The Other Man That Makes Arsenal Money

Arsenal CCO Tom Fox to address AISA membership next Monday



The Other Man That Makes Arsenal Money

Tom Fox – The man selling Arsenal to Asia


Next Monday evening (10th September), the Arsenal Independent Supporters’ Association AGM takes place in the Dial Square area of the stadium’s club level. Arrive from 6.30 for a 7pm start. Aside from the formal business of the meeting, there will be a Question and Answer session with the club’s Chief Commercial Officer, Tom Fox and the Communications Director Mark Gonella. There will also be some discussion on pure football matters by way of a chat with Perry Groves which will doubtless be opened up to the assembled audience.

Ahead of the evening, AISA chatted with Tom Fox to enlighten the membership of his key role at the club. In terms of importance, he is probably only second in line to Ivan Gazidis, if not his equal, in respect of the day to day decisions that affect the supporters – away from the playing side. Key commercial decisions – such as those about ticket pricing – are formulated by Tom Fox and his commercial team, and then ratified, or occasionally rejected, at board level.

One interesting aspect of his work in the light of recent events is that, in spite of his success at raising revenue, fans do not see evidence of this in terms of the club’s transfer spending. The CCO has no influence over whether Arsene Wenger chooses to spend the money available to him, but it might be revealing to gauge his feelings for the direction of the club that employs him to increase their profile and revenue, given that he has to sell Arsenal to potential sponsors. Two things make his job easier – team success and star players.

One widely-held belief that he can put the audience straight on – and which he touches on in the AISA interview – is the idea that Stan Kroenke is taking the profit out of the club. There is certainly an argument to say that by building up a cash stockpile, he could be fattening the goose ahead of selling it, but Kroenke’s track record suggests he is not a seller. Which leaves an ever building mountain of cash and a lot of questions. Perhaps Tom Fox will be able to provide some answers. One question I have is whether the club’s understanding of the term ‘self sustainability’ means not using profit for the good of the team, as that is what appears to be happening. What is the point of him raking in the cash that never gets used? What was the point in raising ticket prices, or the cost of membership? Just because they can?

I will be interested to hear what Mark Gonella has to say about the way the club is now perceived by a significant number of the fanbase, as one that prioritises the balance books over winning trophies. He is the man ultimately responsible for the club’s message, and the amount of evident disaffection out there, the number of long term fans who have ceased attending matches in the flesh, surely needs addressing.

Perry Groves will doubtless provide some light relief, or perhaps, as a sometime BBC Radio 5 Live analyst, thoughtful opinion on current Arsenal matters on the field. Probably a bit of both, but whatever he has to offer will doubtless be entertaining.

If you are an existing paid up AISA member, you can just turn up on the night with the current membership card sent to you recently in the post, ideally letting AISA know that you intend to come so they have an idea of numbers. Lapsed members can renew on the night and those who have never been members can sign up on arrival. The cost is £10 per year, or £5 for the unwaged. You can join online in advance of the evening here.


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31
comments

  1. Paul Skinner

    Sep 08, 2012, 20:00 #26252

    I am sure that he will assure that once overheads are paid all money earned is spent on the team. Then perhaps follow up by asking him, if Kroenke has actually paid up front for all his shares in the club or was a proportion just signed over to him for payment later and then ask him if the paying for these shares counts as an overhead on club.

  2. Green Hut

    Sep 07, 2012, 15:16 #26242

    Warren impey- If what you say is true, that despite making £50m profit in last summers transfer window and despite selling Queensland Road in June for £26m, Wenger was told there was no money to spend on transfers, then that is obviously a disgrace of monumental proportions. But it begs the question that has been asked numerous times on here before but never answered, of why would Wenger just accept the situation and say nothing when it's clearly wrong? Whatever his faults, he obviously loves the club and to sit by and watch Kroenke asset-strip is unthinkable, while his standard rebuttal of 'self-sustainability' doesn't even begin to hint at the moral crimes you're talking about. A man of his principles would surely speak out or walk away (or both) if a foreign 'investor' turned up and started using the club's assets for his own benefit to the clear detriment of the team. So why doesn't that happen? Answers on a postcard please.

  3. Warren impey

    Sep 07, 2012, 8:13 #26240

    Hi Kevin in answer to your question about the clubs cash I think you will receive a standard answer from the club regarding the current economic climate and the running costs of the club with the term (future working capital) banded around in other words he is taking the money as management fee possibly billing the club through companies he is also controlling shareholder of! This is a pritty standard American business practice none as assist stripping remove the top earners scale back on the costs and take the cash all 110 million in this case! Unfortunatly all of us as fans don't get to see the full audited accounts and this is why Mr Usmanov was trying to get 30% shares in the club (the F.A. have now changed the rule to 50%) to get access to the critical info. Coincidently we spent the same money we re-cooped in the window so no money for transfers then ,they would have you believe the money was available I doubt that very much and they saved some money on the weekly wage structure by not awardind better contracts to rvp song oh and look now Sagna is saying the same. Unfortunate for us fans the club makes a lot of money he will sell the club in the future but I fear not until the profits recied considerably!!!

