John Messara: Dynamic leadership is the key

by Brian de Lore
Published 22 November 2019

The New Zealand Thoroughbred Breeders’ Association will
today, Friday November 22nd, host former Chair of both Racing NSW
and Racing Australia John Messara AM at a luncheon in Cambridge where he will
be the guest speaker.

NZTBA invited its members to hear Messara speak publicly for the first time in New Zealand since he completed his ‘Review of the New Zealand Racing Industry’ and presented the 82-page document to Minister Peters on 31 July 2018.

Ninety to 100 guests are expected to attend the luncheon at
The Boatshed on Lake Karapiro where well-known auctioneer Steve Davis will MC the
event, which includes a question and answer session following the Messara
address.

For anyone not attending but interested in the topics of
discussion, I consulted with John Messara to piece together the question and
answer segment that follows. The idea came after reading the high-quality UK
publication ‘Thoroughbred Owner Breeder,’ which in its October issue featured a
‘Talking to…’ article on English trainer Charlie Fellows.

In that article a chord struck when he answered one
question with: “I wish everyone would sing from the same hymn sheet though I
don’t think it will ever happen. As long as we keep fighting from our own
corners the money will be divided between more and more interests. If we worked
together it would be so much more beneficial…working together for the greater
good.”

That statement is probably pertinent to every racing
jurisdiction in the world and is one that Messara touches on in one response
below.

The Charlie Fellows interview conducted by Tim Richards was
so informative and well-formatted I have unashamedly borrowed the format and
the Close-Up and Personal and Close-Up and Professional questionnaire at the tail
of the interview:

Talking to John Messara:

From all the experience you have gained over 40
years in racing and breeding, how do you view racing and breeding today on a
global basis compared to where we have been in the past?

We are in a challenging era in racing, compared to the past. The level of competition from other forms of gambling and leisure is intense, and there has been a definite evolution in community standards, all of which require adjustment for an industry that has generally resisted change. These challenges are especially in evidence in the younger demographic that all racing stakeholders are desperate to attract.

What was the single most important lesson you
learned through all your years as a racing administrator?

I learned that dynamic and committed leadership and a sound management team are critical to success – in the end, it all comes down to people.

Racing Minister Winston Peters asked you to
write a review of New Zealand Racing which you accepted and completed in less
than three months. What struck you as the most blatantly obvious problem with
NZ?

It was obvious that the returns to owners had got too low, that the industry was capital hungry, incapable of modernising itself, and struggling to offer an attractive wagering product; all these factors were driving the industry down.

What was the motivation for you to take up the
challenge, without being paid a fee for your work, and how much did it take out
of you to complete it in such a quick time?

I took up the challenge because I have a soft spot for the
NZ industry and have admired Kiwi horses and horsemen and women for decades. I
have always felt that NZ was part of our racing family and that I might be able
to help. In fact, it was a privilege to be able to assist.

I threw myself into the task and I was determined to deliver the Review by the agreed time. I was fortunate to pick a great team to assist me in their particular areas of competence, which included John Rouse (past CEO of the AJC and currently a Trustee of the ATC), Darrell Loewenthal (retired senior public servant from the NSW Department of Racing) and Craig Nugent (immediate past COO of Tabcorp). I was nevertheless tired by the end of it.

The initial advice you gave was to start with a
blank sheet of paper. If we had done that, would we be better off than we are
two years later?

I approached the Review as if I was dealing with a blank sheet. At the time, I asked the Minister if there were any “sacred cows” and he replied that I was appointed to tell him exactly what I thought was needed to get the industry back on its feet, with no exceptions. I did exactly that in the Review….I pulled no punches!
However, what I soon learned was that New Zealand’s starting-point was some way behind where we began in NSW in 2011 – there’s considerably more organisational and legislative reform needed in New Zealand before the real work can begin.

The Messara Report had 17 key recommendations
and stressed urgency and high-quality leadership, but many will argue that the process
has lacked urgency with a degree of leadership procrastination. What would you
say to that criticism?

I disagree; as I have said elsewhere, it takes time for government departments to carefully do their due diligence, write legislation and set up new structures. It will be worth it if we can get the Review recommendations accepted and enacted.

One of the criticisms I have heard going around
race clubs, some of which are earmarked for closure, was that you only had a
cursory glance at the course and didn’t consult the committees. Can you explain
to those people the reasoning and the process you adopted on venues?

I can assure you that while we did not sight every course we studied the operational and financial metrics – for example, wagering figures, race meetings scheduled, profit & loss and balance sheet details and attendance numbers – of each racecourse before making the recommendations. We were also mindful of the geographical locations to ensure that each region in New Zealand would continue to have access to racing. Finally, we compared our list with that of New Zealand Thoroughbred Racing, who were also undertaking a venue review. I can say that our conclusions were very close to those arrived at by NZTR.

Today you are addressing members of the NZTBA
at a luncheon in Cambridge. What is the most important message(s) for New
Zealand to take on board to recover NZ’s lost ground going forward?

I really only have one message. Racing Reform Bill No1, and
shortly Racing Reform Bill No.2, initiated by your Racing Minister, should
provide the tools for your industry to pick up all the lost ground.

