The following report of last night’s Q&A with Ivan Gazidis has been produced by AST member Tim Stillman. The AST is grateful to Tim for writing such a detailed report so that more of our members and fans can see a review of the entire discussions. The views and reports reflect the opinions of Tim and are not necessarily AST views. For more about Tim follow him on twitter

From my own encounters of social networking over the last few days and weeks, it’s fair to say that there’s varying impressions of the AST. Depending on what you believe, it’s an anarchist lite militia hell-bent on destroying the fibre of the club through its army of foot soldiers. Or else it’s a cosy tea party that accepts finger buffets and hob nobs from the club’s top brass in return for lip service. My own view is that if you’re getting plenty of criticism from the most extreme ends of either faction, you’re probably on solid ground.

Whilst the likes of the AST, AISA, Red Action and others represent the interests of their members, I always prefer to be on the inside of the tent rather than on the outside shouting in. In that respect evenings such as this Q & A are invaluable. Speaking personally for a moment, my reasons for membership are borne of curiosity. To inform myself in greater detail how the club I spend more than 20% of my annual salary following is being run. Whilst it would be naive and foolhardy to expect any CEO of any company to talk with the candour of the man in the bar, it is nonetheless refreshing that our club engages at all.

Cast your eyes to Blackburn Rovers for a moment, whose supporters are so frustrated with their owners engagement (or lack thereof) that they’ve taken to releasing live poultry onto the pitch during televised matches to make their point. In that respect, it is worth paying tribute to Ivan Gazidis for facing the music in this way. Before I get to the content, I’ll point out that I’m writing this at around 3 o’clock on Thursday morning off of hand written notes I took personally at the meeting. I won’t pretend this account will be 100% verbatim and I won’t quote it as anything other than a set of minutes. But I am satisfied I have captured all the major points and believe passionately that I have taken nothing out of context. I’d ask you please not to shoot the messenger too as my intention is to merely relay dispassionately what was said.

The meeting began with a short highlights reel of the ups and downs of the 2011-12 season, from the nadir of Old Trafford in August, to the 5-3 win at Stamford Bridge, to the 5-2 win against Spurs, right down to the nail biting 3-2 win at the Hawthorns that ultimately secured Champions League qualification. (It’s worth noting compeer Daniel Roebuck’s rueful shake of the head as the VT shows Gareth Bale, ahem, “earning” Spurs a penalty in February).

Ivan then gave a short introductory gambit in which he said he welcomed evenings such as this and that any good football club will have a good interaction with its fan base. Evenings like this are often self critical, as Ivan asserted they should be, but he reminded the audience that there was a lot to be proud of for Arsenal fans that shouldn’t be forgotten in self reflection. Around the world the club is admired for the way it’s run, the football the team plays and how we push ourselves on. In the epicentre it is easy to forget that, but the further away you get the more you see it. But evenings such as these are largely self critical and that is welcomed.

Dan Roebuck: Impressions on 2011-12 season?

Ivan Gazidis: Ivan admitted that there were points of the season he didn’t want to relive, points where the public had lost faith and the fans began to question their belief. Gazidis was quick to say he did not feel triumphant about 2011-12, but for all the low moments, there were some great moments too. The club came under tremendous pressure and He made reference to the cracked club crests which littered the tabloids. But the club did not crack, it came together, there was a unity in the stadium between the fans and the players.

The summer of 2011 was very challenging having lost Cesc Fabregas, Samir Nasri and Jack Wilshere and the team had to find a way to compete, particularly in critical games such as Udinese- a very good side- in the Champions League qualifier. Realistically, the club knew it was in for an uphill struggle to qualify for Champions League. Ivan said he felt the club came out with credit, but that he didn’t feel triumphant about that. He pointed out that, in the three and a half years he’d been at the club, the playing staff had changed beyond recognition. But he felt confident that we currently have a good nucleus of young players, surrounded by experience. Optimistic, but with work to do.

Questions:

Nicholas True: As fans, we want the club to win trophies. As CEO, what is your vision for the club?