  4. vish puro

    Sep 06, 2012, 12:59 #26221

    Being chartered accountant,I can say first hand that year end accounts can't and shouldn't be taken at face value. Breakdowns and Summaries are a great deal more beneficial when deriving a true and accurate assessment of a business's finances. To conceal such information from a fellow shareholder(who owns almost a third of the club!) and to go to great lengths to do so, suggests that their is political agenda behind the numbers. Also,totally agree, that the cash reserves at the club hold share price incentives, and it is not by coincidence that Kroenke's shareholding has now increased from £480mill to £690mill. What is the point of having an investor who doesn't invest, and is not even prepared to do so in an emergency-club have had to put aside £40mill just in case they fail to get top four. There's an importation distinction to be made between prudence and profit maximisation,and its about time that he board stopped patronising us. How can any true fan embrace having an owner who shares no interest in the sport and makes a living from from PROFITING from sport teams. How many more sacrafices will the club need to make before this conflict in interest is recognised. I do not have a problem with the way the club is run, only with people running it. Anyone going to the AGM to obtain the truth are wasting their time-their not going to find it there. The only way to really obtain it is by putting pressure on the board to grant Usmanov access to the club's detailed financial undertakings. WE DESERVE TO KNOW THE TRUTH!

  5. Bard

    Sep 06, 2012, 10:58 #26213

    Point taken Mandy Dodd. I just don't think running a football club should be about profit- making. I don't want us to spend squillions but we seem to forever be the 'nearly team' . A bit of investment here and there could have won us at least 2 trophies in the last 7 years. Its the lack of ambition that grates and I don't believe that Stan has either the passion or the vision. I hope I'm wrong

  6. Peter Wain

    Sep 05, 2012, 20:32 #26210

    LJB the only thing the scum could build is a black and white monument of when they won the last of their TWO league titles. I believe that was in the early sixties. They were of course the only club to win the FA Cup as a non league side. A feat many of us wish they would emulate again

  7. Ed

    Sep 05, 2012, 20:02 #26209

    Dan h- If Kroenke is stockpiling cash to boost the share price at the expense of the team, why doesn't Wenger speak out if he thinks it's wrong? Wenger doesn't owe Kroenke anything, and every single fan, even those like me who lost patience with him years ago, would back him to the hilt. Wenger talks about self-sustainability but the spare cash can't be used to repay the mortgage early because of the penalty clauses, it's just sitting there, while his team compete valiantly for the fourth place trophy every year. I'd be much more suspicious of Kroenke if the penny pinching had only started since he arrived but we all know that's not the case as Wenger has dictated club policy for at least the last 10 years, with the obvious early successes. Blame Kroenke for his laissez-faire attitude if you like but he's not the reason Arsenal have gone 7 years without a trophy.

  8. Dan h

    Sep 05, 2012, 18:32 #26208

    If we used our own resources fully the old ownership argument wouldn't be an issue for me.The current owner is it seems stockpiling money it can only boost the share price increasing the club value but at the expense of the team on the field.What sort of business model would i like Bayern Munich all day long ambitous without being reckless not spending money that isn't made by the club & still regularly post a profit.For our club who knows what the DDT intends to do with us long term he has never sold a share they say but if there is enough profit anyone would sell at the right price 'lifelong'Arsenal fans did!

  9. Ed

    Sep 05, 2012, 17:46 #26207

    Chris Dee- We'll agree to differ on the answer to our defensive problems, but if Steve Bould or anyone else can turn players like Squillaci, Denilson and Almunia and Djourou into title winners then fair play to them. Re the money situation, I thought I made it clear that I didn't want the club to throw good money after bad in pursuit of the title, but when the team clearly still isn't strong enough to challenge for the really big prizes and we have a £50m transfer profit from last year sitting in the bank, I think it should be spent. That's all.

  10. Mandy Dodd

    Sep 05, 2012, 17:37 #26206

    Bard, it may just be that stan is what he says he is, a serious long term investor who will run the club in what he sees as a proper manner. If he is something else...and he may well be,he has yet to reveal himself in that light

  11. Bard

    Sep 05, 2012, 16:55 #26205

    University challenge; which club premiership club has prospered, trophywise and remained financially stable under American ownership. Answer None. And before anyone gets on my back about Man U, have a look at the debt mountain they are carrying. The club will implode once Fergie retires. The points made by the more cynical amongst us are valid what's the point of building up profits if its not to flog it to the highest bidder. The only 2 reasons for owning a football club are to win trophies or make money. We know which camp Silent Stan is in.

