Seems Winning Isn’t Everything at Bayern Munich

By: Daryl | November 28th, 2007

Beckenbauer and Rummenigge Remember the good old days when a team’s finances depended on how many games they won? A successful string of results meant more fans showing up for games and/or buying overpriced replica kits (even in the good olds days they were overpriced.) Under this sound economic system, clubs who put out successful teams were rewarded accordingly and the sun shone every day. But as teams become more like brands their bank balance has less and less in common with what happens between the white lines and the sun shines a little less for the little guys who can never hope to catch up. And something happened in Germany last year that proves the good old days are gone forever.

The 2006/7 season was Bayern Munich’s worst in a long time. The German giants normally lord it over their Teutonic rivals but last season they won nothing, and even missed out on a Champions League spot by finishing fourth. But despite their Bundesliga bungling, Bayern recorded their most profitable year ever.

Fans still came to games and still more fans paid their hard earned money for replica Bayern shirts, while overseas marketing continued to expand the brand and sell even more shirts. The support base actually increased during their dreadful season, with the ranks of registered members rising from 121,119 to 135,752, and the number of official fan clubs from 2,290 to 2,329.

“Although we failed to win a trophy last season and finished a disappointing fourth in the league, we can be more than satisfied with our financial results,” understated Bayern chairman Karl-Heinz Rummenigge. All that money meant Bayern could afford to restore the team to former glories by signing the likes of Frank Ribery, Luca Toni and Miroslave Klose. And now it’s as you were again in the Bundesliga, with Bayern sitting happily on top and everyone else wondering what just happened.

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Category: Bundesliga

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Jan

There are TV contracts in Germany. The TV market is even the second largest (behind the US) worldwide. But the pay-tv sector is underdeveloped and doesn't get as much exclusivity for their football broadcasts than elsewhere in Europe. Thus the current deal is only worth €420m a year. The Premier League earns more than three times as much from its TV deal.
Mat

Sorry for not being informed about this but are there no TV contracts in Germany? I think Bayern have always been a good club that does not just throw money around..unlike some of the big clubs...but for some years now they overdid it a little..spending virtually nothing for years. The quality of the players is going to hurt you at some point or other..no matter how efficient the team plays...I happy though how they went about their business this year too...quickly buying players without letting the price go overboard as it does normally these days for even decent players...and recouping gazillions from Hargreaves' sale..
Juliet

Love 'em or hate 'em, I think Bayern should be applauded for finding a way to compete financially with the other big teams in Europe -- who benefit from lucrative television contracts that keep the top guys on top and the little guys on bottom. Bayern have made their money the old-fashioned way, and managed it carefully. Good on 'em.