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Football clubs strike sponsorship agreements with sportswear brands to produce and supply team kits and other merchandise. This is a significant source of revenue for football clubs as these deals help them generate a substantial amount through branding and merchandising.
A kit deal typically involves the club's jerseys, training kits, other apparel and a range of fan merchandise. The sum that the brand pays for such a deal can vary based on the global popularity of a club and its success.
Kit deals not only contribute to a club's financial stability but also play a role in shaping its identity and brand recognition. This is because the design or appearance of the team's kit becomes an integral part of its visual representation.
Let's take a look at seven teams with the biggest kit deals earning per season.
#7 Chelsea - €70 million per season (Nike)
Chelsea signed a kit deal with sportswear giants Nike that went into effect from the 2017-18 season. It is the largest commercial deal in the history of the Premier League club. The deal is worth €70 million per season and runs for 15 years from 2017.
Prior to signing the deal, Chelsea cut the existing Adidas deal short by six years. The deal with Nike reportedly doubled the Blues' earnings from their previous agreement with Adidas.
#6 Manchester City - €75 million per season (PUMA)
This is the only kit deal among the 10 most lucrative ones in the world that doesn't involve Adidas or Nike. Manchester City signed the deal back in 2019 and it's worth €75 million per season. However, since the deal is four years old now and City won the continental treble last term, a renewal could happen quite soon.
City fans have seemed happy with the kits that PUMA have put out in recent seasons. But at the same time, it's also been a mighty successful period for City and fans hardly complain about anything when the trophy cabinet is stacked.
#5 Paris Saint-Germain - €80 million per season (Nike)
Paris Saint-Germain's popularity and success on the global stage, along with their star-studded squad, made them a valuable partner for Nike. PSG have been able to rope in some of the best footballers on the planet like Lionel Messi, Neymar and Kylian Mbappe in recent years.
Their popularity on a global scale has risen considerably in the last decade and it has gone a long way towards helping them strike a lucrative kit deal with Nike.
#4 Arsenal - €85 million per season (Adidas)
Adidas extended their kit deal with Arsenal in September last year. As per the new agreement, they will continue to produce and supply kits for the Gunners until 2030. As per the terms of the new agreement, Arsenal will earn €85 million per season from Adidas.
Adidas and Arsenal are reportedly set to focus on investing in developing product ranges for players and football fans and also invest in local communities.
#3 Manchester United - €87.5 million per season (Adidas)
Manchester United put pen to paper on the biggest kit deal in Premier League history. The new deal will run until 2035 and represents a 10-year extension on their current agreement with Adidas.
As per the new deal, Manchester United will earn €87.5 million per year, making them the highest earners via kit sponsorship in the Premier League.
#2 Barcelona - €105 million per season (Nike)
Nike has been Barcelona's official kit supplier since 1998. Both parties have shown a keen interest to work together and this has helped their relationship grow over the years. In 2018, Barca renewed their contract with Nike by 10 years.
As per the new deal, Barcelona earn €105 million per season from Nike. It's the second-most expensive kit deal in the history of the beautiful game.
#1 Real Madrid - €120 million per season (Adidas)
Like Barcelona and Nike, Real Madrid and Adidas have had a partnership since 1998. That partnership is set to continue until 2028 as per the terms of a deal agreed between the two parties in 2019.
Real Madrid will earn a whopping €120 million per season from Adidas and it is the most lucrative kit deal in football history.
