International Players

The CR7 brand and huge commercial success: How United will recoup £68m investment in Cristiano Ronaldo

Manchester United signed Cruatsino Ronaldo for 13 million Euros with about 8 million euros in add-ons. He will also earn a salary of £480,000 per week on an initial 2-year contract. This amounts to £68m in total investment from United but this could yet be a success for United on the commercial front. What are the avenues to recoup their investment in the 36-year-old mega-superstar?

By Adedamola Samuel

Manchester United signed Cruatsino Ronaldo for 13 million Euros with about 8 million euros in add-ons. He will also earn a salary of £480,000 per week on an initial 2-year contract. This amounts to £68m in total investment from United but this could yet be a success for United on the commercial front. What are the avenues to recoup their investment in the 36-year-old mega-superstar?
Manchester United signed Cruatsino Ronaldo for 13 million Euros with about 8 million euros in add-ons. He will also earn a salary of £480,000 per week on an initial 2-year contract. This amounts to £68m in total investment from United but this could yet be a success for United on the commercial front. What are the avenues to recoup their investment in the 36-year-old mega-superstar?

Manchester United has splashed the cash on Juventus forward, Cristiano Ronaldo in a €13m deal that could rise to €21m with add-ons. The Premier League side chose to bring back their former player after he informed Juventus coach, Massimiliano Allegri that he would like to leave the Allianz Stadium. With less than 12 months left on his contract with the Old Lady, the club had to settle for a knock-down price instead of losing him for free next season. 

United quickly completed the deal, offering the player a 2-year deal that is rumoured to be worth £480,000 per week. This means an annual salary of £24.9m and £49.9m over the course of his initial 2-year deal. His transfer fee and pay packet mean United will be investing a total of about £68m on the 36-year-old during the initial 2 years deal. This could be a steep deal for a player that is on the other side of his thirties but due to Ronaldo's standing, it might still be a lucrative deal for the Red Devils. 

The move for Cristiano Ronaldo is one with so much commercial value due to the impressive personal brand that the Portuguese international has built. He is the most influential sportsman on social media and with hordes of fans from across the world, he will help to further amplify the Manchester United brand.

The 5-time Ballon d'Or winner set a record for jersey shirts sold in 2009 when he moved to Real Madrid, with at least 1 million of his shirt replicas sold out in the first day in Madrid alone. If he can replicate this feat for United this summer, then United would have made even more than the £68m they would spend on his transfer for 2 years. 

According to reports, the Old Trafford side might have already made multiples of his transfer fee and wages within just 1 hour of announcing the deal. It was reported that the shares of the EPL club jumped by 8% just 60 minutes after Ronaldo's return was announced. This would translate to an increase in valuation of up to $238.5m. With this, the EPL juggernauts have made a very wise commercial move and will certainly recoup the investment they have made on the player long before his 2-year spell at Old Trafford will come to an end.


Adedamola Samuel

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