The most valuable brand in football comes from Manchester

According to consulting firm Brand Finance, the "Red Devils" are valued at 1.55 billion euros. The key factor is viewership.

The most valuable brand in football comes from Manchester
Real Madrid may have become the first club in history to defend a Champions League title, is the most successful team ever, and boasts the best current footballer, Cristiano Ronaldo. But even this prestige is not enough for the legendary "White Ballet" to be considered the most valuable brand in football. According to a study by consulting firm Brand Finance, that title has belonged for the third year in a row to English giant Manchester United. Based on total revenues, sponsorship deals, and global viewership, Brand Finance has valued United’s brand at 1.55 billion euros. For comparison, that's almost 300 million more than second-placed Real Madrid and third-placed FC Barcelona.

"This ranking shows that victories and trophies are nice, but when it comes to determining a club’s value, viewership and attractiveness to sponsors are key," said sports analyst and football agent Jozef Tokos in an interview with the Economic Daily.

Focus on Asia and China
So why is Manchester United worth hundreds of millions more than the more successful Real Madrid? According to Brand Finance, a major factor is United’s successful presence in Asian markets, especially China. Financial data from last year confirms the Manchester club’s commercial strength. The Red Devils’ commercial revenues exceeded 363 million euros, while Real Madrid earned 100 million less.

"Real Madrid focused primarily on South America and neglected Asia, where China plays a very important role," noted Tokos. According to the study, Manchester United is the second most-followed club in the lucrative Chinese market, just behind local side Guangzhou Evergrande, and is supported by 42 percent of local fans. Real Madrid ranks only seventh with a 32 percent share.

"It should also be noted that the English Premier League is a much more attractive competition than Spain’s La Liga. The money from television rights in England is incomparably higher," Tokos added. His point is supported by figures from a recent UEFA report. The Premier League secured more than 3.3 billion euros from TV rights for the current season, compared to just 1.6 billion for La Liga.

England’s dominance
Manchester United is not the only club benefitting from a focus on Asian markets. Other Premier League clubs are reaping the rewards as well. Their dominance in the Brand Finance Top 50 ranking is evident: half of the top 20 teams come from the wealthiest league in the world.

"Look at Newcastle United, which recently earned promotion to the top division. Thanks to that, its brand value jumped by 92 percent year-on-year, making it the biggest riser of the year," said Tokos. With a valuation of 221 million euros, Newcastle ranks 22nd on the Brand Finance list. Its brand is more valuable than those of Italian clubs Napoli, Inter Milan, AS Roma, or French club Olympique Lyon.

It's no surprise that the most valuable Italian club is Juventus Turin, the unsuccessful finalist in the recent Champions League final. "It benefits mainly from long-standing lucrative contracts with Adidas and FIAT. Still, more would be expected from Italy’s top team," the Brand Finance report states.

Most valuable football club brands (in million euros):

1. Manchester United – 1,550

2. Real Madrid – 1,270

3. FC Barcelona – 1,260

4. Chelsea FC – 1,120

5. Bayern Munich – 1,090

6. Manchester City – 910

7. Paris Saint-Germain – 900

8. Arsenal FC – 840

9. Liverpool FC – 810

10. Tottenham Hotspur – 620

Source: Brand Finance