As Appliance Retailer reported last Thursday, the Strathfield Group has just announced a new $2 million deal as major sponsor for the Bulldogs NRL team, but it looks like the deal may not go ahead due to a conflict with NRL major sponsor Telstra.
The NRL has blocked the new deal due to the fact that it clashes with Telstra in regards to its telecommunications commitments. Strathfield uses Telstra rival Optus as its main carrier and therefore it seems the NRL are wary of promoting a brand that directly opposes the games main sponsor and naming rights holder.
Due to this, the NRL has initially blocked the new deal and therefore the Bulldogs had to revert to wearing their old ‘Camp Quality’ sponsored jerseys in last night’s 14 to 12 victory over the South Sydney Rabbitohs.
Bulldogs chief executive Todd Greenberg commented that he was confident that the deal will still go ahead.
“I am conscious of all commercial agreements and the provision of exclusivity and protection, but in the toughest of economic times I remain optimistic that a workable solution can be found for all parties,” he said in a statement.
He also emphasised that Strathfield’s new business model does not solely focus on telecommunications.
“The mobile phone component of the new Strathfield business model represents less than 15 per cent of their total turnover and in our discussions with the NRL we will be looking to demonstrate that they are not a Telstra competitor.”
He also expressed his confusion at how a car audio specialist like Strathfield could be seen as breaking the exclusive telecommunications rights of Telstra.
“During the negotiation process it certainly didn’t factor into our thinking that a business that is primarily a car audio retailer could be rejected within the exclusive telecommunications category.”
The Bulldogs are currently planning meetings with the NRL to discuss maintaining the sponsorship.