Ashley's Lost Millions
By Dave Eadevic
August 29 2011
I never thought I would live to see the day when I could give financial advice to a self-made billionaire, but as I have never let a blatant ignorance of all the facts get in the way of a good argument and see no need to start now, I shall.
Mike Ashley has repeatedly stated that he wants the club to pay its own way, so why I have to ask is he willingly throw away 7 million a season?
How I hear you ask exactly is he doing this? Or perhaps I don’t but I quite like the voices in my head they keep me company. Attending the match on Sunday was a slightly lonely experience. Almost 12,000 empty seats.
Averaging out the cost of these seats, the loss comes to 360,000 pound for Sunday. Times this by 19 and you get the figure of 6,840,000; just under seven million quid that Ashley willingly throws away this season alone.
I say willingly because it’s his transfer policy that has driven attendances down, selling players and either not bringing in anyone at all, or nowhere near the quality of what has been sold.
I have tried appealing to his better nature (doesn’t have one), so his bank balance may have more luck. Invest Mike and the crowd will come back, add in a decent cup run and that figure could be doubled.
Imagine that. Profit and we get a player; or two.
Maths for anyone that cares:
12,000 seats at an average of 30 quid a seat 360,000
19 league games missing 12,000 fans becomes a loss of 6,840,000.
A couple of home cup games with increased attendance of lets be conservative and say 15,000 at 20 a head is a loss of 300,000.
A really good cup run or runs could see a loss of over 10 million.
Ashley's Lost Millions
Posted by: TyneTalk (IP Logged)
Date: 29/08/2011 19:29
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Re: Ashley's Lost Millions
Posted by: the leckworth bird (IP Logged)
Date: 29/08/2011 20:26
This makes sense. Transfer rumours abound, but the silence is deafening
Re: Ashley's Lost Millions
Posted by: waffles (IP Logged)
Date: 29/08/2011 22:36
Well said, Dave. Add in the choice to send Barton out on a free (another 4-5 million lost ignoring the wages) and that's 10-15 million in lost revenue.
Re: Ashley's Lost Millions
Posted by: Biffins Bridge (IP Logged)
Date: 30/08/2011 00:08
The attendance was reportedly over 42.500 Dave mate so not quite 12,000 down and Fulham are poor travellers. I couldnt make the game so cant say for sure how many they took up there. We got 47,000 against Arsenal which was on the TV.
This time last year our attendance hosting Villa was approx 43,500.
I agree with you that attendances are obviously down from Keegan and Sir Bobs time but this isnt just to do with this season. Im sure you are not saying its just this season but Ive read and heard a few grumblings about attendance being down recently.
Yes, Im sure its the Ashley effect and a few signings would help boost attendances. Not making excuses but you can put a number of those down to the down turn and loss of jobs. Obviously not all, but I know a few people who have had to jack their tickets in due to losing jobs or lack of overtime. It would be the first thing I would have to jack in.
This time last year our attendance hosting Villa was approx 43,500.
I agree with you that attendances are obviously down from Keegan and Sir Bobs time but this isnt just to do with this season. Im sure you are not saying its just this season but Ive read and heard a few grumblings about attendance being down recently.
Yes, Im sure its the Ashley effect and a few signings would help boost attendances. Not making excuses but you can put a number of those down to the down turn and loss of jobs. Obviously not all, but I know a few people who have had to jack their tickets in due to losing jobs or lack of overtime. It would be the first thing I would have to jack in.
Re: Ashley's Lost Millions
Posted by: davenufc (IP Logged)
Date: 30/08/2011 09:15
I obviously rounded up to the nearest thousand But the point remains valid, put decent players on the pitch and St James' sells out.
It has always been the same.
As for those that have lost jobs etc I agree fully, but it has always happened and there will always be those to replace them.
It was meant as a comentary on how much potential he is losing, rather than an acountancy report, hence all figures are nececirailly rounded up or in the case of cup prices down.
And a hello to the Beckworth Bird.
It has always been the same.
As for those that have lost jobs etc I agree fully, but it has always happened and there will always be those to replace them.
It was meant as a comentary on how much potential he is losing, rather than an acountancy report, hence all figures are nececirailly rounded up or in the case of cup prices down.
And a hello to the Beckworth Bird.
Re: Ashley's Lost Millions
Posted by: danny_toon81 (IP Logged)
Date: 30/08/2011 10:21
Some good points there, Dave. I agree. 2 or 3 good signings in the next few days and ticket sales will go up, no doubt.
But also, i've had to (reluctantly) give up my ticket because i've moved away. Membership prices have gone up, and concession tickets have been removed - I imagine we pulled in a few thousand on student tickets the last few seasons, now they've disappeared, £30+ a ticket will put off a lot of people (previously a student ticket was £20-£30).
So I think in actual fact, there may be a balancing act going on here. Removing lower-priced tickets ups the 'average cost per game', so some of the figure you quote will be re-couped through this. If (and inevitably when) the stadium is packed to the rafters again, overall monies in from ticket sales alone will be much higher than last season.
But also, i've had to (reluctantly) give up my ticket because i've moved away. Membership prices have gone up, and concession tickets have been removed - I imagine we pulled in a few thousand on student tickets the last few seasons, now they've disappeared, £30+ a ticket will put off a lot of people (previously a student ticket was £20-£30).
