≡ Menu

Manchester United Become First Club To Smash $1BILLION Brand Barrier

old-traffordThe lack of champions league football last season did not stop Manchester United from passing Bayern Munich and Real Madrid to reclaim their position as the biggest brand in world football, becoming the first club to pass the $1billion mark.

The Red Devils are now worth just over $1.2bn (£787.5m), almost $300m more than second-placed Bayern. Real Madrid, Manchester City and Chelsea round out the top five.

Despite winning the Champions League on Saturday, which added an estimated $28m to their brand value, Barcelona still dropped below City and Chelsea in overall value, although I am sure the Catalan giants would prefer to have their second Treble in six years.

Brand Finance CEO David Haigh said:

‘Manchester United’s success has been masterminded by Ed Woodward, the Cristiano Ronaldo of football’s commercial sphere.

‘As Sir Alex Ferguson developed United’s world-beating reputation, Woodward (and United’s owners the Glazers) capitalised on the brand’s growing power to establish a worldwide fan-base and a range of sponsorship deals unrivalled in their number and value.’

A recent report in Spanish newspaper Sport had suggested that Man Utd’s global fan base had fallen because of its couple of barren seasons.

But the Brand Finance report said:

“Even if recent reports of fan losses are to be believed, United retains legions of followers in India, South East Asia and China, contributing to a total of over half a billion individuals and the news certainly does not appear to have deterred sponsors.”
They point to the club’s lucrative shirt sponsorship deal with Chevrolet and “record breaking” kit supply deal with Adidas, which was signed in 2014 and is worth £750m to United over 10 years.

They added that “the huge windfalls that Man Utd can expect, will see both revenues and brand value continue to increase in the coming years”.

They also say that the club’s brand value has increased by 63% since 2014.

“The most critical success factor in the Manchester United brand’s renewed financial potency has been this year’s record-breaking, £5.1bn deal for the UK broadcast rights of the Premier League.”

United, and the rest of the Premier League clubs received a massive boost to their finances thanks to the record-breaking new UK broadcast deal for Premier League rights commencing from the 2016-17 season worth $7.8bn (£5.1bn).

One team benefitting from the TV windfall is West Ham United. The Hammers’ 86 per cent growth puts them in the top 20 for the first time, with a brand value of $209m (£137m). And they are set to get even bigger over the next few years as they prepare for a move to the Olympic Stadium in 2016.

Despite their run to the Champions League final and domestic double in Italy, Juventus have missed out on a place in the top 10. They are the highest-ranked Serie A club in 11th place.

Overall, the the top 50 is made of 17 of 20 clubs who were in the Premier League last season. Unsurprisingly it is the relegated trio of Hull City, Burnley and QPR who missed out.

Nine of the teams are from Germany, seven from Serie A, just five from Spain, four from France and eight from other league’s including Portugal, Scotland, Turkey and Brazil.

You can see the full table here:

THE BRAND VALUE 50 – RANKING THE WORLD’S BIGGEST CLUBS
Rank Club Brand value (US$m) 2014 rank Change since 2014 (US$m)
1 Manchester United 1,206 3 467
2 Bayern Munich 933 1 36
3 Real Madrid 873 2 104
4 Manchester City 800 5 290
5 Chelsea 795 7 293
6 Barcelona 773 4 151
7 Arsenal 703 6 198
8 Liverpool 577 8 108
9 Paris Saint-Germain 541 10 217
10 Tottenham Hotspur 360 12 111
11 Juventus 350 13 103
12 Borussia Dortmund 326 9 -1
13 Schalke 302 11 -12
14 AC Milan 244 14 8
15 Everton 228 20 107
16 West Ham United 209 24 97
17 AS Monaco 202 New (n/a)
18 Southampton 183 30 86
19 Galatasaray 177 17 36
20 Inter Milan 160 15 7
21 Aston Villa 155 23 40
22 Newcastle 155 27 53
23 Atletico Madrid 151 19 24
24 Napoli 147 21 27
25 Ajax 145 16 -4
26 Stoke City 140 41 65
27 Swansea 135 New (n/a)
28 Bayer Leverkusen 135 22 19
29 Sunderland 134 32 40
30 Crystal Palace 133 New (n/a)
31 Marseille 129 33 38
32 Stuttgart 121 28 19
33 Fenerbahce 120 35 33
34 Celtic 120 38 36
35 Roma 117 26 9
36 Wolfsburg 116 34 25
37 West Brom 115 42 42
38 Lyon 111 25 1
39 Valencia 107 29 8
40 Benfica 103 39 20
41 Hamburg 103 18 -35
42 Leicester City 102 New (n/a)
43 Sao Paulo 95 48 40
44 Werder Bremen 88 31 -6
45 B Monchengladbach 86 New (n/a)
46 PSV Eindhoven 86 45 27
47 Sevilla 81 40 4
48 Corinthians 79 36 -8
49 Lazio 78 44 16
50 Fiorentina 76 New (n/a)

 

{ 0 comments… add one }

Leave a Comment