How Has the Professionalisation and Commodification of New Zealand

The Game is not the Same - a History of Professional Rugby in New Zealand Gerard John Martin A thesis submitted to Auckland University of Technology in partial fulfilment of the postgraduate degree of Master of Arts (Communication Studies), 2005. Table of Contents Page Attestation of Authorship 5 Acknowledgements 6 Abstract 8 Introduction 10 Chapter One: Development of Britain’s Game for an Elite Few into New Zealand’s Game for Many 14 1.1 Rugby: Colonial Relationships and National Development 15 1.2 Rugby, Nationhood and War 21 1.3 Rugby, Race and Political Division 25 1.4 Local and Provincial Rugby 33 1.5 Amateur Rugby and Commercial Imperatives 37 Chapter Two: New Zealand Rugby is Compelled into Professionalism 50 2.1 Rugby Union, Rugby League and Media Conglomerates 51 2.2 Television Rights and Player Contracts 58 2.3 Professional Rugby: the New Landscape 68 Chapter Three: Global Commercial Imperatives Restructure the National Game 81 3.1 Broadcasting Live Rugby on Pay-TV 82 3.2 Operational and Scheduling Changes for Rugby 88 3.3 Leveraging Sponsorship Revenue from Broadcasting rights 92 3.4 Commercial Contracts and On-Field Performance 98 2 3.5 The All Blacks: National Team or Global Product? 102 Chapter Four: New Zealand Rugby Becomes Socially Divided 110 4.1 Super 12 and Provincial Rugby: Uneven Development 111 4.2 Nurturing Rugby and Financial Survival 117 4.3 Local Communities and the Funding of Rugby Facilities 123 4.4 Exporting Talent: New Zealand as a Rugby Factory 132 Chapter Five: The 2003 Rugby World Cup: Commercial Realities and Rugby Culture 143 5.1 The Rugby World Cup: A Global Commercial Event 144 5.2 Hosting the 2003 Rugby World Cup: Corporate Imperatives and Trans-Tasman Tensions 146 5.3 The Australian Rugby Union Prevails 152 5.4 Losing Sub-Host Status: Causes and Consequences 155 5.5 On-Field Performances and Commercial Implications 162 Chapter Six: Broadcast Contract Renegotiations Represent a Particular Complexity for the Future of the Game 178 6.1 Corporate Media and Sponsorship Relationships 179 6.2 Planning for the Future of the Game in a Dynamic Broadcast Market 182 6.3 News Corp, Rugby and the Sports Rights Market 186 6.4 The Future of Super 12 and Provincial Rugby 194 6.5 The Marginalisation of Pacific Islands Rugby 197 6.6 The NPC and Club Rugby 204 3 Chapter Seven: Conclusion 215 Bibliography: A. Books and Periodicals 224 B. Newspapers and Magazines 230 4 Attestation of Authorship “I hereby declare that this submission is my own work and that, to the best of my knowledge and belief, it contains no material previously published or written by another person nor material which to a substantial extent has been accepted for the qualification of any other degree or diploma of a university or other institution of higher learning except where due acknowledgement is made.” Gerard John Martin 5 Acknowledgements As is often the case, preparing and then writing a thesis takes more than just the writer’s time. External influences are important in determining in part, the ability of the writer to form the right arguments and the correct conclusions and to absorb the influences appropriate to preparing a sound dissertation. The gestation period of this thesis took place while I was working on a short-term contract as a writer/producer with TVNZ’s website, nzoom.com. Although the site has since been remodelled, re-launched and re-named (and the ethos expounded to me at the time of it becoming a third channel seems long forgotten), I am grateful for the mental space this sometimes part-time work allowed me. It is almost needless to add that this brief experience provided a useful backdrop to drafting a clearer vision of rugby’s place in a media nexus. On a personal level, it is the support of family and friends for which I will be forever grateful. The countless times that I recited to anyone interested the only glacial progress I seemed to be making, yet the supportive comments that this would generate seemed to me a marvel of modern sociology. AUT’s Communications department deserves my greatest gratitude. The patience, good advice and clear thinking of my supervisor, Wayne Hope, and the support of head of Department, Alan Cocker, was critical. I am also particularly grateful for the editing work of my mother, Betty Martin, and also for my brother, Kieran Martin, who with very little persuasion provided feedback on sections for me. Others also provided little parts of inspiration along the way. The ability to gather newspaper articles from the reference department at Auckland’s Central Library was a significant factor in my ability to research the most important points. It proved a tremendous resource. 6 Completing this extensive masters thesis has taken far longer than I anticipated, but it was nonetheless enjoyable at every stage. I can now but hope that it proves a useful and instructive resource document for others. 