Cristiano Ronaldo - Man Utd Player

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romufc

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You can believe what you like, but what you wrote was incorrect in many ways.
Either way the price of the stock is back to where it was prior to us signing Ronaldo, it certainly didn't rise by 300m, as you claimed.
I am not stock market expert so I cannot really argue anything however, what I can discuss is you claiming it will cost a fortune.

Ronaldo to United is a 2 year deal. We pay him say 50m in 2 years and 20m transfer fee which is 70m.

Are you telling me Ronaldo's commercial value won't bring in 70m?

If you speak to 10 football fans, they will tell you they want to watch Ronaldo play live, not even Manchester United fans. That alone should tell you the pull of Ronaldo.
 

Deery

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For your average person yes, but who knows for elite sportsmen? perhaps them pushing their hearts to a high level very regularly is bad with the vaccine? we just don't know.

I think what happened to Eriksen put a lot of people off. Some people are just anti vax by nature also.
Maybe he’s afraid it’s going to slow him down and potentially end his career early, I’m hearing a lot of reports that elderly people in care homes are going downhill after the vaccine that were very sprightly before..
 

villain

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I see. Why doesn't something like this have more of a lasting effect? I know it's one player but the entire footballing world has been focussed on the club since our signing of him, surely the massive extra exposure etc should have a positive effect for the club and the club should see some $$$$ back overall? How much I've no idea, but if it's considerable then it's fair for posters to reference it as helping to pay the fee/wages for the player.
If any of us truly knew what drives up the price of a stock and made it stay at its elevated position, i'm sure we'd be very rich.
He will bring us commercial success because of his brand and everything else - but it's way too early to make any sort of tangible predictions and claims of 200/300m being thrown around is not only inaccurate but could potentially be used as a tool for division later down the line - if fans have got 200m in their mind, and when we see revenue & commercial returns it's closer to lets say 40/50m, people will be disappointed unnecessarily.
It's better to stick to the facts.

I am not stock market expert so I cannot really argue anything however, what I can discuss is you claiming it will cost a fortune.

Ronaldo to United is a 2 year deal. We pay him say 50m in 2 years and 20m transfer fee which is 70m.

Are you telling me Ronaldo's commercial value won't bring in 70m?

If you speak to 10 football fans, they will tell you they want to watch Ronaldo play live, not even Manchester United fans. That alone should tell you the pull of Ronaldo.
I'm telling you Ronaldo signing for us didn't raise the share price by 300m.
Everything else you typed is completely different to the original point I was responding to - do I think Ronaldo will bring us commercial success? Yes of course.
But it's silly to throw around numbers like 300m when its literally been 1 week.
 

Anustart89

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It's only football. Why the actual feck should a football player be treated differently. Seriously guys, this is a good thing. It would make me extremely angry, if this wasn't the case.
If Cristiano fecking Ronaldo can’t get an elite sports exemption, the why have it in the first place? There’s one or two sportsmen in the entire universe on par with him in terms of elite status, so what’s the point of it then?
 

villain

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Wait someone claimed the share price rose by 300m :lol:
Yes! And they're not alone, i've seen others say that him signing for us has raised the value of our club by 250m :houllier: - I know why they're saying it, it's just crazy to see it so often.
 

Gonçalo Motta

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Advice for other 36 year olds is to get jabbed as it is safe.
He has the right to choose if he wants to get vaccinated or not. If people take his choice as "advice", that is their problem.

Removing the choice for a person just because he is a public figure, makes no sense. Especially taking into consideration that he takes care of himself better than anyone else so I assume that he analyzed the pros and cons of getting vaccinated and decided not to do it.

Nobody really knows the full extent of the long term side effects of these vaccines and in rare cases, the short term side effects caused health issues and/or death.
 

RUCK4444

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If any of us truly knew what drives up the price of a stock and made it stay at its elevated position, i'm sure we'd be very rich.
He will bring us commercial success because of his brand and everything else - but it's way too early to make any sort of tangible predictions and claims of 200/300m being thrown around is not only inaccurate but could potentially be used as a tool for division later down the line - if fans have got 200m in their mind, and when we see revenue & commercial returns it's closer to lets say 40/50m, people will be disappointed unnecessarily.
It's better to stick to the facts.



I'm telling you Ronaldo signing for us didn't raise the share price by 300m.
Everything else you typed is completely different to the original point I was responding to - do I think Ronaldo will bring us commercial success? Yes of course.
But it's silly to throw around numbers like 300m when its literally been 1 week.
OK so in summary, without knee-jerking like some may have based on this initial 'spike', it still seems very likely the commercial income will almost entirely offset the outlay for the player. Would you agree on that?

