BREAKING: Hostplus CEO David Elia is making headlines with the announcement of a staggering $35 million investment in sports sponsorships. This bold move aims to boost brand awareness and attract younger Australians to the $140 billion industry super fund.
At a high-profile gathering in the Melbourne Cricket Ground’s Olympic Room during the AFL Commission’s annual grand final day lunch, Elia found himself in the spotlight. Seated near outgoing AFL chair Richard Goyder, the sports enthusiast highlighted Hostplus’s commitment to the sporting world.
Recent disclosures reveal Hostplus has inked a $9.6 million deal with the AFL, running over five years. The fund also secured a $2.9 million agreement with the South Australian league and a $4.4 million sponsorship of Elia’s beloved Richmond Football Club, despite the team’s disappointing finish last season.
The fund’s partnerships extend to the Gold Coast Suns, with a total of $10.3 million allocated across two agreements. These sponsorships notably assisted in relocating Elia to Queensland during the height of the 2020 COVID-19 lockdowns. Additionally, Hostplus has a $1.2 million deal with the Fremantle Dockers.
While Hostplus’s spending on sports sponsorships is significant, it is not without scrutiny. The Australian Prudential Regulation Authority has raised concerns regarding the financial prudence of such lavish expenditures. However, a Hostplus spokesperson emphasized that these sponsorships are tailored to engage younger members, particularly in the hospitality and recreation sectors.
Hostplus is not alone in its sports marketing endeavors. Aware Super also sponsors the Greater Western Sydney Giants with a $1.2 million deal. Yet, Hostplus stands out for its spending, surpassing larger funds like AustralianSuper and the Australian Retirement Trust.
In addition to AFL, Hostplus’s extensive reach includes a $1.9 million partnership with the Australian Rugby League Commission, a $2.4 million deal with the Queensland Rugby League, and a $3.4 million agreement with the South Sydney District Rugby League. The fund also invests in soccer, with a $1.5 million sponsorship of the Melbourne City A-League team, and basketball through an $803,000 deal with Hoops Management.
Hostplus is leaving no stone unturned in its quest to capture the attention of potential members. The fund allocated $793,000 to sports radio station SEN last financial year and has a seven-year contract with Nielsen Sports worth nearly $1 million to manage its sports marketing efforts.
As Hostplus continues to expand its sports sponsorship portfolio, the question remains: What impact will these investments have on the fund’s long-term growth? With only cricket sponsorships yet to be explored, Elia’s ambitious strategy is set to redefine the landscape of industry super funds.
Stay tuned for further updates on Hostplus’s groundbreaking approach to sports sponsorship and its implications for the industry.
