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The looming ban on gambling brands sponsoring the front of Premier League matchday shirts could cut the average value of this sponsorship asset by 38 per cent, according to research by The Sponsor.
Confirmed:
- Bournemouth, Fulham and Wolverhampton Wanderers projected to lose over half of their fair market sponsorship value once ban kicks in
- The Sponsor’s ‘Fair Market Sponsorship Values’ report also wipes UK£13.4 million (US$18.2 million) off Manchester United’s front-of-shirt sponsorship value after dismal season
- Liverpool ranked as most valuable sponsorship opportunity with a front-of-shirt valuation of UK£65.9 million (US$89.3 million)
Context:
Premier League clubs agreed in 2023 to outlaw betting sponsorship from the front of matchday shirts from the 2026/27 campaign. Last season, 11 teams had front-of-shirt deals in place with a gambling brand, compared to eight for 2023/24.
Sponsorship business outlet The Sponsor forecasts that top-flight clubs will struggle to secure non-gambling partners willing to match the current revenue from betting sponsors once the ban takes effect. It adds that competition will intensify as sides compete for a limited pool of non-betting brands to replace what has historically been a lucrative sponsorship category.
The report also noted that gambling firms are currently propping up the Premier League sponsorship market, with The Sponsor’s fair market value today significantly inflated by fees from betting brands.
While gambling companies will soon disappear from the front of matchday shirts, they are expected to shift their focus to sleeve sponsorships, which are not covered by the ban.
According to The Sponsor, the average Premier League sleeve sponsorship deal is currently worth 39 per cent of the club’s front-of-shirt agreement. In addition, gambling brands pay, on average, 38 per cent above the fair market rate for their front-of-shirt sponsorships. Therefore, if this inflated deal value were to translate to the sleeve sponsorship, then clubs could recoup a major portion of their projected front-of-shirt losses.
Coming next:
The Sponsor warns of a market-wide correction in Premier League sponsorship value, which could disproportionately harm smaller clubs and widen the commercial gap between the top and bottom of the top flight.
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