To be clear I'm not arguing this either way, because I don't know, just thinking aloud and trying to get an informed guesstimate.

I suppose we could break it down into things like

*Will it cover the purchase price
*Will it cover the purchase price & wages
*Will it cover neither

I'm sure in the future we will be able to look back at markers like commercial income, shirt sales etc and have a much better idea.

It's a genuinely interesting topic I think, probably because it's been banded about for years by fans (as you pointed out.)
 

Pronewbie

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I am not stock market expert so I cannot really argue anything however, what I can discuss is you claiming it will cost a fortune.

Ronaldo to United is a 2 year deal. We pay him say 50m in 2 years and 20m transfer fee which is 70m.

Are you telling me Ronaldo's commercial value won't bring in 70m?

If you speak to 10 football fans, they will tell you they want to watch Ronaldo play live, not even Manchester United fans. That alone should tell you the pull of Ronaldo.
This is going to be measurable over time. Some low hanging fruits from this deal:
1. Re-engagement of old fans and gaining new ones - This feeds into the following points
2. Even with the fear of Covid, the deal is pulling tourists from all over the world back to Old Trafford earlier than expected (especially VIP ones). It's up to the club to maximise the ARPU via tours, tickets, accommodation, merchandise etc.
3. Heightened Media coverage - PR and Branding companies count the free impressions gained from any sponsorship deal with us. With Ronnie, we can expect more potential partners and a higher figure. Let's see what our new training kit deal brings us.
4. To back-up these points, Juve's commercial revenue jumped from EUR143 to EUR175 as per The Athletic ( The commercial impact of Manchester United signing Cristiano Ronaldo – The Athletic ). I believe that our club are much more competent than them in this regard and expect to see a greater increase in absolute terms.

EUR70M is nothing if we execute our commercial Ronaldo strategy competently.
 

djembatheking

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He has the right to choose if he wants to get vaccinated or not. If people take his choice as "advice", that is their problem.

Removing the choice for a person just because he is a public figure, makes no sense. Especially taking into consideration that he takes care of himself better than anyone else so I assume that he analyzed the pros and cons of getting vaccinated and decided not to do it.

Nobody really knows the full extent of the long term side effects of these vaccines and in rare cases, the short term side effects caused health issues and/or death.
Ok , thanks, so if you are fit and healthy it is safer to not get jabbed .
 

villain

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OK so in summary, without knee-jerking like some may have based on this initial 'spike', it still seems very likely the commercial income will almost entirely offset the outlay for the player. Would you agree on that?

To be clear I'm not arguing this either way, because I don't know, just thinking aloud and trying to get an informed guesstimate.

I suppose we could break it down into things like

*Will it cover the purchase price
*Will it cover the purchase price & wages
*Will it cover neither

I'm sure in the future we will be able to look back at markers like commercial income, shirt sales etc and have a much better idea.

It's a genuinely interesting topic I think, probably because it's been banded about for years by fans (as you pointed out.)
Why would I agree on that? It's been a week, and there are entirely too many variables that we are not privy to, to make any sort of prediction right now.

We make a nominal amount per jersey sold, we don't know how much we make from social media before Ronaldo's return or after it - and even then we don't know how much of the amount made from social media is down to Ronaldo alone. We don't know how much profit we make per commercial contract, and unless we're getting sponsors that are approaching us simply for the Ronaldo effect - with it written in contract too - again makes it difficult to determine. There's so many intricate details that would need to be analysed to make a tangible prediction, and almost every decision/result will have a knock-on effect.

We already are the most marketable football club in the country, and if we didn't sign Ronaldo, we'd still attract record-breaking sponsorships because we've managed to do it in the 8 years without success & without Ronaldo. So now we have Ronaldo, if he brings us success which also brings us more revenue how much is that down to him & him alone? I
It is an interesting topic, one which I have experience with as part of my current occupation, but it's not something imo worth spending time on as fans.

Will we see an increase in commercial revenue? Yes, I don't think that's up for debate.
How much of an increase? I don't think it matters, and at this stage it's too early to tell.
 

djembatheking

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Wrong thread for it, but no. You could not be more wrong.
I agree, I thought getting jabbed was safe and to protect others as well as yourself but maybe there is more of a risk if Ronaldo isn’t getting jabbed. Food for thought for the anti vaxers.
 

