Manchester United Football Club (MUFC) has a long history of Premiership football and is reported to be among the top-earning clubs in the world, with an annual income of around £500 million. During the last decade, it has become a brand with global recognition, making it a potentially attractive sponsorship proposition for firms prepared to offer financial investment, for example in the club’s ground at Old Trafford in Manchester or in the team’s kit. Sharp Electronics was the first firm to invest around £0.5 million in MUFC kit in 1982, a partnership that lasted 17 years. Vodafone replaced Sharp in 1999, making an investment of £36 million. Then, in 2012, Chevrolet put together a seven-year deal worth more than £362 million. TeamViewer took over in 2021, with a five-year deal worth £235 million. Why are firms prepared to invest such significant sums in MUFC and why does the size of deals change? 

First, MUFC embodies several values that could be transferred to sponsors, for example sporting achievement, winning, energy, masculinity. These were values shared by previous shirt sponsor Chevrolet, a US car brand looking for opportunities to build its global presence. 

MUFC is an interesting sponsorship partner – it is a point of entry into not only the UK domestic market, as the club also has strong international connections. Its global fan base numbers over 700 million, more than half of whom live in emerging markets in China and other parts of Asia, making it one of the world’s most popular football clubs.

When the partnership with shirt sponsor Chevrolet was announced in 2012, more than 1 billion page impressions were downloaded from the car manufacturer’s website within two weeks. This news and subsequent online activity exceeded previous (similar scale) marketing campaigns by Chevrolet focused on the US Super Bowl, making this a valuable communication and brand awareness campaign.....

Questions:

1. Explain what should be considered when selecting a sponsor. 

2. Identify and discuss what to offer potential sponsors to encourage their support and funding. 

3. Select a leading European football team, identify its main sponsors, and then suggest the benefits of the partnership to both sponsor and team.  

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