ISL clubs propose club-led model for operations, commercialization with Genius Sports, AIFF Football News


ISL clubs propose club-led model with Genius Sports, AIFF
File photo of AIFF logo and ISL trophy. (screen grab)

New Delhi: gave Indian Super League The (ISL) clubs, apart from East Bengal, have proposed a club-led model for running the league in future, taking on commercial responsibilities. The proposal was emailed to the AIFF organizational structure, ISL clubs and Ministry of Youth Affairs and Sports Joint Secretary Kunal K.The proposal comes ahead of a meeting of clubs with AIFF president Kalyan Chaubey on May 22. AIFF has called a special general meeting (SGM) in Kolkata a day later. According to the agenda, AIFF members are scheduled to discuss trade rights process for ISL, IWL and other issues during the SGM.

look

ISL commercial rights: AIFF receives two different bids.

“Following internal discussions between the ISL clubs, and based on practical operational experience gained during the current season, the clubs collectively wish to propose a formally club-led model for the future operation and commercialization of the ISL, with Genius Sports serving as the league’s data and technology partner.”Genius Sports is one of the two interested bidders for the ISL commercial rights on the 15+5 year cycle. They bid Rs 64.39 crore per year (Rs 2129 crore over 20 years) for the commercial rights of ISL. ISL clubs have already chaired a presentation by Genius Sports, but questions on the financial model remain unanswered.The clubs have argued that their knowledge of the local market puts them ahead of any foreign trading partner.“Through the experience gained this season, clubs have identified a number of areas where meaningful efficiency and cost improvements can be made, particularly in relation to league operations, production management, logistics, administration and centralized execution,” the letter said.“Clubs are of the view that such reformation may be considerably more difficult for a foreign business entity with no long-standing operational roots in India to effectively acquire.“Furthermore, the clubs believe that, with the learning experience of the current year, with the economies of scale available to run a full league season, the clubs can collectively operate a lean, professionally managed, and financially sustainable league structure.“Clubs’ internal estimates suggest that a club-led structure can significantly reduce operating costs while maintaining the quality and integrity of the competition.”The clubs have proposed that a separate body be formed to run the league with the AIFF retaining a 10% ownership interest with the national body providing oversight, regulatory support and referees. The remaining 90% of the economic interest in the league will be held by the clubs.The clubs have also agreed to address the financial implications of this model to the AIFF. As a result, the clubs will get Rs 12.4 crore that Genius Sports used to contribute to the AIFF coffers every year. “Clubs will collectively pay the same AIFF fee structure as currently contemplated under the Genius Sports model, thereby ensuring that there is no guaranteed financial loss to the AIFF under the proposed structure,” the letter said.The clubs proposed that “the AIFF will retain veto and oversight rights in respect of integrity, disciplinary, regulatory, and sports administration matters, while clubs will retain veto rights in respect of commercial, structural and operational matters affecting the league.”Additionally, the clubs suggested limiting league governance to the 14 competing bodies and the AIFF, excluding commercial partners. Clubs also want Genius Sports’ role to be limited to sports data, technology, integrity solutions, fan engagement technologies and related commercial products.With their framework significantly reduced, the clubs have suggested that payments due to Genius Sports will be less than the current $7 million.With the proposal, the clubs have suggested that they are better placed to work on operations and commercialization in the Indian market while also willing to work closely with Genius Sports and the AIFF. Now the onus is on the Indian Football Federation to decide where they go with this proposal.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *