Report: The Financial Landscape Of European Football
(Last Updated Jun 2021)

KPMG was commissioned to provide data and analysis for the report which provides insights on the financial development and trends of European football over recent years. The analysis, due to data availability, mainly focuses on the financial landscape from a domestic top-tier league perspective.

1. Financial Development of European Football: Overview
View Charts
2. Cluster-based analysis
View Charts
3. League Broadcasting Revenue
View Charts
4. Commercial Revenue
View Charts
5. Matchday Revenue
View Charts
6. UEFA Club Competitions Revenue
View Charts
7. Transfer Revenue and Expenditure
View Charts
8. Wages
View Charts
9. Profitability
View Charts

1. Financial Development of European Football: Overview

This report, reflecting data availability, primarily focuses on the different centralised (league broadcasting, UCC) and individual club (commercial, matchday, transfers) revenue streams and club operating expenditures (transfers, wages and non-wage) that comprise the income statements of clubs, to understand the financial landscape and health at a league level of top-tier professional club football in UEFA’s 55 member countries.

2. Cluster-based analysis

The landscape of top-flight European football consists of many domestic leagues that are at different stages of development. They display a diverse range of characteristics, especially regarding their size (number of clubs), format and the length of their seasons. Furthermore, the socio-economic and cultural situation, league appeal and domestic media market context of European leagues are also quite varied. In order to take all these factors into account, a cluster-based approach based on five clusters of leagues has been used in the section.

3. League Broadcasting Revenue

There is significant variation in what percentage broadcasting revenues have in different leagues, reflecting the multitude of factors that can affect the ability to maximise income from this revenue stream. This section provides data and analysis at a cluster and league level as well as the leagues’ redistribution ratios (first-to-last club).

4. Commercial Revenue

Club commercial income, which is out of the control of leagues and associations, is derived through club-specific sponsorship arrangements and income related to retail, merchandising, apparel and licensing activities. The ability of clubs to generate commercial revenues can, in general, be explained by an individual club’s ability to capitalise on the economic opportunity afforded to it based on national and international factors. This section provides data and analysis at a cluster and league level within clusters.

5. Matchday Revenue

Matchday revenues remain an important and fundamental revenue stream for all clubs. The ability to attract fans to stadiums is beneficial in both financial and non-financial terms. Fans bring stadiums to life and create the unique atmospheres in all leagues around Europe. This section provides data and analysis at a cluster and league level within clusters.

6. UEFA Club Competitions Revenue

The redistribution of UCC revenues to clubs is having a greater influence on the financial structure of the European football ecosystem. The financial impact is significant across all leagues but especially noticeable when analysing UCC share in medium and smaller leagues. This section provides data and analysis at a cluster and league level within clusters as well as by the competitions and solidarity payments according to UEFA’s distribution model.

7. Transfer Revenue and Expenditure

The player transfer market can act as a significant source of expenses or income for clubs, depending on their strategy and their circumstances. This section provides data and analysis at a cluster and league level within clusters by revenue and expenditure.

8. Wages

Players are the most valuable assets for football clubs; as clubs increase their revenues, they are likely to prioritise spending in the transfer market for the most talented players, with the objective of creating greater and sustained on-pitch performance. This section provides data and analysis at a cluster level, league level within clusters and the wage-to-revenue ratio.

9. Profitability

The historical trend is for clubs to maximise sporting success (i.e. utility maximisation) rather than profits (i.e. profitability maximisation). As such, revenues earned are often almost all spent on the playing squad, through transfer fees and wages. However, in line with the introduction of UEFA FFP regulations together with the implementation of cost-control regulations in many domestic leagues, the overall profitability of European football has improved over the last decade, but considerable differences between clusters and leagues exist when a deeper analysis is undertaken. This section provides data and analysis at a cluster level and league level within clusters.

Due to rounding, numbers presented may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

Tutorials

Click on the topics to watch video tutorials