A good article from the Evening Standard on why Manchester United continue to be a commercial success, even though their performance on the pitch may be lacklustre (by their standards anyway) and fans are unhappy: Is their really a crisis at Old Trafford?
The article points out the global market is the real battleground in football: 'United have a magical name around the world. As more and more partners – global and regional – sign up to be associated with that magic, that name is actually becoming more and 'more deeply embedded in the consciousness of billions of fans around the emerging economic world.'
Mourinho's brooding sulks and the apparent tensions between him and Ed Woodward all make good media copy and focus more attention on the club. As Ed Woodward recently commented, 'playing performance doesn't really have a meaningful impact on what we can do on the commercial side of the business.'
The fans who go to Old Trafford may complain, but the real customers are on the other side of the world, offering market opportunities which United's sophisticated operation is able to seize.
The share price rose by a further 2 per cent yesterday to close at a record $25.80 and $4.24 billion value. Kieran Maguire of the Price of Football commented, 'another great day for the Glazers and Ed Woodward as another set of win bonuses are saved tonight.' Of course, the share price rises largely anticipate good financial results in September.
Maguire commented, 'Manchester United share price success built on back of commercial arm signing deals with partners. United generate twice as much as Liverpool, Arsenal and Chelsea and 10 times as much as most of "other 14"'.
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