2022-03-23-德勤-Annual_Review_of_Football_Finance_2021_64页_7mb

Annual Review of Football Finance 2021: Key Insights

European Football Market

• Total revenues for the "big five" leagues (Premier League, La Liga, Serie A, Bundesliga, Ligue 1) decreased by 11% to €15.1 billion, the first annual reduction in revenue across European football since the 2008/09 financial crisis.

Financial Impact of COVID-19

• Clubs generated less matchday revenue due to empty stadiums. Broadcast revenue was significantly impacted, with rebates to broadcasters totalling an estimated €330m shared across all clubs.
• Premier League clubs collectively recorded a pre-tax loss of £966m, their highest ever. Operating profitability across the league collapsed, leading to record net debt levels.
• Intra-League transfers saw a slight decrease (4%) in total spend compared to 2018/19 (£2.4 billion), but some clubs (e.g., Tottenham Hotspur) saw massive increases (+£126m).

Revenue Generation & Cost Control

• "Big Five" Revenue Decline: All five leagues experienced significant revenue declines. La Liga saw the steepest drop at 18%, followed by Serie A at 19% and Ligue 1 at 23%. The Bundesliga reported the smallest fall at 4%.
• Premier League: Experienced its first ever fall in total revenue (£4.5 billion), driven by reduced broadcast revenue (due to payment rebates) and lower average attendance.
• EFL (Championship & Divisions 1, 2): Total revenue fell 14% to £943m. Clubs heavily impacted by lost matchday revenue and deferral of broadcast revenue. Intra-division transfers accounted for the highest proportion of EFL spend (32%).
• Commercialisation: Key focus for future revenue growth, particularly following the pandemic. Premier League secured continues domestic broadcast rights despite a slight value decrease.
• Cost Control: Premier League clubs saw a significant decline in operating profitability. Bundesliga and Premier League are reported to be the only "big five" leagues still profitable at the operating financial level.

Technology & Innovation

• NFTs: The NBA's "Top Shots" platform has seen significant sales (£219m Feb 2021), demonstrating potential for football. Interest from clubs is growing.
• Digital Engagement: Clubs actively creating content to maintain fan relationships and generate revenue using platforms like iFollow.

Future Challenges & Opportunities

• Wage Sustainability: Extremely high wages-to-revenue ratios threaten long-term financial stability for many clubs, particularly in Ligue 1 and PL. Premier League clubs plan further investment in 2020/21.
• League Investment: Attractive to private equity; barriers include formation of new leagues (BeNeLiga) and significant net debt. Success uncertain due to UEFA/IFF's recommendations and owners' reluctance.
• Women's Football: Significant growth in commercial investment and professionalisation driven by elevated global profile (NWSL, La Liga).
• Climate Change: Opportunity for football to lead positive action and align with stakeholders' growing expectations for climate responsibility.
• Diversity & Inclusion: Progress is being made through initiatives like Premier League PLEDIS, FA FLDC, PFA initiatives, and the social media boycott against racism.

This summary highlights the unprecedented challenges posed by the pandemic, the varying impacts across leagues, and the strategic focus areas for future growth and financial sustainability in European football.