Spurs’ Levy Aims High for Kit Supplier and Stadium Rights
Spurs’ current kit supplier, Under Armour, expires after next season and their brand new stadium won’t be open until the start of the 2018-19 campaign. But Daniel Levy is already lining up big marketing deals to increase his Club’s revenue streams.
With Spurs looking to secure a Champions League spot for next season, Tottenham’s chairman, Daniel Levy, is eyeing two big deals that will benefit the Club exponentially… if they’re able to reach an agreement that is.
Related Story: Tottenham Looking at Nike for New Kit Supplier
Spurs’ current kit supplier, Under Armour, is nearing the end of their five-year deal which initially began on March 8, 2011, but the new kits wouldn’t debut until the start of the 2012-13 season.
For the Baltimore-based American company, it has proved fruitful for both sides in terms of revenue, with Spurs netting $16 million per season (£10.9 million) for a total of $80 million (£54.7 million) and Under Armour branching out into the world of football with Tottenham being their first-ever Premier League club.
And now that Under Armour has one more year left, Daniel Levy has decided to go shopping for a new kit supplier with Nike being the only known company so far.
According to Charles Sale of the Daily Mail, Levy has sent his staff a target of £25 million per year ($36.5 million) for a new kit supplier and a sponsorship deal for their brand new 61,000 seat stadium.
It’s not absurd to see big money deals for kit suppliers as Manchester United and Adidas struck a record-breaking 10-year deal worth £750 million two years ago on July 14, 2014. Which will see the Red Devils earn £75 million annually ($128 million) after Nike had previously been paying Man United £23.5 million ($34.3 million) a year before ending their association at the end of the 2014-15 season.
However, for a stadium’s naming rights, that’s entirely different.
In the Daily Mail’s article linked above, Charles Sale points out that West Ham United’s Olympic Stadium, which the Hammers will move into next season, is only looking for a £5 million per year deal with Indian corporation, Mahindra and Mahindra Limited (M&M), who specialize in multinational automobile manufacturing.
More from Hotspur HQ
- Storybook ending after difficult period for Tottenahm’s Richarlison
- Tottenham comeback showcased invaluable intangible Ange has cultivated
- Tottenham player ratings in 2-1 comeback win over Sheffield United
- Tottenham projected starting 11 for Sheffield United
- Tottenham’s Richarlison says he’s going to seek psychological help
This isn’t the first time that Spurs’ chairman wants to get the most bang for his buck (pound?) from any deal, whether it’s a player transfer, kit supplier or the naming rights for Tottenham’s brand new stadium.
And it most likely won’t be the last time either.
Seeing as how Daniel Levy wants to make Spurs a very big club both domestically and in Europe.
Therefore, a part of that is obviously securing big deals with big name companies. And who’s a bigger name than Nike when it comes to all things sports apparel?
Again, for Levy to try and secure a combined £50 million — or more — package deal on just a kit supplier and stadium rights, he and his staff must present Nike and whoever will be Tottenham’s stadium partners, with a good plan.
Next: Dembélé: Positive Future for Spurs
And so far, the first big step of course was having Mauricio Pochettino verbally agree to extend his current deal which had three years remaining by adding in two more years so that the Argentine manager remains with Spurs until 2021.
With the amount of success that Pochettino has brought to north London since his arrival, and the return of Champions League only increasing Tottenham’s visibility to the world, it’s possible for Daniel Levy to potentially secure two big deals and increase Spurs’ revenue for the next five to 10 years.