IG: Ivan acknowledged the importance of the question that required context given the environment we are in. The team have finished 3^rd or 4^th the last few years and the question Ivan said he was asked more than any other revolved around whether the club were happy with that. “Are we sitting smugly behind oak panelled rooms?” as he put it. He assured us, no, but acknowledged that talk is cheap. As long as the club are not winning trophies, he realises the question will persist.

In order to give a full answer, Ivan asked us to cast our mind back ten years, when Arsenal and Manchester United were dominant in the English game. In Europe, neither club was considered the absolute highest level, though United had been there. At that time, the board were in a comfortable position with the team competing for the league regularly in a familiar stadium. But they had a vision for the club and were prepared to take risks that were necessary to push the club onto the next level and to elevate them above their achievements in the league. The board knew they couldn’t pay to do that, so it had to be achieved through a self sustainable model. But the board’s ambition was such that they weren’t satisfied to merely compete with Manchester United.

Gazidis was quick to point out that the new stadium was some feat and that there was a reason no other club of our stature has been able to do it. That’s because the board had that vision and got it done. Whilst Ivan didn’t want to say that nobody anticipated it per se, money then came into other clubs from outside which changed the competitive environment. Chelsea and Manchester City’s investors as well as Manchester United’s commercial expansion ensured that. But Gazidis was sure to remind us that Arsenal were still in a better position than other clubs that didn’t have the foresight to make that change.

In an attempt to answer the question in a two tiered manner, Ivan wanted to elucidate where he feels Arsenal are and where he feels football is. £10m represented a big transfer fee ten years ago, but now it’s bandied around as though it’s nothing. IG said this created a huge problem for the game. Though he maintained he was an optimist about where the game is going, but the current situation has brought pain for owners and pain for fans too. Especially fans. Now there is a situation where teams with owners that are good custodians are looking for a way out and can’t find anyone because of the insanity of the football model. Fans and clubs have cried out and regulators have now responded.

Ivan went on to assert that Financial Fair Play (FPP) is not the whacky brainchild of Michel Platini as some suggest. But that it has come from clubs that are going bankrupt and crying out for sanity. There has been a dynamic development in both the Premier League and now the Football League too. Most clubs are in favour of restraint and this is the model Arsenal are adopting. Gazidis told us that, he believed, Arsenal fans wanted to believe in that model and want to admire our way of doing things. But ultimately it brings the question as to whether the world is moving towards us? And can the club be doing things better?

On the latter point, IG was unrepentant that yes, we could do things better. That we have to. But was also careful to assert that the club is not as bad as people think. In terms of performance versus spend, Arsenal outperforms most. Ivan said he was confident that football was moving towards us, not the other way round. He said he was optimistic that FPP regulations will be enforced because clubs are asking for it, not because Platini says it.

Gazidis acknowledged something we probably all knew when he said the club have been unable to develop commercially as far as they’d have liked because of certain tie ins linked with the building of the stadium, but those deals were coming to an end. Ivan concluded the question by saying the club’s ambition is the same as it was ten years ago, to be a top club. This wasn’t based on a dream but on a deliverable plan. We’re heading for another big step now driven by the people inside the football club. He confessed there was a need to take the pressure off of local revenue and develop commercial revenues.

In two steps, Gazidis wrapped up the question (to which he admitted to giving a long answer) by saying that football has to moderate and that the club are seeing clear water ahead after a bumpy ride for everyone, after which, the club will have been propelled to a different level. The club haven’t just given up to try and find a rich man to finance it; Arsenal is still in the process of that vision. Gazidis said he didn’t favour an environment reliant on which rich man spends the most. He went as far to call the vision “nihilistic, with no real winner.” This on the basis that the rich benefactors were just going to push each other further and further, but there will always be a richer guy around the corner. The rest of football, as IG had it, was looking at that future and rejecting it.

Q: What is the current position on Robin van Persie’s contract?

