Despite the fact that both clubs displayed lacklustre
performances during the 2018/19 Champions League football competition, Real
Madrid and Manchester United are still the two most valuable football clubs in
the world.
The clubs attract an incredible number of fans, mega
sponsorship deals, media licensing rights, bonuses, and so on.
However, for the first time in three years, there were some
leapfrogging on the chart of the most valuable football clubs ranking. For
example, Real Madrid CF leapfrogged Manchester United FC to clinch the top.
Also, Bayern München rose to the third, leapfrogging FC Barcelona which slipped
to the 4th position.
Why the Changes? According to KPMG ‘s annual football clubs
valuation report, the revolution atop the chart is because both Manchester
United FC and FC Barcelona suffered an annual decline in their Enterprise Value
by 1% and 4% respectively. Also, having won the UEFA Champions League three
times in a row, Real Madrid FC has cashed in significantly more UEFA prize
money than Manchester United.
The top European elite club: Similarly, further changes
among the European elite club for 2019 include Tottenham FC surpassing Juventus
FC to hit the 9th position, as well as Arsenal FC dropping two spots to the 8th
position behind Chelsea FC and Liverpool FC.
Ranking Metrics: Notably, the two 2019 UEFA Champion League
finalists boasted remarkable financial performance in the past season, as
Liverpool boosted its Enterprise Value (EV) by 33%, while Tottenham Hotspur FC
EV increased by 31%. The key metrics reportedly used in ranking the football
clubs in terms of valuation include the club finance and operations, social
media analytics and players valuation.
The Billionaire Elite Clubs: Real Madrid CF tops the elite
billionaire club list with a 10% year on year increase in total valuation after
recording an estimated at €3.22 billion. It is followed by Manchester United
with €3.20 billion valuations, while FC Bayern Munchen is worth €2.69 billion.
Others include
FC Barcelona
– €2.69 billion
Manchester City FC – 2.46 billion
Chelsea FC
– €2.22 billion
Liverpool FC
– 2.09 billion
Arsenal FC
– €2 billion
Tottenham Hotspur FC – €1.67 billion
Juventus FC
– €1.54 billion
Most valuable squad in Europe: Among the top 10 clubs with
the most valuables squads (players value) are;
Manchester City – €1.18 billion
FC Barcelona – €1,111 billion
Liverpool – €1,038 billion
Real Madrid – €958 billion
Paris Saint-Germain FC – €906
Tottenham Hotspur FC – €876
Manchester United FC – €846
Chelsea FC – €842
Atletico de Madrid – €840
Juventus FC – €788
Bottom Line: As the transfer window is set to be officially
opened later this month, several transfer deals that have been reportedly
completed by the top clubs will be announced. This is expected to witness some
record-breaking transfers, as the Europe elite clubs heat up the market
valuations and contest for titles in the coming season.
Therefore, it will be tough for clubs with lower budgets to
compete with Europe’s elite clubs; particularly smaller clubs who appear
already frozen out in the scheme of things.