Model Cases

Support for strengthening the management of professional sports clubs

Issue

There is generally a relationship between a sports team’s financial strength and their athletic performance. To increase financial strength, it is necessary to invest in long-term business growth, while also allocating as much money as possible to short-term team strengthening (especially in sports with promotion and relegation). Achieving the right balance between these two factors can be a challenge for all professional sports teams. The measures required to achieve this balance will vary based on the individual circumstances of the team, such as the size of the management and the presence or absence of a parent company. To make the most effective use of allocated funds for team strengthening, a strategic approach is essential, such as efficient player scouting and the use of technology in training. On the business side, it is necessary not only to expand existing revenue streams but also to establish new sources of revenue.

Support

We have a Brazilian subsidiary company that manages a club specializing in training professional soccer players. Our experience in sports club management has given us a unique understanding of the organizational, functional structure, and financial characteristics required to run a successful club. We use this knowledge and insights from our extensive domestic and international network of club management stakeholders and league operators to make a detailed list of club management issues. This list helps us identify and address issues quickly and effectively.

We have a history of supporting club staff through a cycle of planning, implementation, and evaluation of short-term measures that have an immediate impact. We also help clubs develop mid- to long-term plans by acting as a bridge between the field and management. We analyze mid- to long-term industry trends, and current business and financial conditions, and provide information on advanced initiatives in Japan and overseas to help clubs make informed decisions.

Results

A sports club received support for a short-term measure to rebuild its school business, improving the profitability of existing schools, planning the opening of new schools, and developing new revenue-generating services. The client’s revenue was increased and stabilized. The company also contributed to increasing the value of the club as a whole by providing support for ticket sales to attract more customers and club rebranding.
In addition, by formulating a medium-term management plan that incorporates a business plan for overseas expansion and a plan for monetizing the fan base, the club was able to present its vision for the future, thereby strengthening its earning capacity through organizational design and new sponsor acquisition associated with the restructuring of the club structure.

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