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Saturday, July 7, 2007

Director of Marketing from Real Madrid: 300 million pounds during the Beckham era

According to the marketing director of Real Madrid, Jose Sanchez, the club earned over 300 million pounds sterling (~US $600 million) from the time David Beckham joined them in 2003.

"In four years that Beckham played in Madrid we have generated more than 440 million euros (£300,000) in marketing and commercial activities,' Sanchez said in The Sun. 'In that time, profits from merchandising increased by 137%.' "

Obviously, Real Madrid was full of "galacticos" who no doubt added to the bottom line in the last four years. But does anyone wonder why the MLS and the LA Galaxy are going to pay Mr. Beckham a guaranteed salary of $5.5 million this year? Most of his compensation from his much publicized contract (US $250 million over 5 years) will come in the form of corporate sponsorships and revenue sharing contracts with the Galaxy. Mr. Sanchez noted that Real Madrid sold 1 million replica shirts in the first six months after his arrival.

Reference

Yahoo World Soccer, 7 July 2007.

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