Aston Villa sponsors Cazoo pull out of European operations – report
Aston Villa sponsors Cazoo have reportedly pulled out of their operations in Europe while still continuing to sponsor the club.
According to football finance expert Kieran Maguire, they are spending a lot on marketing and sponsorship without generating revenues they expect to rake in.
While they did not extend with Everton, the reason they continued with Villa was because they’re still contractually obligated to them.
Maguire told Birmingham Live, “Cazoo have cut back significantly in relation to all sponsorship where possible, which is why they ditched Everton and others, but kept on those deals where they had a contractual obligation, such as Villa.
“There’s always a concern when companies are losing a lot of money but no evidence of a crisis at Cazoo… yet. They simply spent too much money too quickly on marketing and sponsorship without generating revenues they had hoped for.”
Seems risky
Their investment strategy and policies appear to be risky, to say the least.
If Villa are to become one of English football’s big clubs and they need to associate with sponsors that are above the book and are actually on the rise.
We have seen many clubs having issues with the sponsors, especially after the Russian invasion of Ukraine.
We’re not suggesting that that is the same case here, but the fact that they’ve pulled out of Europe, clearly suggests that there’s something wrong with their finances and it’s probably not the best to be in business with companies such as those.
It remains to be seen if there is a way out of this contract for Villa or if they let it run its course and then look for a new partner once that deal expires.
As of now, there seems very little reason to panic, but it could get chaotic when they no longer have reputed ties like they do now.
In other Aston Villa news, Tim Sherwood has made a prediction about whether or not Unai Emery will be a success at Villa Park.