News that pharmaceutical giant and Lucozade manufacturer GlaxoSmithKline (GSK) had signed a four-year deal with the RFU arrived as a timely and extremely welcome announcement for rugby union’s beleaguered governing body.
The deal means that England rugby squads will consume Lucozade sports drinks and protein powder Maximuscle as GSK extends its sponsorship footprint within the valuable sports nutrition market.
Recruiting another high-profile commercial partner continues the process of deflecting attention away from the RFU’s well-publicised internal woes. Yet despite the body’s portrayal as one paralysed by a top-heavy mix of anonymous, well-paid committee men, in truth it has enjoyed considerable off-field commercial success.
In November, the RFU finally announced the appointment of Ian Ritchie as its new chief executive. The subsequent release of its annual report, covering the period ending June 30, revealed record group revenues, up by £24.3 million from £112 million to £136.3 million. Turnover growth was driven primarily by an international match programme which saw Twickenham host four internationals and three Six Nations matches.
Away from the international arena, domestic rugby too is holding its own in terms of regular spectator appeal. Last season, average Aviva Premiership attendances totalled 11,657. This year, they’re up by 7.6%, averaging 12,548.
Of course, such growth is far from consistent. Clubs such as Harlequins and London Irish have enjoyed year-on-year increases for several consecutive seasons, while Saracens, the only English club remaining in the Heineken Cup quarter-finals, have seen their average home attendance rise by almost 50% this year.
Encouragingly, the figures mean that after Premier League and Championship football, the Aviva Premiership boasts the highest average attendance of any English sport.
Professional rugby’s appeal falls squarely into sport’s ‘slow burner’ category, although as more people become disillusioned with footballers’ increasingly pathetic antics, there is plenty of evidence to suggest that the game’s appeal is widening.
Add to this the fact that it’s considerably cheaper to watch an Aviva Premiership match than one in the Premier League and from an economic perspective, it becomes easier to understand why rugby is enjoying a burgeoning popularity.
The game’s popularity is also reflected in the numbers of its active participants. Around 1,900 registered clubs accommodate 1.18 million members, with approximately 170,000 people playing every week.
Crucially, unlike football, professional rugby union has not lost touch with the fans who occupy the terraces.
While there is a steady flow of money coming into the professional game, it is, in sporting terms, neither outrageous (Aviva paid £20 million to sponsor the Premiership for four seasons), nor have clubs become a conduit for player wages. Average top-flight salaries hover around £85,000, although most established international stars earn in excess of £250,000 a year.
With a handful of exceptions, rugby fans are not watching precious sporting millionaires and for this the game must take considerable credit for introducing – and adhering to - a workable salary cap.
By keeping a salary cap within reasonable limits, Premiership Rugby, the umbrella body representing England’s top clubs, can tweak or amend it for clubs’ benefit and in an attempt to retain the country’s leading players.
