KEY POINTS:
The All Blacks will be pushed into new frontiers in a drive for more revenue. Plans are already being explored to exploit commercial opportunities in Japan, mainland Asia, Europe and North America.
While most of the globe is being scoured, North America that holds huge promise and it
may not be long before the All Blacks play a full test in the US.
The New Zealand Rugby Union sees the US as a sleeping giant and developments in the past year suggest it may now awaken.
Former All Black selector Peter Thorburn has been appointed coach of the national team, former NZRU board member Kevin Roberts has taken over as chairman and former England halfback and coach of Wasps and Gloucester, Nigel Melville, has been installed as chief executive.
The corporate power of America is enormous and the NZRU would reap huge financial benefits if major sponsors and broadcasters are found for the Churchill Cup, a tournament involving the US, Canada, 'A' sides from England, Ireland and Scotland, and New Zealand Maori.
There could also be a bumper pay-day if the All Blacks were to play a test in North America.
NZRU chief executive Chris Moller and his deputy, Steve Tew, met rugby officials in the US this year.
"It is great to see that America have some highly skilled individuals involved," said Moller. "It has to be remembered that while rugby is still a minority sport in America, it can still be a major player in global terms.
"The research has been extensive and the opportunities are not just with the All Blacks, but also with the other national teams who are often recognised as the All Blacks when they travel."
The force driving this exploration of foreign markets is the union's concern that almost half its income is derived from broadcast rights and the sponsorship deal with adidas.
It wants to grow more revenue streams, which is why a specialist team has been researching money-making opportunities in untapped locations.
"I know some people don't like talking about the All Blacks as a brand," says Moller, "but it has been a stated objective of ours for some time now to explore other sources of income and reduce the dependence on our broadcast contract.
"It has also been a stated objective of the IRB to close the gap between Tier One countries and Tier Two countries as well as closing the gap within Tier One. We recognise those goals and in recent seasons we have seen the creation of tournaments that have helped those goals."
The inclusion of the Junior All Blacks in the Pacific Six Nations and the Maori team's involvement in the Churchill Cup, as well as the Sevens team's high standing on the IRB circuit have increased the awareness of New Zealand rugby in non-traditional markets. But it is the All Blacks that carry the most commercial potential.
This year the NZRU made about $3 million under revenue-sharing arrangements when the All Blacks played England at Twickenham. A similar deal was struck with the Welsh Rugby Union in 2005, and in 2004 the All Blacks played the Barbarians in London; also for a slice of the gate. Playing tests under these arrangements is the most lucrative way to use the brand.
Moller is also aware that enormous playing demands are already made of the best players and their welfare is critical to the long-term security of the All Black heritage.
Extending fixtures of the Junior All Blacks and Maori teams could help generate more income as well as provide meaningful competition for the likes of Japan, Spain, the US, and Canada.
The NZRU is also conscious of how major European soccer clubs such as Manchester United and Real Madrid have moved into Asian markets by playing pre-season games there. These games increased support in Asia and sales of replica jerseys have followed.
While plans are moving towards fruition, Moller sounded a warning.
"Of course the most important thing about retaining a strong All Black brand is winning tests, and ultimately, that is what we have got to make sure that we continue to do."
- HERALD ON SUNDAY
