‘Devastating’ cost of Victoria’s Commonwealth Games bombshell
Victoria’s bombshell decision to abandon its commitment to host the 2026 Commonwealth Games will have wide-reaching financial ramifications for agencies, marketers, brands and the athletes themselves, experts warn.
Premier Daniel Andrews fronted the media in Melbourne yesterday to announce the state was bowing out due to an almost tripling of the projected cost of staging the global event.
“This is not a difficult decision in many respects,” Andrews said. “We are not going to spend $6 billion to $7 billion on a 12-day sporting event.”
The government’s saving will come at the expense of an untold number of people – and may even result in job losses.
Organisers were in advanced discussions with potential brand partners and key sponsors, as well as creative producers for the opening and closing ceremonies.
A number of specialist teams assembled at marketing agencies to handle the influx of work.
One agency tasked with managing some of those duties found out about the abrupt end of their tenure at the same time as Australians, via media reports. Staff were left shocked and dismayed, Mumbrella understands.
Another marketer flagged the very real possibility of downsizing given their team was no longer needed, saying the consequences would be “devastating”.
The loss of sponsorship will deal a blow to athletes, who will now miss out on vital funding for future training and competition opportunities.
Carlie Green-Medina, managing director of sports marketer Agency X, said the cancellation of the Games had brought forth “a wave of disappointment and frustration”.
“For these dedicated athletes, the significance goes far beyond just missing out on an opportunity to showcase their skills on an international stage,” Green-Medina said.
“The event serves as a culmination of years, if not decades, of tireless training, discipline, and sacrifice. Athletes invest countless hours honing their craft, pushing their physical limits, and overcoming numerous obstacles to qualify for prestigious competitions like the Commonwealth Games.
“Beyond personal aspirations for glory and recognition, athletes view this cancellation as a missed opportunity for monetary rewards, which assists in funding their pursuits. Ultimately, a cancellation represents more than just lost medals or accolades – it would signify dashed dreams and unfulfilled potential in both athletic achievement and potential financial reward.”
Australian team chef de mission Petria Thomas said the decision was “extremely disappointing”.
“This is a significant blow to the hundreds of athletes and their support teams working toward qualification for a Games here at home – I am thinking of them,” Thomas said in a statement.
It’s been revealed that Victorian Government representatives phoned Commonwealth Games officials at 2am on Monday morning to deliver the news.
Craig Phillips, chief executive of Commonwealth Games Australia, was blindsided and described Andrews’ decision as “absolutely embarrassing” for a state that regularly dubs itself the event capital of the world.
“I would be very careful if I was an international sporting body coming and doing business in this state in the future,” Phillips told The Age.
When asked if he had been lied to by the government, which committed to hosting duties just a year ago in the run-up to the state election, he replied: “We are not sure at this stage.”
I’m sure its disappointing for folk on the gravy train, (interesting there’s no athlete comments in there, just the blazers), but its the right decision for taxpayers. 2nd tier event with top tier cost just doesn’t make sense.
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“This is a significant blow to the hundreds of athletes…”
Let’s be generous here and say their use of the word ‘hundreds’ implies less than 1000, but we’re being generous so we’re going to assume 999 athletes.
$7-billion / 999 = $7,007,007
Is the implication here that we should be devastated that the government isn’t spending over $7,000,000 per Australian athlete on hosting this event?
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as long as we still get to make them stadiums and sporting centres that were planned for the games, and we’re going ahead with them still as stated, its a win-win!
Dan Andrews just saved us 5 billion imaginary dollaridoos! Go Dan!
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