Arsenal award Ivan Gazidis a 36% payrise and a £675k bonus for delivering what exactly?

by & filed under Match Preview, News Review.

The big talking talking point for many Gooners this morning is the monster salary Ivan Gazidis has been compensated with over the last calendar year. Based on tepid commercial improvements of £5.5million and zero on pitch success, he’s been awarded a 36% increase on his base salary to £1.36million as well as an additional £675k bonus plus £100k pension provisions. I think that makes him the highest paid Football CEO in the UK.

That’s taking your £30k salary and bumping it up to £40.5k without a promotion or any success to your name.

Who out there managed that this year? In fact, who out there managed a 36% increase in pay with a promotion? How does that sit with inflation? How does that sit with people’s idea of chief executive fair pay?

So this bonus… how is it achieved? What exactly is it tied into?

If you want to get a grasp of the figures that flew through the door of most shareholders this morning, take a read of the excellent Swiss Ramble write up.

Here is what Ivan has managed to achieve this year… look at the below as the notes Stan Kroenke will have had in his yearly review.

  • He made £65million profit on player sales last summer. To break this process down for you, that’s taking your organisations prized assets and selling them to your competitors.
  • Whilst selling our two best players, he managed to increase staffing costs £40million. Can someone remind me of how that works out? Robin Van Persie did not receive a payrise out of that, nor did Wenger or Jack Wilshere.
  • If you take away player sales, we made an operating profit of -£30million
  • Ivan Gazidis, in three years, with a commercial team estimated to cost the club £15mill a year has overseen commercial revenue increases of 9%
  • We create 40% less commercial revenue that Manchester United
  • In the same three year time period, Barcelona and Real Madrid have grown their commercial deals by £90million.
  • In the same three year period, Liverpoool have grown theirs to £17million, City to £40million and that, according to the Swiss Ramble, is before they announce their shirt deals in their reporting.
So basically, the club have remained static, achieved tepid commercial improvements and there is still no guarantee at the end of all this that we’ll be able to match United or any of the big boys when it comes to sponsorship deals.
Why is that? Well, what do all the big revenue generating clubs have in common? Success. Or the perception that they’re chasing success. You can pin a name to each of those clubs when it comes to brand recognition.
  • United – Wayne Rooney
  • Madrid – Christiano Ronaldo
  • Barca – Lio Messi
We have good players that are gone tomorrow. We don’t bring stars in. The only player Arsenal think is worthy of a shirt with its name on the back is the annual report. The shame is that you can’t sell a hefty bank balance into the marketing department of Nike. It’s admirable, but it’s not going to shift training gear. Whatever you want to say about football and finances, the common denominator with all great clubs is investment. We’re not investing in top players and surprisingly, we have no trophies to show for it. It’s not rocket science. You can find the whole process of player purchase grotesque, but if we want to fight it out with the big boys, there’s no benefit in having a cash balance of a £150million, £70million of which is uncommitted. Having a threadbare squad doesn’t have you in the mix come what March. Telling the fans you gambled on Diaby’s fitness when you had the resources not to only raises suspicions that as a club, football success isn’t the number one goal.

I hope with the Ivan Gazidis salary jump, we can all see through his hypocrisy. He’s delivered very little the fans care about over the last year, he’s delivered very little intelligent cash to the balance sheet (when I say intelligent, I mean something that goes beyond season ticket sales which we contribute to or player sales which is always the easiest revenue generator). Yet he’s been awarded a 36% pay rise.

What is that for? Is that for keeping Wenger in check when buying players? Well it can’t be, otherwise he’s lied in his report when he said Wenger has total control of the budget. Geoff assures me he can’t lie in that report from years of compiling them himself. So what’s the deal here? Both Arsene and Gazidis are the highest paid in the league and both have delivered very little in terms of success?

