San Lorenzo: Building a brand and new order

San Lorenzo de Almagro, which is doing its preseason in the United States and will play the Cup of South American champions in Miami against Atletico Nacional of Medellin for a new trophy this Saturday, is bringing a new management model to Argentine soccer.

San Lorenzo was able to reach the final of the world club championship despite having a modest budget, $12 million a year, while rival Real Madrid has a budget 54 times bigger. ($664 million) The smallest budget in La Liga is Elche’s $19 million.

The South American champions, winners of the last Copa Libertadores, also want to build their brand in the U.S. In this age, where the Europeans have the global soccer brands, the South Americans feel they provide the talent factory. San Lorenzo, which los the world club final 2-0 to Real Madrid, also signals a change in the operating style of Argentine football. Same passion, but more corporate.

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“This is all due to Tinelli,” says match promoter Juan Pablo Reynal of Onside LLC. “They run the club like a company, and once you get a decision, you can bet on it. With other teams, you have to talk to a dozen people, and you don’t know who decides.”

Marcelo Tinelli is a television star and entrepreneur in Argentina and one of the vice presidents of San Lorenzo. A fervent devotee, Tinelli started as a sports announcer, and morphed his sports show into an entertainment powerhouse akin to The Tonight Show. He and his lawyer Matias Lammens were candidates in the club elections in 2012 and won 80% of the vote. Another devoted fan provides divine guidance: Pope Francis, who as Cardinal Jorge Bergoglio professed his faith in the team founded by priests.

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Formerly, Mauricio Macri tried to institute this corporate style and accountability vis-a-vis Boca Juniors, but after Macri took Boca to several continental titles, he used the club presidency to launch his political career. (now mayor of Buenos Aires) When Macri left, Boca relapsed into a political maelstrom with a phalanx of vice presidents all fighting for control and influence.

Former player Bernardo Romeo is now the sporting director of San Lorenzo, as he understands the kind of player that fits the club. San Lorenzo is the last of Buenos Aires’ “big five” teams to win the Copa Libertadores, and in 2012 they were on the verge of descending to the second division.

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“The other team that functions in this way would be River Plate. The others are difficult politically to handle. Boca is a cauldron and Independiente is full labor-union politics. But Racing is also trying to follow our model,” notes Marcela Nicolau, press officer for the team. The other principle is consistency and responsibility.

The “no-drama” mantra permeates down to the field too. The coach Edgardo Bauza has had offers dangle to lead Costa Rica and Ecuador. “People who know the way I operate know that my word is my bond,” explains Bauza. “I met with Eduardo Li [head of the Costa Rican federation] and talked for a long time, but my contract ends at the end of 2015. And I live out my contract.”

“We have had a great season with the type of players we can hire,” added Bauza. “I was talking to [Real Madrid coach] Carlo Ancelotti and it’s tough for a team to maintain its highs. It’s about cycles.” Even though they are enjoying their current success, San Lorenzo fans can say “Amen.”

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