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Liverpool’s Adidas Deal: Breaking Down the True Value

Liverpool’s recent deal with Adidas has been making headlines, but don’t be fooled by reports claiming the partnership will bring in £60 million per year. The reality is much bigger, with the club likely earning over £100 million annually from the deal, positioning it as one of the most lucrative in football.

Why the £60m Figure is Misleading

Historically, Liverpool has consistently underplayed the value of their kit deals. For instance, during the New Balance era, the club publicly stated it was earning around £30 million per year. However, during a 2019 court case, it was revealed that the actual figure for the 2018/19 season was nearly double that, at £59 million. This tendency to understate numbers has created a false narrative around Liverpool’s Adidas deal as well.

Kit Deals Driving Commercial Revenue Growth

Liverpool’s commercial revenue continues to rise, with kit deals playing a pivotal role. In the 2018/19 season, the New Balance deal contributed to 31% of the club’s £188 million commercial revenue. Fast forward to today, and the club’s commercial income is set to exceed £300 million either this season or next. The Adidas deal will remain the single largest contributor to this growth.

The Nike deal, previously in place, was reported to bring in between £80 million and £90 million annually, far surpassing the commonly mentioned base figure of £30 million. The revenue generated from kit and merchandise sales reached a staggering £113 million in 2022/23, the highest in the Premier League.

Adidas Versus Nike: Tactical Shift

Adidas snatching the Liverpool deal from Nike was a bold move, considering Nike had the right to match any competing offer. However, Nike chose not to, even though their partnership with Liverpool had been financially successful. This speaks volumes about the scale of Adidas’ offer, likely driven by the brand’s ambition to strengthen its hold on the football market after losing the German national team contract to Nike.

For their own reasons, Liverpool continues to downplay the financial value of this Adidas deal. But fans should rest assured—this partnership will generate more revenue than any other Premier League club’s kit deal, cementing Liverpool’s position at the top of the commercial game.

Our View – Anfield Index Analysis

This Adidas deal feels like a game-changer for the club. While the club has been downplaying the numbers, it’s clear that the Adidas partnership is set to rake in unprecedented sums. It makes sense when you consider that Nike’s previous deal brought in close to £90 million a year. Adidas wouldn’t swoop in without putting a serious offer on the table, especially given their desire to rebound after losing their long-held German national team contract to Nike.

This boost in revenue should mean that the club has more financial flexibility, especially when it comes to reinvesting in the squad. Given the competitive landscape of the Premier League and the ambitions to remain one of Europe’s elite, the extra funds from Adidas could be crucial in securing top-tier talent or upgrading facilities.

Furthermore, it’s a point of pride for the fanbase that Liverpool now likely hold the most lucrative kit deal in the Premier League. For a club with such rich history and global following, this partnership with Adidas reaffirms its status among football’s elite.

What’s even more exciting is the potential for iconic new kit designs, drawing on Adidas’ long history of creating some of the most memorable football kits in the game. For fans, this deal represents more than just numbers—it’s about maintaining Liverpool’s identity at the top of both the footballing and commercial worlds.

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