Europe’s top football clubs have each earned an average of €50 million for reaching the Knock-out Stage of the UEFA Champions League
, according to new research commissioned by Official Sponsor, MasterCard.
The financial rewards come in the form of a UEFA participation payment and prize money (average €14 million); a share of UEFA commercial revenues from the tournament (market pool payment estimated at €12 million); ticket sales (estimated at €10 million); commercial and marketing revenues, including sponsorship and sales of merchandise, food and beverages (estimated at €8 million); and increased squad value (estimated at €6 million). [See further details below and in Notes to Editors]
The study, conducted by Professor Simon Chadwick, one of the world's leading sport business experts, found that the biggest beneficiary is FC Girondins de Bordeaux, which has scooped €11.5 million in prize money alone from the 2009 UEFA Champions League Group Stage plus a further €3 million payment for reaching the Knock-out Stage. The clubs that competed in the Group Stage and did not qualify for the UEFA Champions League Knock-out Stage are each estimated to have made total average earnings of €32 million from their participation.
England, Italy and Spain have benefitted from the largest economic boost this calendar year. England, with a 2009 finalist in Manchester United FC and four teams participating in the 2009 Group Stage, has benefitted by €129.5 million (€129,476,000) in prize money for its clubs. Clubs in Italy, with three sides qualifying for last season’s Knock-out Stage and four teams in this year’s Group Stage, have earned €104 million (€104,007,000). In the same period, Spanish clubs have generated €96.9 million (€96,947,000) from FC Barcelona lifting last season’s trophy and four teams competing in the 2009 Group Stage.
According to Professor Chadwick: “Over a calendar year, our research suggests that the UEFA Champions League is worth as much as €6 billion to the European economy, with England, Italy and Spain enjoying the greatest economic boost in the last 12 months. That means that the annual UEFA Champions League ‘economy’ is comparable to the last FIFA World Cup finals in Germany.
“As well as being a thrilling event for football fans around the globe, this makes it both a premium sponsorship property and an important contributor to the economic and commercial health of Europe. Few people realise that UEFA has increased prize revenues for the UEFA Champions League this season quite significantly and, coming out of a downturn, that is a real boost to clubs.”
Paul Meulendijk, Head of Sponsorship at MasterCard Europe, said:"As an Official Sponsor of the UEFA Champions League since 1994, we feel that conducting research into the economic impact of this property is crucial and confirms that MasterCard is one of the leading providers of insight around the heart of sport commerce. This season’s research shows again how important the economic impact of these events is and how passion for football can even lead to a positive boost not only for the participating clubs but also for the economy."
UEFA awards €3.8 million to each team that qualifies for the UEFA Champions League, plus €3.3 million for participating in the Group Stage (€550,000 per game). A Group Stage win was worth €800,000 per game, or €400,000 for a draw. Reaching the first Knock-out Stage has netted an instant €3 million prize payment. A side qualifying for the Knock-out Stage by winning all its games will have secured €14.9 million in UEFA prize money alone.
UEFA will make additional payments to Group Stage teams dependent on the commercial success of the tournament, which the MasterCard-commissioned report suggests could amount to approximately €12 million per club. The study also suggests ticket revenues have generated an average of €8.55 million in income from the Group Stage, with commercial and marketing revenues accounting for a further €6 million on average and squad values increasing by an average of €5 million on the back of qualification for the Knock-out Stage.
This means that the average economic boost derived from qualifying through the Group Stage can be split up as 28 percent due to UEFA prize money, 24 percent due to the UEFA market pool payment, 20 percent due to ticket revenues, 16 percent due to commercial and marketing revenues, and 12 percent due to increases in player value.
UEFA prize money adds €3.3 million for each quarter-finalist, €4 million for each semi-finalist, €5.2 million for the runners-up and €9 million for the winners. According to the MasterCard study, the side that lifts the UEFA Champions League Trophy in Madrid in May 2010 could earn up to a total of €31.2 million in prize money alone, before significant additional revenues are factored in.
With full prize, commercial and marketing revenues, MasterCard-commissioned research for the UEFA Champions League Final held in Rome in 2009 found it was worth more than €110 million to the winners, FC Barcelona, and at least €65 million to the runners-up, Manchester United FC – demonstrating that prize money is less than half the story.