I guess the laughable thing is that this move towards FFP and the hope that it’s somehow going to break us free of Oligarchical shackles also seems a whimsical notion. If FFP is about using the cash you generate as a club, we’ll still be miles off the others. United generate more than us, City do, Liverpool do, Barca and Madrid do. So unless we pull our socks up and work out a long term cash generation strategy that has more to it than having the most expensive season ticket prices in the world and selling our best players every single summer, we’ll be in exactly the same position in 5  years time. That’s not good enough and that’s not why we all agreed to move to a shiny new stadium for the better times.

So in an age where we’re scrutinsing the pay of under-performing CEOs the world over, perhaps we should cast our eye a little closer to home, because that 36% seems pretty grotesque from where I’m sitting? More importantly, what are the objectives of Stan Kroenke? If he is rewarding mediocrity, where does that put the long term future of Arsenal? Just an asset that grows in value every year because the stupid fans just keep ploughing money into the club that we unconditionally love? Sounds like a pretty unambitious partner our aging board have put us into bed with… still, as long as everyone is getting rich, bar the fans, everything is ok…

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What do you think? Let us know in the comments.

Team News for tonight:

I won’t give too much of a run down of the game this evening, needless to say there’s not Diaby and Wenger is blaming the French national team for picking him last month. Come on Arsene, you’ve been in the game long enough to know the drill by now. Should there really be exhaustion issues with a player in his mid twenties after about 6 games? No is the answer.

The other bit of potential bad news is around Arteta and his ankle injury. That really would be a problem. He’s had fitness problems in the past, we really can’t afford to lose him as well. Giroud will probably start this evening. My hope is that Olympiacos are an easy game and we can work out a way of adapting to life without Diaby. Nothing but a win this evening. Match report will be with you in the morning!

 

530 Responses to “Arsenal award Ivan Gazidis a 36% payrise and a £675k bonus for delivering what exactly?”

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  1. patthegooner

    1-1 Half time, its not great viewing. I am sure conditions pay their part but again Vermaelen is having an absolute stinker.

    I know Gervinho has scored, but why the fuck are we playing him up front?? He was shite bar that.

  2. Chigooner

    couple of brainless cb’s. where’s the composure???

    it’s clear this team lacks a couple quality players. too bad the board and aw don’t give a fuck.

  3. Jeff

    We were awful. We got lucky and scored then we got conplacent and conceded. This is the script to which we are used to. What more can I say.

  4. incesc

    he is scoring goals pathegooner

    but agreed, giroud up top with gervinho on the wing coming in.

    coquelin looks shit tonight

    koc and vermalaen are crap

  5. The JD Flick!!

    I reckon we get paid bonus TV money the less goals we win by.
    or the more we concede. Either way, no way we aren’t getting paid to let teams score on us like a 10 pence whore.

  6. zeus

    Goal Konstantinos Mitroglou
    GOAL! It’s a simple, simple goal for the visitors. There is no pressure on the cross from the left by Greco, and Mitroglou glances a header into the far corner. A very nice goal, but the Gunners shouldn’t have allowed that to happen.

  7. Cesc Appeal

    Big fan of the Ox but he’s been poor, looks like Ramsey always passing backward, Jenkinson has been doing his job for him – needs to step it up now, only takes a run of bad games for the ‘Golden Boy’ image to wash off.

    Defence is terrible, don’t know if it’s Mert missing or what but, passes itself into trouble, gives away stupid fouls, no marking, no concentration.

    Attack has no penetration at all either, Cazorla is being smothered out and no one else has stepped up.

    Santi being marked by two-three Greeks at all times means Ox/Gervinho/Poldy should find more openings but they haven’t.

    Need a rocket put up them

  8. patthegooner

    I know he is scoring Incesc, but we have played some lovely crosses into the box and there is no one to put his head on them.

    Giroud needs to be persevered with, it will come good for him

  9. Yippee Kai Yay

    It would be some consolation if it were a freak equalizer. The fact is that it is no more than olympiakos deserve.

    Woeful defending, Bould still has a lot to do clearly. I missed team news, is merta-tanker injured?

  10. Radio Raheem

    pathegooner

    Gervinho’s main job is to score. He has done that. I can’t remember Podolski touching the ball, Arteta has given the ball away a few times, TV making mistakes, Cazorla is not quite creating…

    I’ll also prefer to see Giroud starting, if only to give us another option.

