The Market For The Best Or Most Expensive Football Players
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The document analyzes the market for the most expensive football transfers between 2000-2007. It finds that over 5 billion was spent on 278 transfers over 10 million each. English and Spanish leagues dominated transfers in 2007, representing 42.6% and 35% of spending respectively. There was no significant difference found between prices paid for star players versus promising international players. Strikers transferred at a younger average age and with fewer national team appearances than other positions.
![The Market for the best or most expensive football players (2000-2007) ngel Barajas ( [email_address] ) Ignacio Urrutia ( [email_address] ) Carlos F-Jard坦n ( [email_address] ) This paper has been funded by CSBM of IESE Challenges facing Football in the 21st Century 15th 17th May 2008, University of Bern, Switzerland.](https://image.slidesharecdn.com/themarketforthebestormostexpensivefootballplayers-090302044318-phpapp02/85/The-Market-For-The-Best-Or-Most-Expensive-Football-Players-1-320.jpg)
The Market For The Best Or Most Expensive Football Players
- 1. The Market for the best or most expensive football players (2000-2007) ngel Barajas ( [email_address] ) Ignacio Urrutia ( [email_address] ) Carlos F-Jard坦n ( [email_address] ) This paper has been funded by CSBM of IESE Challenges facing Football in the 21st Century 15th 17th May 2008, University of Bern, Switzerland.
- 2. INTRODUCTION From the seminal article by Rottenberg (1956) to the 1990s, the literature about the transfer market was not prolific at all. In the last decade of the Twentieth Century, econometric models began to be used for estimating transfer value from variables related to the features of players, of the buying and selling club and other control variables. The works of Carmichael & Thomas (1993), Carmichael, Forrest & Simmons (1997), Speight &Thomas (1997) contributed some evidences about the transfer prices. Dobson & Gerrard (1999) built a model which was developed afterwards by Gerrard (2001). Garcia del Barrio & Pujol (2006) maintain that the transfer for the best paid players are higher because they have a brand value. Nevertheless, there are still many issues to study about the transfer market and how it works.
- 3. INTRODUCTION Our objective is to know more about the transfer market for those players who stand out for their talent or media value. We are going to analyse the influence of different factors in the transfer price and to analyse the map of transfers across the world. We have looked for a distribution map of the most expensive transfers.
- 4. INTRODUCTION We have analysed the transfer market from 2000 to 2007. We have worked with a database with the 278 transfers which have a transfer price of over 10 million with no geographical restrictions. We have analysed the individual transfers taking into account the involved clubs and the leagues. First, a descriptive analysis has been carried out in order to know the main parameters of the transfer market along the period. At a second stage, an analysis of variance (ANOVA) has been done for checking the influence of different factors on transfer price.
- 5. Most expensive transfers 2000/2007 25,9 Average Age 517,2 Total Investment Milan 26 Midfield International 2.001 42 Rui Costa Manchester Utd. 22 Midfield Star 2.001 42,6 Ver坦n Real Madrid 26 Striker Star 2.002 45 Ronaldo Manchester Utd. 24 Defender International 2.002 46 Ferdinand Lazio 27 Midfield International 2.001 48 Mendieta Chelsea 30 Striker Star 2.006 51 Shevchenko Juventus 23 Goalkeeper International 2.001 54,1 Buffon Lazio 25 Striker International 2.000 55 Crespo Real Madrid 27 Midfield Star 2.000 60 Figo Real Madrid 29 Midfield Star 2.001 73,5 Zidane Buyer club Age Role Status Year Price Ranking
- 6. Most expensive transfers 2007 23,5 Average age 283,8 Total Investment Barcelona 30 Striker Star 24 Thierry Henry Tottenham 23 Striker International 24,8 Darren Bent Manchester Utd. 26 Midfield International 25 Hargreaves Bayern Munich 24 Midfield International 25 Franck Ribery Manchester Utd. 20 Midfield International 25,5 Nani Real Madrid 23 Midfield International 27 Wesley Sneijder Real Madrid 24 Defender Promising player 30 Pepe Manchester Utd. 19 Striker International 31,5 Anderson Liverpool 23 Striker International 35 Fernando Torres Real Madrid 23 Midfield International 36 Robben Buyer club Age Role Status Price Player
- 7. Transfers of goalkeepers 00/07 13,00 13,00 1,00 18 - 22 30,03 90,10 3,00 23 - 25 11,00 22,00 2,00 26 - 29 17,65 35,30 2,00 Over 29 Ages 19,94 139,60 7,00 International 10,50 10,50 1,00 Promising player Status 18,76 150,10 8,00 Goalkeeper Average Investment Investment No. Transfers Position
- 8. Transfers of defenders 00/07 14,82 192,70 13,00 18 - 22 15,90 317,90 20,00 23 25 16,31 424,00 26,00 26 29 13,25 26,50 2,00 Over 29 Ages 30,00 30,00 1,00 Star 15,47 788,80 51,00 International 15,76 141,80 9,00 Promising player Status 15,56 961,10 61,00 Defender Average Investment Investment No. Transfers Position
