The Most Profitable Sports Franchises

Managed under the legal status of SASP in France, considered giants across the Atlantic and in the world of continental football, the latter being the most popular sport in the world, companies that include sports teams are often models of profitability . The interest of these companies does not stop with the field and the simple players: it goes far beyond financial sustainability. Thus, the correlation between financial success and sporting success has not always been established.

Every year, the prestigious magazine Forbes Lists the Most Profitable Sports Franchises on Earth† It’s not surprising to see the world’s best athletes in their respective sports, and often the highest paid, among the same numbers. And more than a flaw, these immense salaries generally represent an added value and a well-thought-out investment by boards of directors and other boards of directors. What are the most profitable sports franchises in the world?

Caption: The stadium of the most profitable sports franchise in the world – © Pixabay, CC0

Different correlation between soccer and American sports

In the United States and more broadly in the North American continent, the sports system still favors closed leagues with franchises guaranteed to be present year after year, enough to avoid financial losses and to give the future hopes around teams. to enlarge the lower level. In Europe, the idea is much more focused on sport equality with in general and regardless of the sports, systems of ascending/descending in the championships† In the event of a bad season, a team can therefore find itself in serious financial difficulties due to, for example, the lack of significant television rights, not participating in a continental competition or even reduced sales.

Such an explanation proves many things in the ranking just quoted. In the United States, a franchise is usually very profitable due to its popularity and what it represents in the local media. Little celebrated in sport, the Cowboys, Yankees and Knicks franchises nevertheless occupy the top three places in the world† An unimaginable thing for European football clubs who only owe their presence to repeated appearances and often won major titles† Thus, Spanish clubs FC Barcelona and Real Madrid are closing the advance of the top 5, probably thanks to a model aimed at sporting victory at all costs. A model that has its flaws, but which seems to work in European sport in the medium term.

In addition, these clubs, like FC Bayern Munich (10e of the Forbes ranking), a pioneer in this sector, invest in tomorrow’s economy. In the football world, this is probably the eSport that these clubs are currently rushing to.

Managed as real companies that are sometimes listed on the stock exchange, the other members of this ranking are also no stranger to this kind of progress…

the stage

#1 – Dallas Cowboys

In 2021, the Texas franchise was valued at $5.7 billion. Despite another playoff disappointment this season, it’s a safe bet that Jerry Jones’s team has risen in value again this year. The power of the American system!

#2 – New York Yankees

In MLB, the professional baseball league, salary ceiling and budget differences are not as tightly controlled as in other US leagues, which can cause a real gap in performance and fairness over many years. The Yankees franchise ($5.25 million) is as popular as it gets, taking advantage of this ambivalence in the American landscape to attract the best players and sometimes happily pay them more than the market suggests.

Like Alex Rodriguez back then, the Yankees pay their players more historically than any other team – © Pixabay, CC0

However, a financial attack tactic that hasn’t allowed New York players to take the title since their 2009 coronation.

#3 – New York Knicks

Another “Big Apple” franchise, the Knicks, have also been subscribed to places of honor in the NBA for several seasons. The lack of major sporting success, which does not prevent the company led by a consortium from being particularly profitable (5 billion dollars)† The team pulls lightly to every match and remains a huge opportunity for all sponsors. and their lucrative contracts.