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Posted

Thanks for the reply.

So lack of a sponsor has increased the entry fee so significantly.

I dont wish to comment on ASG product related posts etc, that was not my original question and in terms of this post, quite irrelevant.

In reality it is sad.

Since ASG has become involved, the entry fee has risen significantly. My salary doesnt unfortunately grow at a rate of 50% in 2 years, and in all honesty R720 for this day event is quite exceptional. Sponsored riders and professional teams may be the only ones doing this event if this trend continues, and as far as I can tell, they form the minority of participants.

 

What worries me more is that with the multitude of events creeping into the calendar, the classics like the Jock end up suffereing as people take advantage of cheaper, more accessible, events. Their choice sure, but perhaps you ASG are taking on too much in your portfolio and instead of making whats good out there already even better, you are adding to its demise.

 

I hope you have a rethink on this, or get a sponsor on board to help absorb your costs whatever they are.

 

Again, LI, your reply has a whole lot of issues in it that I don't think are fair to blame on the entry price ALONE.

 

As I read it, you will enter this event if ASG gives you an entry at R360 ? Then you will do this event?

 

Again, using the above figures (as general as they are) you are willing to pay R3640 to do this ride - but you are not willing to pay R4000? That's like less than 1% of the total trip cost you will be saving ?

 

As I said blaming the entry fee seems to be a way of blaming the high price of everything else.

 

What I do agree with you, there are more and more races on the calendar. People have more choice. But that said, cycling is a growing sport, so heck who knows what will happen.

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Posted

1. You have to remember also that even if you sponsor a million teams and youngsters in cycling it still does not help my pocket ito race fees.

 

2. Another thing everybody know that cheaper events attract more people. The jock has been growing over the last 3 or 4 years again because of good organizing and the word is still spreading. You WILL get your money back with increasing entries. Now you almost double the entry, do you really think that the substitute for bulk entries is higher fees??? How does that make sense in a financial standpoint

 

3. Your brand image has got nothing to do with the people giving you a hard time on this "public forum" and this is the result of your dealings.

How could races all over be run in previous years without a loss and now all of a sudden, with your increased race fees, it results in losses.

You have to understand that we cannot be hold responsible if you lose money because of the exchange rate on your imported products. Because it looks like you compensate your losses by making it back in race fees.

 

I do understand that you are a business and are out there to make a profit. But keep that separate from the race scene.

 

Obviously you would not have taken over A LOT of the races in the country if they were making losses??? That would not be good business so I am struggling to see how you could have driven it into the ground?

 

Please just remember that if cycling dies in SA because you try to bleed us dry, you will not have a business...!!!

 

With due respect, for the past 18 months ASG has been sponsoring/carrying/subsidising all of the events in its porfolio (except 1). We have some great sponsors who help carry the load but sadly not enough to make profits on these events - that is the honest truth. The smart business decision would be to 'can' all these events but we (and our partners) still believe in their future and in the mean while view this shortfall as marketing expenditure (and this is why ASG Performance Solutions is prepared to carry the loss).

 

The only reason we mention our products and the exchange rate is because in many of these posts there seems to be no differentiation between ASG Sport (Importer/distributor) and ASG Events (two separate companies with different shareholders)...if someone is unhappy with the medal, goodie bag, a waterpoint or even accuse us of stealing someone else's event they often call for a boycott on ASG Sport (barking up the wrong tree)?? We most certainly do not hold any participant in an ASG event responsible (through higher fees) for changes in ASG Sport Solutions product cost structures. The two business are completely separate.

 

Having said all this we take your point (1) that you are only interested in what you pay for an entry and if you feel that it is fair ('your pocket') - again, we respect and understand that and we have never claimed otherwise - we have to do what we have to do though while realising that our actions will impact on who enters and who doesn't (it's logical and a simple economic principle) but it does not mean we did that to 'screw' anyone or 'bleed people dry' (precisely because there is no gun against your head) - it is a fine line (higher fees equals drop in entries), we know but putting up an event like the Jock so far from our base in Pretoria is expensive and we did what we felt we had to. Would have been fantastic to keep the fee the same or only slightly increase it but that was not possible.

 

What we will try to do is find additional benefits to make the increased fee worthwhile for the participants that do come and support the event (better goodie bags with more value, negotiate product discounts, better catering, etc) - on this point we accept the challenge.

 

Thanks for the feedback (we take your points) - we are 100% committed to cycling, cyclists and the effort to not lose 50+ cycling events from the calendar and eventually hope to present these in a way that makes a huge amount of financial sense to both entrants and ourselves...until then the search is on for more co-sponsors (in a time when they are pulling out all over the show due to really tough economic conditions) and for cyclists to make up there own minds which races they want to do and which one's they don't want to do - without having to call for boycotts :) - this we truly understand!

Posted (edited)

Again, LI, your reply has a whole lot of issues in it that I don't think are fair to blame on the entry price ALONE.

 

As I read it, you will enter this event if ASG gives you an entry at R360 ? Then you will do this event?

 

Again, using the above figures (as general as they are) you are willing to pay R3640 to do this ride - but you are not willing to pay R4000? That's like less than 1% of the total trip cost you will be saving ?

 

As I said blaming the entry fee seems to be a way of blaming the high price of everything else.

