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| Via worldsoccertalk |
In the media, the Premier League will be called simply the "Premier League" no frills "Barclays" or the third parties that follow the name of the competition (title sponsorship).
Barclays has been the title sponsorship of the Premier League since the 2001/2002 season. Multinational companies engaged in banking to pay 120 million pounds for cooperation along three seasons ago.
In mid-2015, Barclays decided not to continue working with the Premier League. They assume that the higher the value of broadcasting rights acquired by Premier League can potentially increase the value of cooperation both. In fact, Barclays is facing a global crisis.
The position of Barclays is strategic because companies based in London that will always be associated with the official name of the competition. The cost of 40 million pounds per year to make up for the title sponsorship is because usually, the title sponsorship was a major sponsor of the tournament with the highest value of cooperation.
After Barclays ensure there will continue to work, the Premier League decided not to use the title sponsorship the start of the season 2016/2017. The decision was confirmed by the Premier League for a club that the income would not decline in the absence of title sponsorship.
How big is the value of broadcasting rights so the Premier League without hesitate to take off the title sponsorship?
The Excesses of Broadcasting Right
Premier League inaugural season was rolling in 1992/1993 season. Premier League comes as a form of dissatisfaction of several teams that did not get and maximized the benefits of competition that they follow.
Gradually, the value of the broadcast rights of the Premier League is increasing. It also makes terrestrial television stations still have to think many times to take the Premier League broadcasting rights in a country.
The high value of broadcasting rights to make Premier League also limits many things ranging from streaming sites until the clips on social media. Twitter could have closed the accounts of users who spread the clips Premier League. The accusation was clear: copyright infringement.
Similarly, Youtube is so protective of protecting the assets of the Premier League. You will hardly find a Premier League game tape aired in "normal way," in the sense that the video is usually cut or reduced, or are reversed.
Broadcasting Right As A Money Tree
Premier League signed up as the league with the highest value of broadcasting rights. At the beginning of this year, funds worth 8.3 billion pounds of cash certainly enter the Premier League. The money was derived from the cooperation of domestic broadcasting rights which reached 5.14 billion pounds of domestic broadcasts, while the rest of the deal come from the international agreement.
No one denies that the value of cooperation Premier League's broadcast rights is very great. Examples; Skysports issued 4.2 billion pounds, "only" gets five broadcast package that contains 126 matches. The rest of it? Obtained by BTsports who get two packages with 42 matches worth 960 million pounds.
Meanwhile, the BBC must be issued 204 million pounds just to get a share of game footage in the form of highlights.
Premier League issued some packages containing the broadcast match played at certain hours. The most expensive packages are the A Package and D Package with the price per games reach 11.1 million pounds.
A package is a match on Saturday at 12:30 local time, while the D package held on Sundays at 16.00.
The difference of this package occurs presumably because of the difference in rating and television share on certain days and hours. For example, F package appreciated as the cheapest at a price of 7.62 million pounds per match. This is because F Package only broadcast the games in midweek.
How Is The Broadcasting Right Money Distributed?
Because the television broadcasting rights are divided into two categories, domestic and international, the sharing was still divided in two. For the money from international broadcasting rights would be distributed evenly to 20 Premier League teams, while on the domestic broadcasting rights, three components made the difference.
The first component of 50% domestic broadcasting right money is distributed evenly. The second component is called merit money by 25% which is distributed depending on the ranking of the club at the end of the season.
The complex one is the third component, called the facility fee which is 25%. Facility fee awarded to the teams that the match was broadcast live in the UK with a value of 750 thousand pounds per game.
For the 2016/2017 season, the champion of the league will get a minimum of 132.5 million pounds (USD 2.2 trillion!) With terms of 10 matches broadcast live (minimum figure). This value was obtained from 38 million pounds as the value divided equally from domestic broadcasting rights plus 40 million pounds for the first rank. The value of the facility fee for 10 games rewarded 7.5 million pounds. The purse money is growing after adding the money from international broadcasting rights that shared equally by 47 million pounds.
How about the relegated teams? Even relegation but the teams that occupy the lowest rank will get a minimum of 94.5 million pounds.
The figures above is somewhat large and very amazing. Can you find a competition where the relegated teams could bring that much money? For a team like Bournemouth, 94.5 million pounds of money could pay the wages of the players for at least three seasons.
On the other hand, 94.5 million pounds of money could finance the Millwall who have spending 20.6 million pounds per season, to be alive for the next four seasons.
What's Changed?
The most obvious thing that will be seen on broadcast television is the presence of a match held on Friday and Saturday nights. The addition of this day is important for television because sometimes there are more than three games played at the same time.
The existence of more than three games at the same time will complicate the owner of the broadcasting rights. For example, the broadcast of English Premier League in Bein Sports that provides only three channels. The match which was not originally scheduled as Leicester last season, The match was originally not scheduled as Leicester in last season, being aired because Leicester was at the top and be in a high level of popularity.
Other changes include the managerial side of the teams. There would be many foreign investors who acquire both the English teams already compete in the Premier League or the Championship Division in the hope of immediate promotion. The big amount of prizes of Premier League makes the management of football was not just prestige but indeed for profit. Then, there will be a number of expensive players who competed in the Premier League. UEFA, in fact, has issued Financial Fair Play rules that force teams not to lose money. However, the income of broadcasting rights making the Premier League have more money to spend.
Welcome, the Premier League!
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