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The Summer Transfer Thread
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Again though, it's not enough to cover wages, never mind transfer fee. Real Madrid aren't the kind of club who need a marquee signing to bring in big sponsorship deals. Signing Bale won't swing it one way or the other for any prospective agreements, same goes for TV deals, they're massive already and someone like him won't make that much of a difference - certainly not enough to pay for the fee, or even recoup a meaningful amount of it.
And for miscellaneous merchandise, see the jersey comment... there's nowhere near as much money to be made from it as people seem to believe. No clue where this generally accepted idea that clubs can make back transfer fees from merchandise sales (usually trotted out when a player for the far east joins someone), but it's so far wide of the mark it's ridiculous
Its not really, Beckham paid back his transfer fee by the beginning of the next season (large at the time)
Ronaldo wouldnt be far off, the market that jerseys and merchandise is aimed at isnt football fans. Its women and ummm ladyboy like men. Ronaldo and Beckham have a value to any product in that they are good looking fit blokes.
Fcuked if i know how people think Bale will offer that marketing value to Real. Modric at least offers footballing ability
But it does exist in the "face of company" marketing ****e you see everywhere.0 -
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dreamers75 wrote: »Its not really, Beckham paid back his transfer fee by the beginning of the next season (large at the time)
Ronaldo wouldnt be far off, the market that jerseys and merchandise is aimed at isnt football fans. Its women and ummm ladyboy like men. Ronaldo and Beckham have a value to any product in that they are good looking fit blokes.
Fcuked if i know how people think Bale will offer that marketing value to Real. Modric at least offers footballing ability
But it does exist in the "face of company" marketing ****e you see everywhere.
in some thread here someone said the club get a higher percentage from shirts sold in the club shop or official stores, compared to other sports shops/whatever. Either way the money a club gets from a shirt sale is very small
Beckham cost €35 at the time, going by this article below he would've had to sell 2,916,666.67 shirts.
the data used is an average from '05-'09 but states the most jerseys sold by clubs (man u & Real) was between 1.2-1.5m a year.
you might be including other incomes for beckham & ronaldo but jerseys certainly aren't doing it or even covering their wages
article done last summer http://www.weaintgotnohistory.com/2012/7/30/3201349/how-much-are-shirt-sales-really-worthA recent discussion (and many previous discussions) brought up the idea that Chelsea buying a hugely popular player like Neymar or Hulk could end up being a "bargain" no matter the price of the transfer fee, since shirt sales would cancel this out. There was talk back in the day that Real Madrid earned back Cristiano Ronaldo's 80 million euro transfer fee through shirt sales, and something similar was suggested regarding David Beckham's galactico move. But who exactly was talking, you ask? The answer is people.
Now, instead of making reactionary statements (like "people are idiots", for example), I decided to look into this shirt sales phenomenon in greater detail, to make sure any future claim could be supported by a logical argument backed up by facts and whatnot. See what I found after the jump.
There are many questions we need to ask when talking about shirt sales - How many shirts does the club sell? How much profit does the club actually make from those shirts? Who sells the most shirts?
First of all, let's see how much Chelsea earns for each shirt sold. There aren't very many numbers available for the profit stemming from shirt sales (or perhaps I'm too lazy to dig deep enough*), so I ended up using figures found in articles by the always excellent Swiss Ramble. As listed in this story about Barcelona and Ibrahimovic, the average profit that a club receives from selling one shirt is around 12 euros. That's not particularly much.
[* If you have dug up some better / more definitive sources, drop a link in the comments!]
But surely big clubs sell so many shirts that all the money adds up, right? Well, in this article about Paris Saint-Germain, we can see that Manchester United and Real Madrid sell the most shirts: 1.2-1.5 million a year. That info comes form a study by Dr Peter Rohlmann, who also has figures for other top clubs available here (EDIT: full article). In comparison, Chelsea sells 700-900 thousand shirts a year. These figures are averages of total sales from 2005 to 2009, so they may be slightly inaccurate today, but that's all we have to work with.
So what does this mean in terms of club revenue? Using the higher number in the range to calculate, that means Madrid makes 18 million euros a year from shirt sales. One might be thinking that's not bad at all - that money lets Chelsea buy both Gary Cahill and Marko Marin, or one Nicolas Anelka, or Romelu Lukaku with his add-ons. For simplicity** let's even assume Chelsea is as "popular" [read: profitable] today as Madrid was in the 05-09 period. So 18 million euros a year. But that's all shirt sales. We have to find how much money individual players bring in.
