After months of inactivity, professional sports athletes are making a comeback. They attempt normalcy in extraordinary circumstances.
The European Club Association forecasts a revenue loss of four billion euros. Although this figure is a calculation for the top twenty European football teams, it applies data from the end of 2019 to 2022. Club football has the greatest following globally and is thus the highest-earning sport. Economic transformation is likely on the horizon.
International and local casino and gambling brands similar to All Slots Casino Canada have been moving into the football arena. The world is now coming to recognize this increase in casino sponsorship. This is because much of it has targeted smaller football clubs. The latter, however, is changing.
Using Europe as our case study, we speak to expert Michelle Thomas about this topic. You can view her profile here.
The Football Industry
Every fan wants to be Lionel Messi. You want to drive his car, live in his house, and fancy that you could have his job. Never mind the fact that we all wish that we could earn his salary. Football ranks as of the highest-earning sports in the industry.
The market value of professional European football, for example, peaked at an astounding 28.9 billion euros in 2019. That was the highest ever projection in European football history. Between 2016 and 2019, there has been a steady incline of 1.25 billion euros per year in the European market. That excludes the African or the South American markets.
The Effect of COVID-19 on Football
The Covid19 pandemic has left the industry reeling. So much so that some believe that this is going to be the undoing of the sport. Fédération Internationale de Football Association(FIFA) has made cutbacks to the value of almost 50% of its annual expenditure.
With the lack of sports entertainment comes less revenue. Television networks had to air rematches as there were no live games to broadcast. In the meantime, back home, The CFL is asking the government for financial help, potentially 150 million dollars.
The Gambling Industry
Online gambling and betting have been an inconspicuous force reaching into the industry. The limitations placed on movement due to COVID have produced a spike in online gaming revenues.
The last official paper on the subject was in 2018. It estimated the gross gaming revenue for Europe to be at 22.2 billion euros. Consensus puts the European online gaming market at 24.7 billion after 2020.
Domestically, the Canadian online gambling industry rakes in a robust 31 billion dollars.
The casino industry is a revenue factory that shows no sign of slowing down. Online gambling brands thrive in an environment that is unfavourable for other sectors. This is due to their disposition, which allows for at-home entertainment. Their marketing has become targeted; advertising pop-ups appear on sites, bidding the websurfer to sample their wares.
Yet still, the marketing endeavour continues.
The big betting, gambling and online casinos are racing alongside the new operators. While well-established brands appeal to the veteran gambler, the younger online casinos with the best graphics steal the novice’s attention. With this in mind, the prominent gambling brands turn to sponsorship to increase their exposure and target a captive audience.
Point of Convergence
Prominent gambling brands have extensive reach and a lot of capital. Big online casinos use their superior financial disposition to attain greater exposure by sponsoring football clubs.
The primary benefit of gambling sponsorship to athletes and sports brands is financial. Money is essential for training, sports gear and events. Without enough capital, popular sports icons wouldn’t have half the successes they enjoy currently.
On the flip Side
As betting sponsors, the casino’s brand appears on the shirt, getting noticed by millions of spectators. The footballer wearing a kit with branding is an effective medium for reaching the target audience. In the English Premier League scenario, a game gets broadcasted to 3.2 billion viewers on average.
- It creates brand awareness regardless of the size of the deal that gets signed.
- It raises the profile and generates new opportunities for publicity.
- It makes the sponsor stand out from the crowd
Football draws a lot of attention. Casinos have the capital and need more exposure. It’s this balance that makes sponsorship meaningful for both parties.