Bayern Munich: Finances and Glass Ceilings

Bayern Munich have won the Bundesliga

for the last four seasons in a row and

11 times in total since the year 2000.

That success is reflected off the pitch

in their financial accounts. For the

2015-16 season, Byern recorded a total

revenue 592 million euros. This breaks

down into a 122 million in

matchday income,

148 million in broadcasting and

a huge 342 million euros in commercial

income. Domestically Byern dominate in

this area. Their 592 million-euro revenue

is over double that of Borussia Dortmund's,

the second-highest generators of revenue

in the Bundesliga. Beyond Dortmund the

picture is even bleaker and worse the

gap is growing. Byern have also steadily

grown in profitability recording a 54

million euro profit before tax last

season following improvements every year

since 2009.

Despite this Bayern are still falling behind

Europe's elite. The 2014-15 money league

place the German champions in fifth

behind Real Madrid, Barcelona, Manchester

United and PSG. The

principal reason for this is Bayern's

relative lack of broadcasting income. The

club fall to 12th in Europe for television

revenue, surprisingly behind Roma, and

Everton and Tottenham despite both

English clubs not featuring in the

Champions League. In fact from domestic

league income alone the Bundesliga

Champions earn less than the team

finishing last in the Premier League.

The Bundesliga has recently signed a new

TV deal due to start in 2017 which will

greatly increase the total earnings, but

remains insignificant in comparison to

the Premier League's current deal. A

contributing factor in the Bundesliga's

lower broadcasting income is a lack of

overseas interest. The Premier League

will earn over 3 billion pounds

from overseas television deals

throughout the course of the next three

seasons; around 40% of the

total haul. Each season this is worth

around 1 billion pounds to the league.

Estimates for the Bundesliga overseas

earnings in the deal beginning 2017

projects worth of around just 240

million euros per season; significantly

less. One potential reason for this

shortfall is ironically Bayern's domestic

dominance due to the club's massive

advantage, the Bundesliga can be

perceived as boring. The lack of

competitiveness relative to alternatives

such as the Premier League may actually

be hurting the league's overseas appeal.

This leaves Barern Munich in a difficult

situation. They struggle to compete

financially with Europe's elite due to

their relative lack of broadcasting

income, yet this lack could impart be

down to their total domestic dominance.

This could be described as Bayern's glass

ceiling.