Skip to main content

Has playing performance hit United's commercial income?

One of Manchester United's financial strengths has been its success in attracting commercial income. A sophisticated marketing operation has attracted sponsorships on all sorts of aspects of club activity from some unlikely companies. For example, Casillero del Diablo are their official global wine partner. Mlily are their official global mattress and pillow partner.

At the regional level, Donaco are Official Casino Resort Partner of Manchester United for Thailand, Cambodia, Vietnam, Laos, Myanmar and South Korea. Somewhat unfortunately. Thomas Cook Sport are their official travel services provider. Banco Guayaquil are their Official Financial Services Affinity Partner of Manchester United for Ecuador.

However, examining the recently released 2018/19 accounts, the authoritative Swiss Ramble blogger comments: 'Somewhat disappointingly, the club's commercial income was slightly down from £276m to £275m. Despite Ed Woodward’s comment that “playing performance doesn’t really have a meaningful impact on what we can do on the commercial side”, this has been essentially flat for the last four years.'

He adds, 'To place this into context, United's £275m commercial income is still £43m higher than that of Manchester City at £232m. It is also at least £110m more than their next closest challengers: Chelsea £165m, Liverpool £154m, Tottenham Hotspur £109m and Arsenal £107m. However these are all 2017/18 figures.'

Chevrolet shirt sponsorship is £64m a season ($75m at current exchange rates), while the Adidas kit deal is an amazing £75m (though cut by 30 per cent if United fail to reach Champions League for two consecutive seasons). Aon pay £15m for training kit/facilities, Kohler £10m for sleeve sponsor.

Labels:

Comments

Post a Comment

Popular posts from this blog

Wolves get raw deal from FFP

  I used to see a lifelong Wolves fan for lunch once a month.   He was approaching ninety, but still went to games.   Sadly he passed away the other week. As football finance guru Kieran Maguire has noted, Wolves continue to be constrained by financial fair play rules.  Radio 4 this morning described them as this year's 'crisis club' and the pessimists have certainly been piling in. Martin Samuel wrote sympathetically in the Sunday Times yesterday, saying that the Premier League drives talent away with regulatory red tape: 'Why could Al-Hilal sign Neves? Because Wolves needed the money. And why did Wolves need the money? Because the club had to comply with an artificial construct known as financial fair play. So Wolves are going skint, yes? No. There is no suggestion that Wolves are in financial trouble, only that they are failing to meet the rigours of FFP. Wolves’ owners appear to have the money to run the club, and invest in the club, and in fact came up with a pow
Post a Comment
Read more

Gold standard ground boosts Tottenham's income

The gold standard in European football grounds is the Tottenham Hotspur stadium in north London, a £1bn construction project completed in 2019. Its impact on the club’s finances has become increasingly clear as the effects of the pandemic have faded. Previously, the average fan would spend less than £2 inside the ground on a typical match day, but now that figure is about £16, thanks to new facilities including the longest bar in Europe and an on-site microbrewery. Capacity has gone up from 36,000 at the club’s previous home of White Hart Lane to 62,000.  The new stadium — built on land adjacent to White Hart Lane — has opened the door to a broad range of other events that have helped to push commercial income up from €117mn in 2018 to €215mn in 2022. Last year, Tottenham hosted US singer Beyoncé for five nights on her global Renaissance tour, two NFL matches, as well as rugby games and heavyweight boxing bouts.  Money brought in from football has gone up too. Match day income is
Post a Comment
Read more

Charlton takeover approved

The long awaited takeover of Charlton Athletic by SE7 Partners from Thomas Sandgaard has been approved:  https://londonnewsonline.co.uk/se7-partners-obtain-efl-approval-for-charlton-athletic-takeover/ Charlton have had unhappy experiences with owners for over a decade, so how this works out will remain to be seen.  There is certainly potential there, but will it be realised? This interview with Charlie Methven gives detail not available elsewhere:  https://thecharltondossier.com/charlie-methven-on-the-record/
Post a Comment
Read more