The Queensland Trainers Association has been invited to sit at the table when the racing industry consulation process begins in August.
This consultative process has been been put in place by Racing Queensland acting CEO, Ian Hall and will allow for representatives of race clubs, QTA, ATA, jockeys association, Tattsbet, racehorse owners and other industry stakeholders to attend. All will be able to put their views forward on how to achieve a viable and vibrant industry that can live within its budget.
One of the hardest things for grass roots industry participants to come to grips with at present is how did the gaping “black hole” in Racing Queensland finances announced recently by Ian Hall actually occur.
Queensland Minister for Racing, Bill Byrne stated in parliament that RQ’s income projections were based on “rivers of gold” that didn’t actually exist.
Of course these “shock horror” announcements are in stark contrast to the industry hype and spin announced by Kevin Dixon when he disclosed the $4.5 billion 30 year product agreement signed with the Tatts Group in late June 2014. There was also an upfront payment of $15 million to help sugar coat the “deal of the century” which would lead racing in Queensland from the prizemoney wilderness.
Ian Hall has an obligation to all stakeholders to fully explain how this deal has failed to deliver the anticipated benefits to the industry.
He has made some preliminary announcements that betting turnover on racing in Queensland across all codes has been lower that what was initially projected.
The Queensland Trainers Association has asked for copies of figures to back up these assertions in order for stakeholders to determine what codes and racing precincts have had the largest impact on these turnover figures.
Tattsbet has not uttered one word publically as yet as to how they view any downturn in turnover.
Tatts Group were every slow out of the blocks with the launch of their much hyped, revamped UBET brand and we are very keen to hear what they have to say about their ability to compete and effectively market their brand in competition with other corporate bookmaking entities in Australia.
Just what is their overall marketing strategy that made them the standout candidate to receive an exclusive 30 year deal from Racing Queensland and what does their analysis conclude as to reasons for a downturn in betting turnover. Is it the “product” supplied by Racing Queensland or Tattsbet inability to compete in the market? Has Racing Queensland “backed the wrong horse?
The TAB race clubs are effectively all franchisees in this corporate conglomerate which constitutes Racing Queensland and they are also often left in the dark when it comes to provision of key performance indicators. How many of the clubs have regular access to betting turnover information split by race club, week day, race times and race distances etc that they can use to benchmark their performances against all other clubs across the state?
We are lead to believe that Racing Queensland has all this information but it is rarely if ever downloaded to the “franchisees” or individual clubs. Therefore how can the clubs ever work towards improving the “product” if they don’t even have base line infromation to work with?
There is a vast array of data sharing which is required before any talk of prizemoney cuts even touches the table.
The top down policies of the current Racing Queensland business model where it is assumed that the Deagon bunker is the font of all knowledge has to cease. The “secret squirrel” model of holding information in house and failure to share key financial performance indicators with industry stakeholders is a failed strategy.
A bottom up model has to be developed where there is much wider true consultation with industry on an ongoing basis.
Trainers and owners are the key drivers of the supply chain. They supply the “Product” (horses) to the frachisees (clubs) who then supply to Racing Queensland to on sell to Tattsbet to supply to the punter.
Racing Queensland has had difficulty in understanding its role in the supply chain and has failed to properly assist and supply the analytical tools to nurture a network of profitable franchisees (clubs) and trainers and owners over past years.
Now is the time to fix a broken model and stop a situation where Racing Queensland executives seem to operate as if they are running a Deagon based feifdom.
Sharing information and data is extremely powerful and empowering and that needs to start now.