  11. Jeff

    The moral of the story is that we can play however we like. Brilliant or abysmal; it’s still £40m in that bank. That is the bottom line; nothing else matters. You can actually see it in the body language of some of the players. It’s only Olympiakos, no need to worry. The game will win itself. It’s a formality. They’re beneath us. No need to work too hard. Let’s get it out of the way.

  12. follow the money

    Okayyyyyyyyy another header goal. What the Hell happened to our defending? Is it the same as two years ago. This team pisses me off goddammit

  13. tonyadamsisgod

    This performance smacks of the typical ‘we’ll beat them easily’ attitude! Too many players out there think this was gonna be a walk in the park!

  14. zeus

    Is Per injured or is Wenger just being Wenger, showing who the boss is?

    If he isn’t, the this is another ‘………and they are questioning my substitution? Let’s be serious’ moment from Le boss.

  15. Jeff

    One bright note is that Wenger is not allowed in the dressing room so I hope Bould gives the players a very good bollocking because they don’t half deserve it.

  16. Ritesh

    hehe….Kozzer and TV stepping up again.

    You can’t teach pigs to fly Arsene. If really Mert has flu, put Djourou with either of them, it should be less worse.

  17. salparadiseNYC

    Arsenal not being shown in nyc until later.
    Dortmund – Citeh is and crikey Dortmund looking good.
    Carving Citeh apart, Hart keeping them in it could be 2 or 3 nil, hit woodworktwice.
    A very good speedy side, Gotze will not be coming our way it’s Barca or Madrid his next stop.

  18. Sam

    I don’t think that anybody should resent the two million quid that Mr Gazidis has made this year. The club is being fantastically run, making a healthy profit at the end of every financial year. We operate in an excellent, self-sustaining way which is guarenteed to increase the club’s share value. The manager, Mr Wenger, also deserves his seven million pound salary: his ability to spot and sign promising players then sell them off at a huge profit is unrivalled.

    Arsenal Football Club has never been in such a good position.

  19. Jeff

    You know we’re having a bad game when people start suggesting Djourou comes on. That alone tells it. My god when it’s bad it’s really really bad.

  20. zeus

    I’m not watching, but it seems the ‘Dare I say Cazorla is better than Cesc’ brigade jumped the gun a bit.

    Santi is great, but he aint no Cesc.

  21. Paulinho

    Cazorla, Arteta, Gibbs, Podolski, should not be playing.

    To expect Cazorla in his first season to play game after game is incredibly stupid, and unfortunately our manager is a bit touched in that respect.

  22. Pierrot

    Giroud needs to come on soon. There’s no focus to our attack and despite the goal, Gervinho did not even make any breakthrough the first half. Shift him to the wing and take the Ox out.

  23. Cowleygooner

    Dogshit performance. Nothing up top,shocking defending.
    It’s like their not bothered. Why pay £12m for a striker then bench him.
    This is so reminiscent of last season.
    Normal service is resumed.
    Hope we see a marked improvement in the 2nd half or my cat is getting a fucking good kick up the arse!!!

  24. The JD Flick!!

    OhtobeaGooner October 3, 2012 20:36:06

    We are in trouble…. If Gervinho keeps on scoring we are in trouble… it just masks how shit he’s been playing…

    wait, so its now a bad thing when our players score against the opposition?
    well, may that problem persist.

  25. Bergkamp63

    our subs

    60 Shea
    11 Santos
    20 Djourou
    14 Walcott
    16 Ramsey
    23 Arshavin
    12 Giroud

    better get AA23, Giroud & walnut on !!

  26. Jeff

    We just look like we can’t be asked tonight. Now of course they’ll park the bus again hoping to leave with a draw and us chasing like blue arse flies.

  27. Leedsgunner

    Sloppy, shoddy and not good enough. I was really hoping for a clean sheet. I guess Olivier will get his predictable 20mins… goodness sake c’mon give the guy a proper platform to do something!

