Keeping It Bundesliga: DFL Secures Boosted Media Rights Revenue with Sky, Aims for Global Expansion
By Joachim Herr, Munich
Leading the pack in the standings
It's the season of gutzweih and glühwein—and football profit! The German Football League (DFL) has just announced a media rights auction outcome that leaves fans and club managers more than merry: a noteworthy 1.12 billion euros over the next four seasons, starting from 2025/26.
The joyous faces of Hans-Joachim Watzke, presidium speaker of the DFL, and managing directors Steffen Merkel and Marc Lenz couldn't conceal their delight. The numbers exceeded many an expert's expectations, and there's a reason for it—the media rights auction had to be run a second time.
Back in the spring, streaming provider Dazn made a bid for the spoils, but pay-TV broadcaster Sky outbid them. Dazn wasn't ready to let that go and contested the decision, leading to a delay in the auction. It wasn't until the end of November that the DFL decided to resume the process.
The most coveted piece in the pie, referred to as Package B, was also a hot contest between Sky and Dazn. This bundle includes the live games of the first league on Saturday afternoon and Friday evening, as well as both relegation games, amounting to a grand total of 196 games in a season.
In the first round, Sky had received Package B to the displeasure of Dazn, despite a lower offer. The final amounts weren't initially released, but reports suggest that Sky entered the race with roughly 320 million euros, while Dazn bid around 400 million euros. In the restart of the auction, Sky apparently offered in the range of 400 million euros for Package B and was able to secure a premium for the renewal, without which the total income might have been somewhat lower.
While the exact figures remain under wraps, DFL managing director Lenz pointed out that the media rights make up 55% of the clubs' revenue at the top, a claim that holds significant weight – especially for smaller clubs.
Dazn won't be left empty-handed, however. The company will continue streaming a couple of games on Sunday, as well as the conference on Saturday afternoon, which Sky still broadcasts this season. Dazn reportedly acquired these rights for around 280 million euros. On the other hand, ARD will receive slightly more than 100 million euros, with most games of the first and second league's summaries shown. RTL will take over the live Saturday evening second league game, a move previously controlled by Sport 1.
The division of the 1.12 billion euros among the clubs will likely be discussed in January by the DFL Presidium, and ongoing debates revolve around whether clubs like Hamburger SV and Hertha BSC should receive more consideration due to their popularity. Proponents argue their appeal drives higher viewing figures and pay-TV subscribership.
In contrast to England's Premier League, where an increase in media rights revenue was accompanied by the inclusion of 30% more live games than before, Germany still broadcasts all games live on TV. La Liga, for its part, achieved a 1% increase in media rights revenue compared to 980 million euros, although this deal was made during better economic conditions before the attack on Ukraine, the surge in inflation, and the economic downturn in Europe.
The media rights jackpot sets the stage for DFL's ambitions in future international media rights. "This result will make all of Europe take notice," said DFL presidium spokesperson Watzke. He aims to capitalize on overseas revenues, noting that the DFL currently brings in 214 million euros in this department.
The DFL's strategy involves forging long-term, exclusive broadcast partnerships with notable local broadcasters, such as the recently established four-year agreement with Turkey's Saran Media Group. The DFL also focuses on player connections and storytelling to deepen fan engagement, targeting fast-growing markets and working with partners that boast strong sports portfolios.
As the Bundesliga's triumphant media rights journey continues, keeping it global remains top priority. The German Football League, renowned for "Football As It's Meant To Be," is steadfast in its pursuit of bringing the passion for the sport closer to fans all over the world.
- The German Football League (DFL) has secured a significant boost in media rights revenue, likely totaling 1.12 billion euros over the next four seasons, starting from 2025/26, which is a cause for celebration among fans and club managers.
- Sky, a pay-TV broadcaster, outbid streaming provider Dazn in the media rights auction for the Bundesliga, securing the most coveted Package B, which includes live games of the first league on Saturday afternoon and Friday evening.
- The DFL's media rights make up 55% of the revenue for clubs at the top level, a sizeable contribution, especially for smaller clubs, according to DFL managing director Lenz.
- As a consequence of the successful media rights auction, the DFL aims to capitalize on overseas revenues, with plans to forge long-term, exclusive broadcast partnerships with notable local broadcasters and to deepen fan engagement in fast-growing markets, such as Turkey.