So I think in actual fact, there may be a balancing act going on here. Removing lower-priced tickets ups the 'average cost per game', so some of the figure you quote will be re-couped through this. If (and inevitably when) the stadium is packed to the rafters again, overall monies in from ticket sales alone will be much higher than last season.
Re: Ashley's Lost Millions
Posted by: davenufc (IP Logged)
Date: 30/08/2011 10:34
Hello Danny, Obviously prices do matter. I mean when I was a student it was a fiver to get into the gallowgate and I whined about that.
And people move away from the North East, you have to unfortanetly.
And while I could and possibly will have a rant one day about lower ticket prices to fund the next generation of fans, it is I'm afraid still a moot point.
There is plenty of money around Newcastle, the trouble is presuading those that have it to turn up and give it to you.
You get people that will turn up week in week out regardless, then you have the others that need to see something for their investment.
Think of them as floating voters in an election, if you can get these back in the money will flow back. It will probably be more as well, as they will buy meals, drinks etc.
And people move away from the North East, you have to unfortanetly.
And while I could and possibly will have a rant one day about lower ticket prices to fund the next generation of fans, it is I'm afraid still a moot point.
There is plenty of money around Newcastle, the trouble is presuading those that have it to turn up and give it to you.
You get people that will turn up week in week out regardless, then you have the others that need to see something for their investment.
Think of them as floating voters in an election, if you can get these back in the money will flow back. It will probably be more as well, as they will buy meals, drinks etc.
Re: Ashley's Lost Millions
Posted by: danny_toon81 (IP Logged)
Date: 30/08/2011 11:15
Agreed mate, its a cycle of events that will forever continue.
The backdrop, this time, (as pointed out by Biffins Bridge) is the recession, budget-cuts, lost jobs - higher than usual. It becomes practically impossible for some people to get to games. As you say, the 'floating voters', they will be back, and a few signings to get the pulses going, will bring back a fair few by default, but others may need longer persuasion.
NUFC should follow QPRs example of letting under 8's in free with a paying adult, would bridge the gap with some of the fans (even the relationship between board and fans, if only slightly), and make it more affordable, whilst feeding the next generation. I remember going in the 80s when it wasnt so pretty, but it didnt matter, the atmosphere, the experience was electric. It would be a shame to see kids missing out because they are priced out. - anyway, for another rant, another day!
Personally, if I can get there, i'll be there, and i'll count the cost later.
The backdrop, this time, (as pointed out by Biffins Bridge) is the recession, budget-cuts, lost jobs - higher than usual. It becomes practically impossible for some people to get to games. As you say, the 'floating voters', they will be back, and a few signings to get the pulses going, will bring back a fair few by default, but others may need longer persuasion.
NUFC should follow QPRs example of letting under 8's in free with a paying adult, would bridge the gap with some of the fans (even the relationship between board and fans, if only slightly), and make it more affordable, whilst feeding the next generation. I remember going in the 80s when it wasnt so pretty, but it didnt matter, the atmosphere, the experience was electric. It would be a shame to see kids missing out because they are priced out. - anyway, for another rant, another day!
Personally, if I can get there, i'll be there, and i'll count the cost later.
Re: Ashley's Lost Millions
Posted by: davenufc (IP Logged)
Date: 30/08/2011 11:42
I certainly think something should be given to the youngsters, I mean the family section prices aren't actually bad for season tickets, but come the age of 16 they are out and trust me I know from experience taking a kid to a match and you don't expect a lot of change out of a 100 quid.
Free entry into Carling cup games maybe would be a start (with a paying adult just so Ashley doesn't break out into a cold sweat ).
Subsidised tickets for under 18's and students maybe for the less popular games, prehaps another.
Free entry into Carling cup games maybe would be a start (with a paying adult just so Ashley doesn't break out into a cold sweat ).
Subsidised tickets for under 18's and students maybe for the less popular games, prehaps another.
Re: Ashley's Lost Millions
Posted by: danny_toon81 (IP Logged)
Date: 30/08/2011 13:06
Would be nice to see. There has to be something done for the young 'uns - like you say £100 for adult and child, travel, tickets, programmes, food and drink - its not cheap!
Investment in youth is the clubs policy.. we'll see on this front.
Investment in youth is the clubs policy.. we'll see on this front.
Re: Ashley's Lost Millions
Posted by: TOONTILLIDIE (IP Logged)
Date: 30/08/2011 16:35
Obviously the crowd will be down if we are not winning week in and week out, but it isn't the only reason that the crowds are low, I think like a couple of people said that the world we live in with people losing jobs, the price of tickets in general as it is bloody expense going to the game. I went to the Sunderland game last season, and took my niece, by the time I bought both tickets, cr@p in the club shop and regular cr@p like food and drinks it was over a £100.
It will never be cheap now as the game has changed too much in the types of players we have playing at the ground and the wages they are on. Fully agree that the kids should have more opportunities to attend games at a real discount price or free cup games for non sell out. I would imigane the community section will give away quite a few tickets to the kids as this happens at other clubs down south
It will never be cheap now as the game has changed too much in the types of players we have playing at the ground and the wages they are on. Fully agree that the kids should have more opportunities to attend games at a real discount price or free cup games for non sell out. I would imigane the community section will give away quite a few tickets to the kids as this happens at other clubs down south
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