  28. useroz

    It was bullshit defending…started with Jenk not bothering about the cross (just stood and watched FFS)… and CBs not doing their job

    Rubbish

  29. LeMassiveCoq

    Gervinho has to be the most unintelligent football player I have ever watched (except Walcott of course).

  30. useroz

    What’s Ox and Coq doing all night??

    Ox has been shit since he got the undeserved pay rise. Typical Wenger.

    Podi GOAL!!!!!

  31. The JD Flick!!

    Bergkamp63 October 3, 2012 20:53:18

    I’ve just realised what Gervinho reminds me of,

    A Dung Beetle !!
    Radio Raheem October 3, 2012 20:54:14

    Podolski off
    Giroud in

    ooooo say that again fellas.

  32. useroz

    So many average players.

    Ox is really off these days

    Poor header from Kos from 3 yards unchallenged…what as waste!!!

    Has Ox lost half a yard??

  33. zeus

    goal.com……………

    “Mannone gives us his version of a dodgy keeper, letting the ball slip through his feet for a corner before almost fluffing the catch from the set-piece.”

    Hahaha.

  34. SDE

    RR
    Chamberlain off
    Giroud on

    Reply
    Not quite,but getting there,slowly but surely…

    Ox off Theo
    I bet you followed by Poldi,off for Giroud!!

  35. SDE

    incesc

    To be honest,incesc I blame Wenger for Chamakh..!!
    Geez,what he did to that guy!!
    That said Chamakh does himself no favours…

  36. Johnty79

    Vermalen is wasted at our club. U will be all moan when he leaves for 25 m in the summer. He will be a revelation at Madrid or barca.

    Told you all that you can’t play two small centre halves together. I’m right about everything thing.

  37. SDE

    RR
    I agree about Gervinho RR..He does offer something,passes,takes on man & scores the occasional goal..But he should not be our front/target man!!

    I believe that role should be Podolski& Giroud!!
    but Arsene knows best!!

  38. SDE

    Johnty9
    Told you all that you can’t play two small centre halves together. I’m right about everything thing.

    Reply
    Let the masses,be the judge of your greatness!!

  39. Radio Raheem

    Yeah TV is on speed

    SDE

    Agreed. I don’t get the bashing he gets on here considering he has been asked to play a new position…and not doing too badly at it

  40. SDE

    Would love to see us play RMadrid in the knockout stages..

    That would be a sight for sore eyes..surely??!!

    Tactically outwitted,A masterclass in the art of defending,
    Individual brilliance,link up play& killing the game off!!

  41. SDE

    RR
    It’s easy for some to be blinded,or swept with the tide,that Gervinho is a pile of crap..

    But if you look at his game,he does offer a threat to the opposition..

    He can take on a man,he can make a pass,what he is lacking is the clinical edge,or finishing a top class striker needs,which is not his natural position..

    Yes he does run down blind alleys,but one thing you can’t fault him for,he tries & does not hide like a certain THW14..?

    I think Wenger,should only use him has a stop-gap for the CF position,if he has no outright strikers to call upon..

    On a slightly different note,who would you rather see sold..THW14,or Ramsey?Or both?

  42. zeus

    GOAL! You won’t see an Arsenal goal like this very often. Mannone’s goal-kick is flicked on by Giroud, and Ramsey runs in to chip it past the standing goalkeeper. Game, set and match Arsenal

    ****

    Interesting.

  43. Radio Raheem

    Ramsey’s goal shows what Giroud brings to the side. Hope he starts against West Ham. Without Diaby we’ll need his height against Sam’s cloggers

  44. salparadiseNYC

    Jurgen Klopp to Arsenal, total football and a big negative on potential signs of a financial fair play tattoo anywhere on his body.

    Hiz boyz can play ze football ya ya.. Dortmund were immense.
    Took a handball PK to level, throughly outplayed Citeh.. all Joe Hart.

  45. Cesc Appeal

    Walcott and Giroud both play this weekend for me, hopefully Mertesacker is back as well because we look a shambles at the back

  46. Radio Raheem

    City dropping points at home in Europe again. Well, I’m not surprised…they’ve got Mancini in charge.