FC Barcelona wants to boost the commercial business of its sections, which only have three of their own sponsors. For this, it has created the figure of the specific sponsorship director for the sports center and has signed a former NBA and Madison Square Garden Entertainment, owner of the New York Knicks and New York Rangers. This is Chris Russell and, although his main focus of action will be in basketball, he will also pilot the rest of the professional disciplines, as he has learned 2Playbook.
Russell worked for the NBA for four years. First, associated with the planning of the All Star held in New York in 2015. Later, he joined the league’s global sponsorship team, a position he held until 2020. Previously, he worked in the international development area of the fashion brand Abercrombie & Fitch, since he was doing from Barcelona and San Diego (California).
Russell will join the income area that Àlex Barbany has led since this season. The commercial department has not been exempt from changes in recent months, since since the arrival of Joan Laporta different managers have succeeded. The last was Jordi Camps, who resigned in September after the previous departure of Xavier Asensi and the frustrated incorporation of Cinto Ajram.
In the absence of knowing his replacement, Russell will be in charge of managing the sections, with the exception of football. Since its landing, an important renovation has already been achieved, that of Serveto, which it has renewed as an exclusive partner for basketball, handball, futsal and roller hockey until 2025.
Your work will be essential. The Catalan company is one of the three own sponsors that the sections have currently together with Assistència Sanitària, on the front of the jerseys, and Reno, for hockey sticks. However, if the objectives set in the budgets are met, in 2021-2022 the ordinary business of the Barça sports center will reach its maximum with revenues of 18.5 million euros, 7% more year-on-year.
The ambition is that sponsorship income continues to grow, especially once the construction of the Palau Blaugrana is completed, something planned for 2026. Of course, it was already in 2019 when it was decided to create a dedicated work team full time to exploit the business associated with the Palau Blaugrana.
However, for another year, this effort to generate its own income will be insufficient for its sections to be sustainable. Barça foresees a deficit of 43 million euros this season between its sports divisions. Of course, it will be less than in 2020-2021, when the teams that compete off the pitch threw losses of 55 million euros, an excess of ten million over the initially budgeted.
63.5% of the red numbers correspond to basketball, which in 2020-2021 lost 34.7 million euros. Looking ahead to this season, the budgets contemplate that basketball losses stand at 27.4 million euros. Asobal’s team, meanwhile, will lose 6.8 million, the minimum in the last five years, like futsal, which will generate a deficit of four million euros.
Cutting losses is highly dependent on new sponsorships for sections. In the case of basketball, despite the fact that between Barça and Madrid they account for around 75% of the total losses of the ACB, their joint business is barely equivalent to 18% of the income generated between the 18 clubs.
Barça’s basketball business will contribute 14 million euros in 2021-2022. It is equivalent to 75% of the total income that will be generated together with the handball, futsal, roller hockey and other sections, such as athletics or rugby, which will amount to 18 million euros. Hence, Russell’s main goal is to boost revenue for the sport of the basket.
