A League Of Their Own by Jeerawat Na Thalang (Bangkok Post): 2015

A LEAGUE OF THEIR OWN

by Jeerawat Na Thalang

Bangkok Post 

16th August, 2015

Once considered a joke, professional Thai football is more popular and profitable than ever, and top clubs and sponsors are cashing in

Earlier this month, the top two teams in Thailand’s Premier League, Muangthong United and Buriram United, kicked off the second half of their season with one of the best matches this year. The exciting game ended in a stalemate at 2-2, but it promised more excitement ahead in the professional Thai football season.

In front of a packed I-Mobile Stadium in the northeastern province of Buri Ram, the players from the two top-ranking teams were in fine form and put on quite a show for the 30,000-plus crowd packed into the stadium and the millions who watched the match on TV.

“The match showed both sportsmanship and athletic excellence and it was very entertaining to watch,” said Ong-arj Kosinkar, president of the Thai Premier League Co Ltd (TPL). “Games like this elevate Thai football to the same level as the European game.”

The electric atmosphere in the stadium and the anticipation from the fans before kick-off was a far cry from the early days of professional Thai football, when there was little interest in the local game.

Ronnarit Suewaja, who is club director and executive director at SCG Muangthong United, recalled the state of the game a decade ago, when matches were played in almost empty stadiums. “The number of players was higher than the number of spectators,” he said.

Football has long been one of the most popular sports in Thailand, but local fans tended to follow European or English teams, such as Manchester United or Liverpool, rather than the local sides. The sport’s governing body, the Football Association of Thailand, started the Thai Premier League in 1996, but is was not until 2007 that local communities started to take an interest and follow the teams. Before then, the teams in the league played under the banners of organisations such as commercial banks, government agencies or state enterprises like the Royal Navy or the Port Authority of Thailand.

Some players had to practise late in the afternoons after their day jobs.

The merger of the Thai Premier League with the provincial league in 2007 marked a turning point for local fans with the game rapidly gaining popularity at the grass-roots level.

As a result, sponsorship deals and money started flooding in. Mr Ong-arj said the success of the Thai Premier League had gained attention from around the world.

“Foreigners are looking at what happened in Thailand and trying to learn why the Thai Premier League has become so successful,” he told Spectrum.

KICKING A FINANCIAL GOAL

Mr Ong-arj estimated more than 3.5 billion baht in cash has been circulating in Thailand’s professional football league. The majority of the money goes to the top-tier league, which is now officially known as the Toyota Thai Premier League thanks to sponsorship from the Japanese car-maker. 

TPL Co was set up to manage the country’s professional football leagues, which include the Thai Premier League and Division 1, where relegated teams end up, and Division 2, which is the Regional League. The annual income of the leagues is about 800 million baht. The earnings consist of TrueVisions’ broadcasting rights for Toyota Premier League matches, worth 600 million baht, 100 million baht from Toyota and an additional 100 million baht from other sponsors.

Mr Ong-arj said each team in the Toyota Premier League receives 20 million baht annually from the broadcasting rights. TPL also contributes three million baht to each Division 1 team. The rest goes to teams in the Regional League.

Although there are no official statistics available, Mr Ong-arj estimated that the 18 Toyota Thai Premier League teams were likely to invest on average 100 million baht annually to build up their teams. Each Division 1 team was likely to spend 70 million baht annually, he said. There was also money from sponsorship deals, ticket sales and souvenirs.

The season runs from March to October, with teams playing 34 games each, totalling 306 games in the season. The first leg of the season finished last month.

The number of spectators at Toyota Thai Premier League matches in the first leg of this season rose to 1.072 million, compared with 1.049 million in the same period last season. The average audience per match was estimated at 7,010 in the first leg this season, compared with 5,523 in the same period last season.

Income from ticket sales and souvenirs was 832,336 baht per match in the first leg of this season, compared with 743,602 baht last year.

“The crowds at Thai Premier League games are growing stronger every year,” Mr Ong-arj said.

BUILDING A FAN BASE

Ms Pattanee Hongthong, a 67-year-old fan, takes her family to watch almost all of the Chonburi Football Club’s home games.

Spectrum met Ms Pattanaee on July 25 when Chonburi played Osotspa Samut Prakan FC. Wearing a Chonburi FC blue jersey, Ms Pattanee went to the match with her daughter and a nephew.

“I like football and I wanted to show my support for my team.”

She moved to Chon Buri 10 years ago, but it is not hard to imagine why she has identified with the local team. Before each match, people in the province gather to discuss the possible outcome. Posters showing Chonburi FC’s match schedules are everywhere. When Chonburi FC plays a home game, fans don their blue jerseys as a show of unity. 

Pasanon Sattapongpan took his daughter to the game. He moved to Chon Buri a year ago. “I prefer to bring my daughter to watch the game during the weekend. It is better than going to a department store,” he said. “It’s good for the province to have a football team and there are lots of activities for family members to enjoy together.”

