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Euro 2024: A Golden Opportunity for UEFA in Germany

As Euro 2024 approaches, excitement builds for what promises to be a spectacular month of soccer. With a focus on the host country, sponsors, and broadcasters, we delve into the financial dynamics behind the UEFA European Championship.

The Host

Germany and Scotland will kick off the month-long soccer extravaganza on June 14th in Munich. The tournament features 24 teams competing across 51 matches in ten cities. The highlight will be the final on July 14th at Berlin's Olympiastadion, a venue steeped in history and capable of seating 74,000 fans.

Germany's return as host, after staging the World Cup in 2006, is seen as an opportunity to recreate the "Sommermärchen" or "summer fairytale" from 18 years ago. Philipp Lahm, the tournament director and former national team captain, hopes Euro 2024 will evoke similar memories.

While the spotlight will be on the action on the field, the tournament represents a massive commercial enterprise. UEFA expects to generate significant revenue, driven by ticket sales and the influx of international visitors.

The Broadcasters

UEFA prioritizes free-to-air (FTA) coverage to maximize the tournament's reach. In Germany, a hybrid model ensures broad accessibility with five matches exclusive to Deutsche Telekom's MagentaTV, while ARD, ZDF, and RTL will broadcast the remainder.

In France, BeIN Sports holds exclusive rights to all games, although TF1 and M6 will air matches involving the French national team and key knockout rounds. This blend of free and pay-TV coverage is designed to boost viewership, emulating Euro 2020’s impressive figures of a 5.23 billion cumulative live audience and a 328 million-strong final viewership.

UEFA projects €1.4 billion ($1.5 billion) in broadcast rights revenue for Euro 2024, a significant increase from previous tournaments, reflecting the growing global interest and expanded format.

The Sponsors

With the tournament's expansion, UEFA and its sales agency CAA Eleven have created more opportunities for brand partnerships. Euro 2024 features 13 global partners and five national sponsors, contributing to an expected €568 million ($613.6 million) in commercial rights revenue.

Notable returning sponsors include Adidas, Alipay, Booking.com, Hisense, and Vivo. German brands Lidl and Engelbert Strauss also join as top-tier partners. New entrants such as Chinese NEV manufacturer BYD and Betano, the first-ever betting partner of the Euros, highlight the tournament’s broadening commercial appeal.

Several sponsors are integral to the tournament's infrastructure, with Atos and Deutsche Telekom playing crucial roles in the technological setup.

Financial Highlights

UEFA forecasts Euro 2024 will generate €2.4 billion ($2.6 billion) in total revenue, significantly surpassing previous editions. This accounts for 36% of UEFA's projected revenue for the financial year, underscoring the tournament's financial importance.

Prize money will total €331 million ($357.6 million), with the champions potentially earning up to €28.25 million ($30.5 million). Additionally, 80% of net earnings, estimated at €935 million ($1 billion), will support UEFA’s HatTrick development program, benefiting all 55 member associations.

UEFA also aims to bolster its reserves, targeting a €70 million ($75 million) increase to restore financial stability post-pandemic.

Conclusion

Euro 2024 in Germany promises not only thrilling soccer but also substantial economic benefits. From meticulous planning and robust sponsorship to extensive broadcast reach, the tournament is set to be a major success for UEFA. As fans gear up for this soccer spectacle, the blend of sporting excellence and financial acumen will likely make Euro 2024 a memorable and lucrative event for all involved.

Source: SportsPro Media