Barcelona's Spotify Deal: Is it worth the money?
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- čas přidán 8. 06. 2022
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Barcelona have signed the naming rights of their legendary Camp Nou stadium to Spotify in a deal worth €5million per year.
But is that a lot of money for naming rights? What are naming rights? How does a club value their name? Which team has the best naming rights deal?
Nick Harris explains, Philippe Fenner illustrates.
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#Barcelona #Spotify - Sport
City being the highest naming rights in world sport even back in 2011, and FFP thinking that's completely fine is one of the reasons it's a rigged system
There's no rule for sponsor deal numbers and it's fair I think. What FFP need is rules for potentially nepotism deal.
Don't forget their bogus sponsorship rights too. No legit for-profit organisation will pay that for a club with minimal global appeal.
@@7012r there should be a rule for it. Pulling a number out of nowhere just so they have more money to spend is playing the system
@@heylookitsliam There is already a fair value rule for it. And UEFA have already sanctioned PSG and Man City under it. But they threatened legal action and throwing lawyers at it for so long, UEFA would run out of money.
So UEFA thought twice and said: "You know what, the rules are for the little people. When you're rich, you can do as you like!"
@@andrew7taylor exactly. It's so corrupt that small clubs can be in danger of going into administration but they can't be touched. Can see Newcastle going the same route in 3 years
Production value on this video is nuts. Props to the team!
Good to see Midtable FC finally getting some coverage on Tifo. It's not all about the big clubs!
Midtable FC?? Are you living under the rock??
Arsenal fan uttering such foolish words
@@jokershotaro 3:08 my man.
Yet still it's Man utd he is referring to🤣🤣🤣
@@jokershotaro I think that was sarcasm, were you educated by a rock?
I think the Tottenham hotspur stadium could command a massive amount. Its a new stadium with high visibility and does not have a well established name like other English arenas
Spurs have been trying to sell the naming rights to that stadium from day one. So far, no takers. Although I remember Nike was close once.
Tik Tok Tottenham 😃
Probably why Levy is holding out on a deal being stubborn as always.
@@mickie001 that's a good one 😂
Imagine if The British Bottle Company bought the naming rights.
"Bottle" stadium lol
Even in America, there's occasionally enough history/tradition to discourage a club from selling the naming rights (Fenway, Wrigley)
They have to become landmarks in order to get that designation.
@@chickentaquito7804 That certainly helps! But, Nationals Park and Yankee Stadium aren't even 20 years old...
@@JasonRennie Yankees are a huge brand though, as a MLS follower, a lot of people say NYCFC play in the historic Yankee Stadium, so a lot of people outside the U.S. who don't follow much baseball don't seem to realize that is not the stadium that was opened in 1923. Probably because the Yankees chose to name it Yankee Stadium, like the original stadium. So it still has a drawing power. With a lot of tourists coming regularly each year to the stadium to watch them play. I remember going to a Yankee game and being near some Dutch tourists. They make a lot of money. They don't need to sell the stadiums naming rights.
The funny thing is that Wrigley Field was basically the first example of naming rights since they were bought by William Wrigley, who basically used the stadium as an advertisement for his gum company even before he outright renamed it after himself/his company.
For the past few years Dundee's stadium had officially been the 'Kilmac Stadium at Dens Park' which has always struck me as a neat way to do naming rights while also, not actually changing the name.
Given our place on footballs money tree, Kilmac probably paid sixpence and a quarter of kola kubes for the privilege.
Ducking love kola kubes.
Saint albans fan here, we also have the same thing with Mozzarella Fellas Stadium at Clarence Park.
Literally everyone only cares about how good it looks on the jersey 😂
Fr tho😂
Yup, I know they won't, but I kinda wish they just use the logo without the name
@@JoshMarshain a giant circle on the middle would look terrible
@@JoshMarshain it'll look good with your favorite artists on it lol
@@JoshMarshain the font in "Spotify" is what makes it beautiful, idt the logo would look good on it's own
I think this video failed to explain the difference between "Naming Rights" which is valued lower, and the "Title Rights". Also the fact that during the construction of the Espai Barca and new stadium the matches will be played at the olympic stadium in Montjuic for one season to accelerate the work on the Camp nou which would have affected the price. I'm sure once the new stadium is built it will command a price in accordance to the highest ones in Europe
Great comment
What’s the difference?