Pronewbie

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Why would I agree on that? It's been a week, and there are entirely too many variables that we are not privy to, to make any sort of prediction right now.

We make a nominal amount per jersey sold, we don't know how much we make from social media before Ronaldo's return or after it - and even then we don't know how much of the amount made from social media is down to Ronaldo alone. We don't know how much profit we make per commercial contract, and unless we're getting sponsors that are approaching us simply for the Ronaldo effect - with it written in contract too - again makes it difficult to determine. There's so many intricate details that would need to be analysed to make a tangible prediction, and almost every decision/result will have a knock-on effect.

We already are the most marketable football club in the country, and if we didn't sign Ronaldo, we'd still attract record-breaking sponsorships because we've managed to do it in the 8 years without success & without Ronaldo. So now we have Ronaldo, if he brings us success which also brings us more revenue how much is that down to him & him alone? I
It is an interesting topic, one which I have experience with as part of my current occupation, but it's not something imo worth spending time on as fans.

Will we see an increase in commercial revenue? Yes, I don't think that's up for debate.
How much of an increase? I don't think it matters, and at this stage it's too early to tell.
How much of an increase matters when it comes to what you're arguing and I've shared in an earlier post one way it can be forecasted by our Business Intelligence / Analytics team, simply because there is precedence - his recent move to Juve. I would be very surprised if they didn't crunch the numbers prior to the move and negotiate accordingly. We've got a pretty good deal IMO, only because we're Man United. No other club would be able to gain as much.
 
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villain

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How much of an increase manners when it comes to what you're arguing and I've shared in an earlier post one way it can be forecasted by our Business Intelligence / Analytics team, simply because there is precedence - his recent move to Juve.
Business Intelligence & Analytics isn't enough by itself and needs to be analysed in combination with multiple variables it can't just be taken in insolation.
I don't have a subscription to the Athletic anymore so I can't read what you linked, but I saw this link instead which probably has overlap
Juventus' commercial revenue increasing by 20% is fine, but it's not really a comparable situation to United in many ways
1 - we already are a commercial giant, one of the top 3 clubs in the world at generating revenue even before Ronaldo.
2 - i'd imagine the venn diagram with Ronaldo fans & Manchester United fans is much closer to a circle, unlike the one for Juventus & Ronaldo fans prior to them signing him
3 - like I said, it's difficult to determine how much of the revenue is down to Ronaldo & Ronaldo alone, and how much is down to other facts too - for example, them winning things (obviously Ronaldo has a big part to play in that, but winning brings revenue regardless)

So yeah, let's wait for more tangible information first.
 

Pronewbie

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Business Intelligence & Analytics isn't enough by itself and needs to be analysed in combination with multiple variables it can't just be taken in insolation.
I don't have a subscription to the Athletic anymore so I can't read what you linked, but I saw this link instead which probably has overlap
Juventus' commercial revenue increasing by 20% is fine, but it's not really a comparable situation to United in many ways
1 - we already are a commercial giant, one of the top 3 clubs in the world at generating revenue even before Ronaldo.
2 - i'd imagine the venn diagram with Ronaldo fans & Manchester United fans is much closer to a circle, unlike the one for Juventus & Ronaldo fans prior to them signing him
3 - like I said, it's difficult to determine how much of the revenue is down to Ronaldo & Ronaldo alone, and how much is down to other facts too - for example, them winning things (obviously Ronaldo has a big part to play in that, but winning brings revenue regardless)

So yeah, let's wait for more tangible information first.
1. A similar or slightly lower percentage gain on our revenue will dwarf juve's gains.

2. It will therefore likely generate more revenue for the club.

3. It's really quite easy if you want to especially if based on Juve's figures. Of course there will be a variance in consensus but it should be within 10%. If he plays a part in our future wins then we must attribute a portion of it to him. Of course we can less off prize money because we want to determine his commercial impact.

It really is down to our business and marketing teams to deliver on the potential of this deal. Juve is a good baseline we must expect. In the business world our depts don't have the luxury of oh, let's wait for more tangible information. They create it.
 

villain

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1. A similar or slightly lower percentage gain on our revenue will dwarf juve's gains.

2. It will therefore likely generate more revenue for the club.

3. It's really quite easy if you want to especially if based on Juve's figures. Of course there will be a variance in consensus but it should be within 10%. If he plays a part in our future wins then we must attribute a portion of it to him. Of course we can less off prize money because we want to determine his commercial impact.

