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Increasing Club Revenue


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39 minutes ago, Rich192 said:

Why is everyone so convinced that we’re getting out of the BK8 deal two years early? Unlike with Castore, there’s no breach of contract/performance issue, so why the confidence?

I think for a couple of reasons - firstly the value of our shirt front has risen substantially and will rise substantially again if we're in the Champions league next season, that means that a new deal would be enough for us to pay out BK8 and still make more money, if the figures are right, it becomes a big possibility. And secondly because it's not entirely clear what's happening with the illegal Chinese gambling market and the slightly shady legality of advertising for it in the UK, and because the head of Suncity and presumed owner of TGP Group who own the BK8 brand (and pretty much all the other Premier league gambling brands) has been jailed for eighteen years on racketeering charges, the future of BK8 is a little unclear. 

It's by no means certain that we will change shirt sponsors in the summer, but I wouldn't bet against it.

 

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11 minutes ago, OutByEaster? said:

I think for a couple of reasons - firstly the value of our shirt front has risen substantially and will rise substantially again if we're in the Champions league next season, that means that a new deal would be enough for us to pay out BK8 and still make more money, if the figures are right, it becomes a big possibility. And secondly because it's not entirely clear what's happening with the illegal Chinese gambling market and the slightly shady legality of advertising for it in the UK, and because the head of Suncity and presumed owner of TGP Group who own the BK8 brand (and pretty much all the other Premier league gambling brands) has been jailed for eighteen years on racketeering charges, the future of BK8 is a little unclear. 

It's by no means certain that we will change shirt sponsors in the summer, but I wouldn't bet against it.

 

Does BK8 have any action on that bet?

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And add in the fact that we have been unable to have the sponsor on the shirt for a few of the European games. A change would make sense all around. 

Could even ask any potential new sponsor to supplement the termination cost of BK8 is one is needed

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26 minutes ago, OutByEaster? said:

I think for a couple of reasons - firstly the value of our shirt front has risen substantially and will rise substantially again if we're in the Champions league next season, that means that a new deal would be enough for us to pay out BK8 and still make more money, if the figures are right, it becomes a big possibility. And secondly because it's not entirely clear what's happening with the illegal Chinese gambling market and the slightly shady legality of advertising for it in the UK, and because the head of Suncity and presumed owner of TGP Group who own the BK8 brand (and pretty much all the other Premier league gambling brands) has been jailed for eighteen years on racketeering charges, the future of BK8 is a little unclear. 

It's by no means certain that we will change shirt sponsors in the summer, but I wouldn't bet against it.

 

Most contracts have clauses where the value goes up if you qualify for relevant European competitions. So BK8 would need to pay more if we are in the champions league. If we didn't put clauses like that we are ran by idiots (I don't think we are).

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4 hours ago, Czarnikjak said:

Most contracts have clauses where the value goes up if you qualify for relevant European competitions. So BK8 would need to pay more if we are in the champions league. If we didn't put clauses like that we are ran by idiots (I don't think we are).

I do wonder if that would suit BK8 though - unlike most sponsors of Premier league shirts, they don't look for the 'prestige' element of shirt sponsorship, that thing that says 'this must be a proper company, they sponsor a Premier league shirt' they're not interested in the brand association thing - they just need visibility. Essentially for them, a Premier league shirt is a billboard that can be seen in the country where their customers live and they're not legally allowed to advertise - which shirt they're on isn't hugely important to them.

They sponsor in various forms and under various names about a dozen Premier league teams and I think in a case where a shirt becomes very expensive, they'd simply find a cheaper one - I wouldn't be surprised if they'd simply move BK8 to one of the promoted sides or one lower down the table and save themselves some cash.

