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Paulie Dangerously

Nike deal

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Anyone see that Chelsea kit today. 

Wouldn't mind seeing us with a 4th kit like that, sponsors would allow it too often but a nice kit. 

 

Would quite like that in red and white

 

 

Screenshot_20200105_232312_com.android.chrome.jpg

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Its a homage to the Cup-winning kit in 1970 I assume ?

 

Would be happy if we had a 4th kit of the 60's kits , either the V or Round-neck.

 

£89.95 though for that Chelsea one FFS

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5 minutes ago, sir roger said:

Its a homage to the Cup-winning kit in 1970 I assume ?

 

Would be happy if we had a 4th kit of the 60's kits , either the V or Round-neck.

 

£89.95 though for that Chelsea one FFS

Yeah its a tribute 4th shirt. 

 

Same a copy of our old shirt for the FA Cup would be good

 

Thats 90 through Nike directly

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We're obviously not signing mbappe but my word, £30m a year is an extraordinary shit deal.  Some things got to be up there. 

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18 minutes ago, Grinch said:

We're obviously not signing mbappe but my word, £30m a year is an extraordinary shit deal.  Some things got to be up there. 

I think there's more to it than the 30m I think. I'm sure it came out in the trial that we have royalties at 20% or something , which is double what most sides get. If we maintain our sales numbers we achieve under new balance it is estimated we will make 60-70m a year. The hope is we exceed them obviously. 

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32 minutes ago, Grinch said:

We're obviously not signing mbappe but my word, £30m a year is an extraordinary shit deal.  Some things got to be up there. 

 

The base figure is lower than what NB were offering, but the royalties percentage is higher, there are more outlets from which to sell the stuff, the marketing will be more high-profile because high-profile athletes and influencers will be involved (I can't explain why stuff like that is such a plus, but apparently it is, and was one of the big things NB could not match), and the club still retains control of its stores in the UK and worldwide. Theses stores will get a substantial discount on stock ordered too. I think Nike and the club have crunched the numbers and feel that the club will earn vastly more than what the NB deal would have offered, the fanbase globally will expand further as people can more easily get hold of stuff, and Nike will have one of the biggest names in the sport on their books.

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1 hour ago, Grinch said:

We're obviously not signing mbappe but my word, £30m a year is an extraordinary shit deal.  Some things got to be up there. 

You wot fam?

 

ENqwLAQVAAc6hcJ?format=jpg&name=large

 

 

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2 hours ago, Barry Wom said:

I think there's more to it than the 30m I think. I'm sure it came out in the trial that we have royalties at 20% or something , which is double what most sides get. If we maintain our sales numbers we achieve under new balance it is estimated we will make 60-70m a year. The hope is we exceed them obviously. 

 

Mail reporting as being worth £80m

 

https://www.dailymail.co.uk/sport/football/article-7859965/Liverpool-announce-British-record-multi-year-partnership-Nike.html

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53 minutes ago, The Woolster said:

From the article:

New Balance signed a kit deal with the Anfield club in 2011 but had to respond to a rival bid for the sponsorship from Nike, which is worth considerably more than £30m when royalties are included.

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3 hours ago, Grinch said:

We're obviously not signing mbappe but my word, £30m a year is an extraordinary shit deal.  Some things got to be up there. 

The daily fail says £80 million a year. A British record kit deal.

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The daily fail figure is obviously bullshit.  We all seen the numbers in the court case.  It’s underwhelming but I don’t think it’s anything to get worked up about.  If the club wants to grow that side of things it needs to be with Nike or Adidas.  The fact we have been getting pretty much everything right on and off the pitch for a while now gives you faith it’s the right decision.  If not then I doubt it would effect much anyway.

 

If you wanted to throw an Mbappe conspiracy theory in there then you could say the number is shit because they’re covering the cost of signing him.

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Must admit, Im sceptical of the figures being banded about for this deal. The base figure of £30m now looks ridiculously cheap considering where the club is positioned. Nike have got a bargain, we'll still be World Champions when their deal kicks in and probably Premier League Champions to boot.

 

The deal is £15m less than NB's deal and that involved record shirt sales in the last two years. Even factoring in a straight 30% 'bonus' that makes the annual figure only £39m which is still £6m a year less than NB's deal. They're going to have to shift an awful lot of stuff to get close to the much vaunted £75m united deal never mind top it.

 

Perhaps when the first year's figures become clear in the relevant set of account we'll know better?

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31 minutes ago, dockers_strike said:

Must admit, Im sceptical of the figures being banded about for this deal. The base figure of £30m now looks ridiculously cheap considering where the club is positioned. Nike have got a bargain, we'll still be World Champions when their deal kicks in and probably Premier League Champions to boot.

 

The deal is £15m less than NB's deal and that involved record shirt sales in the last two years. Even factoring in a straight 30% 'bonus' that makes the annual figure only £39m which is still £6m a year less than NB's deal. They're going to have to shift an awful lot of stuff to get close to the much vaunted £75m united deal never mind top it.

