Strikes come to Manchester United from everywhere
English press reports revealed the negative impact of the Manchester United sponsorship contract on the sponsoring company, just 18 months after the signing of the agreement.
The Red Devils are going through a bad period in terms of the technical situation in football, but it has not been significantly affected commercially.
According to the Daily Mail, TeamViewer does not intend to renew its sponsorship contract with United after it expires in 2026.
What happened to the company and why won't the contract be renewed?
According to the report from the English newspaper, the German company has already confirmed that it will not extend its sponsorship contract when it expires in 2026.
TeamViewer's share price has lost four-fifths of its value since the global technology company replaced Chevrolet in the United shirt.
The cost of the deal, which was met with skepticism in the German stock market at the time, was blamed as one of the main reasons for the company's current difficulties, as were some other factors such as the war in Ukraine and the decline in the technology sector in general after the Corona epidemic.
The cost of the deal came to £47m a year, which is £17m less than what United were previously paid by Chevrolet.
What was stated in the company's statement?
The German company issued a statement explaining its financial position after 18 months of contracting Manchester United to sponsor the team.
"International awareness of the brand has significantly increased in the past year through the partnership with United," the statement read.
The statement continued, "However, the company has decided to review its long-term marketing strategy in light of the current economic environment."
What about United's position?
The report indicated that the management of the English team did not have a state of fear, as it believed that it could provide an alternative in the coming years, especially with the club's pursuit of development.
As the current deal still has 4 years to expire, giving the Red Devils a chance to find another offer.
Football Arena fbarena.com
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