7 Abstract Rugby, an intensely physical team game that emphasised the contribution of players of disparate skills and strengths, was ideal for New Zealand’s early European pioneers. It also suited the nature of the indigenous people. Rugby club competitions and provincial matches provided a significant social fulcrum and a means of playing out regional rivalries. Arduous, but ultimately successful rugby tours to Britain and Ireland, brought Pakeha and Maori together and helped to shape the young colony’s self-image. New Zealand’s commitment to its national game became instrumental in rugby’s steadily growing international popularity. Although rugby had significant commercial appeal, it remained an amateur sport in deference to its British originators. Nevertheless, New Zealand’s hosting of the inaugural Rugby World Cup in 1987 coincided with the development of global media networks. By the third Rugby World Cup tournament in 1995, substantial commercial interest in the game meant that a transition to a professional structure was inevitable. Rugby appealed to media conglomerates needing new televisual product that would attract subscribers to growing pay- TV networks. Although the introduction of professionalism was a major commercial success, the commercial imperatives imposed allowed rugby to be dominated by those with the most financial and player resources. As a consequence, New Zealand’s traditional advantages were diluted. This generated considerable tension between New Zealand’s professional game and its amateur grassroots level that has been rugby’s traditional base. While supplying the game’s players and 8 supporters, grassroots rugby has been the level of the game most vulnerable to the negative impact of professionalisation. To generate the income to adequately fund the game’s grassroots, it is critical that New Zealand‘s leading teams remain among the world’s best. However, the professionalisation of rugby has made winning far more difficult than ever before. New Zealand rugby’s challenge is to mitigate the commercial imperatives that place it at a significant disadvantage in the international game. 9 Introduction Swift transition from an amateur code to a fully professional game ensured substantial change for rugby. By remaining true to its British public school origin, rugby had been partially insulated from commercial pressures common within major professional sports; yet, rugby had always been commercially attractive. In Chapter One, New Zealand’s commitment to the game as an arbiter of its place in the world gave rugby an enduring status and national profile. The ability with which New Zealand played the game contributed to its development as a major international sport. But while it was eager to retain close links with rugby’s home unions, New Zealand’s prowess also challenged their ownership of the game. In Chapter Two, New Zealand’s hosting of the first Rugby World Cup in 1987 highlighted the game’s commercial potential. Planning, training and coaching of rugby nations were influenced by the tournament’s four-yearly cycle. But it also concentrated significant commercial interest in elite rugby. This led to the International Rugby Board (IRB) taking advantage of the Rugby World Cup to fund the game’s development. Nevertheless, adherence to rugby’s century-long amateur code generated tension between the IRB, its member unions and leading players. While remaining unpaid, the players’ efforts earned substantial income for unions and the IRB. Ultimately, the development of media conglomerates (alongside the game’s commercial appeal) was the catalyst for rugby’s inevitable professionalisation. 10 Failure to adequately prepare for transition to open professionalism undermined the New Zealand Rugby Football Union’s (NZRFU) links with its players.1 This is the underlying theme of Chapter Three. The risk of losing players to a media- led professional rugby league competition (and a rebel rugby corporation) served to illustrate the players’ commercial value. The New Zealand, South African and Australian (SANZAR) unions were forced to react quickly. Driven by a need for programming to build subscribers to its pay-TV networks, News Corp bought the televisual rights for new rugby competitions developed by the three southern hemisphere unions. The SANZAR unions used the income that broadcast rugby generated to pay and retain their elite players and to fund development of structures to manage the professional game. But with live televised broadcast of the game restricted to subscriber television networks (combined with the rising cost of match-day tickets), access to top level rugby in New Zealand became restricted to those who could afford it. Commercial imperatives inherent within the professional game impacted upon the representative nature of New Zealand‘s provincial rugby unions. Chapter Four describes how the concentration of player, management and financial resources on the five unions chosen to host professional Super 12 franchises, led to a major imbalance in the domestic game.

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