Sports industry loses billions of dollars due to pandemic

10/04/2020

The sports industry's losses amount to billions of dollars for stopping soccer and other sports from spreading Covid-19 in England, Spain, Germany, Italy, France, Mexico, Brazil, Argentina and the United States.

Worldwide, soccer teams agreed to cut their players' salaries to survive the crisis.
Worldwide, soccer teams agreed to cut their players' salaries to survive the crisis.

The coronavirus brought the ball to a halt, silencing the stadiums and televisions where fans watched Barcelona's Lionel Messi, James Harden of the Houston Rockets, the NBA, or the 500-mile race, the most traditional race in the Nascar Series.

One possible way out of this global crisis is to return to closed-door matches with a common universal protocol, if there is a slight improvement in the number of cases of the coronavirus

The most important football leagues in the world will not end the season

For now, there are empty stadiums, no one sells tickets or food, drinks or merchandise, the value of television broadcasting rights, sponsorship contracts has fallen, and all sports betting and logistics for the execution of matches have been stopped.

This vicious circle that is generated now reaches the players, technical directors and their assistants, the staff employed in institutions and companies.

Lionel Messi, the Argentinean soccer star, communicated through his social networks a 70 percent reduction in the salary of all Barcelona soccer players during the contingency in Spain. Betis, where Mexico's Andrés Guardado and Diego Lainez play, reduced their players' salaries by 15 percent.

In Italy, Juventus have decided to reduce the salary of their staff, in an action that will save them 90 million euros. In Mexico, Pumas, Cruz Azul, Querétaro, Atlas, and Santos have already agreed to reduce the salaries of their players.

Soccer, one of the most popular sports in the world, is the activity most affected by the coronavirus pandemic, as all its income has been frozen. It is estimated that the English Premier League will report losses of 1.8 billion euros if the football season does not end. 

The Spanish League will stop earning 1.3 billion euros and the German Bundesliga will no longer have 1.2 billion euros of income. All that will happen if the ball continues to be stopped and without going out on the pitch.

Italy's Serie A will no longer generate 800 million euros in revenue, just as France's Ligue 1 will lose 790 million euros in revenue.

Losses due to the cancellation of the MX League reach 700 million dollars, making it the most affected football tournament in Latin America. Brazil has already reported a drop of 460 million dollars in revenue and Argentina has losses of more than 325 million dollars.

The effects have already reached the main U.S. sports leagues: the NBA is the first victim and with losses of 1.6 billion dollars.

Baseball has a 1.5 billion dollar drop in income, the NFL has a 1.4 billion dollar loss, the NHL has seen a 1.3 billion dollar drop in income, Nascar reported a 1.1 billion dollar drop in profits and the MLS will fall by 1 billion dollars.

The crisis that the whole world is going through because of the Coronavirus pandemic has left the sport without being a priority and put it in the background. World sports competitions have been suspended and a miracle is expected to bring society back to normal this year.

By Mexicanist