Manchester City have the potential to become the first football club in history to reach a turnover of £1 billion if they manage to capitalise on what their global fanbase wants, according to a leading data and insights expert.
While the club are currently facing 115 charges of alleged breaches of the Premier League's financial rules, data and insights company CLV Group, believes there is an untapped market Manchester City should look to exploit to increase income and become the first club in history to turnover £1 billion in a single year.
Deloitte had City top of their 2022 Money League with revenues of £731m, followed by Real Madrid with £714m, but CLV Group have suggested there are huge opportunities to engage with fans and in turn increase money.
“Digital platforms offer an excellent opportunity for Man City to engage with their global fans and generate additional revenue,” Neil Joyce, CEO of CLV Group, explained.
“The club should leverage social media platforms, create more exclusive content, and build a vibrant online community. By offering premium subscriptions or exclusive access to behind-the-scenes content, live matches, or interactive experiences, the club can attract a new loyal following and generate recurring revenue. I think they can be the first football club to turnover £1bn in the next 3-5 years”
Joyce believes that while there are greater opportunities to engage with a global fanbase, due to technological advancements and social media, most top clubs still focus on core groups in local areas. Manchester City, he says, are one of them, though there is a shift happening which they could and should capitalise on.
Pointing to City's rivals Manchester United, Joyce highlights research conducted by CLV Group suggests United understand less than five per cent of their 1.1 billion fans.
"Unlocking the potential of the unknown 95% global fanbase can reap huge benefits in terms of increased revenue which in turn can increase the future valuation of the club by £1bn-£2bn,” he said.
“Many major football clubs already have enormous global reach but most of those fans will never make it to a game. In most cases, a few fans – if they’re lucky - will get to see a pre-season tour game or a meet-and-greet at a shopping centre.
“There’s a real opportunity to revolutionise loyalty and reward fans with what they want, raising revenue in the process, but clubs need to increase the pace on how they invest and mobilise these opportunities."
Web 3.0 is also touted as a revenue stream. Manchester City partnered with cryptocurrency exchange OKX in 2022, highlighting their openness to delve into emerging revenue streams.
"Web 3.0, and in particular token-based memberships, have the potential to form the backbone of next-generation loyalty schemes akin to those of retailers and airlines where fans get the benefits they want, in an ecosystem they value, while clubs capture first-party data and drive new revenue streams," Joyce added.
