I always find it very strange when a company refuses to be honest and straightforward in response to a very simple question.
So, I asked Virgin Australia a very simple question after they announced their AFL sponsorship, namely, “What is the total cost of this to Virgin Australia” and their response was and I quote, therefore, I apologise for the grammar, “ The details of the partnership between Virgin Australia and the AFL is commercial in confidence.”
Maybe I am becoming cynical in my old age, but it suggests to me that they might be hiding something that they do not want the general public to know.
It occurred to me that it seemed rather incongruous to make an announcement that suggests to me Virgin Australia is spending a bucket load of money on sport, when they have just laid off thousands of staff, chopped international and a number of domestic routes, while also receiving massive subsidies of public money, that is your and my money, from the Federal Government.
So, in essence, it could be said that the wages their laid off staff would have received and the subsidies Virgin Australia has received from the Federal Government have gone to sponsor the AFL!
Now of course that may be totally incorrect and it may be an awesome deal in Virgin Australia’s favour, but because they decided not to reveal the details, hence the doubts and questions such a refusal raises.
In any case, the media release by Virgin Australia said that they will continue to be the official airline partner of the AFL and AFLW until 2025 and that may be great news and heaps of revenue, but who knows? If it was I think that they would be shouting it from the rooftops!
The release goes on to say that the five-year deal will see Virgin Australia continue to fly the league’s 32 teams including players, coaches and support staff to interstate matches, making it one of the largest airline sponsorships of any team sport in the country.
My reaction to that being that it the “largest airline sponsorships of any team sport in the country” sounds pretty expensive to me along with flying all these 32 teams and all the hangers-on around, probably free of charge and probably in return for some advertising, maybe naming rights, corporate boxes, etc? Who knows as Virgin will not say?
Virgin Australia CEO and Managing Director Jayne Hrdlicka said the partnership continues to be an important part of the airline’s community engagement plan, which sounds good, adding, while helping to get more Australians travelling around the country and connecting with their footy passion, saying “AFL is the most popular sporting code in the country and there are no fans more passionate than AFL fans” and “We’re proud to be continuing our partnership until 2025, helping Australians all over the country connect with their love of this great game”. I wonder how Virgin’s laid off staff feel about that or would they have preferred to keep their jobs?
She added, “The AFL and Virgin Australia have both had a challenging 12 months, but we’ve come out the other side, stronger, fitter, better, re-energised and ready for the season ahead”, and “The partnership enables Virgin Australia to fly the AFL and AFLW’s 32 teams and their fans across the country, which helps get Virgin Australia people back to work, while contributing to rebuilding market demand for air travel, and the nation’s broader tourism recovery”, and “Flying the league means that we’ll have approximately 16,000 seats booked by the clubs each season which means more flying hours for our people and more travel opportunities for fans keen to watch their team play interstate.” If they are all revenue great, but I very much doubt it!
She also said, ““For fans, travelling to your team’s game has never been cheaper or easier with Virgin Australia’s extensive network of domestic destinations”, and, thanks to the Federal Government’s recently announced aviation support package, flying to support your team will be more affordable than ever.” Ah so, it looks like the Federal Government is at the least sponsoring travel to AFL games!
AFL CEO Gillon McLachlan said the extended partnership will ensure footy continues to be as accessible as possible for fans all across the country, adding, “The AFL’s partnership with Virgin Australia has gone from strength to strength over the last 10 years”, and “It has been a testament to our shared commitment to the footy community,” and “Virgin Australia has been flying our players and fans around the country since 2011 and we are thrilled to extend our partnership and continue to take our game all around the country.”
The release also said, “Under the new agreement, Virgin Australia will continue to develop its Footy Families platform – a diverse fan engagement platform to promote the game at a grassroots level and both partners will continue to collaborate on marketing efforts, including advertising campaigns, on-ground promotions, and activations,” and he said the deal will also give Virgin Australia access to business development opportunities through the AFL’s extensive network of partners and opportunities to fly ad hoc charter services.
So Ms Hrdlicka, all I think all our readers would like to know is whether this deal is costing Virgin Australia any money or is it making you money, which would be great to hear.
If the former and it is costing Virgin Australia money, how much is it costing and also whether you think that right, when you have just laid off thousands of staff and you have received and are still receiving massing government subsidies, which I do not imagine were given to you to sponsor AFL?
Do you think that is right?
I am sure many do not.
Please let us have your thoughts Ms Hrdlicka.
A report by John Alwyn-Jones
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