Robert Elstone believes
Everton's new £16m shirt-sponsorship extension with Chang can give the club a “competitive edge” on their Premier League rivals.
The Blues chief executive was in Bangkok today to sign the three-year deal, which is the most lucrative in the Goodison outfit's history, and said it will help
Roberto Martinez's team to prosper while also building their fan-base in the significant Asian market.
Everton's decade-long partnership with the Thai beer firm is the longest-running shirt deal in the Premier League, and Elstone insisted that the sum it is set to generate will be an important part of the club's financial landscape.
Reflecting on the deal, which has risen by 33% (or £4m more than the previous agreement in 2010), he said: “It comprises a significant part of our annual turnover. It's the equivalent of the gross receipts of four Premier League games, so in that sense it's a large sum.
“As all fans know this year we're the beneficiaries of a phenomenal new television deal, and TV rights account for an ever increasing proportion of our income. In that sense, the main sponsor income is declining as a proportion but the big thing is it's revenue we control and can give us an edge over our rivals.
“While all clubs are getting the big TV cheque, not all clubs are getting sponsorship deals of this value so it gives us that little bit of competitive edge.
“If we get down to brass tacks it's a good deal for Everton. The values are right, and on Chang's part we deliver what they need which is profile, brand association and the world-wise exposure that comes with a deal like this.”
The agreement puts Everton in the top eight most valuable sponsorship agreements in the Premier League, said Elstone: “It's very difficult to get comparisons with the deals other clubs strike because the reported figures are very often inflated in my opinion.
“But our belief is that this stacks up very well and is the seventh or eighth most valuable deal in the Premier League.”
Potentially the sponsorship deal could be worth in excess of £16m, with additional payments based on the Toffees achieving certain specified targets in terms of league progress and silverware each year.
“Chang have always incentivised us on the pitch in every deal we've done with them, and they're achievable targets,” he said. “Over the term of the previous deals we've hit the targets and we're confident we'll hit them again.”
Elstone, who signed the contracts with Chang officials between the times of 12.19pm and 12.39pm in accordance with traditional Thai customs based on good luck, said the Blues had received other offers but chose to remain with a deal which offers the most mutual benefits.
“In a market place where there are probably more sellers than buyers in terms of sponsorships it's great that we can retain a very good partner,” he said.
“It's a deal we're comfortable with and it gives us a strong foothold in Asia which is an important market for us.
“It's also a testimony to how we consistently deliver for Chang and work hard to deliver their objectives. They're clearly happy with us. On their part we deliver what they need.
"While here we've met some of our Everton fan base and having a very credible brand on the front of our shirt brings important benefits in building that.
“In Chang's case it's a programme of work in Thailand we sustain and helps them make use of the sponsorship in their country; things like the Bangkok ThaiBev academy, the social and community work we do, and our help through some of the tragedies which have struck Thailand over the term of the partnership.”
Striker Arouna Kone was part of the group which travelled from Merseyside to celebrate the contract extension, and Elstone revealed that the first team squad could make a return to the South East Asian country for a high-profile friendly fixture over the next three years.
“We're delighted Arouna was here and grateful to him,” he said. “Chang have always been very keen for us to get first team players out here; he follows on from 2005 when the entire first team squad came out for a tour.
“Since then we've had Tony Hibbert and Marouane Fellaini and now Arouna. Chang love having them and they attract a lot of interest. Arouna has been a fantastic ambassador for the club.
“Chang are extremely keen to get the first team back out here for a tournament or a game and that's very much on our agenda over the next three years. We'd love to bring Roberto and his team over at some point. It would be fantastic for the Thai fans out here.”
