ESPN SCRUM

/ Heineken Cup 2013-14

/ News

The future of European rugby
Clubs set for cash windfall from new-look euro cup
ESPN Staff
March 20, 2014
The tussle over the future of the Heineken Cup appears to be coming to an end © Getty Images
Enlarge

The revamped European tournament that is set to replace the Heineken Cup will take on a Champions League-style format and experts have predicted it will double the participants income.

The Telegraph claims the new structure for European rugby will be signed by the various stakeholders by the end of this week with a compromise over the broadcasting rights due to be unveiled simultaneously. The newspaper claims the broadcasting revenues will rise by 50% for the first year of the tournament, a competition that will see the number of teams drop from 24 to 20, with the revenue set to double over the next five years.

For the English clubs, the teams are likely to see their portion of the tournament pot go from £9m to £16.7m as they reap the benefits from the competition not having a title sponsor but instead "four to six commercial partners", according to the newspaper.

"I would expect sponsorship to increase by 25% next year and if BT Sport and Sky Sports do a new broadcast deal, it could be in a very good place, very quickly," Steve Martin, chief executive of sports agency M&C Saatchi Sport & Entertainment, said. "It is a really smart play to follow the Champions League model, as that way you get those brands doing the marketing for the tournament and not just one brand but four to six.

"In the current structure, the second tier sponsors were promoting Heineken, but what you can do now is promote your own brand and promote the tournament. The trick now is to have the right brands, with the right flair and creativity. As well as the traditional rugby brands, you want to have a bit of a maverick brand in there that has a bit of energy and innovation.

"When you get a brand marketing the tournament for you it is dynamite. That is the Holy Grail from the marketing point of view. If you are sitting there as a rights-holder of the new tournament, your dream is to have four really successful blue-chip brands all working for you, as opposed to one. Rugby is hot at the minute, it will be an attractive proposition for brands to go in and support it."

© ESPN Sports Media Ltd

Live Sports

Communication error please reload the page.

  • Latest
  • Most Viewed
  • News
  • Features
  • Formula One

    Tough at the top

    Who has driven in the most GPs before taking pole position?

  • Formula 1

    F1 cost cutting: Not putting money where the mouth is

    Mudslinging and an agreement on something that will never happen, it's all in a day's work for a Formula One boss, as Maurice Hamilton explains...

  • Rugby

    Unsavoury sledging did not end with Potgieter

    Fallout continues from the NSW-Brumbies derby, with one Tahs forward - not Potgieter - surprised by other unsavoury comments during the game, Greg Growden reports

  • Rugby

    Super Rugby preview, team news, line-ups: Round 7

    Greg Growden previews Super Rugby round 7. We've also got key stats, team news and all the line-ups to inform your ESPN Footytips Super Rugby picks

  • Formula 1

    Storm clouds gather in Malaysia

    Will Mercedes dominate again? Can anybody catch up with the help of a rainstorm? And will the Red Bull/Renault relationship tear itself apart? All those questions and more will be answered at this weekend's Malaysian Grand Prix

  • News
  • Features
  • Inside Boxing

    'I've sparred with Klitschko and Fury - now I want Joshua'

    Unbeaten heavyweight Dillian Whyte, 28, (14-0, 11 KOs) tells ESPN where his rivalry with Anthony Joshua stems from and outlines the plan for his career this year after returning from a doping ban in November

  • UFC

    Top 10 best UFC fighters of all time

    Some of the best fighters to ever glove up have plied their trade in the Octagon - now ESPN list the 10 best who have fought under the UFC banner

  • Ask Steven

    Home front

    Who was the first Briton to win the British Grand Prix?

  • Ask Steven

    Pointless drivers

    Where does Anthony Davidson's record of 24 Grands Prix without a point rank him?

  • Ask Steven

    Home favourites

    How many F1 drivers have had one win, but done it at their home Grand Prix?

Sponsored Links

Make Huge Income from your Home
Download your Free Guide And Learn How To Increase Your Monthly Income