Nearly 450,000 Euros have been spent to find a sponsor for West Ham’s home ground, the London Stadium but there has been no progress yet. The stadium’s owner, the London Legacy Development Corporation (LLDC), has been accused of wasting cash in its search for a naming rights partner. Sponsorship experts say that it may even take years to complete this deal. Two companies have been paid a total of £447,000 to try to find a naming rights partner, according to sources from the BBC. But after two deals have collapsed. it looks as though there are no discussions happening currently.
The ground was initially built for the 2012 Olympic games but has ever since only been dogged by controversy. due to this, it is a football ground that costs £323m when the original estimate was £190m. West Ham pays an annual rent of £2.5m as tenants but even then the ground is set to lose £140m over a period of the next 10 years. And a sponsor of any kind will reduce the losses that the ground incurs.
West Ham will finally be putting a Claret astroturf around the pitch at the London stadium, replacing the green outline we’ve had for the past 2 years. It will cost the club £180k to do so. [@westhamfootball]
— West Ham News/Views (@WHUFC_News_6) July 13, 2018
“Two deals with global brands came close to being delivered but this is an extremely competitive and narrow market which requires significant time and effort to identify the appropriate brands able to enter into such major commercial deals,” said an LLDC spokesman.
The first 4 million of any deal will go to the corporation, while West Ham will share any revenue above that. And two agencies were hired who were experts in gaining sponsors but none seem to bear dividends.
Gareth Bacon, chairman of the London Assembly’s budget and performance committee, said he was “mystified” by the failure to secure a suitable sponsor.
“It’s taxpayers’ money that has been wasted. When you pay that kind of money and get absolutely nothing in return, that’s not great,” said Bacon, the Conservatives’ leader on the assembly.
“There is a Premier League club playing in the stadium which held the most successful Olympic Games ever, in a major European country.”
I think the novelty of Athletics at the London Stadium is starting to wear off for casual athletics fan. They staged the Athletics World Cup 2018 but struggled to sell tickets with less than 30,000 in attendance on both days. #YourStadiumIsTooBigForYou pic.twitter.com/SWzNHPB2xN
— West Ham Football (@westhamfootball) July 16, 2018
It is understood that West Ham are preparing for life at the London stadium next year and have even offered to help out in finding a naming partner. The Hammers were awarded a 99-year tenancy in 2013 and under the agreement do not have to pay for certain running costs such as stewarding, goalposts, corner flags, and cleaners.