Gazidis jokingly told the audience, “I didn’t expect that!” A lot of people have asked that legitimate question, but IG said he wouldn’t answer it in accordance with the policy of not discussing individual players. Ivan said he had met with van Persie this summer and both had made a personal undertaking not to discuss publicly. We don’t want the same distractions as last summer.

Q: Have lessons been learned from last summer’s dealings?

IG: Last summer was not smooth and we lost important players. We had the uncertainty of whether we were in the Champions League due to the qualifier. Arsene has said he could write a book on last summer and so could I. 2 things the CEO wanted to point out here. I) Everyone coming in and going out of the club, we want the deals done as quickly as possible. ii) We have to think about other priorities and the efficiency of our spend. Arsenal has a policy of never discussing that publicly. T’s one thing making early decisions, but more important that they are the right decisions.

IG was of the opinion we got most right last summer. Brought in 9 and when one steps away from a hysterical environment (at which point IG was quick to point out he wasn’t criticising the hysteria, saying “when you lose 8-2 to Manchester United you deserve all you get”) they were largely successful. If one were to read newspaper cuttings from the whole season, you’d never believe we came 3^rd. With perspective, there were good decisions made last summer, though he said he didn’t necessarily defend the timing of them. Without mentioning names, IG pinpointed the signing of one young player which people had written off as “mad.”

Q: Douglas French: Should we be concerned by Arsene’s public pronouncement that he wasn’t looking to do much business this summer?

IG: Acknowledges that fans are frustrated because the club are not public about their feelings and what goes on. There is strong fan sentiment about our weaknesses. Arsene will publicly defend a player on his performance and many will see it as an anxiety not shared. The board sometimes brief against the manager and tell the fans we know what they are feeling. Hundreds of people work at and care about the club. The manager doesn’t create divisions with the players and the staff doesn’t create divisions with the manager. Sometimes the fans see that as not seeing and not challenging but IG assured that the club drive each other. “Accuse us of incompetence, but not of not caring” was his plea.

IG implored that it was one thing to be successful for a year or two, but another thing to be consistent and the club are quite good every year. Not as good as we want, but we have Champions League football every year. The board don’t tell the manager to sign this or that player, but like this room, we are critical friends. Big eye on critical, but bigger eye on friends.

Q: Is our current wage structure hindering us in that we can’t compete with other clubs, as well as rewarding players too early?

IG said the club were moving towards efficiency all the time, that the aim was to generate money responsibly then to spend it responsibly. Everyone knows we have inefficiencies, all clubs have them. Arsenal have a flatter wage structure. A big squad with few star players. Arsene has an ethos of everyone contributing whereas Barcelona, for instance, have a short squad of big salaries, which means they often have midfielders playing in defence. (Though he was swift to point out it had worked for them).

Gazidis admitted that the club had to adjust the model, but those adjustments happen over a few years. Rewarding players early is an issue in the game at large, not just at Arsenal. Player contracts are always based on future performance, never past. Arsenal takes necessary risks as part of the strategic business model. Working well, but not well enough.

Q: Ivan, you were a big champion of fanshare. But since the takeover by KSE the priority seems to have been lost.

IG: Big champion of fan investment, this evening is proof of that. Have been and will be supporter of fanshare, but also welcome different ways of fan investment. Been having and will continue to have discussions with AST over keeping fanshare going. Tragic death of Danny Fiszman created a squeeze of shares and a majority owner, which is a new thing for this club. Now the share price is through the roof so it’s even more expensive. Ownership not so critical, but engagement is.

Q: Bernard Dowling: If the club are not confident FPP will kick in, would club consider inviting Alisher Usmanov onto the board?

IG: We have spoken about FPP already and the club’s confidence in it. The question implies Mr. Usmanov will come in with money for the club. We believe in FPP and will adhere to it. We won’t advocate pumping money in. It’s not sustainable and created dependency. IG said when he joined the board there were divisions that weren’t healthy. The board are long term fans of the club. With regards to any further additions, Ivan said they didn’t plan to disturb unity as all are aligned to go in the same direction.

