Red Bull’s ownership of MLS’s New York franchise passed the one-year anniversary mark last Friday with barely a whisper in the press. In fact, there’s been barely a whisper in the press about New York’s swanky energy drink owner since the acquisition purchase. Ives Galarcep of the North Jersey Herald says Red Bull was supposed to dig into its pockets and orchestrate savvy marketing campaigns-it was supposed to turn the New York team into something…more noticeable. Instead, he says, “there is strong evidence to suggest that the new owners have done more harm than good.”
On the soccer side of things you could say that adding Bruce Arena as coach and bringing in Claudio Reyna were good, forward-looking moves. On the business side, “the club has suffered in every area…imaginable and the result was a nightmarish first season,” says Galarcep. He points to a lack of strong leadership and an operating loss of $14 million last year, the largest single-season loss in MLS history. What gives? Elaborate spending, failed marketing attempts, a drastic decline in attendance, and a loss of corporate sponsorships, which are attributable to Red Bulls’ insistence on big-money sponsors only, Galarcep says. The result: not a single new sponsorship has been signed for the new season. Don’t expect a local TV deal, either.