Instead of scaling back and changing the nature of the event to make it more economically viable the default stance taken by those that run the event is to line up at our local council with their hand out and in this case it is to the tune of $100k. Interestingly they are also requesting that the council assist with the management and running of the event.
Under the threat of pulling the event out of the region to the detriment of tourist trade and horse-trading with other councils we have no doubt that corporate welfare will be dished out from our bewildered leaders without thoroughly understanding the ROI and risk to ratepayers. We also have no doubt that a committee will be quickly formed of council representatives and interested stake holders that will form a layer of bureaucracy making plenty of non-productive noise while sourcing further welfare from all sorts of imaginative areas.
Instead of a hardcore, enthusiastic group of people with their arse on the line running an economically sustainable event that they are passionate about, the event will be run by a committee of removed do-gooders with their own personal agenda and no risk. The event is doomed.
This made us think about the Rugby World Cup and we wonder if there are similarities about New Zealand hosting this event?
Talking about the Rugby World Cup, we read with interest that one of many subcommittees of NZ's Rugby NZ 2011 will enter the accommodation reselling business by creating a "bank of bed nights" that will be allocated to those seen to be most deserving. We are somewhat surprised and skeptical to learn that "about 300 hotels had signed up to guarantee an average of 60 per cent of their bed inventory at set rates." Why any accommodation business would sign over their lifeblood to a quasi-government committee is beyond us.
If corralling commercial accommodation isn't difficult enough, Rugby NZ 2011 will be also providing a homestay matching service.
While we can see the good intentions, coordinating accommodation is a highly specialised business and frankly this should be left to those that have a vested interest in this industry. Trying to manipulate the market will have dire consequences.
When the Dominion Post went looking for some accommodation operator feedback they were met with the obligatory "no comment" from Wellington's InterContinental, James Cook and Duxton Hotels...however our fellow down-to-earth motel operators were more forthcoming:
"But owners of Wellington motel complexes said they were wary of accepting block bookings for the tournament from people professing to represent international rugby unions and booking agencies.Good onya!
Victoria Court Motor Lodge owner Chris Gray was not interested in doing deals with people wanting to book now and on-sell his rooms at inflated rates. "We're a little bit wary about doing any deals at the moment."
A spokeswoman for Apollo Lodge in Wellington said: "We have been approached by shonky operators wanting to block-book rooms and make money out of us.
"We're not going there. We're hanging on to our units."
Source: Click HERE
