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Who's the best at Selling in the Deloitte Football Money League? Sales of accessories and core sales
The Beautiful Game or
the beautiful business?
Time was when my brother would take me ‘down the bridge’ to
The entrance price for ‘Boys’, I seem to remember was the princely sum of four
shillings ( 20 p ?).
I don’t remember tickets for ordinary matches back then, but
I think you paid cash at the narrow turnstiles.
The exotic players Chelsea FC had were all
Scottish not the Global stars of today.
This was of course
all in the last century. The players’ shirts were plain with a club badge and
no business sponsorship name. A club’s success was simply about
winning trophies and scoring goals.
How times change !
The 2014 Football Money league table produced by Deloitte’s helps to keep
the Accounting behemoth’s own sales’ profile high. It enables brand Deloitte to be talked about by millions of
sports fans away from the usual readers of the Financial pages. Deloitte has
run this table since the 1996-7 season.
The news this year - Manchester United has slipped from their 3rd
position on the 2012-3 season statistics.
It seems rather hard luck that photos of the present manager
are associated with the Money league story since David Moyes was not the
manager at the time for the period of the figures quoted - it was of course Sir
But Sales grew !
United – like most clubs in the top 20 – generated more money last season,
£363.2 million, than in any previous campaign, this is the first time that they
have not been in the top three in the Money League.
United drop one place in the Money League, a number of the club's recent
commercial deals will boost revenue in 2013-14, so this fall to fourth place
may only be temporary,” said Deloitte's Austin Houlihan.
What has come out of the story is the changing shares of
revenue streams ( Sales) .
Dan Jones, partner in
the Sports Business Group at Deloitte, told the BBC Radio 4’s Today programme's
Simon Jack that the majority of high-earning football clubs are for the first
time making "more money out of commercial
sources" than through television and match day revenues.
The highest sales figures come from what in other businesses
might be called ‘the extras’ , add-ons, accessories, subsidiaries or non core
Not so long ago, the primary source of sales was earned at
the gates on Match day tickets, this was then superseded by TV deals and now
for the first time for the top 20 clubs in Deloitte’s list it is Commercial
Sources – licences, sponsorships, merchandise, partnerships, shirt deals etc.
All clubs in the Deloitte’s top 30 now generate over 100m
euros in revenue each, whereas in the first list, compiled in 1996-97, only
Manchester United beat this figure.
For the financial eyes, the excitement of winning trophies,
matches and scoring goals of the beautiful game is now dryly described as ‘On pitch performance’.
Despite the huge contributions of commercial sales it will
be important to keep one eye on the ball and the 'other eye' on
profit not just sales.
The Blues ( Chelsea
FC) are down one place to 7th in the Deloitte
table this year, the success on the pitch is one thing, financial health is
another – many many four bobs ( 4/- or 20 p)