Analysis: Five lessons retailers can learn from Manchester United Football Club

One of the biggest and most famous clubs in world football, Manchester United, will be looking to reclaim a crown they have won 13 times in 25 seasons.

But what can retailers learn from their success on the field and the commercial powerhouse they have built off it?

Think globally

Following the launch of the Premier League in 1992, Manchester United blazed a trail for English clubs seeking to build a global brand.

“The club now has more than 65 – yes, 65 – global partners”

It was the first to embrace the concept of embarking on pre-season in tours in the US, the Middle East and the Far East, where the Premier League was gaining increasing traction.

Such overseas visits helped the club build a massive global fan base and pen lucrative corporate partnerships.

The club now has more than 65 – yes, 65 – global partners, ranging from the more standard official kit supplier Adidas and shirt sponsor Chevrolet, to Nigerian soft drinks partner CHI, global noodle partner Nissin Foods Group and mattress and pillow partner Mlily.

In uncertain times in the UK, retailers could take heed and potentially cash in overseas.

Ted Baker, Asos and Primark are among the retailers reaping rewards of international expansion, despite competing in a turbulent market at home.

Give young talent a chance

Although it’s a trend that has been less prominent in the big-spending modern football world, Manchester United, historically, has not been afraid to give its young talent a chance.

“If you’re good enough, you’re old enough – it’s a mantra that few retailers have adopted, but perhaps should” 

Its team in the mid-to-late nineties contained a spine of young Englishmen that graduated from its academy and went on to dominate the Premier League – despite a now infamous warning from player-cum-pundit Alan Hansen that the club “won’t win anything with kids.”

The so-called ‘Class of 92’ – comprising Gary Neville, his brother Phil, Nicky Butt, Paul Scholes, Ryan Giggs and David Beckham – proved that if you’re good enough, you’re old enough.

It’s a mantra that few retailers have adopted, but perhaps should.

Lidl shocked the market by hiring 34-year-old Christian Härtnagel as its UK boss last September, and other retailers work hard behind the scenes to promote young, talented staff further down the ladder.

Majestic Wine, for instance, has its own internal ‘rising stars’ scheme, while John Lewis regularly promotes from within for senior roles, rather than recruiting from outside the business.

Create a strong team dynamic

Despite being a footballing powerhouse with plenty of egos and household names among its playing squad, Manchester United has historically been able to harvest a strong team spirit.

“When there have been rebels threatening to disrupt harmony within the dressing room, the club has not been afraid to sell certain players”

Under the leadership of Sir Alex Ferguson, for example, the likes of Edwin van der Sar, Rio Ferdinand, Ryan Giggs, Wayne Rooney and Cristiano Ronaldo played in the same team without as much as a hint of in-fighting.

And when there have been rebels threatening to disrupt harmony within the dressing room, the club has not been afraid to sell certain players – no matter how important they were to on-field success.

The likes of Dutch centre-back Jaap Stam and midfield linchpin Roy Keane were infamously sold after falling out with the coaching staff, despite the fact they were seen by supporters and pundits alike as key players.

Exploit new media and content opportunities

Manchester United has embraced the shift towards online and social media, with a presence across a plethora of channels, including its own website, TV channel, Facebook, Twitter and Instagram accounts.

“Manchester United has built up an 8.8 million-strong following on Chinese microblogging site Sina Weibo”

Rather than seeing these as a challenge or chore, the club views them as “growth opportunities and new revenue streams” – to the extent that it has built up an 8.8 million-strong following on Chinese microblogging site Sina Weibo.

Indeed, it expects its various mobile sites, smartphone apps and social media channels to become the primary methods to engage with supporters around the world.

Although it has built its own channels successfully, Manchester United has also shown it is not afraid to leverage third-party media platforms to engage with followers – something retailers should consider doing more of.

The likes of Asos has become renowned for using online content in a similar way to build and engage its customer base, but other retailers could learn lessons from such an approach.

Plan for succession

While there are plenty of takeaways from retailers from Manchester United’s successes, there are also lessons to be learned from its failings.

One of the club’s biggest mistakes in recent history was failing to put in place a clear succession plan ahead of former manager Sir Alex Ferguson’s retirement.

“The failure to put a succession plan in place sparked Manchester United’s slump from Premier League winners to 7th-place finishers – and the club is still playing catch-up”

The Scot spent 26 years at Old Trafford, becoming one of the most successful managers of all time by winning 38 major trophies before he bowed out in 2013.

Yet despite being 71 years old when he left the dugout, Manchester United seemingly failed to properly prepare for what, given Ferguson’s age, was an inevitable departure.

David Moyes and Louis van Gaal both came and went by May 2016, prompting Manchester United to turn to Jose Mourinho – a man who had been in contention for the role when Ferguson initially retired three years earlier.

The failure to put a succession plan in place sparked Manchester United’s slump from Premier League winners to 7th-place finishers – and the club is still playing catch-up with England’s elite.

Retailers like Sainsbury’s, which replaced long-serving boss Justin King with Mike Coupe in 2014, have demonstrated the value of a clear succession plan in order to stay at the top of your game amid a changing of the guard.