Emotions’ management within the Real Madrid football club business model

Abstract

Recent changes in the sports industry – derived from increasing financial pressures – have led to the update of existing business models. Particularly in football, the dominant clubs develop new business models based on the spectators’ commitment to the sport. Packed stadiums attract more people who consume both the matches and the many other associated goods and services. In an experience economy, the lever is the tapping of their emotions by an increasingly sophisticated value proposal. Groups of passionate supporters lead the way to the establishment of communities with a common interest in the club. Following a qualitative methodology (interviews and other texts’ analysis) our study of the Real Madrid Football Club (RM) business model suggests that one of the biggest football clubs in the world is creating a business model based on the emotions of its supporters. This finding could be useful for other clubs in many different countries.

Notes

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2. Wolfe et al., ‘Sport and Organizational Studies: Exploring Synergy’.

3. Blanco and Forcadell, ‘Real Madrid Football Club: A New Model of Business Organization for Sports Clubs in Spain’; Wann, Royalty, and Rochelle, ‘Using Motivation and Team Identification to Predict Sport Fans’ Emotional Responses to Team Performance’.

4. Madrigal, ‘Cognitive and Affective Determinants of Fan Satisfaction with Sporting Event Attendance’; Madrigal, ‘Investigating an Evolving Leisure Experience: Antecedents and Consequences of Spectator Affect During a Live Sport Event’.

5. Giulianotti, ‘Supporters, Followers, Fans, and Flaneurs: A Taxonomy of Spectator Identities in Football’.

6. Vallerand and Blanchard, ‘The Study of Emotion in Sport and Exercise. Historical, Definitional, and Conceptual Perspectives’; Vallerand et al., ‘On Passion and Sport Fans: A Look at Football’.

7. Wolfe et al., ‘Sport and Organizational Studies: Exploring Synergy’.

8. Brady, Bolchover, and Sturgess, ‘Managing in the Talent Economy: The Football Model for Business’.

9. Cross and Henderson, ‘Strategic Challenges in the Football Business: A SPACE Analysis’.

10. Weinberg and McDermott, ‘A Comparative Analysis of Sports and Business Organizations: Factors Perceived Critical for Organizational Success’.

11. Smith and Stewart, ‘The Special Features of Sport: A Critical Revisit’.

12. Wolfe et al., ‘Sport and Organizational Studies: Exploring Synergy’.

13. Zott, Amit, and Massa, ‘The Business Model: Recent Developments and Future Research’.

14. Ibid., 1035–6.

15. FGRC, ‘The State of the Game: The Corporate Governance of Football Clubs 2006’.

16. Szymanski, ‘Why is Manchester United So Successful?’.

17. Dolles and Söderman, Ahead of the Game – The Network of Value Captures in Professional Football; Karpavicius and Jucevicius, ‘The Application of the Business System Concept to Analysis of Football Business’.

18. Dolles and Söderman, Ahead of the Game – The Network of Value Captures in Professional Football.

19. Baroncelli and Lago, ‘Italian Football’.

20. Hay and McDonald, ‘Victory for the Fans? Melbourne’s New Football Club in Recent Historical Perspectives’.

21. Storm, ‘The Rational Emotions of FC København: A Lesson on Generating Profit in Professional Soccer’.

22. Vallerand and Blanchard, ‘The Study of Emotion in Sport and Exercise. Historical, Definitional, and Conceptual Perspectives’.

23. Izard, ‘Emotion Theory and Research: Highlights, Unanswered Questions, and Emerging Issues’.

24. Wollheim, On the Emotions.

25. Griffiths, ‘III. Basic Emotions, Complex Emotions, Machiavellian Emotions’.

26. Cialdini et al., ‘Basking in Reflected Glory: Three (Football) Field Studies’.

27. Snyder, Lassegard, and Ford, ‘Distancing After Group Success and Failure: Basking in Reflected Glory Off Reflected Failure’.

28. Wann and Branscombe, ‘Die-hard and Fair-weather Fans: Effects of Identification on BIRGing and CORFing Tendencies’.

29. Spears, Doosje, and Ellemers, ‘Commitment and Context in the Social Perceptions’.

30. Fink, Trail, and Anderson, ‘An Examination of Team Identification: Which Motives are More Salient to its Existence?’

31. Madrigal, ‘Cognitive and Affective Determinants of Fan Satisfaction with Sporting Eventttendance’; Madrigal, ‘Investigating an Evolving Leisure Experience: Antecedents and Consequences of Spectator Affect During a Live Sport Event’.

32. Vincent et al., ‘England Expects: English Newspapers’ Narratives About the English Football Team in the 2006 World Cup’.

33. Wasserman and Faust, Social Network Analysis. Methods and Applications, 20.

34. Underwood, Bond, and Baer, ‘Building Service Brands via Social Identity: Lessons from the Sports Marketplace’.

35. Tapp, ‘The Loyalty of Football Fans – We’ll Support You Evermore?’

36. Hamil and Chadwick, ‘Introduction and Market Overview’.

37. Comité de Ética en la Investigación UAM, Reglamento.

38. Deloitte, Sports Business Group, Fan Power. Football Money League.

39. Miles and Huberman, Qualitative Data Analysis. A Sourcebook of New Methods.

40. Ryan and Russell Bernard, ‘Data Management and Analysis Methods’.

41. Neuendorf, The Content Analysis Guidebook.

42. Ibid.

43. Campos, ‘Interview with José Ángel Sánchez Real Madrid Club de Fútbol’s General Marketing Director’.

44. Blanco and Forcadell, ‘Real Madrid Football Club: A New Model of Business Organization for Sports Clubs in Spain’.

45. Demil and Lecocq, ‘Business Model Evolution: In Search of Dynamic Consistency’.

46. Szymanski, ‘Why is Manchester United So Successful?’

47. Blanco and Forcadell, ‘Real Madrid Football Club: A New Model of Business Organization for Sports Clubs in Spain’.

48. Giulianotti, ‘Supporters, Followers, Fans, and Flaneurs: A Taxonomy of Spectator Identities in Football’.

49. Ibid., 26.

50. Dolles and Söderman, Ahead of the Game – The Network of Value Captures in Professional Football.

51. Blanco and Forcadell, ‘Real Madrid Football Club: A New Model of Business Organization for Sports Clubs in Spain’.