Hot on the heels of Phillip Lamattina’s Eliminator Racing Series (ERS) proposal, Pro Series Drag Racing Australia (formerly known as DRAG Ltd) released yesterday their proposal for the ANDRA Pro Series. ANDRA has released a statement about the ERS, showing it is considering all options for the sport.
“There has been much speculation about the ERS Proposal that has been developed and distributed by Phil Lamattina. ANDRA would like to advise that the proposal which was officially received on August 1 will be tabled for discussion at the next ANDRA Board meeting which is being held in Sydney on August 20/21.
The ANDRA Board has had no involvement in the ERS proposal and to date has not entered into any official talks regarding the proposal.
The August Board meeting is focussing on the future growth, development and sustainability of Drag Racing in Australia and proposals such as this will be looked at as part of that strategy.
Once the ANDRA Board has determined their position in relation to the proposal, a statement will be made on our website.
In the meantime we have an exciting start to the 2011/12 championship season commencing with the Fuchs Australian Nationals in Sydney September 9 – 11. See you there!
Best wishes for the new competition season.
Greg Humphreys
Acting CEO
Australian National Drag Racing Association Ltd.”
In the proposal released to racers yesterday, the first under the new Pro Series Drag Racing Australia banner, it was stated they will form a Pro Series Commission. In order to provide Australian drag racers with the most information about these two proposals – both of which could greatly affect the sport – we have provided the significant comments in both. First the
“The next phase of the development of ANDRA Pro Series Drag Racing is the proposed creation of the Pro Series Commission which will allow Pro Series teams to have a greater stake in the sport.
The Pro Series Commission will be made up of 50% of Pro Series Team representatives and 50% of Pro Series Drag Racing Australia Board.
The Commission itself will initially set the scope, responsibilities and authorities of the Pro Series Commission, which is a positive and major step to improve the commercialisation of ANDRA Pro Series Drag Racing.
Working together, we are sure the parties will agree on the best way to improve the commercialisation of ANDRA Pro Series Drag Racing.
The first meeting to formalise the Commission will be held in Sydney just prior to the Fuchs Nationals. The existing Pro Series team representatives will be invited to attend the foundation meeting however it will be up to those representatives to determine the best skilled people for the long term Commission appointments.”
It also called for unity within the sport to move forward.
“All ANDRA Pro Series Drag Racing teams have a significant investment in their teams and the Pro Series Drag Racing venues also have investments in their venues and events.
It is crucial that the balance in the sport ensures the ANDRA Pro Series Drag Racing is sustainable for the long term for all stakeholders. While everyone is frustrated especially after so many events being lost to the weather last season, it is important to be proud of the ANDRA Pro Series Drag Racing brand.
The ANDRA Pro Series brand is highly regarded within our industry and many outsiders are surprised at the standard of the racing and the quality of the venues and event operations. We all take some of this for granted however the sport’s success is not an accident and is the result of many passionate team owners, venue operators, ANDRA and the many volunteers within our sport. Pro Series Drag Racing Australia was specifically created as a ‘not for profit’ company limited.
During the past few months, alternative suggestions have been put forward on how the sport could be run by others. We have chosen not to comment on alternatives as we prefer to continually evolve and improve things rather than argue and fragment the sport until everyone loses as the sport self destructs.
ANDRA Pro Series Drag Racing has been providing a solid and growing base for racers to compete at a professional level with very different budgets. The Pro Series teams are diverse, ranging from very wealthy to someone that invests a lower amount but a higher percentage of their income or wealth in their Pro Series teams. Pro Series Drag Racing Australia has diligently tried to keep event, TV, and other charges to Pro Series teams as low as possible. This is very evident when you compare to other motorsports around our level.
Pro Series Drag Racing Australia has been lifting the brand profile and pursuing the road to fully professional teams however we have been doing this at a rate that doesn’t eliminate the low – mid level funded teams. By building good branding and TV those teams can gain sponsors to help fund their teams and stay in the game for the long term. Many people see it as simple however its balance is quite complex.
An alternate series would just fragment the sport, which has happened in many sports around the world and it always severely damages the sport and in many cases the sport never recovers.
