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Real Madrid’s earning power

Real Madrid leads Deloitte’s ‘Money List’ in terms of revenues. Part of Real Madrid’s success is associated with the club’s attractiveness for sponsors. This year, Real Madrid signed a shirt-sponsorship deal with Emirates (airline) – a 5-year deal with an annual value of approximately $39 mio (Sport Marketing Frontiers, 2013). To exemplify Real Madrid’s brand status as an iconic representative of Spanish sports (and one of Spain’s most recognized corporate brands), Real Madrid is also sponsored by the Spanish Ministry of Industry, Tourism and Commerce, i.e. a 3-year deal signed in 2011 with an annual value of approximately $4.5 mio. (Sport Marketing Frontiers, 2013).

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Photo: A selection of Real Madrid’s current and former sponsorship deals (Sport Marketing Frontiers, 2013).

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Photo: A selection of Real Madrid sponsors (Real Madrid’s official web site).

One of Real Madrid’s sponsors Mahou has exemplified how corporate sponsors may utilize ‘special events’ as an activation platform. In relation to Real Madrid’s 32nd league championship title, Mahou honored Real Madrid’s performance by offering the players a magnum bottle version of the “Mahou 5 estrellas” product. A ‘thank you’ note from the players also accompanied the ‘special event’. The players signed and hence personalized another ‘magnum bottle’ as part of the ‘thank you’ ceremony (Real Madrid, 2013).

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Photo: A selection of some of Real Madrid’s event partners (Real Madrid’s official web site).

All in all, Real Madrid has taken full advantage from building a squad and club culture of globally recognized players and managers, i.e. Christiano Ronaldo as the most prominent signing in recent years. That has been a potent tool, which has helped the club secure strong revenue streams, e.g. sponsorship, merchandise etc.

Additional inspiration and sources: 

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