 

Perhaps when the first year's figures become clear in the relevant set of account we'll know better?

Since FSG have taken over financially all the commercial deals they've worked on have grown and improved substantially from where they were before. 

We didn't go through the trouble of going to court to get out of the New balance deal only to get a deal from Nike that we'll make less from. 

The guys running the club now at that end of things are better than any of the other clubs in the league right now imo.

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Nike is all about the brand. Quality doesn't really come into the equation, although creatively they obviously have a reputation for creating trends, etc...

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There are some things I wouldn't trust FSG with but I have absolute trust in their ability to screw every last penny out of their commercial deals.  We'll make far more than with the New Balance offer otherwise why would we have bothered to take the cost and risk of court action?  

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I assume some of our players will also be incredibly happy with this, what with the very, very lucrative personal sponsorships that’ll be coming their way...

 

We might have played a blinder here. Nike are smart, but our lot ain’t schmucks. It was announced today we have FIVE of FIFA 2020 best players, from all over the globe, not to mention Mo who didn’t make the cut. Internet virgins will lap this shit up.

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12 minutes ago, aws said:

There are some things I wouldn't trust FSG with but I have absolute trust in their ability to screw every last penny out of their commercial deals.  We'll make far more than with the New Balance offer otherwise why would we have bothered to take the cost and risk of court action?  


Exactly this. 
 

There’s plenty you could criticise the owners for, signing a new commercial deal for less money definitely isn’t one of them. 

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6 hours ago, Grinch said:

£30m a year is an extraordinary shit deal.

If there's one thing that the people running the Club know it's that £40m is more than £30m. They're not just accepting £30m because they like the shape of the swoosh. You're definitely right; there's something up. That something is that it's actually worth way, way more than that. 

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The deal is described as multi-year just like our deal with NB. Various sources are saying it will run for 5 years, and I am pretty certain Nike will have included a renewal clause (and a much more watertight one than that of NB) so we can expect that Nike will take up that option in 5 years, with even better terms in all likelihood. If we carry on performing on the field and prove to be a real cash cow off the field, then Nike will definitely look to retain and will be happy to throw more money at us to do so.

 

The key factor is not so much the amount of money, but the length of the contract. Arsenal's deal with Adidas is also over 5 years (until 2024) and they get a higher base figure than Liverpool but will make much less overall per year, because the royalties percentage is smaller, the merchandising rights are controlled by Adidas, and the overall sales figures are high likely to be dwarfed by Liverpool. Man Utd's 10-year Adidas deal runs until 2024 and they get - including bonuses etc - £75m per year, but that drops by £20m a year if they go 2 or more seasons outside the Champions League. Royalties and merchandising control are again set by Adidas. Man City, Spurs and Chelsea all have deals running for a decade or more, and they are only a couple of years into that at the most. None of them have Liverpool's global reach, and again have merchandising controlled by the kit manufacturer.

 

Taking Man Utd as the commercial yardstick (they have been and still are that in financial terms), our Nike deal expires one year after theirs, so we have more leeway when negotiating an extension with Nike or switch to much better terms. We aren't locked into something that might not be competitive by that point.

 

I can't back it up with number and am speaking from instinct, but to me it seems more advisable to go for shorter deals that can be reviewed and tied to market rates than it is to accept a longer deal that guarantees more up front but ties you in no matter how well you do.

 

The club has invested a lot of time, money and expertise on merchandising control so they aren't going to give that up. Who knows, that might become the best way to maximise revenue and if that happen, we have a massive headstart on EVERYBODY else.

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5 minutes ago, Trumo said:

The club has invested a lot of time, money and expertise on merchandising control so they aren't going to give that up. Who knows, that might become the best way to maximise revenue and if that happen, we have a massive headstart on EVERYBODY else.

I do get the impression that the Warrior/New Balance deal was structured differently from the norm with regards to royalties etc because they were obviously a smaller name and needed to compete by compensating in other ways.

I reckon our lot have learned a great deal about how the business works from the other side of the curtain, something that other clubs won't be privy to, due to them taking the deals set up in the usual way and just signing with whoever gives them the biggest figure. 

 

So we've used that knowledge to negotiate the best kit deal in the history of kit deals, maybe ever. 

1qmsc8.jpg

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1 minute ago, Aventus said:

I do get the impression that the Warrior/New Balance deal was structured differently from the norm with regards to royalties etc because they were obviously a smaller name and needed to compete by compensating in other ways.

I reckon our lot have learned a great deal about how the business works from the other side of the curtain, something that other clubs won't be privy to, due to them taking the deals set up in the usual way and just signing with whoever gives them the biggest figure. 

 

So we've used that knowledge to negotiate the best kit deal in the history of kit deals, maybe ever. 

1qmsc8.jpg

Love it. Yuge. Yuge deal. 

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