Kieran Maguire: Liverpool rejected £50m deal as 'brilliant' new agreement struck
A strong overseas retail presence is essential for Liverpool because of the nature of their partnership with Nike.
So says finance guru Kieran Maguire, speaking exclusively to Football Insider as Liverpool announced a new deal with Unisport on 12 August.
The sportswear retailer operates in 10 countries in mainland Europe and Scandinavia.
Liverpool signed with Nike in January 2020 in a deal worth a reported £28million per season.
That figure is, as Maguire explains, significantly lower than the club’s previous deal with New Balance.
They instead negotiated a sales-incentivised package with Nike and so their retail strategy is particularly important, explains the spreadsheet expert.
Subscribe to Football Insider TV now
“Liverpool is a global brand,” he told Football Insider correspondent Adam Williams.
“As somebody that works in Liverpool, I see the difference on matchdays. When they play at home, you cannot book a hotel.
“It’s a huge driver of interest. But for those fans who can’t catch a flight and come to Anfield, this is brilliant.
“If the fans can’t get to the merchandise store, let’s make sure the merchandise store can get to the fans.
“It’s particularly significant given the nature of their deal with Nike. They were offered £50m by New Balance but turned that down.
“They instead took the deal with Nike where they have a lower base rate but get a higher commission on units sold.”
Liverpool posted a loss of £46m for the last financial year.
However, commercial income rose by £29m despite the notable handicap of the pandemic.