On Thursday, we worked with the team at Chiliz and Socios.com, a tokenized voting platform for sports teams, to run a Twitter poll to see whether the CoinMarketCap community would be interested in buying, trading or using a utility token issued by some of the biggest brand names in the sporting world. We received over 1700 votes, with 47% of respondents stating that they would be likely or very likely to buy a token.
While the results no doubt demonstrate an appetite for Socios.com‘s Fan Tokens from the cryptosphere, the greater demand for Fan Tokens will no doubt come from the wider football audience. With some 2 billion football fans around the globe, Chiliz and Socios.com are being mooted as the one of the first products that has the capacity to propel crypto into the mainstream.
Nielsen Sports, a well-known research agency, was commissioned by Socios.com to conduct a study on football fans in 2018, which found similar results – That over half of football fans (55%) worldwide would be interested in purchasing tokens that gave them the right to vote on decisions at their favourite club. Furthermore, the fans were willing to pay on average 10 EUR / 11 USD for the privilege.
According to research by Dugout, the only football company in the world that is owned by 9 of the top football clubs in the world, the typical football fan does not follow a single team, but on average, 4.6 teams all over the world. This has a lot to do with the influence of star players; when they change clubs, they take their fans with them: Real Madrid lost 1 million fans from their social media channels when Cristiano Ronaldo was signed to Juventus. In reality, this means that the average football fan might choose to buy Fan Tokens for four clubs or five clubs, bringing the spend per fan closer to a conservative 40 EUR, as they follow their favourite players.
Fan influence is undoubtedly set to transform fan engagement across the sports industry in the coming years, and we have social media to thank for that. COPA90, the world’s leading youth football brand, released their latest Modern Fan study this week, which stated that “it won’t be long before fans have the power to dictate player celebrations or decide on substitutions, as new ways to influence and interact directly with the action on the pitch emerge.” Indeed, according to the same Nielsen research, two thirds of football fans are interested in voting to influence decision-making at their clubs, equating to 46m fans in Brazil, 13m fans in Germany, 16.6m in Italy, 2.4m in Portugal, 13m in Spain and 11.3 in the United Kingdom. This is, indeed, a sizeable audience.
Socios.com signed partnerships with both Juventus and Paris Saint-Germain last year to produce branded Fan Tokens that will give fans the right to partake in collective decision-making, as well as giving fans access to unique content and experiences. More high-profile teams will be announced imminently, with Juventus being the first club to launch their Fan Token Offering. Socios.com will be launched to fans in Q2 2019.
Chiliz is based on the ‘Blockchain Island’ of Malta and raised $65 million through a private Token Sale in 2018, with cornerstone investment from contributors including Binance, OK Blockchain Capital and Ceyuan Ventures.