 

What I do agree with you, there are more and more races on the calendar. People have more choice. But that said, cycling is a growing sport, so heck who knows what will happen.

At the end of the day Slow, it all adds up. The precedent is set by the attitude (and success) of the Epic.

 

I try to pick my races carefully as I do between 18 and 26 events a year including stage events. The costs are considerable, but thats my choice.

If all races start following the route of the Epic and it all becomes an exercise in economics and gain, is the sport going to be growing, or just profits.

If the hard classics fall away in lieu of contrived EASY events, what in cycling is growing? not value for money, or quality of experience.

Edited by Li Mu Bai
Posted (edited)

With due respect, for the past 18 months ASG has been sponsoring/carrying/subsidising all of the events in its porfolio (except 1). We have some great sponsors who help carry the load but sadly not enough to make profits on these events - that is the honest truth. The smart business decision would be to 'can' all these events but we (and our partners) still believe in their future and in the mean while view this shortfall as marketing expenditure (and this is why ASG Performance Solutions is prepared to carry the loss). Perhaps there are their too many events that you have taken over for which you cannot give your full attention to each in your portfolio? An business decision error? I hope you can rise to this tough challenge, for the better of cycling in SA.

 

The only reason we mention our products and the exchange rate is because in many of these posts there seems to be no differentiation between ASG Sport (Importer/distributor) and ASG Events (two separate companies with different shareholders)...if someone is unhappy with the medal, goodie bag, a waterpoint or even accuse us of stealing someone else's event they often call for a boycott on ASG Sport (barking up the wrong tree)?? We most certainly do not hold any participant in an ASG event responsible (through higher fees) for changes in ASG Sport Solutions product cost structures. The two business are completely separate. Unfortunately unless the companies have different names, ASG comes across as one entity.

 

Having said all this we take your point (1) that you are only interested in what you pay for an entry and if you feel that it is fair ('your pocket') - again, we respect and understand that and we have never claimed otherwise - we have to do what we have to do though while realising that our actions will impact on who enters and who doesn't (it's logical and a simple economic principle) but it does not mean we did that to 'screw' anyone or 'bleed people dry' (precisely because there is no gun against your head) - it is a fine line (higher fees equals drop in entries), we know but putting up an event like the Jock so far from our base in Pretoria is expensive and we did what we felt we had to. Would have been fantastic to keep the fee the same or only slightly increase it but that was not possible. What made ASG pick up the Jock event if it was so far from your homebase? It had been going with whomever was organising it for quite some time. I get the impression that it is more of a burden than a long term project, being put under pressure by the other commitments ASG has. Wouldnt making less events exceptional give more value and grow the sport more. for example, finding the best routes/races and enhancing the old existing Drifter series around that certainly has made Advendurance and their MTN and Nissan trailseeker household names. Quality (like ASG brands) rather than quantity.

 

What we will try to do is find additional benefits to make the increased fee worthwhile for the participants that do come and support the event (better goodie bags with more value, negotiate product discounts, better catering, etc) - on this point we accept the challenge. Thanks this will be well received and appreciated. Its quite amazing what a humble pair of socks added to a Nissan Trailseeker goodie bag does for participants attitude - even if the event itself is merely a dirt-dash.

 

Thanks for the feedback (we take your points) - we are 100% committed to cycling, cyclists and the effort to not lose 50+ cycling events from the calendar and eventually hope to present these in a way that makes a huge amount of financial sense to both entrants and ourselves...until then the search is on for more co-sponsors (in a time when they are pulling out all over the show due to really tough economic conditions) and for cyclists to make up there own minds which races they want to do and which one's they don't want to do - without having to call for boycotts :) - this we truly understand! I dont doubt you are committed, you do have a responsibility with all you are doing to keep the sport growing. Economic reasons are affecting us as riders too, and i would rather be participating in events, than be forced to spend all my time riding the cradle because entering has all moved beyond my reach Epic style.

Edited by Li Mu Bai
Posted

Again, LI, your reply has a whole lot of issues in it that I don't think are fair to blame on the entry price ALONE.

 

As I read it, you will enter this event if ASG gives you an entry at R360 ? Then you will do this event?

 

Again, using the above figures (as general as they are) you are willing to pay R3640 to do this ride - but you are not willing to pay R4000? That's like less than 1% of the total trip cost you will be saving ?

 

As I said blaming the entry fee seems to be a way of blaming the high price of everything else.

 

What I do agree with you, there are more and more races on the calendar. People have more choice. But that said, cycling is a growing sport, so heck who knows what will happen.

That may be so, but I stay IN NELSPRUIT and the entry fee of R720 leaves a less than desirable taste in my mouth. In 2012 we each received a Bestmed sweater as well as a t shirt. This year we received only a shirt.

 

I spoke to 2 of my mates that also did the Jock in 2013. Both frowned upon receiving the R720-news. The economy does have an effect on what races people do.

Posted

 

You make some good points (thanks for that) and certainly ones we have debated at length and on many occasions (and will continue to debate). Without getting into more detail, the answer/s is definitely not simple and the challenges are big. In the end we (like most people and companies) would like to gain the respect and appreciation for what we do and we are committed to that task (even if we put ourselves in the firing line at times)...for now everyone is obviously entitled to their own opinions and views and obviously entitled to enter / or not enter any events they wish to.

  • 6 months later...

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