  12. maguiresbridge gooner

    Sep 05, 2012, 16:11 #26204

    Better off arriving late just to listen to perry groves at least what he has to say won't be spin.

  13. Ron

    Sep 05, 2012, 14:59 #26203

    Chris Dee - Good point made and taken by me mate. Im sure it was like that back in the 30s, esp when you see pics of what went before the art deco stands! Its just ive never been taken by 'the Emirates' (the name sucks a bit too) i suppose. Highburys old design reflected and displayed strength, durabilty, longevity and class. Emirates reflects a bit of brittleness, light framed and short termism. A bit like the team today maybe!! Speaking as one whos worked in construction for a long time, id give that stadium 30-40 years before it starts to 'crumble' markedly, subject to measures they take to stop it occuring in advance of course, which are very expensive and with no guarantee of long term success.

  14. chris dee

    Sep 05, 2012, 14:32 #26202

    RON. The Emirates pretentious?Come on me old mucker. When the East and West stands were built at Highbury in the 30's I'm sure they were also considered 'pretentious'

  15. fozzy's mate

    Sep 05, 2012, 13:06 #26200

    Lets see what he says. Did anyone else see the 2 page interview the old etonian fart/fool in the Evening Standard last night. The headline message was as usual (although unusually not delivered by the daily star) that everything is wonderful, Wenger is wonderful and that he will carry on until he is totally senile and is told to stop. By that reckoning the supine chairman should have retired years ago. I think he was mobalised by the club as quite a few papies carried big spreads regarding Usmanov's mobile phone company floating in London, calling him Britain's richest man. I as I am sure many others are, am interested in the seemingly ever growing cash mountain and what the DDT intends to do with it. My suspicion is that as you say Kev he is dressing the club up for sale with the share price at the opimum level by making the business as cash rich as possible. Otherwise what is the point of having such a huge cash at bank figure? I doubt we will find out.

  16. Bard

    Sep 05, 2012, 13:02 #26199

    Sounds like an interesting evening ahead. The money issue though is a red herring.there are questions about our spending but central questions are to do with the clubs ( manager's ) failure to rectify the teams obvious failings on the pitch. Its taken 7 years to get the defence sorted and Bould has only been appointed because Pat Rice retired. I know we're ONLY fans and know f*** all about football but its been blindingly obvious to us all that shipping 40+ goals a year aint going to take you far. Wenger needs either reigning in or he needs a proper structure around him. Hopeless goalkeeping ( almunia + Fabianski ) and poor defensive organisation have effectivley negated all our great attacking football. We could have bought Messi and still not won anything.

  17. AFCasap

    Sep 05, 2012, 12:42 #26198

    when the time comes....will they annouce that the bowl has finally been paid off, or will they keep schtum and milk that for a few more years

  18. chris dee

    Sep 05, 2012, 12:40 #26197

    macca. In the last decade haven't we won Premierships and FA Cups? What's you point? Ask the Liverpool board,their manager,their players and their fans who's in a healthier position Liverpool or Arsenal.

  19. chris dee

    Sep 05, 2012, 10:07 #26195

    ED. The defensive/resilience problems have nothing to do with resources.It has everything to do with what the players have instilled into them by the manager/coach which is why I hope Steve Bould has a good input in training. You are right Arsene is stubborn, and more coaching into defensive side of our game I am sure would have bought us some trophies these 7 years. What you call an obsesion with winning trophies on the cheap is winning trophies without losing money. And when have Arsenal ever done anything different? Or should we spend another 30 mill this season and if that fails we can always spend another 30 million next year etc etc. Only the freak show at Chelsea can do that,even City are now trying to balance their books.

  20. Ron

    Sep 05, 2012, 10:01 #26194

    Chris Dee - I personally thank that the stadium is pretentious. Ive never really taken to it. Its design isnt at all very good. Far too open and hence what atmosphere is generated from time to time dissipates outwards/upwards instead of spreading within. A slightly smaller,less spacious design would have been better and more in keeping with traditional english stadia - Capacity 50-55000 would have sufficed. The stadium represents Arsenals willingness to depart from what made the Club great in favour of the glass glinting spectacle of a stadium that reflects the Club having been duped by the hype of 'sexy'football. In addition and rather more worryingly for the Club, im not convinced that it will last that long. I beleieve that it will be a drain on resources in a few decades via spiralling repair and maintenence costs.

