The Nelson Mandela Bay Stadium is a dynamic trading operation that requires a predictable environment to thrive.
To ensure a multipurpose facility like it works well, it requires investing time in building relationships, technology, maintenance, and getting the right people on board to build an attractive calendar of events and inventory.
A lot of what we see today at the stadium is a return on two years of hard work and investment, developing a whole suite of bankable projects and a viable commercial plan.
In the 2024/25 financial year that ended June 30, the Nelson Mandela Bay municipality had set a revenue target of R14m for the stadium’s operations, and not only did the MBDA surpass this, but significantly so to the tune of more than R20m.
For accountability, the financial performance of the MBDA is recorded in monthly management reports submitted to the municipality as a compliance requirement.
Since October 2024, the stadium has been the focus of national and international attention, whether for the Home of Legends Cup, Nedbank Semifinal, DHL Stormers against RC Toulon, Bafana Bafana playing Ghana, U20 Rugby Championship, or more recently the Springboks Test match against Italy.
The fact is, the Nelson Mandela Bay Stadium is buzzing again.
It is this buzz that seems to have suddenly caught attention, and as the popular proverb goes, “failure is an orphan, but success has many fathers”.
The Bay stadium is demonstrating signs of success, and it is no surprise then that some are eager to associate with it.
What is not apparent to them is that the fruits we see today are the results of two years of planning, canvassing and lobbying by the MBDA management, while maintaining this city’s iconic facility with diligence and care.
As we prepare to transition out of the Nelson Mandela Bay Stadium, we hold our heads high and it is important that we give account to the ratepayers of the most recent and notable initiatives of the last 12 months.
The Test match did not land on our lap; it came through intense background work we did with EP Rugby and supporting the union with restoring and reimagining its relationship with SA’s rugby community.
Subsequently, this agreement led to a delegation to SA Rugby presenting our case for regular international rugby Test fixtures to return to the Nelson Mandela Bay Stadium.
Ultimately, this objective was achieved through a shared commercially driven model that was both mutually beneficial not only for Saru and the MBDA, but the entirety of the Eastern Cape province.
The MBDA raised direct revenue of R4.4m from the Test match including nearly R400,000 from food and beverage sales as part of the agreed commercial model with Saru.
To put this in context, this equates to 22% of the R20m target that the municipality has challenged the MBDA to achieve in this current financial year.
The MBDA has already achieved 22% in one month.
In addition, the MBDA saved the municipality a whopping R10m Test match hosting fee through smart commercial deal-making led by the executive management.
The Test match’s economic impact in the city was north of R60m, with every registered hospitality establishment either full or near capacity.
The ripple effect was felt in all corners of the Bay, from Gelvandale, Motherwell, to KwaNobuhle, as a record number of mainly youth were gainfully employed during that week.
The retail industry also reported a big surge in sales.
The positive media coverage tracked is in the millions, stretching to international markets.
The image presented is of a Bay venue with the most gees and vibe not seen in a long time.
Social media was abuzz, commending the Bay for a memorable experience, thanks to a partnership forged through efforts of the MBDA, EP Rugby and Saru.
The successful hosting of the Springbok Test match was an intended catalyst to advance the case for more national and international fixtures to return to the Bay.
Currently, we are at an advanced stage in preparations for hosting an Investec Champions Cup match, once again highlighting the proactive approach of the MBDA in attracting major events that have significant economic spin-offs for the city.
We exit the Nelson Mandela Bay Stadium mindful that the facility has been well-maintained, has improved operations, systems and controls, but most importantly, the people who we have entrusted with this work are the best at what they do, they are resilient and innovative.
As evidenced by the upcoming Jazz on the Lake concert, we had started creating our own portfolio of events as a proactive step to close any gaps in the calendar.
It is our hope that absorbing the staff of the stadium into the Nelson Mandela Bay municipality does not diminish their entrepreneurial character and creativity.
We also hope that those who take charge can only build on the success they are about to inherit as this stadium represents the only hope for economic growth fuelled by mass sporting events in the province.
This is why when we took over the stadium in 2017, rebranded it — giving it back to its citizens as #OURSTADIUM.
Anele Qaba, MBDA chief executive
The Herald
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