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text size: T T Features October 20, 2011, 5:45 PM EDT

Inside the Man United Machine

(page 4 of 4)

Arnold is looking ahead to the next deal. He says the club has explored ways to monetize a customer database with detailed information about 11 million fans. It’s expanding its relationships with credit-card companies; Indonesia-based Bank Danamon, Korea’s Shinhan Bank, and Malaysia’s Public Bank already have credit cards bearing the United logo. The team is also renegotiating its contract with Nike, which currently gives Nike control over the production of all United merchandise, whether its logo appears on it or not. Club insiders and industry experts say United may take back some of the merchandising operation and find its own manufacturers, leaving Nike or another sportswear firm to concentrate on the uniform. They also say manufacturers will be asked for a fee to have their logo on the team’s jersey and other products, something that isn’t in the Nike deal.

“Manchester United have grown … and that will reflect the price,” says sponsorship expert Korman, whose firm’s clients include Nike. “The greater the prestige of the brand, the greater their marketing team is able to go to the manufacturers and say, ‘Look, this is what we believe the deal to be worth.’ ” Rest assured: It will be a lot. ——With Tony Jordan, Siddharth Philip, and Sanat Vallikappen

With Tony Jordan, Siddharth Philip and Sanat Vallikappen

Panja is a reporter for Bloomberg News.

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