We ask that you consider what is best for the sport and the best for your Pro Series Team.
With limited venues in major population and economic centres, ANDRA Pro Series Drag Racing has done very well to achieve the profile it holds in this country.
Racers, the venue promoters, ANDRA and Pro Series Drag Racing Australia will only achieve greatness if all stakeholders work together.”
And reaffirmed assigned sport marketing group Nexus MG’s commitment and goals to the Pro Series.
“All ANDRA Pro Series Drag Racing teams have a significant investment in their teams and the Pro Series Drag Racing venues also have investments in their venues and events.
It is crucial that the balance in the sport ensures the ANDRA Pro Series Drag Racing is sustainable for the long term for all stakeholders. While everyone is frustrated especially after so many events being lost to the weather last season, it is important to be proud of the ANDRA Pro Series Drag Racing brand.
The ANDRA Pro Series brand is highly regarded within our industry and many outsiders are surprised at the standard of the racing and the quality of the venues and event operations. We all take some of this for granted however the sport’s success is not an accident and is the result of many passionate team owners, venue operators, ANDRA and the many volunteers within our sport. Pro Series Drag Racing Australia was specifically created as a ‘not for profit’ company limited.
During the past few months, alternative suggestions have been put forward on how the sport could be run by others. We have chosen not to comment on alternatives as we prefer to continually evolve and improve things rather than argue and fragment the sport until everyone loses as the sport self destructs.
ANDRA Pro Series Drag Racing has been providing a solid and growing base for racers to compete at a professional level with very different budgets. The Pro Series teams are diverse, ranging from very wealthy to someone that invests a lower amount but a higher percentage of their income or wealth in their Pro Series teams. Pro Series Drag Racing Australia has diligently tried to keep event, TV, and other charges to Pro Series teams as low as possible. This is very evident when you compare to other motorsports around our level.
Pro Series Drag Racing Australia has been lifting the brand profile and pursuing the road to fully professional teams however we have been doing this at a rate that doesn’t eliminate the low – mid level funded teams. By building good branding and TV those teams can gain sponsors to help fund their teams and stay in the game for the long term. Many people see it as simple however its balance is quite complex.
An alternate series would just fragment the sport, which has happened in many sports around the world and it always severely damages the sport and in many cases the sport never recovers.
We ask that you consider what is best for the sport and the best for your Pro Series Team.
With limited venues in major population and economic centres, ANDRA Pro Series Drag Racing has done very well to achieve the profile it holds in this country.
Racers, the venue promoters, ANDRA and Pro Series Drag Racing Australia will only achieve greatness if all stakeholders work together.”
Back in June in a DRAG Ltd competitor bulletin released shortly after the ERS details were starting to come to light stated a proposal to move to a licensing or franchise model for the Pro Series.
“The DRAG Ltd Board also tabled a draft team licencing agreement for consideration. This concept has been under development for a number of years and is intended to give teams real commercial equity through licence ownership. The concept was seen as a positive step by all parties, defining the series requirements and delivering worthwhile return on investment.
The intention is to have Pro Series Teams share in 50% of net television revenue as the television package moves from a cost basis to an income generator.
The initial cost of the team licences and the number of licences will be set by the Pro Series Drag Racing Commission. Teams active in the 2010/2011 Pro Series will have first option to purchase a licence. Teams will own their Teams licence and are free to buy or sell them on a commercial basis with the sale price being determined by supply and demand on the open market.”
Though this would rely on the new Pro Series Commission approving the plan if it is formed.
The Eliminator Racing Series (ERS) proposal formulated by Phillip Lamattina is in direct competition to DRAG Ltd and was conceived due to the perceived mishandling of Group One rights as stated in the ERS proposal.
“The proposition for the Eliminator Racing Series is a very simple one – to create a truly national drag racing series in Australia that shares control of the series amongst all of the stakeholders who choose to be involved.
For too long the promoters have engaged the competitor group in a monologue. They have never consulted the racers on any area of the sport, series or even calendar development.
Like the tracks, the Racers have a significant investment in the sport of drag racing and as such they have a right to ensure the sport is being responsibly and reasonably managed and developed.