It really is down to our business and marketing teams to deliver on the potential of this deal. Juve is a good baseline we must expect. In the business world our depts don't have the luxury of oh, let's wait for more tangible information. They create it.
We gain massive revenue without the influence of Ronaldo, that's my point.
So exactly how can you determine how much of £600m is down to Ronaldo exclusively? You can't without more information than what we are privy to, and it depends too. Because some of that revenue will be from Match Day & hospitality for example - which we already sell out, so are we going to ask everyone who spends money on a tour a VIP Box did so because of Ronaldo? You can't. And that's just one stream of revenue.

But how much revenue? We don't know how much we gain from social media postings and again, how can you determine who is following us because of Ronaldo alone? And even then, lets say 1 post gets 5m likes & it generates £250k for us - of those 5m likes, how many of those followers liked it because of Ronaldo & Ronaldo alone? Once again, how can you determine this?

The question is how much Revenue does he bring, meaning how much extra revenue are we earning because of Ronaldo exclusively. As a club (pre-covid) we generated approx £800m revenue in 2019, in 2020 with covid that dropped to about £630m (source) - the fans are back so no doubt our revenue will increase YoY - but for Ronaldo to bring in 10% increase on revenue realistically you're asking for an extra £60m-80m on top, of what the club generates by itself.
You can see in the source I posted that we saw increases in revenue of approx 5-10M YoY from 2017-2019 - so to expect 5x as much as that is asking a lot.
 

RedRonaldo

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We gain massive revenue without the influence of Ronaldo, that's my point.
So exactly how can you determine how much of £600m is down to Ronaldo exclusively? You can't without more information than what we are privy to, and it depends too. Because some of that revenue will be from Match Day & hospitality for example - which we already sell out, so are we going to ask everyone who spends money on a tour a VIP Box did so because of Ronaldo? You can't. And that's just one stream of revenue.

But how much revenue? We don't know how much we gain from social media postings and again, how can you determine who is following us because of Ronaldo alone? And even then, lets say 1 post gets 5m likes & it generates £250k for us - of those 5m likes, how many of those followers liked it because of Ronaldo & Ronaldo alone? Once again, how can you determine this?

The question is how much Revenue does he bring, meaning how much extra revenue are we earning because of Ronaldo exclusively. As a club (pre-covid) we generated approx £800m revenue in 2019, in 2020 with covid that dropped to about £630m (source) - the fans are back so no doubt our revenue will increase YoY - but for Ronaldo to bring in 10% increase on revenue realistically you're asking for an extra £60m-80m on top, of what the club generates by itself.
You can see in the source I posted that we saw increases in revenue of approx 5-10M YoY from 2017-2019 - so to expect 5x as much as that is asking a lot.
I am not an commercial expert, but I’ve heard Ronaldo earns around £42m from Instagram alone last year. I don’t know how to determine how much revenues would he generate for us, but I would imagine he would generate a lot, as he has by far the biggest followings and fan base in the entire world.
 

Pronewbie

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We gain massive revenue without the influence of Ronaldo, that's my point.
So exactly how can you determine how much of £600m is down to Ronaldo exclusively? You can't without more information than what we are privy to, and it depends too. Because some of that revenue will be from Match Day & hospitality for example - which we already sell out, so are we going to ask everyone who spends money on a tour a VIP Box did so because of Ronaldo? You can't. And that's just one stream of revenue.

But how much revenue? We don't know how much we gain from social media postings and again, how can you determine who is following us because of Ronaldo alone? And even then, lets say 1 post gets 5m likes & it generates £250k for us - of those 5m likes, how many of those followers liked it because of Ronaldo & Ronaldo alone? Once again, how can you determine this?

The question is how much Revenue does he bring, meaning how much extra revenue are we earning because of Ronaldo exclusively. As a club (pre-covid) we generated approx £800m revenue in 2019, in 2020 with covid that dropped to about £630m (source) - the fans are back so no doubt our revenue will increase YoY - but for Ronaldo to bring in 10% increase on revenue realistically you're asking for an extra £60m-80m on top, of what the club generates by itself.
You can see in the source I posted that we saw increases in revenue of approx 5-10M YoY from 2017-2019 - so to expect 5x as much as that is asking a lot.
I'm saying that we can do an estimate on the figures based on historical and competitors' data. Then you will also have your salespeople giving you the qualitative feedback but that's of course less measurable. Social media posts are incredibly measurable via social analytics data and A/B testing. We can charge more because of our higher engagement and impressions baseline. Studies suggest that Gen Z follow individuals more than teams so this is likely to add new fans to the club at least in the short term.