Yes, After the remodel its rumoured to be around 20m a year..
@@eduardkolaj399 naming rights is renaming the stadium after the sponsor like the Etihad stadium whereas title rights is attaching the sponsor name to the stadium name like Camp Nou Spotify
Yes this is true! It's basically a way to earn some money while the stadium is being remodeled.
The rumours say that the deal when the stadium is finished will be of around 20 million € a year.
Shows how corrupt that city deal was which was just the owners getting around FFP
Cry 🤡
Was going to say that😂 A company based in Khalifa City, UAE, sponsoring a club owned by UAE royals💀
Good point
@@makchot3263 the only ones crying are the slaves
340 million in 12 years so far from Etihad to sponsor the stadium, and every jersey including the women's teams across 15 clubs in the City Football group. Locations in India, New York, Spain, Japan, France, Belgium, China and Uruguay. Seems like a good partnership to me.
Great video as always. I would also mention however within the UK the tendency by fans to ignore the sponsorship name entirely in some instances such as St James Park, but other fans embracing it (Leicester) based on the relationship between the fans and owners.
As a Leicester fan this is completely true, literally no one called it the “Sports Direct Arena” but Leicester’s owners are so beloved that even though we changed away from Walker’s stadium (Leicester company), people don’t refer to it as Fosse Park, it’s the King Power or “KP” colloquially
Absolutely correct, fans in England just call their stadiums by their original names usually, it's great.
I think it's a good way for them to get a proper stadium name since the Camp hasn't been Nou for quite a few decades now.
@SeanL94 🤣🤣🤣🤣🤣👍
It will never be called Spotify stadium bruh …they should name if after Messi after the sponsorship
someone explain the joke
@@oscaraquino7468 camp nou means new camp so it was names that when it was renovated a long time ago ..so it's still called that despite not being new anymore
It'll be named Nou Camp Nou..
As a German I was for a long time under the assumption that Stadium names.... just get sold :D
To make I easier I just name the stadiums not named after a deal:
Alte Försterei (Union Berlin)
Olympiastadion (Hertha Berlin)
Borussia Park (Gladbach)
Outliers are (because they are owned or established by a company, hence using the company name)
Red Bull Arena (Leipzig)
BayArena (Leverkusen + Bayer)
Volkswagen Arena (Wolfburg + VW)
And at the end of the day, people still go to the "Waldstadion" instead of the "Deutsche Bank Park" in Frankfurt.
Our dads said that, so I we do too lol
What was the thing with Westfalenstadion? I think it was also called Signal Iduna Park but I'm unsure as if people ever used that name.
@@claudiorojas1240 It's still called Signal Iduna Park due to sponsorship. But don't think anyone uses that name
Is there a old name for tha Allianz Arena? Or some local nickname for the stadium?
@@Jotgut I was just wondering because here in Latin America there was a time where that name was heavily used (I remember Dortmund's run on the 2012-13 UCL).
@@gueswho8815 The official name is Fußball Arena München. UEFA also uses this name as well in their competitions.
Barcelona Spotify Playlist:
1. I Need a Dollar - Aloe Blacc
2. Brother, Can You Spare a Dime - Bing Crosby
3. Clean - Taylor Swift
It's a bold strategy, Cotton. Let's see if it pays off for Barcelona.
Cotton?
Spotify spotted an opportunity with a financially struggling but still powerful brand. Good business for them. Can't blame Barcelona FC either. When you're lacking financially, desperation drives you to compromise.
It's a good deal for Barcelona as well. It's a given you won't have as much power during negotiations, but it's like being given a 7 digit loan while on bad credit. Take what you can and snowball from there
Yeah, City getting around FFP with a massively over-priced naming rights deal. Who'd have thought it?
Barca will happily take any money they can get, they’re struggling
You don't know what's going on
@@caven7056 it's clear as a day after losing Messi due to finances.
