As Adelaide prepares to kick-off the AFL season, Chairman Rob Chapman provides members and supporters with an update on the big issues facing the Club.

In part two of this Q&A, Chapman talks equalisation and Adelaide Oval dividends.

Tonight’s game is the beginning of the end at AAMI Stadium. How is the Adelaide Oval project tracking?

“I underestimated how big an impact Adelaide Oval was going to have on us this year. Half of my day is spent on Adelaide Oval and looking forward. It’s so important and is at the forefront of everyone’s mind. Our members and supporters want to know where they’re going to sit, and how the facilities are going to look.

“We want to improve every aspect of the game day experience when we move to Adelaide Oval. I’m really looking forward to being there next year and also in three or four years’ time when all the other infrastructure is built around it – the new Convention Centre, the new Festival Centre, the new Plaza, the new Casino and Intercontinental investments. It’s going to be wonderful, surrounded by restaurants and retail outlets. It’s really going to make Adelaide Oval.

“There’s a lot of work to do in between and we’re having some pretty robust discussions with the Stadium Management Authority (SMA) and the SANFL because we’re the biggest customer at Adelaide Oval. It’s going along pretty well. You’ve got to expect there will be some issues and frustrations, but we’ll deal with them in the only way I know how, which is with honest confrontation in trying to get the best outcome.”

It’s been reported one of those issues is how the revenue at Adelaide Oval will be divided. Has that changed since the agreement was reached?

“If people recall, the Adelaide Football Club was initially perceived to be a bit quiet about the proposed move to Adelaide Oval. That was because Steven Trigg, myself and the Board decided to do all the negotiation behind the scenes before forming a position to put forward.

“Our position was that we wanted a minimum of a $3million uplift and nothing has changed there. As of today, we have an uplift of $3million-plus. It’s a model that’s going to work for us, but it’s a moving feast. That figure was reached three years ago and we think there’s further opportunity for us to improve that return.

“Some things we agreed upon then don’t necessarily make sense in today’s world and I’m having mature discussions with the SMA and SANFL about that.

“Be assured, we have a strong voice. We have a strong voice with the AFL. We have a strong voice with the SMA, SANFL and Government. We’re being heard. We don’t have to play it through the media or shout it from the rooftops, but we’re getting results.”

The Club’s membership figures are up on the same time last year – we’ve just passed 45,000 members for Season 2013. What does that say to you?

“It’s very encouraging. I never doubted our membership base or our fans. They will always support us, through thick and thin. That’s been demonstrated by the number of membership renewals. We’ve had a Season ticket renewal rate of 91% this year - which is the highest we’ve experienced for a number of years. The number of new members is also up, with 5,600 fans coming onboard for season 2013. These numbers also demonstrate the expectation our members and supporters have for a good season. We’re going to do everything in our power not to let them down.”

How has the Club responded to the ASADA investigation at Essendon? And the drugs issue in its entirety?

“We’ve had the AFL come and visit us at our request. They’ve looked at our processes and procedures and have endorsed what we do, but we haven’t rested on our laurels. I’ve challenged our team as to how we enhance those procedures.

“But remember, they’re not fool proof. As much education as we pump into our players and our staff, and all the policies and checks we put in place, if somebody really wants to go outside that and take drugs, they will! But that person will be a rogue and it should not reflect on any Club that has the right processes and procedures in place. We have to be more vigilant than we’ve ever been before, but the AFL was quite impressed with some of the procedures and policies we have in place and are putting in place (through the Compliance and Integrity Committee).”

Equalisation has been another hot topic particularly after the Chairmen/President’s conference in Melbourne this week. What is the Club’s stance on the issue?

“I don’t think there’s a single, simple solution to equalisation. There are many forms of equalisation in the competition today and they work modestly well. I recognise the issue and can see how the gap is starting to widen between the more successful and less successful clubs. I applaud everybody for getting together because it’s an important issue and we need a resolution.

“I think the easiest way to resolve it is a manipulation of the money generated by the broadcast rights because that is the single largest pool of money. We do put the clubs with more drawing power and appeal into the best TV timeslots, which by default gives them greater exposure and helps in attracting sponsors and members. It’s only realistic that the clubs that don’t get that opportunity be recompensed somehow.  That said, any solution that took away from the incentive for Clubs to improve their position would be the wrong one.

“We sometimes get lobbed into the ‘rich’ category, but if you look at our finances over the last three years we’ve roughly broken even on average. Notwithstanding the move to Adelaide Oval, we rank around 8^th in the competition in revenue spend. And we’re certainly not in the top eight for football spend – we’re somewhere in between, but I don’t think we belong there! If you look at West Coast and Fremantle and their revenue, football spend and membership numbers, they’re getting ahead of us and I don’t like that.

“I have a simple vision for this footy club, which is to be the best at everything. I want to have the best team, the most members and the best sponsors. We’re going to aspire to, and put in place a program of work to get us back to a top-quartile position because that’s where we belong. There’s a lot more hard work to get there and it’s a huge aspiration, but we’re working towards it.

“I don’t want the AFL to take away incentive from the clubs to aspire to be at the top by introducing a ‘luxury’ tax. A luxury tax says to me ‘why bother trying to generate more revenue if you’re just going to tax me for my innovation and hard work and give it to somebody else?’

“There has to be an innovative way to do it. The AFL is a huge resource and they should utilise those resources to get the best outcome.”

If you haven’t already, read Part One of afc.com.au’s Q&A with Rob Chapman