Why the Championship Playoff Final winner lands mega moolah!
The Championship Playoff Final is set to take place today and while the likes of the World Cup Final or the Champions League Final may have more prestige in footballing terms, neither comes close to offering the financial rewards of winning this one game at Wembley.
Last week, one lucky player landed an incredible £5.5 million jackpot prize on the 24 May, 2019, and in an instant changed their life forever. Details on the winner are still sketchy but we are willing to bet that they have had an incredible bank holiday weekend, which is going to be right up there with the best they have ever experienced.
It is rare that you get to change your entire future in an instant and last week for one lucky Mega Moolah player that happened but it could happen again today and not just for one person, but for an entire football team and all of its fans.
Indeed, winning this game is the football equivalent of winning the Mega Jackpot when it has crashed through the 20 million barrier, and then winning that same jackpot between five and seven-and-a-half times more.
That is because the two teams competing in the game, Midlands rivals Aston Villa and Derby County, are playing for much more than simply promotion to the Premier League as along with that, comes a whole raft of massive financial benefits.
Why the Championship Playoff is football's richest fixture
It seems odd that a fixture contested between two teams that are not in the top division of their respective league, could be the most valuable game in football, but to understand why it is, you need to first grasp just how much being a Premier League teams matters in terms of finance to those clubs seeking promotion from the Championship.
In the 2019-20 season, a new TV deal with the Championship has been agreed with Sky which will pay teams in the Football League, which includes the Championship, League One and League Two (a total of 72 teams) a total of £595 million, with the majority of this money being paid to Championship clubs.
Even if this money was shared equally between the clubs, this would amount to less than £8 million per club. In addition, teams in the Championship that show a game live can typically earn around £100,000 to £140,000, while the away team will receive around £10,000 for that fixture.
However, with the new Premier League TV deal kicking in in 2019-20, if a team gets promoted to the Premier League then they will land a massive windfall.
Given the fact that all teams are due an equal share of half of the TV rights (which in 2018/19 was £34.4 million) and then on top of that they receive £43.2 million in revenue from Overseas TV rights, then they also receive cash each time they are shown live on TV, with teams earning around £1.1 million each time they are shown live and all teams guaranteed to be shown at least 10 times during the season. This can bring in an extra £12 - £33 million for teams.
There is also a £5 million payment for commercial revenue, plus a merit payment based on your league position which can range from around £2m if you finish bottom of the table, up to around £38.4 million if you finish top.
In the season just completed Liverpool earned a total of £152.4 million from their Premier League campaign, the most of any team, whereas the team that earned the least was Huddersfield Town, who still pocketed £96.6 million, which is likely more than ten times more than the majority of Championship sides earned last season from their respective deal.
However, teams relegated from the Premier League are also in receipt of parachute payments for the next four years, which helps soften the blow of relegation with the three teams relegated last season, Stoke, Swansea City and West Brom all picking up £42.7 million in parachute payments this season and scheduled to make gradually decreasing amounts over the next three years, unless they are promoted back to the Premier League in the meantime.
Add together all these factors and it is easy to see why many experts reckon that promotion to the Premier League is going to be worth around £170 million to the winning team on Monday. However, that calculation does not include a number of factors.
Firstly, the new Premier League season in 2019-20 will feature more live games than ever before, chiefly due to a new deal signed with Amazon Prime to show 20 games a season live on their channel. Furthermore, the new TV deal will kick in then which will see further funds distributed to each team.
However, what is not factored into these equations are the impact on winning promotion can have on a club's finances that the club itself can control. Promoted clubs tend to sell more season tickets and the prices for those tickets will generally be increased once the Premier League is reached. Premier League football attracts bigger crowds too with more people coming through the turnstiles. Furthermore, if you can avoid relegation, these benefits can roll on over the years to staggering amounts.
Swansea City, who were promoted to the Premier League in 2011, remained the top flight for eight years and it is estimated that over this period, the club earned around £800 million in total by being in the Premier League. Since their promotions, West Ham and Crystal Palace have also earned similar amounts.
Of course, it is not all good news for the clubs. Premier League status means paying players Premier League wages and this comes at a considerable cost both in terms of salary and bonuses and also in agents fees. But even so, with shrewd investment, even a single season in the Premier League can safeguard a club's future for many years to come.
However, overstretch yourself and you can find yourself in real trouble as a number of teams have done in the past such as Leeds, Blackpool and a few years ago, Southampton.
So today's game is the footballing equivalent of winning a World Record Mega Moolah jackpot prize for the teams. Whether it is Aston Villa or Derby County that are successful, let's hope that they decide to spend their windfall prudently to ensure the clubs future for next season and beyond.
Byline: This article was published by Mega Moolah expert Henry. Media and other enquiries.