@@caven7056 You can keep denying it, but it's clear as day from how the club act.
Barca have money but are restricted by laliga to actually spend the money. 2 different things
@@AyoII7 Barca has money? Which realm are you living in? Do you know how much debt they have? Stop joking around.
Until not long ago Barcelona as a club, like its fans, used to say that having advertising on the shirt was dirty and a form of denigrating the ideals of the club. The first thing they did was put UNICEF advertising on the shirt, so anyone who pointed out the change in policy would be accused of attacking UNICEF*, almost going against the poor children of Africa. Once people got used to seeing the shirt with an advertisement, they were able to make the leap to the Qatar foundation, which despite being listed by the US government as a sponsor of terrorism, bought its place on that shirt, Beko continued, and Rakuten... now the stadium sells its name. And the same managers who disapproved advertising are the ones who now sell even the club's furniture and rent the stadium to individuals. The club is bankrupt due to its lousy management.
*UNICEF
@@Pelsjager true
I mean US government itself is a sponsor of terrorism so who cares what they list anyone
Ironic US Government listing any country in the world as a “sponsor of terrorism”
they literally are going to go bankrupt if they dont "sell out" its professional football because its a business/entertainment field.
Unless you want to pay thousands per ticket you shouldn't mind looking at a writings that you can only see when the cera zooms in
Here's an idea (while looking at the Man City "deal" that is just a cash injection to get around the rules) - any sponsorship of the stadium should have to be spent on the stadium, its surrounding facilities or the fans (cheaper tickets or better seats, better facilities, even travel assistance). Screw this continued inflation that is ruining clubs all over......
Nothing suspicious at all about City’s naming rights deal. Nothing dodgy there at all.
City lives in your head rent free 🤡
Highly visible sponsorships are much less about marketing and more about corporate status and profile. Spotify will see the benefits as being able to make better 'deals' whatever those may be, this was touched on in the Airline example.
The Reebok Stadium will always be the Reebok. It was called that from new, and was used for a very long time. Reebok got a very good deal that day.
The Emirates had a name before the deal was struck, Ashburton Grove, that they can fall back on. Bolton's deal with Reebok predates the building of the stadium, they were kit sponsors and manufacturers well before.
It could be a really cool move by Spotify given Barca are struggling so they took the whole lot
Spotify as a company has only just started to turn a profit after losing money for fun the last decade. I can only assume they believe the growth will continue. Either way, that's alot of money to lay out for what is essentially a advertising campaign.
capitalism 💀
@@afxtwinreverb Look at where socialism got Barcelona…
I am heavily liberal but… i mean just look.
The evidence is plain as day
@@yessir7147 it’s not really socialism when an extremely power hungry greedy president causes incredible levels of mismanagement to make more money for himself
@@Aanike09 I can name so many socialist nations in which this exact scenario played out, and ruined the nation.
You really just proved my point further is all.
Will be very interesting how this turns out. Nice video. Keep up the good work.
In Indonesia, there also interesting naming stadium right. It exist for Indomilk Stadium, Tanggerang for Persita. They likely have agreement with government for stadium use
I think laporta said in the assembly that the numbers involved in the deal are kept confidential. 70 is the figure out in the medis.
The 280 million over 4 years is not covering the stadium naming rights according to the socio meeting. The naming rights were under scrutiny because the compensation was not disclosed under NDA with Spotify. I might be wrong but I'm pretty sure Spotify agreed to cover large portions of the espai project and didn't not want the exact amount to be public.
No mention of the fact that Etihad is owned by Man City’s owners. The “largest naming rights deal” used to bolster FFP
I feel like this has been mentioned in a previous video
15 million a year just about buys haalands left leg so the Etihad deal don't even scratch the surface
@@zumizm1 the latest report is that Man City have earned over £67.5m a year since 2009 by sponsoring themselves. That's £810m. That's more money than Arsenal has spent on transfers in the Premier League era. That doesn't even include other sponsorship deals by companies owned by the City owners, including multi-million pound deals from mysterious imaginary companies with zero employees.
I always love these animated and narrated videos than the live version ones.