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5 hours ago, OutByEaster? said:

I think for a couple of reasons - firstly the value of our shirt front has risen substantially and will rise substantially again if we're in the Champions league next season, that means that a new deal would be enough for us to pay out BK8 and still make more money, if the figures are right, it becomes a big possibility. And secondly because it's not entirely clear what's happening with the illegal Chinese gambling market and the slightly shady legality of advertising for it in the UK, and because the head of Suncity and presumed owner of TGP Group who own the BK8 brand (and pretty much all the other Premier league gambling brands) has been jailed for eighteen years on racketeering charges, the future of BK8 is a little unclear. 

It's by no means certain that we will change shirt sponsors in the summer, but I wouldn't bet against it.

 

To add to this - I think we also need to factor in the fact that we're effectively now part-owned by Comcast.  They are going to have access to a lot more companies (either those that they directly own or those that they have existing relationships with in the sports marketing / media world) that can justify the size of sponsorship that will get us closer to the numbers that our rivals are getting.  They'll have existing deals in the US that they can use to prove market value - as well as using the numbers from other teams in the top 7 or 8 of the PL (and hopefully in the CL).   For example (and I'm not sure that this would be allowed due to potential conflict of interest) Sky being a front of shirt sponsor would easily be able to justify trebling or quadrupling what BK8 are currently paying.  If you look at how much they spend on football in the UK and in Europe any sponsorship deal with us would be minute in comparison to the overall total.  So it would be incredibly difficult for anyone to say that they were not paying a fair market price if the deal was significantly higher than our current BK8 deal.  And of course theoretically a part of any such sponsorship would effectively be "free" as far as Comcast is considered because they'd be partly sponsoring their own investment (which would also grow in value as I suspect the "value" of Villa as a business entity will increase if we have a big front of shirt sponsor with a long-term lucrative deal.  If Sky is disallowed due to a conflict of interest then there are multiple other Comcast companies / subsidiaries / existing partners / clients that would still retain a pretty strong justification for a large investment in the European market. 

Edited by allani
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I wonder if one of the larger new Chinese electric car brands might want to gain international exposure by sponsoring a team ? BYD, NIO or Lynk & Co all have acceptable logos and big plans 

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5 hours ago, Czarnikjak said:

Most contracts have clauses where the value goes up if you qualify for relevant European competitions. So BK8 would need to pay more if we are in the champions league. If we didn't put clauses like that we are ran by idiots (I don't think we are).

I think we might have been a bit "blinkered" by the fact that BK8 reputedly offered double what anyone else did - so I think I would be surprised if these kind of clauses were added (especially as we knew that the deal was constrained to a set timeframe due to the forthcoming ban). 

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5 hours ago, OutByEaster? said:

 

It's by no means certain that we will change shirt sponsors in the summer, but I wouldn't bet against it.

 

Ace Ventura Laughing GIF

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Aston Villa have sealed the biggest shirt front sponsorship in the club’s history - with the Greek online sports betting platform Betano, £20 million annually for two years, to launch at the same time as their new Adidas kit deal next season.

 

Edited by wishywashy
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2 minutes ago, VillaJ100 said:

What are we currently getting? And how much are Newcastle etc getting?

BK8 were paying around £8m per year, apparently.

Newcastle's kit sponsor is worth £25m per year for comparison, but that one is arguably dodgier since Sela is also Saudi owned. 

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TBF to Heck - everything Heck has cancelled thus far has been replaced by better and bigger. Castore = Adidas, BK8= Betano. North Stand? Could it be a better plan/re-design?

Edited by Villa_Vids
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9 minutes ago, KAZZAM said:

20 mill a season is big money but comes at a huge cost of promoting gambling again. 

Its the only type of deal we can get that pays well. As much as it pains me we are not going to get a multinational yet. We would need years of continued success to attract the corporate companies as they are risk adverse.  This is what the prem is now. You have to get every single penny possible onto the pitch to keep on pusbing forward.  15 years ago we had a local charity on our shirt as we were probably offered less than a mill a year by potential sponsors. In 2 years time half of the prem will be looking for sponsors when the ban comes in . Will be a nightmare . 

 

 

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