corporate facilities and modern stands for the crowds. Malcolm Knox seems to think this won’t change much in terms of attendance (ding), corporate support (ding) or local interest (ding).
Have you ever been to Olympic Park? That decrepit old stadium had seats so close together that any potential fan that is over 180cm tall would probably rather sit at home and watch it there, because your knees are firmly jammed into the painful rear rim of the seat in front. Of course, you can’t watch it at home, because the games are not put live onto Free to Air, and when the game is one of the 3 (out of 8) games a week that is on Free to Air in Sydney, it’s not aired until Midnight. You can’t even watch it live if you pay for Foxtel!
The AFL is much more serious about ensuring Sydney locals get to watch those games, by banning them from Friday Night games (no TV coverage in Sydney) and ensuring that the TV networks are required to show the games at the scheduled time on Saturday or Sunday. If the NRL at least did that much, it’d be a start.
OMG!
Malcolm Knox your a dim wit!
Gee I hope you don’t get paid for this dribble, better still rubbish…. “sugar daddy buying premierships for it”, gives you away.
This so calleds “…award-winning author and journalist” needs to do some research… NO but lets hope that the next time a STORM Member bumps into you, they give you a good “sugar daddy buying” STORM Tackle on your girly body.
What a low life you are….
YUCK!
The notion of a Melbourne rugby league team was in fact first pushed by the ARL in 1996, before the SuperLeague war, in response to amazing crowds and ratings for State of Origin in the southern capital. It was going to happen, Superleague war or not. Ken Arthurson himself has recently supported the retention of the Melbourne Storm when the independent commission is formed, , saying the club is a very important part of the game’s future. News Limited’s subsidy of the Storm is in reality about $3.5 million after tax considerations — compare this to the $200 million the AFL is prepared to put into GWS which it admits won’t turn a profit for a very, very long time, and the fortune in investment the AFL has poured into Brisbane and the Swans over many, many years. Any reasonable person with rugby league’s best interests at heart will see the value of the relatively small investment in the Storm.
Malcolm correctly describes the onfield success of the club, which has set new standards in team and individual performance for the NRL over the past 10 years, contributing significantly to a better quality game across the park. But to imply this is not recognized by the Melbourne public is incorrect. The Storm have carved a small but viable membership base in the southern capital, in the face of active suppression by Channel Nine of rugby league games in Melbourne at reasonable viewing hours, and possibly the worst home ground of any elite sport in Australia. Despite this, TV ratings for the Storm and rugby league in general in Melbourne are outstanding whenever the game is shown at a reasonable time…witness the near-million viewer peak during last season’s grand final. The value of Storm to the NRL is further underlined by the fact the club has one one of the highest ratings on pay tv. Contrast this to the appalling FTA ratings of the Swans in Sydney even when their games are shown in prime time.
There are many enemies of rugby league who would love to see the Storm fail. The rugby league community just ain’t going to let it happen.
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To the replies here, I ask two questions:
Are they running 6million in the red?
Are they breaching salary cap rules?
Maybe answer those questions without attacking the author with ad hominem remarks.
No to both.