Hope Imaginary LTD's deal with Arsenal goes well. Bright future for both parties
@@nahe7daged well
Imaginary trophy for the pistols 😂😂😂😂😂😂😂
Well, good move by Barca, but does rather nullify any argument Spotify has against giving artists more royalties. No doubt those people who are against renaming Stadia after sponsors will be annoyed by the new Stadium name - especially as it is not a new build.
Spotify is generally known to give indidapendant artists fairly good deals the problems arise when labels get involved as they take anywhere from 30-80 percent of artist streaming payments, plus most artist now days make their money in touring and not album/single sales
Doesn't Spotify spend like 70% of their revenue to pay the artists/rights holders?
@@why772 Spotify claims to have 406 million monthly users, and claim to have paid out 7 billion in royalties in 2021. Even quick maths based on subscription fee’s would say otherwise and that’s not even taking into account ad revenue etc.
@@samrowe8752 Yeah even with paying taxes and other fees on top of that before the money goes out to the labels/artists that sounds low.
@@why772 It’s literally only ever Spotify who say we pay our artists well, never the artists, so I’m inclined to not believe them just based on that lol. Even if the sum was adequate for a signed artist the label might have a deal with Spotify for their music cheaper, or have a deal with the artist that gives the label more of the stream revenue.
I don’t think Spotify etc going away will change anything particularly but they are just vultures
I like how you guys get all the info.
Tifo, I'm curious where the LV Raiders stadium, and SoFi Staidums stack up to this deal. Also curious what Barca fans think of the name? Camp Nou is a landmark in the football world. Interesting.
Remember when they wouldn't have a shirt sponsor and they mocked Real Madrid for having one?
I miss those days
I haven't listened to this, and honestly, I felt it could be more money. HOWEVER, what Spotify will bring overall to FC Barcelona will be worth it as the potential for entertainment based revenue far exceeds the 20m or so that is said that will be paid annually when the stadium is completed.
Surely the only way to tell if it's worth it is to judge whether it will have a commensurate impact on spotify's revenue/ profit / valuation? Super hard to make that assessment but I am sure advertising execs would tell you it would!
Yes because any deal for them is worth the money
Reading FC recently sold their stadium naming rights to ‘Select Car Leasing”, meaning their stadium is now named “Select Car Leasing Stadium”.
Terrible.
That's bloody awful that. Dear me. Do the fans still call it the " madjeski" though?
what about the fan tokens ? Are you planing to do a video about that?
Interesting how lucrative the stadium naming rights are. Apart from big clubs with recent financial clout, 2/5 are from Turkey, which have a background of financial deterioration and corruption amongst the sport. Football is no longer a sport, like it was 10/15 years ago. It is now a multifaceted business model of extraordinary proportions with prodigious cash generation from sponsorship deals. An example of this change was seen clearly in the 2018/19 Champions League final in the newly built Wanda Metropolitano Stadium (Madrid), whereby both clubs (Liverpool & Tottenham) were limited to 16,000 tickets each yet 23,000 tickets were allocated to commercial firms.
Barcelona are in a bad way financially, which is ironic because I have recently finished a book by Damian Hughes titles 'The Barcelona Way: How to Create a High-Performance Culture' - which illustrated how Barcelona did not buy success, but developed it through their sporting culture.
This deal is so lucrative for Spotify, when you consider their market space for podcasts etc, and recent deals for the likes of Amazon Prime with Netflix etc getting your content to a wider audience is key. Barcelona are global brand and this deal for Spotify helps them to push their market shares into otherwise competitive areas such as Asia and South America alongside the emergence of North Americas interest in European football (soccer).
You actually didn't answer the question.
You did an amazing job at explaining why these deals are made and how it works, but, not if it's actually worth it.
Have you thought about sports stadiums built and controlled by secret service? For example the KGB of Russia built the stadium and controlled the main ice hockey team in Riga, Latvia. Ice hockey is the biggest sport in that country. I saw this on a documentary.
It helped to give the Russian secret service influence at levels like you're suggesting, local and national government, business etc. Reminds me of the country level deals by Middle Eastern countries.
