The Month in Soccer Business: September 2012

A monthly compilation of interesting business news related to soccer. September 2012.

Transfer spending rises in England, France and Germany September 3rd

Spending in the summer transfer window has increased year-on-year in England’s Premier League, France’s Ligue 1 and Germany’s 1.Bundesliga, but has reduced in Italy’s Serie A and Spain’s Primera Division, according to analysis by Deloitte.

The business advisory firm said that player transfer spending by Premier League clubs was around £490 million in the 2012 summer window, marginally up from the £485 million spent in summer 2011 but just short of the £500 million record of 2008. Transfer fees to overseas clubs were around £300 million, almost 50% up on the level seen in 2011.

Full Article >> Soccerex

Manchester United chief executive David Gill will put club allegiances to one side if successful in bid to represent England on Uefa board – September 4th

Manchester United chief executive David Gill will put his club allegiances to one side in his bid to represent England on the board of UEFA.Gill will stand for election as the Football Association’s nominee to the influential 16-strong body that decides on the European football governing body’s policies.

An election will be held at the UEFA Congress in London next May when all the 53 member nations will each have a vote.

Full Article >> The Independent

Continue reading “The Month in Soccer Business: September 2012”

The Month in Soccer Business: September 2012

SPL Rules Out Individual Rights Sales

Scottish Premier League (SPL) head, Neil Doncaster, has squarely rejected the possibility of Rangers and Celtic negotiating TV rights deals on an individual basis. This is to the dismay of the two Scottish giants as they would be able to command a much higher price by not participating in the SPL’s collective bargaining arrangement.

Doncaster’s decision to share revenue between all SPL teams safeguards the long term health of the league. Without a redistributive mechanism the league would become even less competitive as the smaller teams become unable to bring in talent to match the commercially more successful teams. Subsequently the league becomes less entertaining for anyone not a fan of Rangers and Celtic, and arguably grows boring for those supporters as well. While it is far-fetched to think that the league would go into some kind of death spiral, it seems hard to dispute that unexciting football is not the benefit of anyone involved, whether supporter, owner, broadcaster or league official.

This brings me back to the question that crops up so often on Footy Finance: What is the purpose of Football? And by extension, what is the purpose of the Football Associations and Leagues of their respective countries? It is first to deliver exciting, entertaining football for the supporters, not profits to the club owners. It seems that too many people have the relationship reversed. Irresponsible management of clubs and leagues causes competition unrelated to the skills of players and managers; supporters should be worrying about free kicks, not financial statements.

SPL Rules Out Individual Rights Sales