Money means power and that power rules everywhere! These days, the size of a club is a great indicator of its financial muscle power. The growing ambition of the clubs is not only limited to accomplishment in the on-pitch competitions but can also be sensed right in the boardroom. In this article, we will discuss about some recent and staggering shirt sponsorship deals by the PL sides as well as increase in income due to such deals in the most popular European leagues. Let us start with this League title defender Chelsea.
They agreed a 5-year shirt sponsorship deal worth £200m with Japanese giants Yokohama Rubber last year. It needs to be put here that the Blues won the Premier League crown during 2014/15 season under then manager Jose Mourinho. Manchester United are a high-spending club and cannot be far behind. They had a £53 million deal signed with car company Chevrolet in 2013. It is a 7-year contract with the American company.
Arsenal has already a deal with Emirates, which also includes naming rights of their stadium. Their home ground is now known as the Emirates Stadium. The figures of these deals clearly show that English Premier League football is now flooded with money from the foreign investors.
Shirt Sponsorship Deals – A Comparative Study
If we consider 20 PL sides, the total amount of such deals will be £220 million/year. Let us now do some comparison with other leagues. There are 18 clubs in German PL or Bundesliga. Their total deal amounts to around £101 million/year and the figure is less than half of what the clubs in the EPL receive.
REPUCOM.NET is known for their coverage of commercial aspect of sports industry. They have monitored and researched on the shirt sponsorship deals across top 6 leagues in Europe. According to their recent survey, foreign investment in form of these deals in the top leagues has jumped by 20%. It has increased most in English and Spain leagues – in the region of 30% since the last term.
The clubs in the top 6 European Leagues generated €687 million from the sponsorship deals for jersey. It was a sharp 20% increase from €570 million that was generated during 2013/14 season. The biggest increase took place in English Premier League football as it has increased by 36% than what they received last season from the deals. The cosmic Chevrolet deal by Manchester United played a big role in larger leap of income generated in this big League.
La Liga experienced an increase by 30% whereas Serie A saw an increase in the region of 21%.
Conclusions
The first-division clubs across the major leagues in Europe receive a whopping amount of money from the sponsorship deals for the players’ jersey. Many of them also have kits deals with the foreign companies but the main source of their income is shirt sponsorship contract. These deals benefit those companies by earning them attention worldwide and from a larger cluster of consumers.
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