In 2007, Chonburi became the first club from the Provincial League to win the Thai Premier League. “Our victory has inspired other provincial teams to follow,” said Annop Singtothong, the vice-president of Chonburi FC.

Chonburi FC rent their stadium from the Chon Buri Provincial Administration Organisation. Although the stadium is small with only an 8,000-seat capacity, it meets international standards with modern facilities and five exits. Games and activities are organised in front of the stadium to entertain fans before the game, helping to attract younger generations of fans. The match, which started at 6pm, ended with a 2-0 win for Chonburi.

“The football team unites people in the province,” Mr Annop said. “We have to win. People come to watch the game for 90 minutes. If their team loses, they are disappointed. But if their team wins, they cannot stop talking about it.”

Mr Annop said Chonburi FC was a good model for provincial teams. The side gained a wide fan base because of the team’s success during the early years after the provincial league was merged with the Premier League, he said.

“At that time, when other provincial teams were not as strong, football fans in the provinces rooted for us because they could identify with us more than with teams from Bangkok,” Mr Annop said.

He added that Chonburi had expanded its fan base thanks to television. In 2008, free-to-air Channel 11 agreed to broadcast Thai Premier League games live to boost the professional league. The initial broadcast time was set at 4pm, well before prime time.

“Corporate teams such as Osotspa and Bangkok Bank did not mind the timing because they would be able to get two hours of free advertising. But in the Chonburi team’s view, 4pm was too early for the game. The weather was still hot and the spectators would prefer to sit on the same side as the cameras to avoid the sunlight. The image projected nationwide would give the impression the game was played in an empty stadium,” he said.

Chonburi insisted on playing at 6pm to get the best image broadcast to the biggest possible audience. In 2008, the team hired the Siam Sport Syndicate to broadcast games live on its sport cable channel. “We were willing to pay two million baht to broadcast each game,” he said.

The new broadcast time made a big difference. Spectators now packed all sides of the stadium because at 6pm the sunlight and heat were no longer an issue. The stadium was full of spectators wearing the same team jersey, which made a great impression on the television audience.

The team also aimed to cash in on social media, with replays of the matches. In addition to some 6,000-10,000 spectators in the stadium, more than two million viewers watched Chonburi FC on YouTube. “Such a visual impact gives people inspiration,” Mr Annop said.

Chonburi has subsequently increased sales of the team jersey. “We even produced a team scarf, even though Thailand is hot. Still, some fans bought the scarf because it looks good when they wear them in the stadium,” he said.

Now the popularity of Thai Premier League has risen to the point where broadcasters have to bid for broadcasting rights. In 2013, pay TV operator TrueVisions won the rights to air the Thai Premier League for three years at an annual cost of 600 million baht. For the clubs it was a windfall — instead of being paid per broadcast, each team received 20 million baht from the broadcasting rights.

The rising popularity has also turned some Thai players into celebrities. Being a footballer is much more lucrative financially than many other professions, with salaries topping 100,000 baht per month, Mr Annop said.

BRANCHING OUT

Mr Ong-arj is in no doubt that watching Thai football "is now as much fun as watching European matches".

“Football fans now feel a sense of ownership with the teams that represent their province,” he added.

Thai fans are interested in only the top five English premiership teams, he said, but in the Thai professional league the audience is growing and definitely home-grown. “Now we have football fans rooting for their teams in different provinces such as Suphan Buri, Chiang Rai, Si Sa Ket and Chon Buri,” he said.

The success of Thai football is not only measured by the rising number of fans, but by the inclusion of foreign players. “If they were not convinced that they could earn a stable and competitive income, they would not have come to play in Thailand,” he said.

This season, there are a total 490 players in Thai Premier League teams, 401 of them Thai and 89 foreign. Twenty came from Brazil, 11 from Japan, 11 from South Korea and the rest from a wide variety of countries.

“In Asia, we are one of the top 10 leagues and number one in Asean. People are surprised that the Thai Premier League has expanded so rapidly,” said Mr Ong-arj.

THE STARS SHINE

The football clubs, meanwhile, have used professional management to strengthen their teams as well as their fan bases. Managing a football team involves three key factors, said Ronnarit Suewaja, club director and executive director of Muangthong United. They are strong partners, good players and a good marketing strategy.

Hailed as one of the richest teams in the Thai Premier League, Muangthong United is owned by the Siam Sport Syndicate, the most powerful sports media organisation in the country. The team now also has a sponsorship deal with Siam Cement Public Company Limited, the largest cement company in Thailand.

“We have carefully crafted our image," Mr Ronnarit said. "Our brand creation must incorporate our target [to be No 1], lifestyle [of our fans], success and excitement.” For instance, Muangthong United chose the nickname "twin Qilin" to show its oriental flare in order to attract fans in other Asian countries.

Muangthong’s squad boasts Thai football superstars including Kawin Thamsatchanan, Teerasil Dangda and Sarach Yooyen. The team also recruited foreign players to add more excitement for fans.

