SPL clubs hold summit to plot course through economic crisis

Published on Tuesday 14 April 2009 22:54

SCOTLAND'S leading football clubs have held a summit to discuss how they can best cope with the challenge of the recession.

The Scotsman has learned that representatives of the Scottish Premier League met in Edinburgh to share ideas and listen to expert advice – from organisations including Deloitte and the English Football League – on dealing with the unprecedented downturn in the economy.

Although Rangers and Celtic operate in a different commercial world from Hamilton and Falkirk, all 12 members of the SPL understand that as unemployment rises and those in work face concerns over job security, discretionary spending on leisure activities such as following football looks certain to be curtailed for all Scottish clubs next season.

How to deal with a possible drop in season ticket sales, falling income from merchandise and the likelihood of swingeing cuts in corporate spending were among the topics addressed at the meeting organised by the SPL.

Greig Mailer, the marketing manager for the SPL, said the pooling of ideas as the Scottish game faces up to the harsh reality of a changed economic landscape was an important aspect of the league's remit.

"One of the responsibilities of the SPL is to give clubs a platform to discuss and share new ideas," he said. "That's something we do on a regular basis and the recent meeting at Easter Road seemed to go down well."

There were presentations in Edinburgh from a number of specialist business organisations, including Deloitte, one of the world's largest financial advisers, on how to move forward, as well as input from the Football League on improving the matchday experience.

The vulnerability of football clubs which carry sizeable debts and don't have the cushion of the kind of lavish TV deals enjoyed by their counterparts in England means that no club in Scotland can take the credit crunch lightly. With the threat of insolvency already looming over several Scottish clubs, the SPL acted to take up the cudgels for its members and ensure no-one has their head buried in the sand when it comes to facing up to the fall in consumer confidence.

One issue on which all the clubs agreed was that offering free admission to children could diminish the value of their brand. This didn't mean they wouldn't look at cut-price deals for youngsters, but clubs were concerned about the negative repercussions attached to giving away their product. There were also concerns that unsupervised free admission for kids could cause match day problems.

It was significant when Hearts announced their season ticket prices for next season yesterday that rather than offer free admission to juniors they came up with an innovative scheme which prices entry for Under-12s at just 1 per game.

The 19 season ticket for juveniles is only available in conjunction with the purchase of an adult season ticket. Each adult ticket holder can buy two season passes for the Under-12s, thereby making it possible for more families with young children to attend games together.

The issue of season ticket pricing in a recession is a sensitive one, and some of Hearts' prices for 2009/10 are lower than they were this season. A seat in the Gold Zone is down from 385 to 340, while a Silver Zone pass is reduced from 335 to 295. Only the cheapest option, in the Bronze Zone, shows a small increase from 250 to 260.

There will also be a free membership programme for Under-16s to be called 'Hearts Juniors'. This will have matchday and non-matchday elements with a focus online.

As with all season-ticket schemes, only domestic league football is included in the price. No decision has yet been taken by Hearts, in the event of qualifying for next season's Europa League, whether they will play their home matches at Tynecastle or utilise a venue with a larger capacity such as Murrayfield.

The club have consulted with supporters' groups on their preferences and over the next month to six weeks will reach a verdict which seeks to balance the wishes of their fans with commercial pressures. Tynecastle is not currently deemed suitable by Uefa, the organisers of European football, but the changes required to make the ground fit for purpose are not major and are related to press and hospitality facilities rather than the dimensions of the pitch.