A question of competitive balance

New format: FIFA President Gianni Infantino at the presentation of the Club World Cup trophy at the latest edition of the tournament in Saudi Arabia in December 2023. IMAGO/Sports Press Photo

The Club World Cup's revamped format under FIFA President Gianni Infantino has long been casting its shadow. This is reflected, for example, in an extra transfer window and, of course, discussions with the associations regarding player releases. But the tournament, which takes place in the USA from June 14 to July 13, will also have financial consequences.

In Europe, for example, various officials, especially representatives of the national leagues and smaller and medium-sized clubs, discussed the effects of the immense prize money - FC Bayern, for example, receives a starting fee of 29.5 million euros , and BVB 23.4 million euros, according to kicker research - on the competitive balance.

Manchester City, for example, can earn up to €110.4 million. Measured against its 2023 annual turnover excluding transfers, that would represent a revenue growth of 13 percent, plus the increased Champions League bonuses for the top clubs.

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But what about outside of Europe? While the starting players there receive lower starting fees, the clubs from South America (Palmeiras, Flamengo, Fluminense, Botafogo, River Plate, Boca Juniors) each receive €13.4 million.

However, if you look at the annual revenues of these clubs, you can imagine the advantages FIFA funds will bring them in the future on the domestic market. According to an analysis by the consulting agency "Football Benchmark," these revenues in 2023, excluding transfers, ranged between €56.5 million ( Botafogo , whose revenue likely grew enormously due to their Copa Libertadores victory) and €198.2 million ( Flamengo ).

The prize money alone in the respective top club competitions provides an indication of the competitive balance on each continent. The Copa Libertadores winner in South America, for example, receives €23 million – as mentioned, €13.4 million is already being paid out for their participation in the Club World Cup. And in North and Central America, Africa, and Asia, the discrepancy between the top domestic tournament and the Club World Cup, which has been expanded to 32 teams, is even more pronounced.

The participants of these three confederations (AFC: Al-Hilal, Urawa Red Diamonds, Al-Ain, Ulsan HD FC; CAF: Al-Ahly, Wydad AC Casablanca, ES Tunis, Mamelodi Sundowns; CONCACAF: CF Monterrey, Seattle Sounders, Club Leon, CF Pachuca, Inter Miami) will receive the equivalent of 8.4 million euros in starting fees.

Whoever wins Africa's premier competition, the CAF Champions League , gets less than half that amount, with the equivalent of €3.5 million. The CONCACAF Champions Cup brings in a mere €4.4 million, while the Asian AFC Champions League Elite brings in a whopping €10.6 million. For the respective winners, mind you.

At least: In addition to the prize money, FIFA is also distributing €221 million in solidarity payments to club football worldwide. However, details about the exact distribution are not yet known.