Laurie Dalrymple, Harlequins CEO: Do the finances of rugby ever add up?

Happy New Year! We’re back with a bang as we welcome Harlequins CEO Laurie Dalrymple to the show. This is one of English sport’s most historic organisations. Laurie has been in charge of the Premiership Rugby team for over 5 years, establishing them as one of the leading commercial entities in the game while delivering huge success including league titles and European Cup semi-finals on the pitch. We’ve had some incredible rugby chats on the show in the past. This is no different. From the viability of teams as sustainable businesses to the development of more players as ‘sporting icons’, Laurie gave us a compelling review of what it means to run a historic sporting organisation fighting to remain at the forefront of sporting entertainment. But can one club achieve real success if the league isn't set up to facilitate it? Our age old ‘rising tide lifts all boats’ discussion. We also recorded this a few hours after the club announced a bumper new deal for Marcus Smith; couldn’t have timed that better. Before joining Quins Laurie was previously Managing Director of Wolves, overseeing the signings of Ruben Neves, Diogo Jota, and Nottingham Forest’s high flying manager Nuno Espirito Santo. There’s something in here for everyone. --------------------------------------------------------------------------------- Timestamps: (00:00) Intro (00:59) Marcus Smith’s New Contract (07:46) How Has Harlequins Thrived During Tough Times? (11:37) The Role of Media in Harlequins’ Revenue (12:51) How Was the CVC Investment Distributed Among Teams? (15:26) The Current Salary Cap Situation in Premiership Rugby (23:29) What’s Causing Financial Struggles in Rugby? (26:42) Is Harlequins a Better Business Than Wolves? (33:46) What Needs to Change to Improve the Product of Rugby (36:36) Is the Current Rugby League Structure Optimized for Success? (37:57) Harlequins’ Biggest Untapped Revenue Opportunity (40:41) What Would Laurie Most Like to Invest More In? (45:31) Is Better Calendar Alignment Key for Rugby’s Success? (48:07) How Does Harlequins Host Big Twickenham Games Fairly? (52:12) Which Costs Would Laurie Cut? (53:40) How Laurie Views Rugby’s Shift to Commercialisation (56:22) Does CVC’s Portfolio Approach Benefit Rugby Leagues? (58:07) Does Harlequins Spend the CVC Money Wisely? (59:34) Quick-Fire Round --------------------------------------------------------------------------------- On today’s show we discuss: 1. Importance of Talent Top talent on your roster is essential to building a better commercial vehicle that brands want to interact with. From Marcus Smith to Alex Dombrandt, how have Harlequins looked to enhance the profile of their - star players to build value into the club. Is rugby capable of delivering global superstars? When the sport is all about the importance of the team, is there a place for ‘superstar’ personalities? Is there concern that the salary cap and spending restrictions placed on English clubs causes the top talent to move abroad or not come to the Premiership in the first place? The importance of legacy and ensuring the players appreciate what has gone before them at this historic club. 2. Financial Management Is Laurie a supporter of the salary cap model and why was it introduced in the first place? Can the financial challenges experienced by clubs in recent years be purely attributed to spend on the pitch or are there other factors at play? How does the salary cap work? What are the budgets and how can they be spent? How have Harlequins built the most valuable club in England with the highest revenues? From enhancing fan experience to trusted brand partners. What are the financials of the club? Despite performing very well in the existing environment they are still not profitable. 3. Rugby vs Football What did Laurie bring into rugby from his time as Managing Director at Wolves? Where were there direct crossovers and what was the biggest difference? --------------------------------------------------------------------------------- Subscribe on Spotify: [https://open.spotify.com/show/1lD0eIj...](https://open.spotify.com/show/1lD0eIj... Subscribe on Apple Podcasts: https://podcasts.apple.com/gb/podcast... Follow Harry Stebbings on Twitter:   / harrystebbings   Follow Charlie Stebbings on Twitter:   / charliestebbs   Follow Laurie Dalrymple on Twitter:   / lauriedalrymple   Follow Business of Sport on Instagram:   / bizofsport   Follow Business of Sport on TikTok:   / bizofsport   ---------------------------------------------------- #businessofsport #charliestebbings #harrystebbings #lauriedalrymple #ceo #harlequins #rugby #rugbyunion #marcussmith #premiership #wolves #football