The promoters have dictated the prize money levels, event promotion, event structures, entry prices and all of the other elements of event management.
Under the current management, the sport of drag racing is on its knees.
So, the competitor group has a choice to make.
The Eliminator Racing Series is a new direction. It’s real, it’s relevant, it’s well timed and all it needs to take the next step is the support of a combined competitor group.
It’s time to do things better.”
The ERS will form a Racer’s Association to represent the racers in the series.
“The Racer’s Association will be the compulsory representative body for all current and past professional ERS racers who gain automatic entry by competing in an ERS event, with no additional costs.
The Racer’s Association will be the vehicle to promote and protect its members through initiatives including workplace relations and advocacy, career development and various community events. For example, driver safety messages, work in schools and so on.
The Racer’s Association is the most important tool we have in legitimizing the sport of drag racing.
Competitor welfare is the primary function of The Racer’s Association, and the Association would aim to ensure the sustainability and integrity of the sport by investing in the personal development of past, present and future ERS Racers.
The Racer’s Association would provide a means for ERS to consult with competitors, and as a lobbying group for competitors, in the making and implementation of rules and other issues affecting the ERS.
This group will meet at least twice a year to discuss all relative issues or concerns.
It also provides a framework for organisations such as the Motor Accident Commission, TAC, NRMA and many others to get involved in drag racing.
The Racer’s Association will work directly with the ERS PR Manager to develop brand saliency for the series and kudos for the responsible nature of the sport.”
Without going into too much detail the ERS will be a user pays system initially, with profit returned to the racers and shareholders at the season’s end. The ERS series product is stated as:
“The ERS will elevate the Championship to a true National series status and allow the tracks to schedule additional events for other categories outside of the ERS system.
The product will continue to look like this:
Top Fuel + Top Doorslammer + Top Alcohol + Pro Stock + Top Bike + Pro Bike.
That is not the way it will be forever. Markets change and trends develop and as the first ERS season progresses, marketing data will be collected at every event and every facet of the show will be measured. If products aren’t performing from an entertainment perspective, they will be identified and either refined or replaced.
ERS will be working to ensure that the show is relevant, entertaining and profitable for all stakeholders. The ERS Board’s responsibility is to deliver a return to its shareholders and therefore, its racers.”
And promises the the following advantages.
A group focused only on delivering the best outcomes for the Group 1 Drag Racing Teams.
A truly National Championship in a major event based strategy – not the current fragmented multi-round calendar.
It has full time administration at every round.
Standardized operating procedures at every round of the championship.
Standardized track preparation and clean-up procedures at every round of the championship.
A dedicated marketing team – on staff.
A dedicated sponsorship management team – on staff.
A dedicated public relations team – on staff.
Formal rainout policy.
Fully funded and guaranteed prize money.
It has no large bureaucracy or layers of people.
Most importantly it is strategically managed for the most important stakeholders in the sport – the competitor.
And the following opportunities.
National coverage for national companies
Building a company and sports model of best practice
Increased media coverage
High profile sponsorship partnerships
Expand to offer model to Group 2 and Sportsman
Return of Drag Racing to Melbourne and Adelaide
ANDRA will still administrate the series.
“ERS is the bridge that will help the sanctioning body fulfill its role as an administrator and a commercial entity. It has been proved over the last 20 years in other sporting codes that it cannot be both.
ANDRA can and will be a strong administrator. Focusing on their strengths – administration of safety and classes as well as rules.“
Finally the ERS will give be providing racers and outside investors the chance to invest into the series as shareholder for a return on the profit, these shareholders will also form the ERS board with elected racers.
“The Board will be re-elected on an annual basis. Nominations for the Board will be constitute two racers (not responsible for debt) who compete at all rounds of the Series, two share holders from within the Shareholder Group (24 shares, which will be available to racers) and one shareholder from within the Primary Investment Group (26 shares available to investors outside of drag racing).“
With Lamattina currently selling his ERS proposal to racers as Pro Series Drag Racing Australia continues to develop new plans, the direction ANDRA takes and with whom will not be decided until the ANDRA board meets next month in Sydney.
Drag News Australia would like to know what you think are the pros and cons of each proposal. Please leave your comments below.
