Commercialization Without Advertising

By | April 22, 2015

One of the greatest things about soccer is that it gives its fans two 45 minutes of uninterrupted play. Any other sport that is of the magnitude in popularity, cultural significance, influence and success earns a vast amount of its revenue from the sale of prime time advertising slots. The American football Super Bowl is a perhaps the best example. In soccer however viewers are more attentive and experience more of the game, becoming emotionally invested. In chapter six of, African Soccerscapes: How a Continent Changed the World’s Game (2010) Soccerscapes , Peter Alegi writes wbout the commercialization of soccer in the 1980s and 1990s. As he writes

In the 1990s individuals, clubs, national associations, and CAF increasingly prioritized financial profits. Western European clubs move[d] decisively toward maximizing revenues and turning themselves into brands. Stadium advertising expanded, corporate logos adorned team uniforms, and ticket prices rose dramatically. (104-107)

As you can see below soccer leagues are bringing in quite a few lump sums of money. The ten highest revenue-earning sports clubs brought in more than €3.4 billion in 2012 . The top five are as follows: Real Madrid €512.6, FC Barcelona €483, Manchester United €395.9, Bayern Munich €368.4 and Chelsea €322.6.   The Real Madrid crossed the €500 threshold for the first time but it has held the top position for 8 consecutive years. Real Madrid officials have been quoted identifying “commercial deals and increased TV income” as their primary source of income.

Club Revenue

Soccer has been commercialized in the literal and technical sense of the word. Below you will find each team’s revenue bBy Source

Sources

http://www.theguardian.com/news/datablog/2013/jan/24/football-money-league-how-much-top-teams-make

http://www.businessofsoccer.com/2014/02/18/how-do-soccer-clubs-make-money/

One thought on “Commercialization Without Advertising

  1. Shiv Gidumal

    I remember discussing this topic in a class early on in the semester. I’m surprised that soccer teams and leagues don’t lose more money on the lack of commercials. However, they are able to advertise on jerseys, deals which are made for massive quantities of money, so I am sure they make some money back on that.

    I would be interested to read some information on the revenue sharing plans that soccer leagues have. I know the American leagues debate about those plans every time they renegotiate a deal with the players. I wonder how much more the big markets get to take away than the smaller ones.

    Reply

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