It is quite spontaneous to insert Messi’s name in a sentence describing MLS’s growth of late. That’s not just because of his move to Inter Miami CF and the consequent impact on its business, but also because of overall impact his move had on the entire MLS be it viewership, ticketing and of course, commercial dubbed popularly as the ‘Messi Effect’
As Jen Cramer, EVP of partnership marketing at MLS, says Messi is just one of a few reasons why the league is seeing growth across the board
In this post we will evaluate the commercial growth of MLS and the Messi effect on merchandise and ticketing
Commercial Revenue Growth
As per Sponsor United’s MLS Marketing Report, 2023 MLS team sponsorship revenue soared to $587mn in its 28th season— a 15% increase y-o-y. This is also aided by the growth in TV viewership and attendances boosting 16% increase in the total number of sponsorships. The total number of league sponsors in 2023 reached to 33 adding 10 in one year alone. For the 2024 season, the MLS has partnered with over 31 different league sponsors
Sponsor United mentions a very interesting factor about the consumer demographics of MLS which makes it so appealing. With an average age of 37.4, MLS boasts the youngest, most diverse fan base in North American sports
- 67% of which are Gen Z’ers and Millennials
- 77% are digitally native
- 31% are Hispanic
The above factors certainly draw a broader appeal for the brands
Industry Categories
In addition to the national sponsorship deals, MLS teams secure their own local and regional sponsorship deals which adds to the total commercial revenue. Sponsor United report suggests financial, alcohol beverages, and automotive sectors have been the most dominant industry categories, boosting teams’ average number of deals to 75 from 65 last year. In a contrasting image, the number of deals with NFT, Betting & Daily Fantasy subcategories decreased substantially
The top 5 categories with the highest number of deals are:
- Beverage Alcohol: 226
- Auto: 135
- Financial: 124
- Beverage non-alcohol: 120
- Business Services: 119
The chart gives a snapshot of the categories with highest cumulative value and their subsequent number of deals
Teams with Highest Deals
Sporting Kansas City’s leads all MLS teams in both sponsorships and use of digital ad boards in the club’s stadium with 125 deals. MLS’ migration to in-venue digital signage also helps the growth as digital assets are steadily replacing former marquee assets whose popularity is falling sharply
The teams with most deals, both sponsorship and digital signage
- Sporting Kansas City: 125
- Austin FC: 111
- FC Cincinnati: 107
- Columbus Crew: 102
- Nashville SC: 93
The chart shows the top 10 clubs with highest number of deals
The Messi Factor
Aside of sponsorships, effect of Messi can be seen in the merchandise & ticket sale data. In 2024, the quantity of merchandise sold via the league’s online store jumped 44% year over year. As per the league, 2024 is the second year in a row that Messi’s Inter Miami No. 10 jersey ranks number one on the Adidas MLS jerseys on MLSstore.com
With regards to the interest in season tickets
- Season ticket sales for 2024 are up 15% over Opening Day last year, according to the league
- 24 of 29 clubs ahead of pace year-over-year
- Combined, the league’s season ticket revenue is up 25%
Conclusion
MLS has made prolific progress in the recent times most notable of them has been to become an attractive destination for brands
On the other hand, MLS still has numerous opportunities for growth like continued expansion of the league which will help to increase the league’s overall market presence, infrastructure (football-specific stadiums) development and the cultivation of passionate fan bases which will further contribute to a more vibrant and exciting matchday experience
We can look forward to a stronger league emerging
