Nz sales

[Starship Captain]

I'm just guessing but the costs involved and without including the service fee have more than doubled in the last 15 years.
The service fee's have more than tripled, what has the rise in prize money been in the last 15 years? It would be interesting to see this comparison, that's if any of you old bloke's on here can remember back that far back

[Triple V]

That's true. The fees for the better class/most popular sires are way above that which was up the top end of the scale as recently as 15 years ago.

Back when Jennas Beach Boy 1st came here to NSW I can remember talking to a leading Sydney based Trainer about the Breeding Industry & fees & he expressed concerns about the cost, I think it was $4,000 at the time, with his comment being.... "I don't know if the marketplace can stand such a high service fee...where are the mares going to come from at that price?".
A lot has come to pass since then of course, some years later Christian Cullen standing for 5 times more and still getting mares for example.

I'm sure an across the board reduction in service fees would be welcomed, and especially so by the sales focussed Breeders...well, those that are left at any rate, however I am not entirely convinced it is the panacea some sections of the Industry appear to think it is.
As has been pointed out a couple of times already, when reasonable production costs are taken into account, even if the respective service fees came for free...somewhere around 70% the yearling offered thus far in both AUS &NZ would still not have sold for a profit & a large slice of those would have sold for varying degrees of a loss.

In the end however, what happens at the Yearling Sales here in AUS is always going to be of little importance to the overall AUS Breeding Industry and I say that because, if my memory of the recent HRA Breeding Panel report is accurate, in this country better than 70% of the annual foal crop are raced by the person/people who bred them. They never see a sale ring. Close on 3/4's of the Breeders couldn't give a fat rats what the break even point is for those with a sales focus.

Getting back to the close on 70% of yearlings that wouldn't even make a profit for their Breeders if the service fee was for free that I mentioned a bit further above here....at a maximum I reckon they represent somewhere a tick or two below 20% of the annual foal crop & I seriously doubt that lack of a margin for their breeders is going to be anywhere enough to cause the Studs to make wholesale fee reductions...especially at the top end.
You'll see some tinkering here & there, it will be given a bit lip service for sure, but that is about it. One thing I think you will see is more delayed payment/Pay On Live Foal deals & not before time, IMO. The entire Industry should operate be on a Pay On Live Foal basis, IMO..and if not the entire Industry then at the very least those sires with the highest fees. Otherwise it will very quickly become unsustainable if it is not already so.

[eliteblood]

I think the old supply and demand principle will see service fees reduce. As the number of mares being bred falls, and especially at the top end of the service fee range, stallion owners will have no choice but to chase the business. They need full books to try and make money on their investment and service fee reductions, discounts and payment deals will be the order of the day. It will be interesting to watch.
As Jason suggested, the relationship between costs (service fees, other breeding costs, training fees, stakes payments) and average earning potential (prizemoney, handicapping) has risen greatly over the years. Service fees has probably been the most significant element in this respect.
I hope the sport and the economy sort themselves out soon. It's scary at the moment.

[Neil]

haven't talked to Mickeee since the sales. I don't know how he does it.

I'm just glad I work for a living and the horses are a use of that little bit of discretionary income.

him and I have a Sundon filly foal that we need to work out what to do with her.

not including her in the syndicate - gone with two The Pres foals - one out of a full to Roydon Flash.