Manchester United legend

Chapter 251 Manchester United's huge sponsorship fee

Manchester United CEO Kenyon and Nike signed a super contract, which shocked the outside world.

This is actually based on commercial judgment.Nike has always been the undisputed leader in the field of basketball equipment, but it is inferior to rival Adidas in the field of football.

In order to further expand its market share in the football field, Nike aimed at the strong development of the Premier League.

At the beginning of the Premier League, Nike dispatched a vanguard team to get Manchester United King Cantona and let him become the advertising spokesperson for Nike sneakers. Later, it reached an agreement with Yorke, Cole, Scholes and Jost, the iconic figures of the Triple Crown period, and established a good cooperative relationship with Manchester United.

Despite Umbro's objections at the time, Nike's practice of separating individuals from clubs remained unimpeded.Nike's poaching has been going on since then.

Nike is not the only ruthless character to start, and Adidas is not a vegetarian.They preemptively signed Beckham's endorsement contract.

After Beckham became a superstar across football fields all over the world, and became the beloved "heartbeat" of England and Manchester United fans, especially after attracting countless female fans, Adidas' strategy became the most successful business investment case.

In November of this year, after long negotiations, Manchester United and Umbro decided not to cooperate after the expiration of the contract. Nike immediately announced that it had signed a 11-year contract with Manchester United starting from the summer of 2002.As a result, Nike has also become the number one sponsor of the Red Devils.

Although Nike simply agreed to spend a total of 3.33 million pounds in sponsorship fees during the contract period, this huge contract still shocked Manchester United fans.

When the cooperation between the two companies was first reported, some shareholders and fans of Manchester United would worry that Manchester United would be completely controlled by Nike.

Facts have proved that what Kenyon brought to Manchester United was one of the best sponsors and the perfect business plan.

The Americans fully complied with the rules of the game and did not intervene in the club's competition and management.

Not only that, but Manchester United has the opportunity to cooperate with such an excellent commercial company as Nike. "Nike is not only the main sponsor of Manchester United, but the two sides have formed cooperation at many levels. This is the most important part of our attention," Kenyon explained this completely unconventional cooperation method. "One of the cores of this contract is that Manchester United authorizes Nike to use its complete global production and sales channels to promote the sales of Manchester United sports equipment.
In this process, Manchester United and Nike share the management functions, and the final decision is made by the latter, and the income from both parties will each account for 50%.

What does Manchester United need to do?The Red Devils just let the team cooperate with Nike to carry out some commercial promotion, some commercial shooting work, and some commercial activities after authorization.

That's all, Manchester United can even arrange other plans for commercial competitions such as friendly matches! "

With this alone, the sales of Manchester United's clothing and other sporting goods can continue to rise to several levels. Kenyon estimated sales at 10 billion pounds at the time.

Not only that, there is another clause in the contract between Nike and Manchester United, that is, on the basis of Nike's original football fund, they will jointly invest 1 million pounds per year to promote the development of football.

This is also a great potential benefit for Manchester United-Manchester United can use Nike's network to discover talents earlier and more.

Business people all think that this is a deal that benefits Manchester United. Many sporting goods companies have questioned Nike's behavior. The Umbro spokesman who was eliminated in the competition said: "I suspect that the guy in charge of negotiating with Manchester United at Nike was kicked by a donkey. Nike's contract is only very beneficial to Manchester United, but it is difficult to say that Nike will have any great income.

10 billion pounds?I think they are dreaming.In addition, Manchester United's most popular star is not in the Nike camp, and they have not obtained the portrait rights of Beckham.This cost them a lot of income.And 13 years is too long, and some accidents are likely to happen. "

What is the fact?Time has proved that this is a win-win cooperation.Nike's many products, efficient management and marketing network all over the world have played a major role.

In just half a year since 2002, Manchester United's global jersey sales have increased by 100 million pieces, with a total revenue of nearly 6000 million pounds, a four-fold increase over the previous year!
In 2003, Manchester United's jersey sales figures reached the top of the list of football clubs in the world.Ambitious Kenyon said that Manchester United's jerseys and various equipment will continue to expand and grow, further establishing Manchester United's advantages in the world.

It has to be said that the cooperation between Nike and Manchester United has made both parties a lot of money.When Van Persie joined in 2012, the cooperation between Nike and Manchester United reached its peak. Van Persie alone sold more than 100 million jerseys!

Of course, the sales of individual jerseys in the Premier League in the previous 10 years have always been Manchester United's number one. Nike also reached the peak of sales of Manchester United jerseys in the 2011-12 season, creating sales of more than 13 billion!Facts have proved that this cooperation is successful.

In this contract period, Nike had the last laugh.

With the pace of signing Manchester United, Nike's expansion in the UK is smooth.Soon Nike signed Arsenal and Leeds United, and thus truly became the overlord. Even if Adidas conquered Newcastle and other teams, it was far from Nike's opponent.

After dominating apparel, Nike continued their quest for the Red Devils' boots.At that time, the Red Devils players wore various brands of sneakers, and rarely wore "Skyhook" sneakers.

The main reason for this is that Umbro's contract did not include sneaker items, and the stars signed individual sneaker contracts with various sporting goods companies.

It doesn't stop Nike's efforts, nor does it stand in their way - in fact that's how they themselves infiltrated United.Nike began to use its close relationship with the club to gradually erode.After officially signing Manchester United, they signed a huge personal sponsorship contract with Ruud van Nistelrooy and Ferdinand who had just joined the team at the time, and recruited O'Shea, who had just emerged, and then settled a group of backbones such as Solskjaer.

Not only that, Nike also poached Barthez from Adidas, and successfully reached an agreement with captain Keane, allowing him to switch to Nike after his contract with Diadora ends.

In fact, there is only one Manchester United main player that Nike has not captured, and that is David Beckham.For this world-recognized cash cow, Adidas spared no expense.

No matter how crazy Nike's asking price is, Adidas will not back down and keep up, and even offer more favorable conditions than Nike to ensure that Beckham will not switch to his opponent.

　Thank you Daluosanfo for the recommendation vote, don't vote, the results are too rubbish to finish the book.

　　


(End of this chapter)