Smoke and Mirrors - The Great TAB NZ and NZTR Con.

[Chief Stipe]

As some of the more astute of us pointed out, in response to the cheerleaders and drum majors applause (@JJ Flash ), the expenditure reductions at TAB NZ were nothing more than smoke and mirrors.  It was clearly evident that TABNZ were pushing some functions off their books and onto each of the codes.  The end result we said would be a duplication in functions across each of the codes AND TABNZ with an overall cost increase to the Racing Industry as a whole.

Here is an example - this is just a comparison for Thoroughbred Racing - the staff numbers have doubled:

NZTR Communications and Marketing - November 2019.

NZTR Communications and Marketing - November 2021.

[Chief Stipe]

[Huey]

Wow that is just downright crazy, at a time when many stables,stud,clubs are taking care of their own marketing and communications how on earth has this area increased so much

[Freda]

The only one I can relate to from either list is Teina Walters, the lad whose infectious delight was so very entertaining when one of his [ Te Akau ] charges saluted the judge.

How that 'skill ' can be reproduced from behind a desk, I can't imagine.

And what, exactly, does a 'content creator ' do?

Edited January 8, 2022 by Freda

[Chief Stipe]

10 minutes ago, Freda said:

And what, exactly, does a 'content creator ' do?

Creates Content.

[KickintheKods]

[Chief Stipe]

I just noticed something else in the accounts that took a bit of digging to work out what had happened.  Needed to go back to the TAB NZ annual report to work it out.  There was another $3m windfall to NZTR (and the industry) when TABNZ didn't charge race broadcasting fees.  These costs were covered by the Government slush fund and labelled "Return to Racing".

So the bottom line looked better than it could have.

Back to the staff numbers at NZTR - the last annual report states there are 40 employees.  Yet a quick count of the total number in the November 2021 Programme numbers about 55.  I suspect we won't see the additional employee cost until the next annual report - unless as a parting gift Bernie gives us a half-year report.

Now that increase in costs will have been predicated on the TAB NZ budgeted revenue.  That is starting to look a little shaky and if target isn't met then do we have a stack of cards and domino's?

Meanwhile nothing has been spent on getting more product to the races for punters to bet on and generate revenue.

[Doomed]

16 minutes ago, Chief Stipe said:

 

Meanwhile nothing has been spent on getting more product to the races for punters to bet on and generate revenue.

Come on Chief; you can bet on Korea, USA, Tibetan husky races. What more options do you need?

[Chief Stipe]

32 minutes ago, Doomed said:

Come on Chief; you can bet on Korea, USA, Tibetan husky races. What more options do you need?

Many of those USA and Korean races are abandoned because there is insufficient money in the pools to meet the minimums.

Overall profit for the year to end of November is down on the back of a decline in Pokie revenue from predominantly Auckland.  The Pokie revenue is normally diverted to pay for the RIB however if that revenue is down then it has to come from wagering revenue either directly or indirectly.