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Home News Manchester United’s New Sponsorship Strategy Highlights Future of Jersey Advertising

Manchester United’s New Sponsorship Strategy Highlights Future of Jersey Advertising

As the English soccer season kicks off, Manchester United is making headlines with a new advertising strategy. The club has introduced its first back-of-shirt sponsor, U.S. tech company Snapdragon, marking a significant shift in sports jersey placements. Snapdragon, owned by Qualcomm, will also take over the front-of-shirt spot from TeamViewer. The new sponsorship spot will be located just below the player’s number on the back of the jersey.

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Sponsor logos have been a staple on European soccer kits for 50 years, with sleeve sponsorships becoming more common in recent years. Data from Ampere Analysis reveals that front and sleeve shirt sponsorships generated $631.2 million for the 20 Premier League teams during the 2023-24 season, averaging $16.1 million per team.

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Snapdragon’s deal with Manchester United, initially a three-year agreement, has been extended to five years and is valued at $375 million, according to The Athletic. Neither Manchester United nor Snapdragon provided comments at the time of publication.

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The addition of sponsor logos on the back of jerseys underscores the growing value of sports advertising real estate. Chris Ross, VP and analyst at Gartner for Marketers, emphasized the significance of jersey placements. “If my name is on the jersey, it doesn’t matter who has the broadcast rights. It’s powerful,” he said.

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Dipanjan Chatterjee, VP and principal analyst at Forrester, noted that shirt sponsorships offer advertisers exposure across various platforms, including digital, social, and broadcast media. “A jersey sponsorship is a hardworking investment that can pay off across multiple formats and channels,” he explained.

While European soccer has long featured sponsor logos, American sports leagues have been slower to adopt this practice. The NBA allowed sponsor patches on jerseys starting in 2018, and the MLB followed suit in 2023. Live sports remain a key platform for reaching mass audiences, making jersey placements increasingly valuable.

According to Ampere Analysis, the 14 MLB teams with jersey patch sponsorships in 2023 earned an average of $9.96 million per season per deal, totaling $139.5 million. Although current NBA and MLB jersey patches are smaller than those in soccer, analysts anticipate growth in sponsorship opportunities in the U.S. market.

Despite the potential for increased revenue, some franchise owners are cautious about overloading jerseys with advertisements. Ross highlighted the challenge of balancing sponsorships with maintaining team brand integrity. “Teams need to maximize the value of their real estate while preserving their brand’s impact,” he said.

Successful sponsorships often align the values of the team with the advertiser. Chatterjee cited Emirates’ sponsorship of Arsenal as an example of a well-matched partnership, where the airline’s premium experience complements Arsenal’s rich history.

Ross expects the NFL to eventually adopt similar practices. “The NFL isn’t any different from other sports leagues. They might quickly join the trend. It’s a missed opportunity,” he said.

For Snapdragon, the sponsorship includes innovative features like an augmented reality (AR) experience accessible through a QR code on the shirt. Additionally, the back of the shirt will highlight Microsoft CoPilot+ PCs, which use Snapdragon technology.

The move by Manchester United reflects a broader trend in sports advertising, where every inch of jersey space is becoming increasingly valuable.

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