In 2011, Muangthong signed former Liverpool player Robbie Fowler, who signed a one-year contract. “Fowler helped make the team known internationally,” Mr Ronnarit said.

The team also makes the best use of social media. Muangthong United’s Facebook page has more than 1.3 million followers. “That’s the highest among any Thai Premier League team,” he said.

Venus Asavasitthithavorn, the corporate communications director at SCG's Corporate Communications Office, said the sponsorship deal with Muangthong United is part of the company’s plan to establish its brand across Asean. She said the sponsorship deal is about 100 million baht annually.

“The SCG brand has been known among adults because our products are construction materials. Football helps connect our brand to the younger generation,” she said.

“A recent survey shows that football ranks as the second factor that makes people recognise the SCG brand after water conservation, which has long been our main social activity.”

Muangthong United also benefited from an extensive network of 50,000 SCG employees nationwide. “Wherever Muangthong United FC plays, they are always SCG staff members rooting for the team,” she said. 

Muangthong United, like other major clubs, also grooms the future generation of footballers through its academy. On the day of our interview, pre-teen students from Photinimit School, which has an agreement with the club, were gathering at Muangthong United’s cafe after they took a break from training.

THE RIGHT CONNECTIONS

Interest from politicians and celebrities has added to the excitement surrounding the professional football league. That is particularly the case for Newin Chidchob’s role in transforming Buriram Football Club into a football juggernaut after he took over in December 2009.

Waving the banner: A sea of red can often be seen at the Thunderdome as fans come out in droves to watch Muangthong United. The club has capitalised on social media and has strong support.

Mr Newin, once a controversial politician, made a massive investment and turned the club into the reigning Premier League champions. Industry observers agree that Mr Newin has successfully improved his public image through the association with Buriram United.

“Throughout my political life, I spent lot on Buri Ram province, but nobody recognised it. But now, people want to take photographs with me because I made them happy. After each match I have to stand for one hour taking photos with the fan club. This is real happiness that you cannot find elsewhere,” he told the Thaipublica website in 2012.

Chonburi FC, meanwhile, is chaired by Wittaya Khunpluem, a member of the most influential political family in Chon Buri province.

“Khun Wittaya does not get involved in the decision-making of the team. But of course, he helped facilitate the use of the Chon Buri Administration Organisation’s stadium, which has been the home of the Chonburi team,” Mr Annop said.

Nualphan Lamsam, a socialite and a top executive at Muangthai Insurance, recently took over the Port Football Club. But it remains to be seen if she will be able to turn around one of the oldest Thai teams. Port FC is still struggling in the bottom half of the rankings this season.

CASHING IN

The success of the professional football league has drawn the interest of many sponsors. Surapol Utintu, the executive director of Thai Beverage Marketing Co Ltd, said, “Sports marketing is one of the most effective marketing tools. It helps enhance the image of the products. Once the image of the product improves, it helps increase sales.

“You walk into department stores and see people wearing football team T-shirts with the Chang brand on the chest. If you are not proud of the brand, that is not possible. I think people feel proud to wear T-shirts with the Chang logo. That’s good enough,” he said, when asked why the company cannot quantify the returns on its investment.

He added that the overall business involving Thai professional football could reach 10 billion baht, taking into account the related businesses. “TrueVisions spent 600 million baht to win the broadcasting rights. If TrueVisions agreed to spend that much, imagine how much they make from broadcasting the games every weekend,” Mr Surapol said.

He added that Thai Beverage spent about 500 million baht to promote sports-related activities annually, with half of that going to youth development. It is part of the company’s corporate social responsibility commitment, he said.

Mr Surapol declined to reveal the amounts given to each team. “We support many teams. If one team realises that we have given less to them than another, they may ask questions,” he said.

Thai Beverage is one of the biggest sponsors as the company supports nine Premier League clubs, including the perennially popular Buriram United, Chonburi FC, Suphanburi FC, Army United and Port FC. Thai Beverage also supports nine Division 1 clubs and 15 Regional League clubs.

Asked if the company did the sponsorship deals for tax deduction benefits, he said: “Some activities may be tax deductible. But the value is low compared to our sales of more than 100 billion baht. Our main objective is to develop the potential of people.”

AIA Thailand is also a major sponsor of Thailand’s professional football clubs. According to Yada Vongtongkum, the associate director of the customer office of AIA Thailand, the company now supports six teams in the Thai Premier League, Muangthong United, Chaing Rai United, Bangkok Glass FC, Bangkok United, Suphanburi FC and Chonburi FC.

AIA Thailand declined to reveal its sponsorship figure. “The sponsorship deal with football teams is part of the company’s strategy," she said. "We view this as a long-term plan.

“Football sponsorship enables us to reach the masses, including young people. We have to realise that for Gen Y, football is a big deal. It can connect to people socially and economically. AIA has also connected with people in the same way.”

Mr Surapol said the league's growing popularity prompted many advertisers to become sponsors. “Everyone is in the field. Today, whoever does not use football as their sports marketing is going to miss the bandwagon.”