Manchester United plc (MANU): Business Model Canvas

Key Partnerships

Manchester United plc (MANU) has established several key partnerships to support its operations and revenue generation. These partnerships play a crucial role in the success of the club.

• Adidas: MANU has a long-standing partnership with Adidas for kit manufacturing. Adidas produces the club's official jerseys and merchandise, contributing to the club's overall brand and revenue streams.
• Chevrolet and TeamViewer: Chevrolet and TeamViewer are the primary shirt sponsors for Manchester United. These partnerships bring in significant revenue through branding and advertising opportunities on the team's jerseys.
• Media Partners: Manchester United has partnerships with media giants like Sky Sports and BT Sport. These partnerships ensure that the club's matches are broadcasted to a wide audience, increasing the club's visibility and fan base.
• Various Sponsorship Deals: MANU has secured various local and global sponsorship deals with companies across different industries. These partnerships provide additional revenue streams for the club, as well as opportunities for brand exposure and marketing initiatives.

Key Activities

As a prominent football club, Manchester United plc (MANU) engages in a variety of key activities to drive its business model. These activities include:

• Professional football match hosting: One of the primary activities of MANU is hosting professional football matches at its iconic Old Trafford stadium. These matches not only generate revenue through ticket sales but also provide opportunities for sponsorship and advertising.
• Player training and development: MANU invests heavily in the training and development of its players, ensuring that they have the skills and fitness necessary to compete at the highest level. This activity is crucial in maintaining the club's competitive edge and attracting top talent.
• Merchandising and product sales: MANU has a strong focus on merchandising and product sales, offering a wide range of branded merchandise to its fans around the world. This includes jerseys, scarves, hats, and other items that allow fans to show their support for the club.
• Fan engagement and community programs: MANU places a strong emphasis on engaging with its fans and the local community through various programs and initiatives. This includes fan events, community outreach programs, and partnerships with local schools and charities.

By engaging in these key activities, MANU is able to generate revenue, attract fans, and build a strong brand presence both domestically and internationally.

Key Resources

Manchester United plc relies on several key resources to drive its business model and ensure its success in the competitive world of football. These key resources include:

• Old Trafford stadium: As one of the largest and most iconic stadiums in England, Old Trafford serves as the home ground for Manchester United. It provides a venue for home matches, as well as opportunities for revenue generation through ticket sales, hospitality packages, and merchandise sales.
• Manchester United players and coaching staff: The quality and skill of the players and coaching staff are essential resources that drive the success of the club on the pitch. Recruiting and retaining top talent is crucial for achieving success in competitions and maintaining fan engagement.
• Club brand and global fanbase: Manchester United's strong brand presence and global fanbase are valuable resources that contribute to the club's revenue streams. The club's history, success, and reputation attract fans from all over the world, leading to opportunities for sponsorships, partnerships, and merchandise sales.
• Media and broadcasting rights: Securing media and broadcasting rights is crucial for Manchester United plc to reach its global audience and generate revenue through television deals, streaming services, and digital platforms. These rights allow the club to maximize its exposure and increase its fan base worldwide.

Key Activities

In addition to its key resources, Manchester United plc engages in various key activities to support its business model and achieve its objectives. These key activities include:

• Football operations: Managing the football team, including player recruitment, training, and match strategies, is a critical activity that directly impacts the club's on-field performance and success in competitions.
• Marketing and brand promotion: Promoting the Manchester United brand through advertising, sponsorships, social media, and other marketing initiatives helps expand the club's global fan base, attract new supporters, and increase revenue streams.
• Commercial partnerships: Establishing and maintaining partnerships with sponsors, suppliers, and other organizations is essential for generating revenue through sponsorships, licensing deals, and merchandise sales. These partnerships help enhance the club's brand visibility and create new opportunities for growth.
• Digital innovation: Embracing digital technology and innovation is crucial for engaging fans, enhancing the matchday experience, and expanding the club's reach through online platforms, mobile apps, and social media channels.

Value Propositions

Manchester United plc (MANU) offers several value propositions to its stakeholders to maintain its position as one of the most iconic football clubs in the world:

• Premier League and international football entertainment: MANU provides fans with exciting and competitive football matches in the prestigious Premier League as well as in international competitions. The club's rich history and success on the pitch make it a top destination for football enthusiasts.
• High-quality football with star players: MANU boasts a roster of talented and famous footballers who deliver top-notch performances on the field. The club's commitment to excellence in player recruitment and development ensures that fans witness captivating matches filled with skill and passion.
• Engaging fan experience both online and offline: MANU strives to provide its global fan base with immersive experiences through various channels, including match days at Old Trafford, digital platforms, and fan events. The club's interactive content and engagement initiatives create a sense of community and loyalty among supporters.
• Youth academy development program: MANU invests in nurturing young talent through its renowned youth academy, which has produced several successful players over the years. By fostering grassroots development and providing pathways to professional football, the club demonstrates its long-term commitment to sustaining success on and off the pitch.

