Leicester City title win to “gain them £200 million”
By iSportconnect | May 4, 2016
It’s been described by many as a football ‘fairytale’ as Leicester City were confirmed as Premier League champions on Monday night.
With Champions League football already guaranteed and a brand slowly rising throughout the season, the financial rewards for the ‘fairytale’ could benefit the club for years to come.
Rob Wilson, who is a football finance expert currently working at Sheffield Hallam University, explains what this season could mean for the team moving forward.
He said: “We were doing the sums earlier and we believe the total impact could reach as much as £200 million.”
“That’s taking into account the TV rights; from both the Premier League and Champions League, the revenue for finishing top of the Premier League and competing in the Champions League next season and the increased brand awareness of Leicester City.”
“There’s not that much difference between finishing first and second in the Premier League in terms of winnings – around £2 million, but Leicester will obviously gain a lot for finishing in the top four and the growth of the brand.”
At a time when Premier League revenues are booming and with a new broadcast deal on the horizon, perhaps Leicester’s off the field prospects look potentially as bright as the ones displayed on the field this season.
Wilson believes with a range of international stars across continents, they have the potential to grow in markets like Africa and Asia, while also continuing to grow in the European market.
“This Leicester City team has a number of International players involved with the likes of Mahrez with Algeria, Okazaki with Japan and Jeffrey Schlupp with Ghana.”
“Having a range of talent from a number of countries will allow them to develop in those countries and gain a following through the players.”
“The growth of the brand will only increase when they take part in the International Champions Cup this summer across the globe and against already established brands such as Barcelona.”
Dr. Borja Garcia, a sports management lecturer at Loughborough University believes the rise of the club is due to good management.
He added: “The success of Leicester City in winning the Premier League is likely to secure the club’s future for at least the next decade – if it is properly managed.”
“One of the main features of Leicester’s rise to the top, besides the performance on the pitch, is the good decisions taken in the boardroom.”
“Funded by big spending of the Thai owners to the region of more than GBP 100m, the club has spent wisely, restructured its debt and regained ownership of its stadium. If similar good management continues in this new era of economic wealth, the club might grow from strength to strength.”