The English Premier League is one of the most financially successful leagues in the world today. From match-day revenue alone, the EPL generated 599 million British Pounds, and in total revenue got all the way up to 2.3 billion British Pounds during the 2019/2020 season. How is all this money possible to be made? It all starts from the Executive Chairman of the EPL, Richard Masters, and the 20 club shareholders representing each team.
Branding and sponsorship are a big part of what makes business in the EPL sustainable and attractive to each respective clubs. All 20 Premier League teams are sponsored by 10 different clothing brands. Similarly to North American sports, the big companies like Nike, Adidas, Puma, and Under Armour have massive sponsorship deals with specific clubs. To sponsor one club in the EPL on average costs around 350 million British Pounds, with Arsenal FC having the largest deal with Adidas. For owners, it costed them around 3.7 billion British Pounds for an EPL team, so investors and shareholders love to see business done around the club to generate as much of a return/ profit. Being one of the top leagues and brands in the world, the EPL does a great job highlighting their superstar players. International superstar and one of the greatest soccer players of all time, Cristiano Ronaldo, is now playing for Manchester United, one of the most polarising and popular soccer clubs in the world. Fans of the EPL love to show pride in their teams, so jersey and clothing sales are essential to a teams profitability annually. Since Ronaldo has arrived to Manchester United, jersey and clothing sales have been up 600% and are currently sold out of Ronaldo jerseys. Clubs thrive off of generating sales from their star players, as owners and the EPL themselves want to showcase the very best for their business and the Premier League brand. These are the basic business models that all clubs want to achieve at some point. The market value of teams are a very important aspect to the EPLs business. Manchester City's market value compared to a small market team like Southhampton FC is staggering and an indicator as to what teams have a bigger market and more eyes on their respective clubs. Business in the English Premier League has never been better, and as the owners continue to put new business models as the world revolves, the sky is the limit for the Premier league financially.
Sources:
-https://www.statista.com/statistics/874020/revenue-of-premier-league-football-clubs-by-stream/#:~:text=The%20majority%20of%20Premier%20League,to%20599%20million%20British%20pounds.
-https://www.scoreandchange.com/overview-of-the-2021-2022-premier-league-sponsors/#:~:text=The%2020%20Premier%20League%20teams,Under%20Armour%20are%20all%20represented.
-https://www.sportbible.com/football/cristiano-ronaldos-man-united-shirt-sales-have-reached-187-million-20210910
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