Qataris admire £250m Arsenal asset as off-pitch deal agreed at Euro 2024

06/25/2024 12:45 PM

One of the biggest investors in sport is looking to a commercial deal worth £250m to Arsenal for inspiration.

The Gunners are one of the biggest brands in world football but, despite this, are lagging behind their rivals in the so-called Big Six in terms of commercial revenue.

However, one area that they are not struggling in is their relationship with Emirates, the airline that have been the club’s primary sponsor since 2006.

Arsenal earn £50m per season from the partnership, or £250m over the course of the current contract.

According to one one recent study, that figure actually exceeds the market value of the deal when compared to the industry average.

And recent developments at Euro 2024 prove that the partnership is admired on the global stage too.

Qatar looking to Emirates sponsorship example

In an analysis of Qatar Airways sponsorship of Euro 2024, The Athletic reported that the company has consciously tried to replicate Emirates’ approach to sponsorship.

Qatar Airways have also announced a deal this week to sponsor all UEFA men’s national team tournaments until 2030.

Emirates sponsor Real Madrid and AC Milan as well as Arsenal and still appear to be getting top value from their deal with the North London club.

That Qatar Airways, the state-backed flag carrier of the oil-rich Gulf nation, are emulating their strategy is perhaps the ultimate validation.

It is also testament to Arsenal, whose global appeal gets hundreds of millions of eyeballs on the Emirates brand every year.

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Arsenal on course to smash commercial record

Arsenal’s commercial revenue, which is the cash generated from sponsorship and merchandise, reached £173m in 2022-23.

That figure from that season, the latest for which full financial data is available, will likely be surpassed when the club releases its accounts for 2023-24.

And in 2024-25, the club can expected to top their commercial record again, thanks to improved performance on the pitch and a bumper new training ground naming rights deal with Sobha reality.

That deal alone will be worth £60m over the next three years.

That will be welcomed by new Omar Shaikh, who is the club’s new global partnership and ventures director.

His job, in tandem with chief commercial officer Juliet Slot, will be to close the gap on the rest of so-called ‘Big Six’ in terms of commercial income in the coming years.