Tifo, one question if i may, why dont barca or teams in economic danger in europe just hire more brands to show on their jerseys south america - like ? Is it just for looks?
Sponsoring space on shirts is regulated by the leagues
Mainly yeah. Also having more brand deals on a shirt wouldn’t increase money, all it does is decreases the value of each brand sponsor on the shirt. Having one big brand on the shirt is better than having a bunch of small brands all over it
I think you're only allowed two: the main sponsor and the kit logo.
@@charlesray9674 you can also have a sponsor on the shoulder of the kit
I would like to add Borussia Dortmund's "Signal Iduna Park" (Westfalenstadion) to that List as 'Signal Iduna' is paying around 6-8 Mio £ a year for the Naming Rights.
what he meant by mid table fc was Manchester United
Or arsenal
whatever you think of spotify, its just nice to see a big sponsor that isn't gambling linked (and something a bit more recognisable)
the artists in spotify 😿
spotify has a great logo not mad at this
The video doesn’t really answer posed in the title though, does it?
By the way, judging by Alan Krueger’s book “Rockonomics”, it is essential for a company like Spotify to expand their market to stay profitable. Running a streaming service for music simply isn’t very profitable in and of itself (Apple runs Apple Music by a loss for example, but makes up for it in device sales). So in that sense, the sponsorship deal makes sense.
It's true when talking about old stadiums and arenas versus new ones.
Fenway Park. Wrigley Field. Madison Square Garden...just can't imagine a naming rights deal. (Wrigley named after the person not the product). Same with Old Trafford or Stadio Olimpico...
i could see them pull what they do in college and name like the field but not the stadium. like GE field at Fenway Park. But all of those teams in north america will just never need the money and have naming rights deals for every other part and section of the areas/stadiums
Mes que un playlist!
Failed to mention naming rights and title rights and the fact that it will be 20m€ per season once Camp Nou renovation is finished. Barcelona had multiple offers for shirt, they were bigger than this Spotify one, but with Spotify there is partnership agreement + the fact that Spotify is 'positive' company with good reputation, unlike those who offered more money. Plus, there is still sleeve to be sold if they want to.
*i cannot help myself but burst out Laughing hearing Spotify Camp Nou XD but hey you can laugh if Stamford bridge got a Sponsor name in the end money talk*
I just love this Englishman's enthusiasm for Scottish football!
The new Barca jersey is sick tbh.
Did you see the video posted by the club? All the players looked unimpressed. Lol
Well they do need the money 💰
How did you do this research and who is your source in the figures of the contract and also the whole video?
So weird to hear my New York Jets mentioned in a Tifo video lmao. But in a good way
Once.. Barca was so reluctant to have any sponsors on the shirt.. and then they got UNICEF on the back, but instead of getting money they were giving money.. those times are looong gone…
Who cares? Time changes and so should your brain
very informative
These per year figures are surprisingly low imo
Especially when you consider how much players are earning
are they gonna have a podcast?!
Memphis streams through the roof on Spotify
I want to know the deal behind renaming Kilmarnock's stadium the Billy Bowie Special Projects Stadium. Lol
I had no idea that Allianz and Wanda were sponsors. Though I guess they might have more idea in their local area
I thought atlético had a woman legend named wanda, just like with the Santiago Bernabéu 😂😂
Spotify owner is a true football fan. The owner wanted to buy Arsenal FC when super league came to table cause he said it's time for a club to have an owner that actually cares about football. I like the spotify owner, he seem to be one of few ritch guys that's still down to earth.
Well, that's great, but as owner of freaking Spotify it would be great if he cared about artists too lmao
@@LaughterCigar yea lmao.
La Liga is struggling, I would expect more and more of this kind of thing. An El Classico will probably be played in Qatar soon.
Awesome Video!
I wonder if the pitch will be Spotify green now.
I don't know about anyone else but I'm 0% more likely to use a company's products just because the businessmen who run the club I support decided to do a financial deal with them.
But it must be worth it for them or we wouldn't see it happening so often.
Advertising is often not actually about making you immediately buy the product they’re selling. Often it’s about creating good will or just awareness.
