Leicester City could make £150m from Premier League win, analysts say

Leicester City won the league against odds of 5000-1 when Chelsea and Tottenham Hotspur drew 2-2 at Stamford Bridge on Monday night.

Leicester City have won the Premier League for the first time in their history
Leicester City have won the Premier League for the first time in their history

Leicester City football club could make up to £150 million from their Premier League title win, analysts have said.

Repucom, the sports and entertainment analyst, said the money would largely come from the Premier League's "merit payment", or one-off prize money awarded for their win.

The club could earn potentially over £90 million from winning the league, compared to the £71.6 million they received last season, thanks to the Premier League's distribution of revenue and prize money for finishing top of the table, Repucom said.

Leicester City won the league against odds of 5000-1 when Chelsea and Tottenham Hotspur drew 2-2 at Stamford Bridge on Monday night.

The club's Facebook page has become one of the fastest growing accounts of any sports team in the world, growing by 540 per cent from 476,000 followers in August to over 3 million today.

Thai Facebook followers have increased by 117 per cent thanks to the club's Thai-owners, while Italian followers are up a staggering 2,293 per cent from 6,000 at the start of the season to 155,000 by the time of their win, thanks to the club's Italian manager, Claudio Ranieri.

Match day revenues are expected to go up as gate receipts and service businesses like food stands make money off their association with the celebrated team.

The club's TV audience has soared by 23 per cent across the season, giving the club a boost from sponsorship revenue as its fanbase grows around the world.

In the UK, audiences have grown almost 30 per cent from 785,000 to over 1 million per game, Repucom said. In Italy viewing figures have doubled.

Repucom said the value of the team in media terms has increased 30 per cent globally and 70 per cent in the US, which will make Leicester City an attractive prospect to new sponsors.

Dan Jones, lead partner of the sports business group at Deloitte, told the BBC that the win has a "sizeable impact" in financial terms.

"It's the first year of the new Premier League TV deal next year, which is worth £50 million on a like-for-like basis. If Leicester City were to continue winning it would be a difference of £70 million or £80 million to them with Premier League and Champions League money," Jones said.

Spencer Nolan, head of consulting at Repucom UK and Ireland, said the challenge for Leicester City will be translating their win into cash over time.

"The increase in visibility the club have received this season translated into potential brand exposure for sponsors which combined with the association in aligning to the Premier League champions will be key to increasing the club’s commercial revenues this summer.

“However in the mid to long term, the growth in fan base remains central to realising the club’s full potential as a commercial entity," Nolan said.

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