- 9. Transfers of Midfields 00/07 18,26 347,00 19,00 18 22 18,89 661,20 35,00 23 25 22,23 844,80 38,00 26 29 15,76 78,80 5,00 Over 29 Ages 44,72 223,60 5,00 Star 18,95 1.572,70 83,00 International 15,06 135,50 9,00 Promising player Status 19,73 1.913,80 97,00 Midfield Average Investment Investment No. Transfers Position
- 10. Transfers of Strikers 00/07 17,78 515,75 29,00 18 22 18,74 693,25 37,00 23 25 18,32 714,65 39,00 26 29 22,31 156,20 7,00 Over 29 Ages 28,76 258,80 9,00 Star 18,32 1556,95 85,00 International 14,67 264,10 18,00 Promising player Status 18,57 2079,85 112,00 Strikers Average Investment Investment No. Transfers Position
- 11. Maximum Price per season 35,00 51,00 25,00 37,00 35,00 45,00 35,90 55,00 Striker 36,00 27,00 38,00 26,00 32,30 22,10 73,50 60,00 Midfield 30,00 16,00 27,00 30,00 18,00 46,00 36,50 20,00 Defender 13,50 0,00 0,00 13,00 22,50 0,00 54,10 11,50 Goalkeeper 2007 2006 2005 2004 2003 2002 2001 2000 Max. Price
- 12. Price average per season 17,25 16,93 16,68 20,04 18,82 20,47 18,50 20,50 Striker 16,83 17,33 17,29 16,29 20,89 16,07 26,62 22,46 Midfield 13,53 12,43 15,50 15,92 13,38 25,20 17,79 15,63 Defender 13,50 0,00 0,00 13,00 22,50 0,00 29,80 11,00 Goalkeeper 2007 2006 2005 2004 2003 2002 2001 2000 Price average
- 13. Increase of value (2007) 17,0 21,0 4,00 Chelsea Lyon Florent Malouda 17,3 17,3 0,00 Liverpool Ajax Babel 18,0 21,0 3,00 Atl辿tico de Madrid Villarreal Forl叩n 18,0 36,0 18,00 Real Madrid Chelsea Robben 20,0 20,0 0,00 Milan Internacional Pato 20,3 24,8 4,50 Tottenham Charlton Athletic Darren Bent 25,0 25,0 0,00 Bayern Munich Marsella Franck Ribery 25,0 25,0 0,00 Manchester Utd. Bayern Munich Owen Hargreaves 25,5 25,5 0,00 Manchester Utd. Sporting Nani 26,5 31,5 5,00 Manchester Utd. FC Porto Anderson 27,0 27,0 0,00 Real Madrid Ajax Wesley Sneijder 28,0 30,0 2,00 Real Madrid FC Porto Pepe 35,0 35,0 0,00 Liverpool Atl辿tico de Madrid Fernando Torres Increase of value Selling Price Purchasing Price Buyer Club Seller Club Player
- 14. Decrease of value (2007) -23,0 12,0 35,00 Atl辿tico de Madrid Arsenal Reyes -12,0 10,0 22,00 Middlesbrough Real Madrid Woodgate -3,0 15,0 18,00 Inter de Milan Roma Chivu -3,0 10,0 13,00 Juventus Deportivo Jorge Andrade -2,0 12,0 14,00 Real Zaragoza Shakhtar Matuzalem -0,6 10,4 11,00 West Ham Utd. Newcastle Utd. Scott Parker Decrease of Value Selling Price Purchasing Price Buyer Club Seller Club Player
- 15. Increase of value (2007) 13,80 137,80 10 Promising player 10,50 442,30 43 International 7,90 7,90 1 Star Average Increase of Value ( Mill.) Total Increase of Value ( Mill.) N. players Status
- 16. Increase of value (2007) 12,44 261,20 21 Striker 10,79 205,05 19 Midfield 8,32 108,20 13 Defender 13,50 13,50 1 Goalkeeper Average Increase of Value ( Mill.) Total Increase of Value ( Mill.) N. players Position
- 17. Transfers by Nationality (00/07) 278 62 29 27 30 22 21 46 41 Total 3 1 - - 1 - - 1 - Uruguay 3 1 - - - 2 - - - Rumania 3 - - - 1 1 - - 1 Cameroon 3 - 1 1 1 - - - - Bulgaria 3 2 1 - - - - - - Germany 4 2 2 - - - - - - Nigeria 4 - 1 - - 1 1 - 1 Ireland 5 3 1 - 1 - - - - Ivory Coast 5 - 1 - 2 - - 1 1 Check Republic 7 2 - 1 - - - 2 2 Serbia 18 4 3 - 2 2 - 4 3 Netherlands 20 5 - 2 4 2 2 2 3 Portugal 22 3 2 4 1 1 2 5 4 Spain 23 4 2 1 2 2 3 2 7 Argentina 24 3 2 2 2 - 6 9 - Italia 30 10 3 3 3 3 1 4 3 Brazil 31 6 2 1 5 2 1 8 6 France 32 6 2 6 3 4 2 4 5 England Total 2007 2006 2005 2004 2003 2002 2001 2000 Country
- 18. Findings Only 42 teams concentrate the 278 transfers of the period. The total amount of money was 5,027.60 million. 23 teams bought players for more than 10 million each in 2007 (54 transfers for 884.14 million). Teams from East Europe and Asia (Shakhtar and Al-Saad) began to buy expensive players in 2007. Almost half of the buyer teams in 2007 were included among the 15 first clubs in the UEFA Club Coefficient Ranking 2003/2007.
- 19. Findings There is a higher dispersion of seller clubs: 44 clubs sold expensive players in 2007. Most of them sold only one player. The Premier League and the Spanish League represented the 42.59% and 31.48% of the transfers respectively in 2007 (in monetary terms: 42.40% and 34.95%). From the seller outlook, England, France and Spain are the main sellers but with a lower weight (20.37%; 14.81%; 12.96% respectively). Russian, German and France clubs bought the older players.
- 20. Findings Price paid for a star player is statistically significant but there is no significant difference between the price paid for international and promising players. There is no statistical significant difference in price paid for the different roles. That means that the price is independent of the role of the player. There is no significant relationship between the age of the player in the moment of transfer and his role. Nevertheless, the average age of transfer for goalkeeper is the highest (26.13), followed by defenders (25.04), midfields (24.90) and strikers (24.90). Strikers are transferred with a lower number of matches played with the National Team.