Customer Relationships

Manchester United plc (MANU) prioritizes building strong customer relationships to foster loyalty and engagement among its fan base. The following strategies outline how the club strives to connect with its customers:

MANU maintains an active presence on social media platforms such as Twitter, Facebook, and Instagram to keep fans informed about the latest news, match updates, player insights, and promotional offers. The official website serves as a central hub for fans to access exclusive content, purchase merchandise, and connect with other supporters.

• Fan clubs provide a sense of belonging and camaraderie among supporters who share a passion for the club.
• Official membership programs offer perks such as priority ticket access, discounts on merchandise, and special event invitations to enhance the fan experience.

MANU understands the importance of creating memorable experiences for fans attending matches at Old Trafford. From pre-match entertainment to post-match celebrations, every aspect of the matchday experience is curated to build loyalty and excitement among supporters.

• The club actively engages with local communities through charitable partnerships, sports programs, and youth development initiatives to give back and make a positive impact.
• Collaborations with schools, non-profit organizations, and community groups help strengthen ties with fans beyond the football pitch.

Channels

Manchester United plc utilizes a variety of channels to reach and engage with its global fanbase, drive revenue, and promote its brand. These channels include:

• Official Manchester United website and mobile app: The club's website and mobile app serve as key channels for distributing news, match updates, player information, ticket sales, and other exclusive content. Fans can stay connected with the club and purchase merchandise through these platforms.
• Social media platforms: Manchester United has a strong presence on popular social media platforms such as Twitter, Facebook, and Instagram. The club leverages these platforms to engage with fans, share behind-the-scenes content, promote upcoming matches, and showcase sponsors.
• Broadcasting: The club partners with television and radio broadcasters globally to ensure its matches are accessible to fans around the world. Broadcasting rights agreements generate significant revenue for Manchester United plc and help grow its fanbase.
• Retail stores and e-commerce: Manchester United operates official retail stores at Old Trafford and in key locations worldwide. In addition, the club's e-commerce platform allows fans to purchase official merchandise, kits, and accessories online, expanding the reach of its retail operations.

Customer Segments

Manchester United plc (MANU) offers products and services to a variety of customer segments, which include:

• Local Manchester United fans: These are fans who reside in the Greater Manchester area and attend matches at Old Trafford. They may purchase tickets for matches, official merchandise, and memberships to receive exclusive benefits.
• Global Manchester United fans: These are fans who support the club from various parts of the world. They may not have the opportunity to attend matches in person but can engage with the club through digital platforms, official merchandise, and fan events held in their countries.
• Corporate sponsors and partners: These are businesses that form partnerships with Manchester United to enhance their brand visibility and reach the club's fan base. They may sponsor matches, players, or events, as well as collaborate on marketing campaigns and activations.
• Sports media and broadcasting companies: These entities have a vested interest in Manchester United's matches and news coverage. They may acquire broadcasting rights, sponsor content, or produce exclusive interviews with players and managers for their audiences.

By catering to these distinct customer segments, Manchester United plc is able to engage with fans at different levels of involvement and create mutually beneficial partnerships with businesses in diverse industries.

Cost Structure

The cost structure of Manchester United plc (MANU) is primarily focused on the following key areas:

• Player Salaries and Transfer Fees: One of the largest expenses for MANU is the salaries of its players, as well as transfer fees for acquiring new talent. The club's commitment to attracting top talent and maintaining a competitive squad results in significant financial outlays in this area.
• Stadium Operations and Maintenance: MANU's iconic home ground, Old Trafford, requires ongoing maintenance and operational costs to ensure the venue provides a world-class experience for fans. From pitch maintenance to hospitality services, these expenses are essential to the club's success.
• Marketing and Promotional Activities: As a global brand, MANU invests heavily in marketing and promotional activities to engage with fans around the world. This includes advertising campaigns, sponsorships, and digital marketing efforts that help drive revenue and expand the club's reach.
• Staff and Administrative Expenses: MANU employs a large workforce to support various functions within the organization, including coaching staff, administrative personnel, and operational teams. Salaries, benefits, and other administrative costs contribute to the overall cost structure of the club.

By effectively managing these cost areas, MANU strives to maintain financial stability while continuing to invest in its core operations and competitive positioning within the football industry.

Revenue Streams

Ticket sales for matches: Manchester United plc generates a significant portion of its revenue through ticket sales for matches at Old Trafford, its iconic stadium. With a seating capacity of over 74,000, the club attracts a large number of fans from around the world, creating a lucrative revenue stream.

Sale of broadcasting rights: Another key source of revenue for Manchester United plc is the sale of broadcasting rights for its matches. The club's global fan base allows it to secure lucrative broadcasting deals with various media partners, ensuring a steady stream of income.

Merchandise and product sales: Manchester United plc has a strong brand presence that extends beyond the football pitch. The club's merchandise and product sales, including jerseys, scarves, and other memorabilia, generate substantial revenue both online and in physical stores.

Sponsorship deals and partnerships: Manchester United plc has established partnerships with leading brands and companies around the world, leveraging its global reach to secure lucrative sponsorship deals. These partnerships not only provide the club with financial support but also help enhance its brand image and visibility.

• Ticket sales for matches
• Sale of broadcasting rights
• Merchandise and product sales
• Sponsorship deals and partnerships