It is the carrot that is dangled before teams every season. In addition to the chase of winning the DStv Premiership, the chance to participate in the CAF Champions League and the CAF Confederation Cup is presented to teams, often thought of a catalyst to help them take their game to the 'next level'. However, the unspoken side of participating in CAF competitions is the hefty financial implications that accompany it. While there is lucrative prize money at stake, more often than not, the cost incurred outweighs the end product as explained to the Siya crew by SuperSport United CEO Stan Matthews, whose side will once again venture into Africa in the new season, having finished third in the DStv Premiership standings. Soccer Laduma unpacks the true cost of participating in Africa and whether it is worthwhile for local teams to pursue it.
What The Siya Crew Has Been Told…
As things stand, the DStv Premiership can boast two semi-finalists in the 2022/23 CAF Champions League and Confederation Cup respectively! Mamelodi Sundowns have crashed out at the semi-final stage after failing to beat defending champions Wydad Casablanca last weekend, managing a 2-2 draw at home having drawn 0-0 away, while Marumo Gallants came undone in the last four against Young Africans from Tanzania, losing 4-1 on aggregate. Both clubs have managed to secure themselves some prize money by reaching the semi-finals of their respective competitions, with the Brazilians bagging an impressive $1.2m (±R22m) purse for their efforts, while Bahlabane Ba Ntwa walked away with around $750,000 (±R13.7m) for reaching the semis. While these amounts seem incredible given that the DStv Premiership prize money offers a purse of R15 million for the winners, playing in CAF competitions comes at a bigger price than the money accumulated, at times even at the cost of your own status, as confirmed by SuperSport United Chief Executive Officer, Stan Matthews. Matthews knows all about competing in Africa having managed to reach the 2017 CAF Confederation Cup final, from which they pocketed R9 million (US$625 000) for finishing as runners-up to TP Mazembe, who pocketed R18 million (US$1 250 000) for winning the competition. However, the losses were far greater than the gains, according to Matthews, whose side have qualified for next season's CAF Confederation Cup. "I want it again (playing in CAF competitions), obviously Gavin (Hunt) wants it again, the players want it again. We wanna be stressed, we wanna have the challenge and the difficulty, but I also have a board of directors and I also have a CFO (Chief Financial Officer) and I also need to meet (the) budget and competing in Africa is guaranteed gonna lose you money. It doesn't matter what you say: 'Go to the final, you get lots of money' – you don't! We've been to the final and we lost over R4 million, so you know it does bring its own difficulties and we want the difficulties." This paints a clear picture of the situation clubs are confronted with – which begs the question: Is competing in CAF competitions worth the hassle for local clubs?
What Are The Facts?
Premier Soccer League clubs have been participating in CAF competitions for decades, with Orlando Pirates becoming the first team to win the CAF Champions League back in 1995. Over the years, participating in the two inter-club competitions has become more and more of a challenge for local clubs not only based on the ill-treatment received by Mzansi sides on the continent, but more especially due to the financial implications that come with it. Financially, the competition promises lucrative payouts. However, the expenses that accompany it far outweigh those rewards. PSL clubs who qualify for the two competitions – usually the top three plus the Nedbank Cup winner (or runner-up in case one of the top three reaches the final) – in addition to their monthly grant from the League of around R2.5 million, receive a R1 million grant for the league for their first-round encounters and thereafter have to foot the bill by themselves, according to Matthews. "If Africa was really so lucrative, then we could know that we're definitely going to make and not lose money, but I'm only guaranteed the R1 million that the PSL gives me as a grant when I go to Africa for my first-round match, thereafter I'm on my own – then I'm guaranteed to lose over R1 million rand." Delving deeper into the matter, Matthews revealed the cost of assembling a squad to compete on the African front, stating that a squad as thin as theirs in terms of depth would have to be bolstered to be able to compete in continental competition, something that could come at a further cost for clubs. "Now straight away, I'm gonna need two or three extra players because I can't expect the kids to come and play in Africa, so you know three extra players, what's that going to cost you? R4.5 million to R6 million for three decent players, and what's that gonna cost? Then I'm gonna have to put another R3 million into travel, so I'm going to be R10 million down next year playing in Africa and that's tough, you know. No matter what sponsorships you close, it's a tough call to feel good about qualifying for Africa. So, don't get me wrong, that's the league we're in, we understand the environmental constraint, but that is the situation," he said.
The Story Behind The Scenes
So Who Can Afford To Play In CAF?
