Indicator - Economy - A football club can be turned into a luxury brand

Indicator – Economy – A football club can be turned into a luxury brand

Over the past 10 years, PSG has built its brand with such dynamism and thoughtful marketing that it is now being talked about not only as a football club but also as a premium fashion brand. The team owner has already opened a number of stores around the world and works with houses with a long history such as Dior, Stüssy, Air Jordan or sports apparel retailer Fanatics.

PSG’s 16th store also opened on 5th Avenue in New York last week, right next door to Louis Vuitton and Valentino, but it also has stores in Los Angeles, Tokyo and its home of the Champs-Elysées. PSG’s e-commerce sales after selling T-shirts, training and other apparel accessories also totaled $40 million, most of it licensed by Nike. While most products cost less than $100, despite the prices for luxury co-op peppers, online stores sell out within hours, he writes. business fashion.

The club aims to increase e-commerce revenue over $60 million by 2026. Incidentally, PSG’s global marketing and commercial operations are managed by Fanatics, which will now expand throughout China and Europe. By the way, Paris Saint-Germain is one of the 10 richest football clubs in the world: in 2021, its revenue amounted to 600 million dollars, a significant part of which came from broadcasting and sponsorship revenue.

However, the company’s e-commerce revenue has grown dynamically by 300 percent since 2020, primarily driven by expansion into Asia and North America.

Marc Armstrong, PSG’s sponsorship director, knew before signing Argentina’s Lionel Messi that the 34-year-old would be a great option from a marketing point of view. After the transfer, 8 new sponsors PSG routes, including Dior and crypto.com.

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“Thanks to Mess”, their partnership with Nike is guaranteed until 2032, the company is responsible for equipping the football team with an amount of 75 million euros per year, which Coca-Cola has extended with them until 2024.

According to the portal, agreements reached in recent months have helped elevate the PSG brand into fashion, capitalizing on the club’s association with Parisian style, hip-hop and youth culture.

The club’s players, such as Neymar Jr or Kylian Mbappe, have always been important players at Italian fashion weeks and Paris. The 23-year-old has been named an ambassador for Dior, but since 2019, he also has a joint lifestyle group with Nike. Neymar, for example, has been with Balmain, Puma, and Armani for years.

(Cover photo: Paris Saint-Germain Football club players March 11, 2020. Photo: UEFA – Handout / UEFA / Getty Images

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