UEFA is nearing two major sponsorship deals that could generate over €1 billion annually from club competitions. These agreements are expected to increase UEFA's commercial revenue by more than 40%.
UEFA set to seal double sponsorship deals to unlock record revenue from club competitions
UEFA are close to agreeing two landmark sponsorship deals that would generate over €1 billion annually from commercial deals tied to its club competitions, according to The Guardian.
Owned by UEFA and the clubs, UC3 is reportedly finalising agreements with an official payments provider and technology partner.
Once these deals are over the line, UEFA will complete its roster of premium sponsorships, which is expected to boost its commercial revenue by over 40%.
UEFA already have several high-profile partnerships in their portfolio.
They have a six-year deal with brewing giant AB InBev, making the company UEFA’s official beer partner from 2027, replacing long-time sponsor Heineken.
Pepsi has also extended its role as the governing body’s soft drinks partner for the same period.
Meanwhile, UEFA are looking to add Nike to their portfolio.
Both parties are in exclusive talks, with Nike poised to take over as UEFA’s official match ball supplier, ending their long-standing association with Adidas.
The projected commercial income exceeds what UEFA is already making from broadcast deals.
UEFA’s broadcast revenue has increased significantly since it sold the first block of television rights for the 2027-31 cycle.
Combined with the incoming sponsorship deals, the European football governing body is expected to rake in over €6bn, up from the current €4.4bn.
The financial outlook is impressive, but UEFA still needs to figure out how it will distribute its wealth, considering the current system favours the biggest clubs.
UEFA currently allocates 74% of its prize fund and 56% of its club competition revenue to Champions League clubs.
Meanwhile, only 17% goes to the Europa League, while the Europa Conference League gets 9%.
If UEFA decides to stick with the current system, the imbalance will only allow the richest clubs to continue to pull further ahead.
The Union of European Clubs (UEC) has proposed a new revenue distribution model to help narrow the gap between Europe’s elite and smaller clubs.
Their idea would channel funds into domestic leagues rather than individual clubs, but it remains to be seen whether UEFA will shift its stance.
The new sponsorship deals are projected to generate over €1 billion annually and increase UEFA's commercial revenue by more than 40%.
UEFA is finalizing agreements with an official payments provider and a technology partner for its sponsorship deals.
These landmark sponsorship deals are set to unlock record revenue for UEFA's club competitions, enhancing their financial stability and growth.
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