Last year, European clubs amassed more than 9 bn euros from television rights, ticket sales and commercial businesses. FC Barcelona earned the highest share amidst fierce competition from another Spanish club, Real Madrid, which clinched the second spot. 2019 saw an annual revenue increase of more than 10% from the previous years; strangely, while major economies are slowing down at historical rates, football is casually; soaring higher. For almost two decades now, the business of football is minting money. However, football is no longer the arguably most popular sport on planet; technology and the custom of applying science behind physical and strategic performance has diffused interests across multiple sports. Still, it remains profitable, and so does the examination of why prove consequential for the future of financial surplus.
Ticket sales are straightforward. Add superstars with bigger stadiums and a season houseful is guaranteed. Everton FC are mid-table achievers in the English league and yet recent reports suggest how they have been successful in swaying away new set of fans, from different parts of the world. In its own acceptance, the club tries to sell the attitude that young fans look forward to being associated with. Recently, supporters had premium access to discuss on how the new stadium could be designed. Already, Everton fans are having a say in the club’s third and fourth kits. During season breaks, teams, travel across continents to train under the eyes of global audiences, while leaving the impression of how truly inclusive they have become. Yet, European leagues make the most out of it and their players are more sellable. If it was not, North Korea would sustain in the argument; the largest football stadium lies in Pyongyang with a capacity of 110,000.
Revenues from commercial sponsorships is the tricky surprise. Clubs depend on the status of their players for a good deal, yet, clash of rights across leagues and players with multiple patronage levels the field. Managers face the same problems; while job sacking has become a norm, stakeholders cling to secure deals over a longer period. If only the commercial business was straightforward, football would have swallowed even more cash. Sponsors sleep with the harsh reality of sudden transfers and unexpected changes in the psychology of players and their interaction with a host of distractions, including climate and language. On the flipside, it is not easy for superstars, living life within the terms of legal agreements and casting faces for advertisements in different platforms. For clubs, it is only a small share in the huge cake. In the form of extras.
Broadcasting revenue from television is the elephant of the jungle. A quick evaluation of why it might have been, determines how important fans are. Fans who live faraway from European stadiums; having access to satellite service actuates economies of scale. The commercial pawns have a foothold as well, a global platform for promotion, across nationalities and cultures. Broadcasting revenue across all leagues, contributes more than 40% of the club’s total wealth. But what is the catch?
A simile to Coke, global consumption of a brand that determines intellectual opinions across borders in social media is the new spectacle. Fans rage over a player’s absence in match line-ups, managerial decisions are scrutinized and the video angles of scoring a goal is embraced beautifully, more so, scientifically. Here’s the catch. Clubs are spending more time analyzing the sociology of fan engagement. For theirs, it is the biggest asset. Currently, global merchandise is limited to clothing and accessories, but there is greater chance of deeper penetration into the lives of normal people. For once, Liverpool coffee and United Milk might finally blend harmoniously. Football might be a way of life. The figures do not lie. The figures are dangerous. Financially, the world is bleeding and yet football is managing to tilt the weight on its side. The idea of a football religion is not inexcusable anymore.