According to Matthews, only three PSL teams, in Kaizer Chiefs, Orlando Pirates and Mamelodi Sundowns, can afford to play in CAF competitions and go all the way to the latter stages of the competitions. His claims are supported by evidence as all three clubs – Pirates (2013, 2017 and 2022), Sundowns (2016) and Chiefs (2020) – have made the final of a CAF competition in the last decade. SuperSport bravely managed to reach the 2017 CAF Confederation Cup final, but at the time, they had a plethora of sponsors backing them. In addition, Sundowns, the most regular participants out of the three teams, have the finances to charter flights to avoid the dirty tactics deployed by teams on the continent, as well as send out a delegation weeks in advance to handle logistics for their travels, a luxury only a few other teams can afford. Gallants' 2022/23 run was impressive. However, it came at a different cost altogether as they eventually got relegated to the Motsepe Foundation Championship, and who can forget the debacle where two officials, Rufus Matsena and Tebogo Dhlomo, did not return home after the team played a CAF Confederation Cup match in Libya in April. The duo were held at a Libyan hotel because the club were unable to pay their bills. "If you are a big brand like Pirates and Sundowns, they are built for Africa, they've got the capacities and the power and the brand and the following and, you know, the resources to be able to go and compete pound-for-pound against the Al Ahlys of the world. We are not there," he continued.
What Can CAF Do To Alleviate The Burden?
According to Matthews, CAF President Dr Patrice Motsepe has to take a leaf out of the book of the UEFA Champions League when it comes to remunerating teams, making the competition a more desirable prospect for teams who are not as financially stable as others. "So, the challenge really is for CAF to find a funding model which doesn't necessitate compromising my squad, having to potentially sell one of my best players to fund the losses that I'm going to make in Africa. The system needs to be reviewed because it's not an incentive, it's a punishment… and what we want is an incentive because we want to achieve, we want to represent our country well, we want to try and go as far as we can, but without giving us the windfall like that in Europe when you qualify for European competitions, (where) you are getting millions and millions in TV money the further that you go. Look at what's going on now in the race for Champions League in the English Premier League and what it means to a brand like Chelsea or Liverpool not to be in the top four. It means big suffering, it means you can't get the best players because you are not going to have the funding model. So, for me, that's a challenge that hopefully it's improved and hopefully with a President at CAF now who understands what goes on at club level, he knows how much money he's had to invest in Africa running his club over the last few years. So, we are all very hopeful that Dr Motsepe is going to keep pushing for reforms and structural amendments within CAF that make both the Champions League and the Confed Cup financially lucrative and attractive so then I know that when I finish in the top three, I'm going to get such an amount of cash that enables me to say, 'You know what, I want to go and compete for top players.' But right now, I can't do that. I can't compete for extra players because I'm facing the potential minus R10 million on my budget. So, that's the reality of that."
What Is The PSL's Role?
Matthews says the PSL provides R1 million in the form of a grant to clubs for the first round of CAF qualification and thereafter teams have to ensure that they pay for their own transport, which often comes at a cost for already cash-strapped teams, many of which don't have a sponsor. The Siya crew spoke to a club official, on condition of anonymity, who has urged the PSL to back the clubs financially as they progress further in the tournament. "I think the PSL can and should do more to help these teams. Not only are they representing themselves, they are also representing their league. Looking at the cost of traveling to Africa, besides Chiefs, Pirates and Sundowns – I think you can put AmaZulu FC and SuperSport on that list – who can afford to play in Africa? For the rest of us as PSL teams, I think we can qualify for the Top Eight, but CAF is not so attractive for the rest of us. You only start seeing real money in the latter stages of the competition, but by then, you've already lost so much that you are basically just replenishing your own money. Yet if you win the competition, the PSL benefits because they get a portion of the money, so they could at least help teams to ease the burden."
Secret Agent
The Siya crew spoke to a top agent in SA to get their expert understanding on what's going on. For obvious reasons, the agent will remain anonymous.
"Eish, my brother, what you are raising now is a tricky issue, especially if you look at what happened to Gallants this season. At one point, we thought they were going to the final (of the CAF Confed Cup), but playing in CAF is very unpredictable. If you look, they've lost more than they've gained because they ended up being relegated, but if they focused only on the league, I'm sure they could have even been in the Top Eight with the (type of) football they were playing. Instead, they have lost a multi-million Rand status. I understand why a few years ago, the likes of Wits would field second-string teams and lose in the first round of CAF, not because they couldn't compete, but because it wasn't worth it. Even though CAF has increased the prize money under Patrice Motsepe, it's still not worth it for smaller teams. Let the likes of Chiefs, Pirates and Sundowns compete there, they are chasing pride and stars on their badges. But for the rest of the clubs, it's a fight to hold onto their statuses."
Watch This Space
Playing in CAF competitions, for some, is a real challenge. Pirates stand a chance of being amongst Africa's elite after they managed to qualify for the Champions League, while SuperSport and Sekhukhune United will be in the Confed Cup next season. Gallants chairman Abram Sello said the club spent between R12 and R18 million for their CAF exploits this season, including for the housing, traveling and maintenance of the match officials for home games. The club has raked in, in the region of R14 million in prize money for reaching the semi-final, meaning they experienced a deficit of around R4 million in addition to their relegation. It's clear that more assistance is needed for 'smaller' clubs, either from the PSL or from CAF, if playing on the continent is to be a viable option for clubs outside of the Big Three.
