The current transfer window in Europe has been dominated by a quest for marquee signings. However, there are not that many really outstanding players available. When demand is strong but supply is limited and finite, strange things happen to price. Hence Real Madrid’s willingness to pay over £100m for Gareth Bale, far more than he is worth.
The current transfer window in Europe has been dominated by a quest for marquee signings. However, there are not that many really outstanding players available. When demand is strong but supply is limited and finite, strange things happen to price. Hence Real Madrid’s willingness to pay over £100m for Gareth Bale, far more than he is worth.
Why pursue marquee signings? Part of it is a search for prestige by the very top clubs, a way of declaring that ‘we have pockets deep enough to spend whatever it takes’. However, arguably a stellar player does not make the difference between success and failure. There is an argument that a team’s performance is determined by the weakest link, the least good player. Should this be the case, a club should aim for strength in depth.
It can also be a way of appeasing fans who are hungry for success. Arsenal fans are showing increasing disquiet at the lack of signings. Marketing departments also like big name signings that make a splash as they search for sponsors and sell merchandise.
In France, Ligue 1 clubs have spent £160m net this season, but most of this outflow is accounted for by just two clubs, Paris Saint-Germain and Monaco. Italian clubs are showing a surplus on transfers once you take Napoli out of the picture. Spain’s clubs have sold £120m worth more of players than they have bought.
In the Premier League, purchases outstrip sales by some £300m. Of the 88 players bought by top flight clubs this summer, 66 are not British.
Some smaller Premier League clubs may be getting better value for money from their signings. Norwich and Swansea have been making use of under priced markets in Holland, Portugal and Spain. Investing in a good scouting network can bring rewards as it means that you don’t end up with a temperamental and injury prone Carlos Kickabout. Meanwhile, among the top clubs, the frenzy continues.