I’m probably not going to buy cement or build a skyscraper anytime soon. But as a Bayern munich fan I have a positive subconscious association in my mind.
I can remember when Barca were the only professional team not to display a sponsor's name on their shirts.
I'd just like to chip in to say that I resent the fact that everything has to be about money these days and if you don't play along you lose -.-''
damn NordVPN should have gotten for the deal as it seems the club is literally begging anyone for sponsorships on their everything lmao.. imagine buying Coutinho for 135mil. then selling him for 20mil. after barely after barely even playing for them.. and that's a long long list!! 😂
I'm usually here just for the narrator's voice 😁
I’m a bit sad about this, I had hope Daniel ek could take over arsenal and rid us of our owners but I guess not
Due you think daneil ek will spend the amount of money that the kronke have spent ........i dont think so....
@@shazamkhan7771
Do y think the money is from kronkes pocket arsenal have own club revenues from stadium money around 40 to 60 million club has around 9k vip seats premier league also pays arsenal a amount and if good owners can get them into champions league they will have more money which they can spend
@@shazamkhan7771 kronke doesn’t invest much in the club. Last summer was the first time in ages hed actually spent some of his own money, and besides, he doesn’t appoint good managers. I’m ok with arteta but I think he can be upgraded and emery was a poor decision considering ancelotti was also available. He hasn’t invested properly and he’s done awfully, taking this club from title contenders to top 4 challengers. Plus, nobody thinks the glazers are good owners despite how much they spend
Shame we didn’t get an alternate Spotify Green kit.
Where do you get your backgroundmusic
People will still keep calling it Camp Nou. It was the unofficial name for decades in the 20th century as well. Nobody called it by its ´real´ name
Spotify will pay 5M during the construction of the new stadium, we are not playing matches on camp nou during construction, so basically is free money
This was excellent.
6:31 That's an interesting way to pronounce Allianz Arena.
We Culers didn't like selling the title rights either..but we were prepared for this..we were told this would happen 1-2 years ago.....but let's be honest here, none of us will call it spotify camp Nou
Tifo rocks
got enough money to sponsor Barca but not enough money to pay their artists... okay
Barca need all the Euro's they can get their hands on !
Don’t we all lol
So this is why Spotify increased their prices a few months back
Spotify will buy entire Barcelona FC when right time comes.
nah
Barcelona will never sell the club. Whenever they(Bartomeu) abandoned their traditions, that’s what caused their fall
Barça is a member-owned club, it cannot be bought by a single person or company
Barcelona has no owner.
Sometimes it's better to shut up, than to say something bad.
oooh he is talking about Eintracht Frankfurt new home ground
I thought St. James park was aka Sports Direct Arena
You should realise that during the most part of this deal... FC Barcelona won't play at Camp Nou because a complete renovation in the next years. So, despite of this I feel it's a good deal for the club. After the stadium is completed and we come back home in a completely new, state of the art and modern stadium, the deal should be more lucrative for the club.
I find it off-putting and it can be confusing. "I'll meet you at the O2". "Which o2, there are so many?". And the only people who call it that are the presenters who are also being commercially forced to. Regular fans don't say an added on name that changes every few years, or is tagged onto a famous existing name.
It's also a sign of just how much as a customer you're being over charged.
The video will become outdated in the next few weeks when BWFC rename the stadium for the 4th time.
But it will always be known as the Reebok.
Spotify just looks weird on the jersey. That's why I haven't bought a new one
The original stadium names are part of the club brand
i get the financial difficulties barca is facing, but for how it looks now i dont wanna wear 'spotify' on my football shirt
In my opinion I don't think it matters what the official name is I'll always call it Camp Nou
It's worth for the legendary kits
Very Interesting peace. 👏
There's something about selling the name rights of a stadium to a commercial entity that makes me feel like a need a shower. If it ever happens to Anfield I'm quitting football
Better quit now, as this is what is coming down the pipe in a few years. Give it at least five years
I would much rather the stadium be a sponsor name than the sponsor be the front most eye catching thing on the front of your jersey. Half the time all I see is Fly Emirates vs Fly Emirates