150 is a profit everywhere
"Twenty million yuan?"
Liu Hongwei is very fast. Although their company is now fully engaged in the Women's Four Nations Tournament, the Women's Four Nations Tournament is not a commercial competition. Because it is difficult for the Women's Four Nations Tournament to make much profit. Their operation of the Women's Football Four Nations Tournament this time is more to curry favor with the Football Association and the General Administration of Sports.
Like the last time the England national team was invited, this is the faΓ§ade of the Chinese Football Association. If AutoNavi wants to be the leader in China, it must meet some requirements of the General Administration of Sports and the Football Association. Just like the current Women's Four Nations Tournament, which is not profitable, they have to give it their all. Compared with the Women's Football Four Nations Tournament, Liu Hongwei is now focusing all his energy on the jihua proposed by Lister. Therefore, he pooled the company's expertise and carried out simple cost calculations.
The cost calculation of zuihou turned out to be more than 20 million yuan. When this cost came out, Liu Hongwei himself was also taken aback. Now AutoNavi's assets don't add up to that much money. Moreover, generally this kind of commercial competition needs to pay half of the deposit before the competition, that is to say, when there is no income, AutoNavi must advance more than 10 million yuan, and this kind of financial pressure is not a little bit.
Even Rist was stunned when he saw this cost, more than 20 million yuan. More than 20 million yuan converted into US dollars is more than 2 million US dollars, and it is almost 3 million US dollars.
"How did you come up with such a high cost? According to the current price, even teams like Milan and Juventus will only play in China for less than $500,000, and if it is Lazio, it will be $300,000 or 400,000 at most. And Manchester United and Liverpool in the Premier League have a maximum appearance fee of $400,000. β
Rist was surprised. It's simply not possible. At present, the appearance fee of European clubs is still very low. Far from the time when the appearance fee of 1.5 million euros or 2 million euros was later during the Real Madrid Galaxy battleship period. Just two years ago, Arsenal played in the China Business Championship, and they were almost a friendship price, less than $200,000 in appearance fees.
And Rist remembers one thing clearly. That is, after Manchester United won the treble in 99, Shanghai Shenhua invited Manchester United to Shanghai to play a commercial match. At that time, Manchester United's appearance fee was only 350,000 US dollars, although Ferguson and Beckham were missing, but the treble champion Manchester United still set off the pursuit of Chinese fans. In the end, Shanghai Shenhua in that commercial competition, the ticket revenue alone exceeded 20 million yuan, and the net profit reached 18 million yuan. It can be said to be a model of China's business competition.
At that time, Manchester United's appearance fee was only 350,000 US dollars, and Lazio could not exceed it. How could it be that the budget exceeded 20 million yuan.
Liu Hongwei handed Rist the various expenses they estimated, and said with a smile: "Rist, I'm going to make a big estimate." For both teams, I calculated it on the basis of an appearance fee of $400,000. The Premier League team let him play one game in Guangzhou. The Serie A team played a game in Shanghai. Then the two teams went north to Beijing to play a match. In that case, the appearance fee alone is $1.6 million. This is the largest head. But some other PR costs are not insignificant. Just like some related intermediaries, we have to spend money, and this budget is more reasonable. β
With that, Rist nodded. It is true that more than two million dollars seems like a lot, but in fact, when analyzed carefully, it is really not a lot.
"So, Mr. Liu. Where do we make our money from? β
That's what Lister cares about most. Rist though is now a well-known agent. However, there are still many shortcomings in these business operations. Although Rist's purpose in holding such a business competition is not to make money. It's more about wanting to have a good relationship with those European giants. But of course, it's also good to make money by the way. How can you not make money if you have money. So Rist was curious. The cost of more than 20 million yuan, then where to make money.
Hearing Lister's question, Liu Hongwei smiled slightly. He said confidently: "Lister, of course the big head is the sponsor and the ticket." First of all, in China, the ticket is the most important thing. Now it is very common for China's top stars to have concert tickets of hundreds, hundreds, or even more than 1,000 in good positions, but they are still selling very well, and more and more Chinese civilians are rich. Our minimum ticket is 80 or 100, there is absolutely no shortage of fans, plus those positions haode high-priced tickets can be set at about 300 or 500, and there are also many fans. And this kind of high-priced tickets are generally not bought by individuals, but are purchased by groups. In this way, the recovery of 50 million yuan in three games is still the most conservative estimate. As long as we promote it properly, I believe that even if there are 70 million yuan tickets, it will not be a big problem. β
Rist was surprised. Because the stadium is not its own, it is necessary to divide the batch of tickets with the stadium. But even with some deductions, the tickets alone are already profitable. Could it be that the Chinese business competition at this time is really so profitable? At that time, Rist was just a small agent and his status was not high, so he was not qualified to know the inside story of this kind of commercial competition, and now he knows that the ticket revenue can be so high.
