The English Premier League started last month and already the theme of the season is: "What happened to Manchester United?"
They are arguably the best-known team in the world, they are inarguably one of the ten most valuable sports franchises on the planet. And they also are in trouble.
Last year, they lost their opener to Brighten - the first time in 121 years that Brighten won on United's home pitch, Old Trafford.. Then, they lost by an embarrassing 4-0 to Brentford - the first time they had beaten United since 1938.
They’re off to an even worse start this year. The team is in complete and utter panic mode. The manager is ripping his players, the players are ripping each other when they're not ripping the manager, their fans around the world are wondering why they shelled out $90 for a 2023 jersey (especially the third shirt kit).
None of it, however, is surprising to anyone watching and not blinded by their new away jerseys.
Manchester United revolutionized sports marketing in the mid-1990s. They were one of the first franchises to realize that merchandise was where the money is. They opened a store and staffed a state-of-the-art warehouse and distribution center.
They started changing their uniforms every year - to much fanfare (Premier League teams own their logos and colors and, unlike the MLB, NBA, or NFL, do not share merchandise sales with the league).
Know those special City edition NBA jerseys? The Astros alternate jerseys? The Rockets on throwback nights? Manchester United started it.
They made a fortune and plowed it back into the team and Old Trafford. Sir Alex Ferguson – a genius – was the manager, they gave him what he needed. They had a robust, extremely competitive academy for young players, they scouted far and wide, they used the latest technologies as they happened.
They added luxury boxes, started selling better food, and made their fan experience better than ever.
As the NY Times wrote in the mid-2015s: “More than any club, United embraced the unfettered, unrestrained capitalism that swept through English soccer in the 1990s and won all of the benefits that come from being an early adopter.”
They were the most successful football club on and off the field in the world. Championships were routine. Cash rolled in.
Cash is still rolling in. What United does with it now has changed and it is gutting the team.
They’ve let things big and small slide. They were so successful they have the money to buy almost any player they want, so they never replaced their technical director – the person whose job it is to "look after the health of the sporting side of the club in the long term: to run recruitment and to oversee the youth system; to manage contracts and managerial appointments; to institute a distinct philosophy; and to provide a bridge with the boardroom."
They have completely lost sight of the future. They have no philosophy; they pay for top-notch talent without any regard for how they will fit together on the pitch. No one in upper management can make a decision without a committee.
In short, “United has failed to recognize that the world has changed, that the game has moved on, that what was enough yesterday will not be enough to thrive tomorrow.”
Most of the rest of the league has embraced the ‘new world’ and is rolling past United where it really counts – in the standings.
This . . . this Manchester United syndrome happens in all types of businesses. Law firms are businesses. This happens with law firms. You do not want to be a client of a firm going through this but, of course, it’s almost impossible to know that from a street view.
That’s why we write a lot about how we stay on the cutting edge of technology and law firm management. Technology, coaching, seminars, expert management advice, advanced hiring techniques, we do all we can to ensure that the game doesn’t move on without us.
We encourage our clients to do the same.