Hurricanes co-owner Malcolm Gillies has delivered an impassioned call to arms by suggesting Super Rugby could die unless serious changes are made.
Wellington property developer Gillies and Porirua-based Summit Capital bailed out the Hurricanes late last year by buying a 50% stake in the franchise after a $2.5 million loss was uncovered in the previous financial year.
Gillies assumed the Hurricanes chairmanship and has since adopted a hands-on approach to tackling the challenging economic climate confronting all professional rugby teams.
Two years after the Melbourne Rebels’ demise, Super Rugby’s sustainability has again been thrust into the spotlight with Moana Pasifika’s five-year existence expected to conclude at the end of this season, unless an unlikely white knight is found. This would leave 10 teams in the competition.
While Super Rugby Pacific is paving the way as an entertainment product thanks to law tweaks that prioritise speed and ball in play, all teams face difficulties in attracting crowds, retaining players and generating enough revenue to stay afloat.
In a wide-ranging interview with the Rugby Direct podcast, Gillies outlined his belief that Super Rugby has a pimple that must be popped. Everything, from privatisation to player movement, transfer fees, New Zealand’s contracting model, eligibility and kickoff times, should evolve for the competition to survive.
Gillies’ public push for change comes as Super Rugby powerbrokers gather in Christchurch this weekend at the opening of the One NZ Stadium to discuss the future of the competition.
“When we got involved, we knew the Hurricanes were losing money ... the model doesn’t work. Unless there’s change, it’s not going to work,” Gillies told Rugby Direct.
“You’ve got five, six, franchises in New Zealand and none of them are making a lot of money. There’s got to be change. The whole system has to change. I don’t think it’s sustainable as it sits right now.
“If it stays the way it is now, I fear for it. If there’s change, then I believe we’ve got a product. But if it doesn’t, I believe it’s going to die. That’s my honest opinion.
“Even more than that, if it doesn’t change, it’s not going to achieve what New Zealand Rugby or private investment wants. It probably isn’t going to achieve what the fans or players want either.
“There’s a lot of good people out there that know we have to do something for the betterment of Super and New Zealand rugby.”
Gillies admits he doesn’t have all the solutions. While some of his proposals would be challenging to pull off, there is no doubting his passion to drive change.
Backers willing to shell out millions on often loss-making sports teams are rare, but attracting further private investment is one avenue Gillies believes would help to sustain Super Rugby.
For this to be attractive, though, he says New Zealand Rugby’s centralised contracting model, in which the national body pays the salaries of the five New Zealand Super teams, should allow the franchises more freedom to retain players and recruit overseas stars.
“My belief is it needs to be privatised. It cannot continue the way it is at the moment.”
Gillies points to Sir Graham Henry’s recent criticism that Super Rugby isn’t producing enough quality players to compete on the international stage.
“You’ve got to change the competition to give you enough competition to give you those sorts of players.
“Should we bring in South Africa or Japan? Those things, I won’t be here long enough. I’m 67, I’ll be dead before that’s ever resolved because they take forever.”
Under the collective agreement, NZ Super teams are permitted to sign a maximum of two foreign players.
“Surely allowing overseas players to come and play in our competition would work. Why wouldn’t you? Imagine if you had the big South African lock [Eben Etzebeth] coming over here. That would certainly solve some of the crowd problems because you’re going to get people wanting to come and see world-class players.
“I don’t know if it’s practical, but I do see the major problem that we’re not producing world-class players, and that’s because the competition isn’t strong enough.
“If we can’t get other countries involved, we could get other players to come in and play. Look at Warner Dearns out of Japan. Look at the difference that made. He’s become a bit of a folk hero. Maybe we should open the gates and bring in more people like that.
“You could explore all things. Should we [Super teams] be contracting and paying the players? Should we have a contract to release them for international duties? There’s a lot of stakeholders here, and you’ve got to get them all onside, but some of these things are no-brainers.
“If you want private investment in these Super clubs, you’ve got to give them something to invest in. From what I’ve seen, there’s not a lot there at the moment.”
This year, the Hurricanes will farewell two promising 23-year-old prospects – wing Fehi Fineanganofo, this season’s leading try-scorer, and talented midfielder Riley Higgins – as well as lock Isaia Walker-Leawere and others. Flanker Devan Flanders is also contemplating a big-money offer from Japan.
“It’s impossible,” Gillies said. “Everyone is struggling within New Zealand to stop them going from one Super team to the other, but from overseas there’s no comparison. We cannot pay those players the numbers they’re being offered, and that’s a shame.
“As Super clubs, we’re trying to get around the table and be proactive. Everyone with half a brain knows something has got to change. Money will be one of those issues.”
Gillies also questioned why there was no contracting metric that allowed a return on investment and development to New Zealand rugby when players cashed in abroad.
“When a player goes overseas, why aren’t we getting a transfer fee? Why isn’t that passed back to the rugby club he came from, or to the Hurricanes? Why is it [that] we train and nurture our people and they go to Japan?
“We’ve got strength and conditioning trainers earning three times their salary abroad. You can’t blame the guys for taking the money.
“We need to have a goal in Super Rugby to have the best competition in the world that pays the most to the players and coaches. That should be driving us.
“There’s never been as much motivation to look at things differently as there is right now.
“As chairman of the Hurricanes, I’ve just got involved. I’m the new boy on the block, but I sense there’s a will to explore change and all options. There’s a desire to not just try and tweak it. There has to be something fundamentally changed for this thing to work. All things must be on the table.”
Adopting some form of draft system to spread talent more evenly throughout the competition and allowing free movement, by which all players could represent New Zealand or Australian Super teams while remaining eligible for their national sides, are other possible avenues.
“That would be practical. If you want your players to be getting quality competition and you can’t give it to them in this country, why wouldn’t you allow them to go somewhere else to play and still select them?”
In an attempt to engage fans and bring back crowds, Gillies recently penned an open letter to Hurricanes supporters, imploring them to attend games.
After surveying fans, consulting Auckland FC and the Warriors – the latter of which have sold out Hnry Stadium this weekend in their sole appearance in Wellington this year – he has pushed to allow supporters on the field after full time, doubled the spending on entertainment such as bands and lights, brought in food trucks and instigated 500 $10 vouchers for kids’ food.
He’s not alone, with Blues boss Karl Budge hiring music acts, such as the Drax Project last weekend, welcoming a light and laser show, a Lego kids’ zone and a party area to Eden Park.
“We’re doing everything we can to provide better entertainment and work with the stadium, fighting tooth and nail,” Gillies said. “We know what people are saying, money is tight. People want 4pm games and we’re forced to do it at 7. We want mum, dad and the kids to come, but we’re playing at 7pm. We should be playing at 4.”
Super Rugby’s financial issues are prevalent throughout the professional scene, except in the French Top 14, where teams are bankrolled by wealthy individuals. Yet Gillies remains a believer if all parties can support the push for change.
“There’s a lot of challenges, but they’re not insurmountable. I’m going to give it my best shot, but if it doesn’t evolve, I won’t be hanging around. If it doesn’t change, it won’t survive.”
Liam Napier is a Senior Sports Journalist and Rugby Correspondent for the New Zealand Herald. He is a co-host of the Rugby Direct podcast.