  21. chris dee

    Sep 05, 2012, 9:22 #26193

    LJB. I was a pretty sh***y day at work yesterday but at least you gave us a laugh. 'when Spurs build their new stadium'. Is this the stadium they have been threatening to build for 10 years now? Is this the stadium they have just realised will cost around 650mill and that they can't afford. Why do you think so they attempted to move to Hackney Marshes. The Emirates is a fantastic stadium and the best in Britain,the 41,000 capacity Juventus stadium is also a good stadium. 'a horrible concrete bowl?' well yes,if you are a Spurs supporter with a s**t hole of a ground you would say that.

  22. Mandy Dodd

    Sep 04, 2012, 23:23 #26190

    LJB, please do not use Juve as an example of how a football club should be run.....on any level whatsoever, they have history but in recent years have represented all that is wrong in football

  23. Unchives

    Sep 04, 2012, 22:36 #26189

    Arteta, Gerviniho, Mertersacker, Santos, Chamberlain, Jenkinson,Park. = £65 million + wages, what cash pile is being hoarded? Stadium Debt down to £97 million.

  24. Macca

    Sep 04, 2012, 20:36 #26187

    @Dave - Absolutely right. I'm lucky I can afford to go, but my mate who I used to go with can't now and he was going with me since the 80's??!! @Chris Dee - In the last decade haven't Liverpool won the European Cup and a cup treble in one season?? Not bad...?? Abalance is required, we sway too much to the safety net??

  25. Ed

    Sep 04, 2012, 19:07 #26186

    Chris Dee- The defensive/resiliance problems you speak of that have stopped us winning trophies could have been remedied by the manager using the resources available to him, especially in the January transfer windows of 2010 and 2011. No-one wants the club to go bust in pursuit of glory but for 4 years the accounts have shown that we're on a firm financial footing, and able at the the very least to spend the profits that we make on transfers. The obsession Wenger has with winning trophies on the cheap was fine during the stadium building years, but Arsenal's finances have changed since then, unfortunately leaving Arsene behind. Gazidis stated after the Villa cup game last year that 'every penny that that the club generates is available for Arsene to spend', but Wenger is all powerful at Arsenal and always does things his way. It's a crying shame that a man who has done so many great things for the club now often evokes more irritation than admiration, but I guess that the stubborness that served him so well during the glory years has now become his achillies heel.

  26. LJB

    Sep 04, 2012, 18:23 #26183

    Chris Dee,the Emirates is not the best stadium in Britain.It is a horrible concrete bowl completely bereft of any architectural merit,which will be out of date by the time Spurs'stadium is built.If you want to see a good new stadium,go and see Juventus or Benficas stadiums.Incidently,Juventus does not continuously pat themself on the back for building a flippin new ground.They get on and do the proper business of competing for trophies without their manager making a song and dance about stadium repayments all the time.All Arsenal fans do is use the Emirates to cover up the fact that whatever special qualities Wenger had as a manager were left on the pitch in the Stade de France 2006.He has never been the same since.

  27. Adam

    Sep 04, 2012, 17:19 #26182

    Someone needs to ask him if: a) We'll ever have a yellow away kit again? b) When he's going to restore Victoria Concordia Crescit to the club badge? c) When he's going to turn that cannon the right way around? That would do for starters...

  28. MRMROD

    Sep 04, 2012, 16:13 #26181

    Ask if next season's proposed change of kit manufacturer to Adidas is going to happen; and will we ever revert to playing in a strip for two seasons ever again!

  29. chris dee

    Sep 04, 2012, 13:37 #26180

    Perhaps someone will break the habit of a lifetime and congratulate the board/manager for running the club brilliantly in the last 7 years.Not only financing and building the best stadium in Britain,but also keeping the club among the elite of Europe. The alternative would been the Liverpool route,slinging money down the khazi trying the impossible,matching the money freak shows of Chelsea and City.Now Liverpool can't afford the new stadium they crave for and they are slipping further and further away from the top of English football. There has only been one thing missing in the last 7 years that has prevented us from winning trophies,defensive organisation and resilience,so let's see if Baldylocks Bould is allowed to alter the teams D N A in a very small, but vitaly important way.

  30. Dave

    Sep 04, 2012, 13:01 #26177

    This man needs to be asked serious questions about the cost of supporting Arsenal for the normal fan.

  31. dermot

    Sep 04, 2012, 12:18 #26173

    hi kevin, all good points. maybe one other you can ask Tom. what the plans are for when the Kit and Jersey deals expire in 2014. How much do we get for these currently and what the likely amount is when we re-sign these, based on what teams like united, city, liverpool and spurs earn each year?