Business of Ligue 1, 2022 - Property Profile, Sponsorship and Media Landscape

An analysis of the current business landscape in Ligue 1, including a look at the current state of the league's media rights and club sponsorship portfolios

Last summer was an incredibly chaotic one for Ligue 1, following the collapse of the financially lucrative deal with Mediapro. The story began with Amazon's media rights deal which caused great controversy in France, given the value of the deal compared to the existing one with Canal+. Amazon's deal, to run until the end of the 2023-24 season, is reportedly worth $333.2m per year, and offered Amazon the rights to broadcast an average of eight games a week, and 304 over the length of a season. The deal unleashed an angry response from Canal+, who have a deal in place to sub-license two games a week from BeIN France, at a cost of $392m per season. Canal+ had previously attempted to cancel its rights deal with Ligue 1, following the collapse of Mediapro's deal with the league, which was worth €815m a year.

Canal+ angrily stated that they would not honour their contract with BeIN France to broadcast games but in April 2022, a French court ruled that Canal+ would have to fulfil the rest of its broadcasting contract with the league after losing its appeal against partner beIN Sports. The latest ruling came from the Versailles Court of Appeal, which reinforces a court ruling made by the Nanterre commercial court in June 2021. Canal+ will have to continue paying for the games it sublicenses from beIN Sports, otherwise they will be subjected to a fine of $1.1 million a day. The two channels have also been embroiled in a legal battle since the Mediapro deal collapsed, while they have also taken joint legal action against the LFP.

Ligue 1 has work to do in catching up with Europe's other top leagues, in terms of quality, commercial scale and international appeal, and there were hopes that the worth of the Mediapro deal would begin the process of correcting some of this, but the league arguably now looks worse off. Ligue. Worryingly, Ligue 1 now has an angry broadcaster in Canal+, who currently look unwilling to extend their contract beyond the 2023-24 season. Ligue 1 will hope that they can secure a more lucrative deal once this cycle ends, but they will have to ensure they become a more desirable prospect for broadcasters within the next two years. This could either be hindered by the increasing lack of competition and excitement, but could also be helped by the presence of some of the world's most popular players.

Key Highlights

• The publisher estimates Ligue 1 to generate $29.65 million in sponsorship revenues. Two thirds of this value comes from the title sponsor deal with Uber Eats, reportedly worth $19.7 million a year. The other four deals make up the remainder of the deal, with Betclic's deal the most valuable, reportedly worth $3.5 million a year.
• The total current spending from kit supplier brands for 2022/23 stands at $147.6m. PSG's deal with Nike, reported to be worth an annual $90.93m, is worth 65.8 percent of the total league's kit supplier value. In total, the value of the PSG, Marseille, Lyon and Monaco deals accounts for a staggering 85.1 percent of the league's overall value.
• The value of the league's kit supply agreements has dropped marginally from the previous years, potentially due to the promoted team's deals being worth so little in comparison to the higher end deals in the league. The only new deal agreed this summer was Lorient's deal with Umbro, which is estimated to be worth almost $1 million over the next three years.
• Currently, PSG has a significantly higher front-of-shirt sponsorship than other team in the league, and is more than three times greater than its closest rival, Lyon. PSG's new deal with Qatar Airways was agreed this summer, for a reported $80 million a year, replacing their previous $73.75 million deal with AccorHotels. This deal with Qatar Airways is unsurprising given the commercial boost the company will receive due to Qatar's hosting of the upcoming 2022 FIFA World Cup. Deals like this for PSG are made possible due to the wealth of their owners, combined with enormous domestic success off the pitch, and a regular presence in the UEFA Champions League. In addition, PSG boast the fourth biggest stadium in France, and the population of Paris is approximately three times greater than France's next most populous city.
• Betting, food and retail are the most frequently featured industries in terms of Ligue 1 shirt sponsors, four betting deals leading the way. Despite this, none of these industries come close to the airlines sector, whose high-value deals with Lyon and PSG dominating the financial landscape.
• Coca-Cola remain the most prevalent brand in line with last season, having eight sponsorship agreements in place. Many of these deals comprise of either being a club's partner or an official supplier to clubs including Lyon, Lille and Metz. The most valuable of Coca-Cola's deals within the league are estimated to be their partnerships with PSG and Lille, which are valued at $2.2 million and $600,000 a year respectively.

Scope

• This report provides an overview of the current situation regarding kit supplier, shirt sponsor and sleeve sponsor deals for all 20 Ligue 1 teams, and overall revenues generated from these avenues for each team.
• It also identifies the current state of Ligue 1's media landscape, with a look at why the league lags behind its competitors.
• The report provides a detailed analysis of all 20 teams in Ligue 1, and their current sponsorship outlook as well as expiring deals, and newer upcoming ones that have been agreed.
• A look at Ligue 1 in comparison to other leagues in Europe, and how the French top tier lags behind its biggest competitors in the sport.
• A detailed look at the league's sponsorship portfolio in comparison to other leagues, and generated revenue, as well as the challenges involved in growing the league's commercial profile against vastly more popular leagues.

Reasons to Buy

• For those wanting an in depth analysis of how Ligue 1 is currently performing in relation to its competitors.
• The report provides some comparisons between Ligue 1 and Europe's other top soccer leagues and will be of interest to those who are also interested in any of the Premier League, LaLiga, Serie and the Bundesliga. General metrics for these leagues such as attendance numbers and social media followings are included.
• The report will also be of interest to those who are interested in the kinds of brands that have sponsorship deals in place with Ligue 1, and its clubs. Identified are the most prevalent sectors and brands, as well as the biggest revenue generators of these aforementioned sectors.