Q: The club is self supporting, but why then is the club so willing to take money from those that aren’t?

IG: Said that clubs that rely on one man have more to worry about. Gazidis was at pains to point out that the club was not in a position where it had to sell and that we control our own destiny. That’s becoming more challenging due to the higher fees and higher wages other clubs can pay. We knew when we sold Cesc Fabregas for instance, no matter how much money we got it wouldn’t be adequate to replace him. Ultimately, Ivan said the club had to judge each case on its merits. When we allow players to leave, we do so to allow Arsenal to move forward. It’s a difficult sell for me to tell you selling Fabregas is a step forward, a difficult sell indeed. But we had to move forward with players that wanted to be here.

Q: These sessions are very helpful, but as a point of external PR, why don’t we say this sort of thing to the media? Creates divisions within the press.

IG: Agreed with the point, and pointed out that when he discusses these sorts of issues, there isn’t always an agreement but at least we discuss and explain. Gazidis used an example of being on a panel straight after the 8-2 defeat at Old Trafford with hundreds of journalists present. He said it was impossible for him, or anyone, to speak for an hour without things being taken out of context. It’s not possible that every word can be nuanced for an hour.

If the team win we are all geniuses, if the team lose we are all idiots. That is fine, it fuels debate and discussion and that’s the environment we are in. Sometimes I will discuss these points with journalists so they understand, but the story the next day will omit that. The story of fiscal responsibility doesn’t sell papers.

Q: In 2 years time, the club’s two major commercial deals come to an end. What are the club doing to secure the best deals?

IG: IG alluded to having spoken about this earlier in the evening when he referenced the next big step the club needs to take. He explained that there was a misconception that you look at the market place, haggle and then sign a deal. What you really need to do is have a football club that can support its objectives. Won’t expound massively on what that involves, but player access levels service that, current partners are more happy than they were. That creates a story to tell for new partners.

IG alluded to Manchester United’s restructure 7 or 8 years ago, in which they spent a lot on their IT and HR structures. Wasn’t a huge story at the time but now reaping rewards with an infrastructure that can deliver value. The club are creating a position with which to realise value from current deals and new ones and that will be seen in 1 or 2 years.

Q: There seems to be an ongoing trend of our best players contracts running down, whilst squad players seem to get renewed early.

IG: Admitted that was no logic in that situation. But the club were dealing both in the manager’s judgement and in the value of those deals. For instance, there would have been complaints had we not signed up Jack Wilshere to a new contract last year. The trend in football is that more players are coming to the end of their deals. If we never have players coming to the end of their contracts, then we are saying yes to too many demands. Another facet of the matter is that the club don’t always control this. Ideally, we’d love to sign everyone to long term contracts, but we have to make judgement calls.

Q: There is a shortage of away tickets for silver members, will the club do anything to give silver members the opportunity to attend more away games?

IG: 200,000 people pay some sort of membership to the club, we typically receive 3,000 tickets for away games, so we’re always oversubscribed.

At this point, Gazidis handed over to Head of Marketing Charles Allen.

CA: The principal of membership is to try and be fair and equal to everyone. The away ticket scheme get first call, after which tickets are allocated to everyone else. Windows are well publicised for application and we do reserve windows for silver members, so keep trying.

Gazidis then gave a final address:

IG acknowledged that we could conduct a Q & A of this sort for hours and told the audience he’d happily stay behind for a chat. He closed by thanking those in attendance for their care and thoughtfulness and reminded us we all want the same thing for the football club. He waxed lyrical about his “deep appreciation” for how much supporters care and paid tribute to the lack of kneejerk reactions, pointing out he had the same fears and hopes as the rest of us.

Gazidis closed by saying the club care, plan and don’t rely on things conjured from thin air, but from a deliverable plan. Spending £30m on one player is not ambition, ultimately ambition is adding value. He confessed the club were not where he wanted them to be but asked fans to understand the journey we are on. He said he believed Arsenal fans want to believe in it and that he believed in it, not because he plucked it out of thin air.

Tim Stillman, 7 June 2012