Advertisement
Advertisement
European Rugby Champions Cup
Get more with myNEWS
A personalised news feed of stories that matter to you
Learn more
George North is one of the many Welsh stars at Ospreys, and James Davies-Yandle hopes to create a pathway for more. Photo: Reuters

Ospreys’ new Asia-based owner says now is the time to buy a rugby club as online products will expand the sport

  • James Davies-Yandle says that rugby is behind the curve on products for fans to consume the sport, but that is set to change creating commercial opportunities
  • Y11 Sports & Media buys 75.1 per cent because they see potential for growth and an undervaluing of the Welsh rugby club

New Ospreys director James Davies-Yandle thinks that rugby has the potential for growth by innovating its products for fans and aligning the global calendar. Davies-Yandle said rugby is behind other professional sports in appreciating how fans consume sport but that gap in knowledge creates commercial opportunities for expansion.

“The reason you get involved in any sport organisation is the same – you believe you can grow the business, and that the business from a commercial standpoint is undervalued. If those two make sense, then that’s why you get involved,” said Davies-Yandle.

Last week, the Neath-Swansea-based Welsh club announced that Y11 Sports & Media had bought a 75.1 per cent stake as part of a “multimillion pound” takeover. Y11 is registered in Hong Kong and was founded by Thailand-based Davies-Yandle, who represented Wales in hockey at the 2002 Commonwealth Games.

Davies-Yandle is joined on the Ospreys board by his Y11 co-founder and financier, Donald Tang. Y11 once tried to buy a stake in AC Milan, although Silvio Berlusconi was insistent on selling complete ownership. The sale of the club to Chinese investors was agreed in 2016.

The Ospreys takeover came as a surprise, given rugby is struggling under the weight of the coronavirus pandemic, even more so than other sports. But Davies-Yandle is looking at the bigger picture.

“Commercially, rugby is behind the curve compared to other sports,” he said. “We’ve done a fair amount of research into where the game is in terms of commercialisation and where we believe there is a lot of opportunity to gain.”

Davies-Yandle watched as CVC Capital Partners invested hundreds of millions in the English Gallagher Premiership, the Guinness Pro14 and the Six Nations.

James Davies-Yandle thinks rugby has been slow on the uptake on how fans consume sport online. Photo: Handout

“It’s testament to where we see the game going that they’ve taken a big position. We want to align to the growth of the sport on and off the pitch,” he said.

Specifically, where rugby has fallen short is the bite size consumable content for fans online, Davies-Yandle said. Football or American football do a good job of condensing their matches and offering them on a one-stop platform and other content. But with rugby, different tournaments or teams are all on different channels and platforms. The sport is fractured as northern and southern hemispheres play at different times of the year.

“It’s relatively confusing and dilutes the value of the club game for the fan,” he said. “The likes of CVC being involved and the impetus at the top of the game, I see a changing of attitude. It won’t happen straight away but everyone agrees there has to be a change and that will be for the better. The results will be that the fan receives a better experience either at home watching or live at the game.”

Ospreys have struggled this season, but with a pathway to the top, Y11 believes they can create lasting success. Photo: Reuters

The crux is the much-hailed global calendar, aligning international and club games across the world onto one schedule. It has hit many road blocks as different stakeholders have different agendas.

“I’m hoping in these unprecedented times, this virus, might force decisions to be made as a collective,” Davies-Yandle said.

“Already big players are taking big positions, so change is inevitable. But how quick it is, is up to the biggest players at the unions to work with the grain and not go against it. We’ve made a calculated position and we’ll mitigate those risks. And the risk is time.”

James Davies-Yandle (right) at the contract signing of football-blockchain initiative 433 Token, with Paul Scholes (second left). Photo: Ike Li/Ike Images

First, Davies-Yandle has to look after the struggling Ospreys, who have only won two games this season.

Ospreys is affiliated with 77 local clubs and he wants to create a sustainable pathway for players to come through, which he believes will lead to long term success across all competitions. The on-field collapse this year is down to a multitude off issues, including most of their best players being unavailable during and after the Rugby World Cup in September and October, and then masses of injuries.

The frustrations came to a head when Ospreys and Wales captain Alun Wyn Jones publicly criticised the management of the club in January.

Wales captain Alun Wyn Jones expressed disappointment in the Ospreys management at the start of 2020. Photo: EPA-EFE

“That was prior to us coming in,” Davies-Yandle said. “We are looking at how we can add value with our experience and resources, and how we can enhance the management of the Ospreys on and off the pitch.”

Davies-Yandle believes his experience in Asia puts him in a good position to expand Ospreys’ footprint across the continent. Many have tried and failed to stimulate interest in the untapped Asian market, including the 2019 Rugby World Cup in Japan, but Davies-Yandle said the top down approach from big tournaments is inevitably different to a club. He wants to tap into expat communities and mainland China, but he calls them “slowburners”. Again, online products are key.

Pichot believes rugby’s long term future is in Asia and Africa

“We’re starting our foray into Asian markets through more of a grass roots model,” Davies-Yandle said. “We want to engage kids initially and add value to that through a collection of digital content, and potential academy camps where we send legends and coaches so these kids gain exposure and experience to Ospreys.

“If we can start at that level and build a very valuable customer base to consume what we offer, then that's a really good starting point,” he said. “Being an Asian-based sport agency we’re perfectly placed to leverage the brand, and other clubs might not see that insight or might have a different growth model.”

“The Ospreys brand it is strong, it has potential to grow it’s own brand equity. If you look at brands within sport – you have to be at the very top, at the very pinnacle, and to have won all the silverware for a sustained period of time to have brand equity in Asia,” he said.

“But what you also see is that the Asian market is very open to new brands and entities that add value to the region,” he said. “You have a lot of Asian fans willing support new clubs with new plans and initiatives, and new platforms to engage the further afield fan.”

Help us understand what you are interested in so that we can improve SCMP and provide a better experience for you. We would like to invite you to take this five-minute survey on how you engage with SCMP and the news.

Post