DON’T factor in business projections on the success of Munster Rugby-that is the message to local traders left facing a massive drop in income after Munster’s failure to make the knockout stages of the Heineken Cup for the first time in 12 years.
Defeat in Toulon has resulted in a multi million euro setback for the city, after two prolific years of quarter finals at the new Thomond Park.
A report carried out in 2009 by BDO Simpson Xavier, put the economic value of a Heineken Cup Quarter Final to the city at over €10m.
Stadium Director at Thomond Park John Cantwell, told the Limerick Post that they were protected financially.
“in terms of the business model we operate, progress beyond the Pool stage is not included in our budget.
“We base our revenues on Magners League fixtures and Heineken Cup pool games, guaranteed income streams.
“You can win or lose a game with the drop of a ball”.
To fill the void at the 26,000 capacity Thomond Park, negotiations are in place for a number of sports and entertainment events for summer.
He said that Munster’s exit highlighted the value of Heineken Cup fixtures, which he described as excellent income generators
The benefits in recent years to Limerick included: Expenditure of over €4m by home and away fans, 3,912 bed nights in accommodation and the creation of 280 part-time jobs in the hospitality, food, beverage and retail and transport sectors.
Thomond Park has already attracted over 125,000 spectators this season for Heineken Cup and Magners League.
Mr Cantwell hopes that the fans will keep on coming:
“We have targeted the Magners League semi-final, which would be a great fixture for the stadium”.
Mark O’Connell of Focus Consulting, agreed that Munster’s absence from the quarter final of the Heineken Cup was certain to be felt.
“It is a blow for the pubs and hotels in Limerick and the Mid West region. It definitely has a broader impact, such as on filling stations, shops and suppliers”.
