Analysts said that rugby traditions "die hard in New Zealand," and resistance to change "also partly explains" why the All Black brand was valued this year at just $132M while ManU's name weighs in at more than $1B, according to Tim Witcher of the AFP.
Brand Finance COO Bryn Anderson: "When you compare it to other sporting brands, Manchester United and some of the American codes, it is absolutely tiny in comparison." ManU's annual revenues are about $700M a year while New Zealand revealed about $80M in commercial revenues for '14.
New Zealand, has major sponsor deals with insurance giant AIG and adidas. New Zealand media said that AIG is paying about $10M a year "to put its name on the All Black jersey." The adidas deal "is reportedly worth slightly more."
Adidas this year signed a 10-year deal with ManU worth $1.1B. Repucom CEO Paul Smith said that comparing rugby with the EPL and the NBA is an "unfair fight."
He added that the All Blacks "also suffer because New Zealand has a population of just over four million."
But Anderson and Smith said that the All Blacks "are not exploiting all their opportunities and that revenues would grow." Anderson: "The All Blacks almost transcends rugby. It is almost a bigger brand than rugby." But he added that the All Blacks' status as a national institution "had held them back." Anderson said that the All Blacks "were starting to realise their worth and said they should learn from Ferrari." He said,
"In motorsport, it is the strongest brand and goes beyond motorsport. They have got stores, they have licensing deals they have a merchandise name. They are streets ahead of the All Black brand and I put the All Blacks and Ferrari in a very similar position really" (AFP, 11/1).
