Towards a viable business model for the management of professional football in Africa

Abstract

Professional football clubs, as a significant element of the African and South African sports industry, find it increasingly difficult to balance the needs of shareholders and fans, and be commercially viable concurrently. It is in stark contrast with European professional football clubs in the UEFA (European Football Association) and English Premiership leagues that consistently enjoy financial success and growth. The business models of European professional football is highly structured, and reliable data are available through detailed financial statements of professional football clubs and industry reports. In stark contrast, in Africa, professional football business models are almost non-existent. This study aims to propose a viable business model for managing professional football in Africa. Specific objectives were to explore the variables of professional football business models, examine and compare quantitative financial data of identified business model variables, evaluate qualitative views of professional football experts on the relevance and significance of business model variables and propose a viable business model for professional football in Africa. A mixed methods research design was used to collect data by analyzing business models and financial statements of professional football clubs and conducting semi-structured interviews with a purposive sample of senior executives in professional football in Europe and Africa. Findings indicated that elements of the revenue-generating business are standard across African and European professional football models but that African clubs underutilize these elements. Qualitative data corroborated this finding, and a business model for African professional football clubs was proffered.