It is no wonder that when Real Madrid went to China in 2003 to make money, someone calculated the accounts for AutoNavi. It is believed that Real Madrid directly swept away 4 million euros this time, and can get 10 million euros in future commercial development. As the middle, AutoNavi's profit is also more than 20 million yuan. It turns out that the truth is not fake, there is really such a high room for operation.
"As for sponsorship fees, Puma can give them naming rights. But there are a lot of other sponsorships, like we can break down the three games. As long as we highlight the confrontation between the two teams in the Premier League and Serie A, and highlight the title of Puma's Zuihou, I believe Puma will not object. And the title of the two foreign and two games, to say the least, can also receive tens of millions of yuan. There is also advertising on the field, which is also a large amount of income. In this way, if this part of the income is operated well, maybe it can be about 30 million yuan. β
Liu Hongwei talked endlessly, as if he had really seen a large amount of money. As he spoke, he became more and more excited, and said to Rist: "Rist, do you know? At that time, once the publicity spreads, it is estimated that many hotels will want them to stay in their own hotels, and there will be many training grounds hoping to allow European teams to train at their training grounds. Of all the hotels and training grounds, we can choose to pay the most. Aren't you saying it's all about money? And we can let go of their training, and the tickets for the training are also sold. β
"Mr. Liu, you are amazing. You've thought about it so much in just a short period of time. β
Rist didn't expect Liu Hongwei to have so much consideration. And I think a lot about it, and I look for a lot of various profit points in the business competition. If it were Rister holding such a commercial competition, it would simply not be possible to think about it so much. This is like interlacing, and many things need professionals. It is not for nothing that Liu Hongwei's Gaode Company was able to run so many commercial competitions later, precisely because of a professional person like Liu Hongwei.
"Lister, although our company has only been established for more than three years. But I've done quite a few of these commercial tournaments, but the first few times I had limited income. But it's just that because I don't have experience, I don't know how to operate the commercial game. Over the years, I've been learning from my experience and thinking about where I'm going to make my money. So it's not something that I thought about for a while, it's something I've been thinking about for the past few years. If he succeeds this time, I want to turn him into a model for Chinese business competition. β
"It's just a pity. In China, the broadcast fee is not high, and we must not offend the media too much, especially CCTV. Even if it's cheaper, you should cooperate with CCTV. The income of this piece will be a little lower. β
Listening to Liu Hongwei's words, Reese nodded. For important tournaments in Europe, broadcast fees are expensive. But in China, broadcast fees are almost dispensable. Just like the strong CCTV, when negotiating with the Chinese Super League, the broadcast fee proposed by the Chinese Super League was a bit expensive, and CCTV immediately refused. As a result, zuihou CCTV did not broadcast its own league, and the brand of the Chinese Super League did not have the big platform of CCTV, and his value immediately fell to the bottom. In the end, the Super League even ran naked, but there was no sponsor to give him naming rights. It can be said that it is a lose-lose result, and CCTV has been bombarded by Chinese fans. The Super League is getting worse and worse, and the number of people who pay attention is getting fewer and fewer.
However, even if the broadcast fee is less, according to Liu Hongwei, as long as the operation is really successful, then there will be profits everywhere. According to Liu Hongwei's jihua, if it succeeds this time, the profit will definitely be considerable. What are you afraid of when the cost is high, look at the place where the money comes from, this cost is nothing at all.
"Mr. Liu, then you just wait for my news first. I'll get in touch with their club first and I'll let you know as soon as I can. Together, we have more in-depth negotiations with their clubs. β
Looking at such high profits, Rist suddenly didn't want to be just an intermediary. How much money can be made by the intermediary, Rist hopes to get a share of the subsequent profits.
Therefore, Rist and Liu Hongwei had a negotiation. At present, Liu Hongwei is short of money, and the cost of more than 20 million yuan is relatively expensive for him. Although he can get enough profits in the later operation, his capital is still short in the early investment. Rist also took a fancy to this, so he was willing to help Liu Hongwei with some investments in the early stage. Rist's requirements are not high, as long as thirty percent of the profits from this event. For this 30 percent profit, Rist is responsible for 30 percent of the investment. (To be continued......)