PSG eye major commercial uplift over next decade in Fanatics tie-up
Paris Saint-Germain, the perennial French soccer champions, have today signed a lucrative, new 10-year deal with Fanatics, the US online sportswear and equipment retailer.
Terms of the deal were not announced, but the two parties said it was "one of the most comprehensive and ambitious sports merchandising partnerships ever created."
Fanatics and PSG previously had an e-commerce agreement in place but the new contract is significantly broader, and includes manufacturing rights and management of the club’s apparel, headwear and hard goods licensed products.
Fanatics will exclusively operate the e-commerce business for the Ligue 1 powerhouse and will become the master licensee for all products in its portfolio except for Nike and other co-branded offerings. PSG will retain ownership of its brand.
A year ago, PSG signed a new 10-year kit supply deal with Nike, worth a reported €80 million ($89.8 million) per year, a substantial uplift on the €25 million per season it had been receiving from the US sportswear giant. That agreement allows PSG to use Nike's Jordan brand.
By targeting PSG’s database of 45 million active customers in Europe, North America and Asia, Fanatics is projecting it will be able to triple the club’s e-commerce business over the next three years to exceed €35 million and double the number of licensees over the next two years. The club has more than 5,000 licensed products in some 350 categories.
Fabien Allegre, PSG's brand diversification director, said: “What is special about Paris Saint-Germain is its brand ambition in fields outside football. On the other side, Fanatics has an incredible know-how when it comes to fan experience and maximizing the potential of sports brands. Our ambition which is high, is to join forces at times when consumption habits change rapidly and business evolves daily.”
Gary Gertzog, Fanatics’ president of business affairs, added: “Paris Saint-Germain is one of the most forward thinking and innovative football clubs in the world and is, without doubt, one of the hottest brands in global sport right now. Partnering with like-minded organisations that enjoy thinking outside of the box to move the industry forward is what excites us. We are incredibly proud to team up with a club that is willing to push the boundaries of what is possible to continue enhancing the experience for sports fans globally.”PSG recently won their seventh Ligue 1 title in eight seasons, and are through to the quarter-finals of the Uefa Champions League.