Wednesday, 25 April 2012

The Value of Goals

Fernando Torres and Andy Carroll have a lot of things in common, large transfer fees, widespread criticism and now important, valuable goals.

FA Cup
Andy Carroll’s goal against Everton in the FA Cup was worth a minimum of £1.8m in prize money, rising to £2.7m if Liverpool wins in the final. This is based purely upon the money won following his goal and, in the case of a win in the final, the money they have the potential to win as a result of that goal. This is obviously added to by the money the club may receive from sponsorship bonuses and any other additional revenues that the final may generate, either through merchandise or more indirect potential revenues from the added publicity the club will receive. A study on the financial impacts of the FA Cup by Deloitte states that a Championship or Premier League club entering in the third round will win a minimum of £3.4m, so Carroll’s goal is responsible for around 80% of Liverpool’s winnings and Deloitte also reveals that clubs receive a significant proportion of the gate receipts in addition to television money for games covered live.
Using the example of Stoke’s run to the FA Cup Sixth Round in 2009/10 Deloitte shows that just by reaching the Sixth round through playing Chelsea, Manchester City, Arsenal and York City, Stoke earned an additional £1.8m. From reaching the final Liverpool can expect a substantially higher payment than this and, combined with the prize money and other additional revenue generated as a result of the final appearance, this means they can expect a very healthy return on Carroll’s goal. The win also would have secured Europa League qualification had they not already secured it through the League Cup and last season Villarreal earned 9m Euros from this competition.

Champions League
Last year as losing finalist Manchester United were awarded 5.6m Euros, which is roughly £4.5m, on top of the money they had already won from previous rounds. Presuming the prize money is around the same this year (it may well have increased) Torres can reasonably claim to have been responsible in part for a significant proportion of that. Chelsea may have been going through with the score at 2-1 but Torres’ goal sealed it so his contribution was significant and again there are substantial additional revenues to be generated through this result, particularly if Chelsea only manage to secure Champions League qualification for next season by winning the tournament. Chelsea’s total earnings from the competition in 2010/11 were 44.5m Euros when they only reached the Quarter Finals so qualification and progress is very well rewarded. Even the lowest earners MSK Zilina who lost all 6 of their games earned 7.4m Euros.

To say that Torres and Carroll can claim full responsibility for these earnings would be ridiculous. Football is a sport of 11-a-side teams and the substitutes, coaches, staff and fans also deserve credit. Despite this I think the financial implications of these two goals certainly deserve some recognition and perhaps, combined with their sentimental value, they will help to quieten down some of the criticism of these two players. On the basis that they can’t claim full responsibility for this income, people, equally, can’t deny their contribution to the other results of their clubs and the financial benefits of these. £85 million is a lot for 16 goals between them but that’s a massive simplification of their contributions.

Champions League Financial Distribution 2010/11: (

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