Scalpers are a good indicator of ticket demand and prices people are willing to pay. I heard our Newcastle game is currently priced in the thousands so obviously the demand is there because of Ronaldo. It's up to the club to find that ideal pricing for tourist tickets but they most certainly have the leeway to charge more while he's here. The revenue increase from these fans, including spending on merchandise, accommodation, tours etc can be attributed to him.

Also, sponsorship deals tend to be longer term in nature so I don't know how many are up for renewal within the next 2 seasons other than the one for our training kit and stadium, which Aon paid 20M/yr for until the Super League debacle. On the same note, the longer term commercial benefits will likely be greater because of this deal.

Using data pertaining to overall Merchandise sales increase and those categorised under "Ronaldo", we can approximate his revenue impact.

All the above are measurable with some variance.

I note your point on revenue saturation and think it's valid, especially since we already have legacy deals that were signed pre-Ronaldo that are still running. So yes the targeted increase may come in lower.

IMO the biggest question mark really is Covid 19's impact but that would be part of the bear case and should be measurable by benchmarking against the industry's figures. And TBH I haven't studied our/Juve's financial details/guidance which should be available in the annual reports.
 

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It doesn't appear so. And it's a reason why I'm wondering why he has to. It hasn't really been communicated. What's the difference between him and Bruno. They are both registered United players that travelled to Amber zones and were in the same camp. Is it because he didn't leave from England first?
 

The Firestarter

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Yes! And they're not alone, i've seen others say that him signing for us has raised the value of our club by 250m :houllier: - I know why they're saying it, it's just crazy to see it so often.
I honestly don't know how you have the patience to write articulated replies in the football forums.
 

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decorativeed

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Maybe he’s afraid it’s going to slow him down and potentially end his career early, I’m hearing a lot of reports that elderly people in care homes are going downhill after the vaccine that were very sprightly before..
How many 'sprightly' people do you think there are in care homes in the first place?
 

villain

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I am not an commercial expert, but I’ve heard Ronaldo earns around £42m from Instagram alone last year. I don’t know how to determine how much revenues would he generate for us, but I would imagine he would generate a lot, as he has by far the biggest followings and fan base in the entire world.
We know he will generate us revenue, that wasn't in doubt.

Well

I'm saying that we can do an estimate on the figures based on historical and competitors' data. Then you will also have your salespeople giving you the qualitative feedback but that's of course less measurable. Social media posts are incredibly measurable via social analytics data and A/B testing. We can charge more because of our higher engagement and impressions baseline. Studies suggest that Gen Z follow individuals more than teams so this is likely to add new fans to the club at least in the short term.

Scalpers are a good indicator of ticket demand and prices people are willing to pay. I heard our Newcastle game is currently priced in the thousands so obviously the demand is there because of Ronaldo. It's up to the club to find that ideal pricing for tourist tickets but they most certainly have the leeway to charge more while he's here. The revenue increase from these fans, including spending on merchandise, accommodation, tours etc can be attributed to him.

Also, sponsorship deals tend to be longer term in nature so I don't know how many are up for renewal within the next 2 seasons other than the one for our training kit and stadium, which Aon paid 20M/yr for until the Super League debacle. On the same note, the longer term commercial benefits will likely be greater because of this deal.

Using data pertaining to overall Merchandise sales increase and those categorised under "Ronaldo", we can approximate his revenue impact.

All the above are measurable with some variance.

I note your point on revenue saturation and think it's valid, especially since we already have legacy deals that were signed pre-Ronaldo that are still running. So yes the targeted increase may come in lower.

IMO the biggest question mark really is Covid 19's impact but that would be part of the bear case and should be measurable by benchmarking against the industry's figures. And TBH I haven't studied our financial details/guidance which may be available in our annual reports.
All of that is fine and I agree with some of it, but it comes back to what I said in one of my earlier posts - as fans, we're not going to be privy to this information to be able to make a good enough guess. We won't be privy to our social media engagements, or ticket demand match by match etc to even begin approximating impact on revenue.

We can all guess, sure - but to what end? As a company the numbers show that we generate over half a billion by ourselves even in a pandemic, Ronaldo's impact on our revenue will be big as a standalone figure - lets say 50m (which is really fecking high btw - more than most of our individual biggest sponsors), whats 50m as part of 700m? A cherry on top of a cake at best - however him bringing 25m to Juventus who were earning 130m obviously makes a much bigger impact. For him to have as similar impact he'd have to bring in somewhere between 120-150m revenue by himself every year - and as much as I'd love to see it - that's very unlikely, but we'll see.
 
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