The failure to qualify for UEFA Champions League football will hurt Manchester United, both in player recruitment and in the financial ledger, but the overall fiscal health remains top of the table. Every year, consultancy firm Brand Finance conducts a unique study, calculating the brand value of the world’s leading football clubs.
The results are published in the Brand Finance Football 50, and Manchester United came in first today, just like they did in last year’s edition.
A statement from Brand Value described the state of the United brand, which they valued at US $1.17 billion (£793 million) thusly:
“A relatively weak, fifth place league finish meant failure to qualify for the Champions League and saw Louis Van Gaal sacked. However a first FA Cup triumph in over a decade and forecasts of continuing revenue growth softened the blow.
“The new Premier League broadcasting deal saw the rights to the next three seasons’ games divided between Sky and BT Sport for over £5.1 billion, a 71% increase on the previous period, boosting the brand values of all premier leagues clubs and keeping United just ahead of a resurgent Real Madrid.”
Yes, as expected, the two Spanish superpowers, Real Madrid and Barcelona, are right up there behind United near the top. Los Blancos are second, Barcelona 3rd. Other Premier League clubs, riding the wave of that aforementioned TV deal financial windfall in the top ten include Manchester City (4th, same as last year at $905m), Arsenal (6th, up from 7th at $858m), Chelsea (8th, done from 5th at $776m), Liverpool (9th, down one slot from last year, $558m) and Tottenham (10th, same as last year, 360m)
Previous reports have indicated that Manchester United will lose approximately £80 million in revenue, due to their missing out on Champions League. Although that will due some damage to their brand (a one time business school term, which became a buzzword and now today resides in our everyday lexicon), it’s not harmful enough to knock them from the proverbial penthouse of football brand.
The latest polling estimates that United have approximately 680,000,000 fans worldwide, and that kind of support is something that every brand covets. Their summer preseason tours (2016 schedule available at this link) are always cash cows.
The recent hire of Jose Mourinho no doubt boosted morale within the United community, and the reports that a Zlatan Ibrahimovic signing is imminent, will only raise hopes and expectations further; which is all very good for the brand.
Paul M. Banks runs The Sports Bank.net, partnered with FOX Sports Engage Network. and News Now. Banks, a former writer for the Washington Times, currently contributes regularly to the Chicago Tribune’s RedEye publication.
He also consistently appears on numerous talk shows all across the country. Follow him on Twitter and Instagram