As of 2022, KK Partizan has parted with their long-term sponsor NIS, to sign a new deal with the Mozzart company. They will also be registering for all competitions under the new name KK Partizan Mozzart Bet.
The total amount of the deal does not seem to be disclosed yet, but President Ostoja Mijailovic stated "this is the largest single contract that has ever been signed in our club". Along with their new deal this year Partizan also sold a record-breaking 11,000 season tickets providing them with the highest income from basketball season tickets in Europe. However, Mijailovic mentioned that even with this deal and Partizan's record ticket sales they still face an upward battle in comparison to other big EuroLeague teams. He goes on to say their "budget is three times smaller than some others" and on top of that, they still have difficulty with the budget due to exchange rates increasing contract prices when paying the American players in Dollars. This new income will provide Partizan with more opportunities than they've had before.
Q: Do you think this new income will be enough to make Partizan a stronger threat to the big-name EuroLeague teams? If not, how much more do you think they need to make before they are?
Source: https://basketnews.com/news-178716-partizan-president-basketball-is-a-beautiful-but-unprofitable-sport.html
This is a clear example of how smaller market teams are negatively affected. To compensate for these challenges, they have to strategize in other ways. In this scenario they are partnering with the Mozzart company, which gives them another stream of revenue. We talked a lot in class about major football clubs revenue breakdowns, so I am curious what KK Partizans is.
ReplyDeleteKK Partizan definitely does not get the commercial revenue value that some of the bigger clubs in the Euroleague get. I agree with you that this is a fundamental issue with sport in its current format and something that the Premier League did to combat was spread out the league revenue more evenly. Maybe this is something the Euroleague could implement.
DeleteI think it's very difficult to determine how much more revenue they need to make before they are a stronger competitor, as there are many factors that contribute to a team's success beyond just financial resources. Personally, I don't think a change in sponsors will be enough to transform this team into a top team in the Euroleague, but I could very well be wrong so I'm interested to see how they do this season.
ReplyDeleteI agree with your thoughts about this not making a major change in the immediate impact of the team. It is still to be seen, however, if this small boost in income can compound and allow KK Partizan to further gain more sponsorship deals.
DeleteI think that it is hard to tell whether or not this income will be enough to make them a stronger threat. There are a lot of different factors like finances and resources, and depending on that, it can pose a threat. I am curious to see if this change will have an effect on the team.
ReplyDeleteI agree that it will be difficult to tell the immediate impact this sponsorship will bring. Hopefully it will provide a compounded effect for the team.
DeleteI fully agree with your statements. After writing about the article and doing further research I gathered that this deal is supposed to be a pretty large sum of money. The president of Partizan also commented on the fact that EuroLeague basketball is a pretty financially ugly sport but hopefully this will be helpful for them to overcome some hurdles.
DeleteIt is very hard for these smaller teams to do much financially to reach Barcelona/Madrid status. So no, I do not think it will be enough but it surely will help. For these smaller market teams, they must develop from within and find undervalued players that they believe can fit their team. It will be interesting to see if some of these smaller market teams can close the gap.
ReplyDeleteI agree with you about the difficulties of the smaller market teams to compete with the giants like Barcelona and Madrid. I also agree that it is very important for these smaller market teams to sign younger talents and develop them, rather than signing the big names due to a lack of funds.
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