It is time to select your future leadership team and get
behind it, unselfishly. There will be those who want to reject racecourse
consolidation and others who will be threatened by a joint venture deal by the
TAB. If those reforms don’t happen, I am afraid the industry will only have
itself to blame for the consequences.

The goal to double the prizemoney stills seems a long way away. We are losing good people because of racing’s apparent long-term unsustainability, but we have a tight group of passionate racing people whose whole life is racing. Do you have a message of hope for these people?

Yes, I do. Please do not give up and allow the reforms now in the pipeline the chance to have their impact.

The question of animal welfare during your time
as Chair at both Racing NSW and Racing Australia was high on your priority
list, and you drew a considerable amount of vitriolic criticism from your peers
in Australia, but you ultimately have been proved correct on the horse
traceability issue. Can you explain how that unfolded?

Yes, I and my Board at Racing Australia believed that we needed to account properly for the Australian thoroughbred herd before horses began racing and after they had finished racing. We did not have the capacity to do that and so we set about bringing in national traceability rules enforceable under the Rules of Racing. A campaign was then set in motion by the Breeders Association to have me sacked, including signed petitions to each State Racing Minister. Regrettably, nearly all breeders ignorantly joined the call. Happily, the state governments supported Racing Australia, the traceability rules were brought in and everyone now agrees they are essential. Traceability is the foundation stone of any animal welfare program!

The wagering landscape in Australia appears to
be evolving quickly with the consolidation of the Corporate Bookmakers with
Sportsbet (owned by Flutter) becoming a powerful competitor to TAB Corp and
recent talk of a consolidated Australian totalisator pool. What’s your view on
this and where do you see it going?

This will make for a better regulatory framework and underpins my call for the NZ TAB to piggyback on one of these giants.

Could further consolidation and mergers one day
see one single national body running all racing in Australia? Or am I dreaming?

Yes, you are dreaming. There continues to be significant interstate rivalry in Australia, which mitigates against the most efficient usage of racing’s resources.

Can you explain in one short statement the
benefits of outsourcing (partnering) our TAB and why you didn’t recommend
selling it?

The current scale of your TAB operations is not sufficient to enable it to compete with the myriad other betting products, in terms of the funding required for development and innovation in a super-competitive world. The NZ TAB cannot be competitive without continuous investment in technology and this cannot be funded without affecting prizemoney. There are so many benefits that can flow by joint-venturing the TAB’s commercial operations with one of the world’s wagering giants, not the least of which is a bottom line that will sustain a doubling of prizemoney, so necessary for the future success of racing. I agree that the TAB should not be sold and this will be clear in a joint venture agreement. But let’s make the TAB  competitive and efficient by leveraging on one of these giants.

We have had ‘racefields’ and the POC levy
legislation in New Zealand from the start of July this year but few betting
operators have signed the contracts. Do you think we should have been better
organised with the contracts at the beginning to collect those funds?

The reform agenda undertaken by Deputy Prime Minister Winston Peters is a once-in-a-generation initiative.  However, government departments never move quickly, so we have to be patient. The three revenue initiatives recommended in the Review have been legislated in the first Bill, and I understand that already most of the Australian online wagering operators have voluntarily signed up to the new regime – that’s a great start.

The controversy on the use of the whip is
gaining momentum. Do you think it’s inevitable it will be restricted if not
banned totally? What would you do if you could make a ruling for NZ now, and
why?

After a recent trip to the USA and contact with other racing jurisdictions, I am convinced that it is inevitable that the whip, or crop, will go. Community standards are changing and there are a few things we need to accept if we want our sport to remain relevant. I would, therefore, ban the whip from January 1st, 2020 and take international leadership on this issue. The new rule would require jockeys to keep both hands on the reins, but they could carry the crop for safety reasons.

Where do you perceive the New Zealand racing
and breeding industry to be in five years?

If in the second Bill the Government were to put in place the structure whereby all the recommendations in my Review could be executed, and if the Industry has competent and passionate leadership, then New Zealand can again take its place among the leading racing jurisdictions of the world, with the benefits shared by all participants with consequent upside to the New Zealand economy.

John Messara AM with more thoughts on life and racing…

Close Up and Personal Close Up and Professional
My superstition is…
Don’t have one
The biggest lesson I have learned…
You need to be supported by a competent and loyal team
Four dinner party guests… Friends and partners who enjoy talking racing Racing and breeding has taught me…
To be patient and accept defeat with grace
I am annoyed by…
hypocrisy

Favourite holiday destination… The Hawkesbury River

Horse with the most significant influence…
Danehill, he changed my life in so many ways
Best book read…
The Inglis and Magic Millions yearling catalogues
Best bet I’ve had…
Taking the early odds on Miss Finland in the Golden Slipper
Favourite movie…
Scent of a Woman

I like to relax by…
Fishing with close friends

My racing hero…
Robert Sangster – few people know how much he promoted Australia and NZ to the world; and Dr Percy Sykes, friend and genius – he had X-ray vision with horses.
Why is your wife Kris a better driver than you…😂
Because she says so!
Alternative career…
I love what I am doing!

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