With the USA tour coming close to an end, Bayern Munich chairman Karl-Heinz Rummenigge has provided some insight towards activities going on behind the scenes. All eyes seem to be on the big clash between the MLS All Stars and the Bundesliga champions, but the Bayern backroom staff have been busy working on the clubs long-term goals. The main issue is addressing the financial disparity between the other top clubs in the European leagues. Rummenigge mentions that what the Bundesliga clubs lack in gate receipt, season ticket and TV revenue, they can make up for in international marketing, specifically the brand of the club.
“The English Premier League, for example, earns €800m per year through their TV marketing overseas. If we want to compete and survive this competition then we need to get out there.” – Rummenigge
While the Bundesliga recently signed a new TV deal and are benefitting from new fans, thanks to the success of Borussia Dortmund and Bayern Munich in the UEFA Champions League, it simply is not enough to compete financially with the European giants. It is well known that Bundesliga clubs have far lower ticket prices than that of other leagues, especially compared to the English Premier League. Despite very high average attendances, the Bundesliga clubs continue to remain resolute to not pillage the pockets of their fan base. With lower income coming from gate receipts, season tickets and the TV income less than the other leagues, a focus needs to be on marketing of the brand of the club. Something Bayern Munich has been trying to do for a while now.
Rummenigge on the USA tour; “It's been good to very good. We've completely fulfilled all our goals and done good service to the Bayern Munich brand. All the good clubs have to make their way around the world. You have to join in this process of globalisation. It's the right path. Our plan is to go to certain markets we consider interesting every year, especially the USA and China. Our coach doesn't consider it a problem, he joins in actually. He's not complaining in the slightest.”
“I think the rest of the league needs to catch up. We were in China 2 years ago, now we are in America. We have been very active in this area, and I’m worried that our colleagues in the league are taking too long to address this issue.” – Rummenigge
“Our goal is to promote the Bayern brand around the world. We have to earn euros with our brand, and I'm sure we will. Partnering with FC Bayern needs to be even more attractive. I think the Bundesliga has to put the pedal to the metal a little more. The clubs have to undertake tours if we want to survive in the competitive international situation. What Bayern can do, others can do too.” – Rummenigge
Quotes via Rummenigge's official interview with BILD.
It is easier said than done though. For starters having recently won a UEFA Champions League, being dominant in the Bundesliga, a team full of stars and off the back of Germany winning the 2014 World Cup, Bayern may find it easier to organise tours in USA and China than say, FC Augsburg or FSV Mainz 05. Those two clubs had fantastic 2013/14 seasons, but can they really attract the crowds necessary to warrant touring countries outside of Europe? That aside, it is incredibly important for every Bundesliga club to recognise their branding potential. The top six Bundesliga clubs of last season should certainly be making waves in international marketing. Clubs such as Schalke, Leverkusen, Wolfsburg and Gladbach all have the reputation in Europe to try and break these international markets, while Hamburg and Stuttgart have the potential to return to the top, eventually. However the most important aspect of increasing the clubs reputation on the world stage is impressing in the UEFA Champions League. This competition brings in a huge number of viewers along with substantial TV income and prize money. This can be further seen in the massive increase that Borussia Dortmund has experienced. Despite losing in the final against Bayern Munich they have gained a large amount of supporters due to their playing style. Furthermore, Rummenigge’s comments seem like another dig at Dortmund, after this past week has seen a feud continue between him and the BVB officials. Borussia Dortmund is a club that needs to be benefitting from its recent sharp spike in worldwide reputation. Just as Bayern have found, tours to the USA and Asian countries can further increase the fan base, sponsors and additional opportunities. Schalke is another that can, and has, benefitted from its popularity in Japan.
Tours aside, simple changes such as offering translated language services on the club website has been widely adopted by Bundesliga clubs. Schalke’s website can be viewed in German, English, Russian, Chinese and Japanese. Bayern’s fans can view theirs in German, English, Japanese, Spanish, Chinese, Russian, Bavarian and Arabic, while Dortmund lack behind with just German, English and Japanese. In terms of scale, the costs of having different language options on the official website would greatly outweigh the benefit as the club embraces its diverse fan base. Not only will it help to keep the fan base well informed, but it certainly does not hurt letting fans view the club store in their native language. These language benefits have been further evident in social media with Schalke recently adopting options to let Facebook users view their posts in English, while Mainz have just started an English Twitter account. In addition to the language settings, including a social media team that interacts with the fan base has been well accepted, most obvious in Borussia Dortmund’s large increase in followers. Basically it all comes down to knowing your fan base, and recognise its diversity. Adapt or you will be left behind.
So in conjunction with an active multilingual social media outlet and club website, what else can the smaller clubs do? Well, as simple as it sounds they need to win competitions and have continued success, à la Borussia Dortmund, something that is kind of difficult to do for clubs such as Augsburg and Mainz though. The next option is something that is already occurring in the league, and that is having a squad that reflects that of the supporters. Many Bundesliga clubs have benefitted from the influx of players from Japan in recent years; a nation that embraces its international footballers like major celebrities. Pre-season tours to countries that are well represented in the squad could prove highly beneficial to the clubs outside the top six, rather than trying to break the big markets.
“The goal is pure sustainability. We won’t stop with just sending the first team into these regions. The women’s team is coming here, youth teams will follow and also the basketball team.” – Rummenigge regarding the tour in USA.
With Karl-Heinz Rummenigge saying Bayern Munich will look to further expand their international brand in Asia in the coming years, the real question is can the other Bundesliga clubs really catch up?