There's no doubt about demand for an NRL team in region
THE viability and sustainability of any business is based on the balance or equilibrium of this most basic of business principles - supply and demand.
NRL as a product is no different. The supply side of the equation is easy to prove because the live (in attendance at the ground) and the packaged media versions of the NRL product are very popular.
The NRL media partners have valued this worth in the many millions of dollars, so this fact alone is verification as to the quality and entertainment value of the product.
I must apologise now if this article becomes a little too technical in a business sense, but the NRL has assured the CQ NRL Bid that any assessment of the bid will have viability as its core consideration.
We acknowledge and agree with this principle of adjudication as we believe our bid's strength is the long term viability of the business model.
The demand for the product is somewhat more difficult to anticipate.
Another vital component of any business is the preparation of achievable forward budgets with strict adherence to these estimates, both income and expense.
The income in the case of a sporting entity is usually based on the popularity and profitability of the demand of the product. So how do we quantify and qualify this demand?
The most commonly asked question to me from those who don't have much knowledge of central Queensland concern population sizes of our catchment, because this population size forms the core of the demand for the product.
Many are surprised when we quote the official Bureau of Statistics figure of 718,356 in 2011 and 799,502 estimated by 2106 for the central Queensland region that we consider as the bid's catchment population.
These figures are published in Queensland Regional profiles with Queensland Government Population Projections, 2011 edition as the source.
As an interesting sideline population figure, I also legitimately state that over 450,000 of this CQ population live within a 3.5 hour drive of Rockhampton, so accessibility is not an issue with the bid.
CQ compares favourably with the following cities: Newcastle/ Maitland (Knights) 418,958, Gold Coast/Tweed (Titans) 590,889, and Canberra/Queanbeyan (Raiders) 411,609.
I have heard it said that an NRL or other mainstream national sporting code requires around or above 400,000 as a base population to satisfy the demand, and that is not far from being right.
Another factor of this demand is known as "avidity" or the interest level of the population for the particular sport or activity and the natural opposition in the same region or city.
From any published media consumption figures that I have seen, us central Queenslanders consume the NRL media product like no other region on earth, so that would seem to provide the "avidity" threshold, and as there are no national sporting teams operating in central Queensland on a regular basis, we can presume that there is no alternate code opposition to the suggested NRL team.
I have finished my business argument for a CQ NRL team and I am happy to suggest that if anything is out of balance the demand will outstrip supply, and that is a healthy state if sustainability is the key.
Please support the CQ NRL Bid by going on line at www.cqnrlbid.com.au and become a bid or corporate member.