Arsenal have surpassed industry expectations with a key business deal integral to the financial health of the club.
The Gunners’ financial health was boosted by their return to the Champions League in 2023-24, which will have been worth almost £80m all told.
That is before the commercial benefits of playing in Europe’s premier club competition are factored in.
One party that will have been very happy with the amplified exposure their brand got during Mikel Arteta‘s side’s run to the quarter-finals is Emirates.
As both stadium and front-of-shirt sponsor for the North London club, Emirates are almost synonymous with Arsenal and have been partnered with the club for 17 years.
And the latest analysis shows that the partnership, which is vital for Arsenal’s recruitment strategy in terms of compliance with financial fair play, still represents a brilliant deal for Josh Kroenke and the rest of the Arsenal top brass.
Arsenal getting maximum value from Emirates deal
Arsenal last renewed their deal with the airline in August 2023, extending the deal until at least 2028.
In a statement accompanying the announcement, Arsenal commercial chief Juliet Slot said “we are incredibly proud to make history” by making the deal the longest-running ever in the Premier League.
Now, a study conducted by industry experts The Sponsor shows that Arsenal are still squeezing every penny from the commercial relationship almost two decades on.
The Sponsor used industry benchmarking and the Premier League’s fair market value criteria to establish that the deal should be worth £48.5m per season to Arsenal.
In reality, the Gunners earn £50m per season, meaning that the £250m they recoup as part of the latest iteration of the deal will surpass industry expectations by £7.5m in total.
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Arsenal lagging behind Big Six rivals
As impressive as the Emirates deal is, Arsenal still trail their rivals in the so-called Big Six when it comes to money generated by the commercial department.
The Gunners earned £173m from sponsorship and merchandising in 2022-23, which was a record for the club.
But that figure is still dwarfed by Man City (£341m), Man United (£303m), Liverpool (£272m), Tottenham (£228m) and Chelsea (£228m).
It will be the job of Slot and new partnerships director Omar Shaikh to capitalise on the club’s upturn in sporting performance and close that gap in the coming years.