We have a new Guest Writer today . His name is Ralph J. and I assure you all that he will give you a few things to think about in his articles. Today he has decided to question whether the fans should be happy that Arsene Wenger (and the shareholders) have been running Arsenal as a profit-making enterprise, when really all those millions that they have in the bank is down to one reason….The Fans!

So I present to you Ralph J.’s first post……

The True Valu£ of Arsenal Fans

The fans are the most important stakeholders…

“I’d rather play in front of a full house than an empty crowd” Johnny Giles, an Irish football midfielder once quoted. Those powerful words epitomize the driving force behind the Arsenal team – YOU! The fans are without a doubt the most important stakeholders of the club and let us not forget that. The fundamental question we have to ask ourselves after 5 seasons without a trophy is: Have we been taken for granted by the club and have we been selling ourselves short?

From a business perspective, Arsenal fans are the “cash cows” of the club and contribute heavily to their bottom line results. Fans from around the world contribute to the income of the club by spending their hard earned money on merchandise, membership and tickets. Season tickets can cost up to £1825, which is the most expensive in the Premier League. The median price of a match day ticket is approximately £50 and the average attendance is 60,045 persons. With around 30 games per year at the Emirates Stadium, the income that the fans generate for the club is astronomical. Based on past annual results, match day revenue is in fact the largest source of income for the club at approx. £90.6 million. That is over 50% of the club’s total revenue. The demand for tickets has remained high since the move and the supply limited as the stadium continues to sell out. So the fans DO deserve a pat on their backs – well done fans!!

In light of the above and on the back of 5 seasons without a trophy, is it fair to say that the club has taken us for granted and that we have been selling ourselves short? Let us start off by looking at the building of the Emirates Stadium. Several fans are quick to point at Arsene Wenger’s past accomplishments to make up for his present letdowns on the sporting front and believe that he should be attributed the acclaim of building us a new stadium. Can this be right especially since he is not paying for it with his own money? In fact, it is the revenue generated by the fans (in addition to other sources of income) that is being used to pay back the debt on the stadium. From an economic standpoint, the cost of building the stadium in itself is passed on to the fans in the form of high ticket prices. Therefore, aren’t we selling ourselves short by not recognizing that it is through our love and support (and money) for the club that has made the move to the Emirates Stadium a possibility and not solely Arsene Wenger?

Arsenal is now one of the richest clubs in Europe and has paid off most of the debt, thanks to the fans who have contributed approximately £450 million in match day revenues over the past 5 trophy less seasons. Arsenal has a healthy transfer budget, which also comprises of the fans’ money and is strictly adhered to. This means that the club is well aware that they are capable of spending X amount of money without the risk of putting themselves into financial difficulties. Despite this, the club has shown the fans on numerous occasions that they are reluctant to bring in quality players to strengthen the team.

Arsenal appears to be more interested in maximizing the value of the shareholders and running the club for profits rather than catering to and satisfying the fans’ interests/ needs when we so happen to be the largest “investors” of the club in terms of revenue. The latter can be substantiated by Arsene Wenger’s rigid spending policies, the pretext of building a young squad (which has not delivered), sales of top players and little re-investment back into the squad. Now if Arsenal was a business enterprise, the notion of running the club for profits could definitely stick. However, Arsenal is a top flight football club who should be constantly re-investing to strengthen the weak areas as well as adding depth and balance to the squad in order to mount a serious challenge for titles year after year – within its means of course.

That being said, are the fans being overly demanding in wanting the club to do well, to win silverware after 5 years and to bring in quality (where needed) when we have supported the club not just with our love and support but monetary wise as well? Have Arsenal taken the fans for granted and are we selling ourselves short? I am convinced that everyone at the club especially the board members want the games to be played in front of a full house rather than an empty crowd.