[** 18 million is more convenient for the subsequent calculations, a more accurate range for Chelsea would be 8.4-10.8 million]
How much is any one player worth? Well, on average, each player in an 18-man (what a nice round number) squad sells 83,333 shirts each year, earning the club 1 million euros annually. Obviously, some players are more popular than others - Didier Drogba would have sold more shirts than Yuri Zhirkov, for example - but that's why we use averages. What that means is no player at Chelsea sells enough shirts to offset their wages, which are all higher than 20,000 euros a week (which equates to about 1 million a year).
But what about a really popular player, you ask? Cristiano Ronaldo was apparently reported to have sold 1.2 million shirts in Madrid alone. Well, it's the Metro, and there are no quotes form any Madrid representative in the article, and it is suspiciously close to the total figures reported by Adidas above, so I don't really trust this report at all. But let's play with these numbers anyway:
Since the shirts only make 12 euros profit, that's 14.4 million euros in that year. Assuming steady sales over the life of a five year contract, that's 72 million euros. Hey, that almost pays off! But wait, big players earn big money - what is Cristiano Ronaldo's salary? Forbes lists his wages at 20 million US dollars, or 16.3 million euros, a year. So all the money Madrid make from Ronaldo shirts is used... to pay Ronaldo.
So then say Chelsea pays 40 million euros for Neymar, and matches his salary to that of David Luiz*** - somewhere near 30,000 pounds, or 38,000 euros, a week - around 1.5 million euros a year. To break even, Neymar would have to sell around 750,000 shirts each year of a five year contract, all while other players each sell over 83,000. That seems highly unlikely.
[***The source for Luiz's wages is a comment by our very own Graham MacAree]
It should also be noted that all these figures are still overestimates of profit for the club, for a number of possible reasons:
The figures used were total shirt sales, but many fans buy 'blank' shirts, or ones with customised names. Thus, the proportion and number of shirts attributable to individual players is less than calculated.
As for steady sales over the length of a contract - if those supposed 1.2 million Madrid fans already have one Ronaldo shirt, would they buy another Ronaldo one the next year, or ever again? Probably not. That means any player will have to bring in new fans every year to keep up sales.
It remains to be seen how many fans of a given player buy authentic shirts as opposed to replicas, which earn the club nothing.
It also needs to be considered whether any given Chelsea fan buying a named shirt is buying it because of a particular player, or for other reasons, such as liking the current season's design - basically, would they still have bought the shirt if the player wasn't on the team? Looking at some of the conversations on this blog, the answer is probably yes, but I think proving this either way is almost impossible.
All things considered, shirt sales are an okay source of revenue for the club. 8.4-18 million euros a year is better than nothing - for comparison our deal with Samsung is estimated to be around 14 million euros annually. But the impact of individual players (especially popular ones) on shirt sales has been grossly overestimated. No player can pay for himself on the back of shirt sales, so if anyone suggests that they can, feel free to tell them they're wrong.0 -
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McClean has completed his move to Wigan.
Latics beat off competition for talented Irish winger
Wigan Athletic are delighted to confirm the signing of 24-year-old Republic of Ireland international winger James McClean from Sunderland for an undisclosed fee.
The paperwork on the three year deal was completed this morning after the player completed a medical at the club yesterday and McClean can now officially be confirmed as being a Wigan Athletic player.
The club have again moved quickly in the transfer market and won the race for the highly talented, and in-demand, attacking midfielder who has been coveted by a number of Championship and Premier League clubs.
McClean becomes Owen Coyle’s tenth signing of the summer transfer window, as the Wigan Athletic Manager continues to strengthen his squad, and will wear the number 11 shirt for the season.
After completing his move, McClean said:
"I'm delighted it's all been completed and I can say I'm a Wigan Athletic player. This is a fantastic club and after speaking with the Manager I can't wait to meet the rest of the team, start training and hopefully make my debut very soon with the aim of helping us get back to the Premier League."
McClean arrives at the DW Stadium two years after first signing for the Black Cats from hometown club Derry City, with whom he made 78 appearances.
Whilst at the Stadium of Light he made 59 league appearances and scored seven goals, the first of which came at Latics’ home in a 4-1 victory for Martin O’Neill’s men in January 2012, winning the club’s Young Player of the Year award at the end of that season.
At international level, McClean represented Northern Ireland at Under 21 level before going on to play for the Republic of Ireland senior team, making his debut in February 2012 against the Czech Republic at the Aviva Stadium, and earning twelve caps in total. He is in Giovanni Trapattoni’s squad to face Wales in Cardiff next week together with James McCarthy.0 -
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