Premier League Clubs and the High Cost of Replica Kits
In recent years, the cost of living in Britain has skyrocketed, leaving many families struggling to make ends meet. Despite this, Premier League clubs have continued to increase the prices of their replica kits, much to the dismay of fans. The latest kits released by Manchester United, Arsenal, and Tottenham Hotspur come with a staggering price tag of £80. This is a significant increase from the previous prices of £70 for United and Arsenal, and £75 for Spurs.
The rising prices of replica kits have sparked outrage among fans who feel that they are being taken advantage of. Many argue that the cost of producing these kits does not justify the high price tag. So, where does all the money go?
Premier League clubs have lucrative deals with their kit manufacturers, which bring in substantial sums of money. For example, Chelsea signed a 15-year, £900 million deal with Nike in 2016, while Manchester United secured a ten-year, £750 million contract with Adidas in 2015. These deals provide a significant source of income for the clubs.
However, clubs do make some money from each individual sale of a replica kit. According to German sports marketing expert Dr Peter Rohlmann, for every £80 shirt sold, clubs receive a licensing fee of £4.80. The retailer then receives £26.40, and if the shirt is bought directly from the club, this money goes to them. The kit manufacturers, such as Adidas in the case of Manchester United and Arsenal, receive £23.47. The remaining money is allocated towards VAT (£13.33), local distribution (£1.60), and marketing (£2.40). It is worth noting that each shirt costs approximately £8 to produce.
Premier League clubs argue that it is the kit manufacturers who set the exorbitant prices. However, fans remain unconvinced and believe that the clubs have a role to play in ensuring that the prices are fair and reasonable. After all, it is the fans who provide the lifeblood of the clubs and deserve to be treated with respect.
The rising prices of replica kits have not been limited to the top clubs. Even teams like Newcastle United, Aston Villa, Everton, Crystal Palace, and Wolverhampton Wanderers have increased their prices. Newcastle and Aston Villa have raised their prices from £65 to £70, while Everton has hiked their shirt prices from £60 to £65. Crystal Palace and Wolves have also raised their prices from £55 to £60.
The increasing cost of replica kits has led to a growing trend of fans opting for cheaper alternatives. Many fans now choose to buy unofficial replicas or opt for older versions of the kits, which can be found at significantly lower prices. This trend has not gone unnoticed by the clubs, who are now facing a decline in sales of their official replica kits.
In conclusion, the rising prices of Premier League replica kits have left fans feeling frustrated and disillusioned. Despite the high prices, clubs make just £4.80 from each sale, with the majority of the money going to kit manufacturers and retailers. Fans argue that the clubs should take responsibility for setting fair prices and ensuring that their loyal supporters are not priced out of supporting their teams. As the cost of living crisis continues, it remains to be seen whether Premier League clubs will reconsider their pricing strategies and prioritize the affordability of replica kits for their fans.