Does the quality of a youth academy impact a football player's market value?

Purpose: Football clubs invest in the implementation of scientific insights that improve the quality of youth academies. In the long run, clubs expect their youth academy investments to result in better trained players. The purpose of this paper is to quantify the impact of the attended youth academies' quality on the future market value of a player. Design/methodology/approach: A dataset containing 94 players trained in 13 different academies has been constructed. The dataset contains characteristics of the players and information on the quality of their attended academies. The impact of the quality of the attended academies on players' future market values was estimated empirically through multiple regression analysis. Findings: The quality of a youth academy has a significant positive impact on a player's market value, which in turn is correlated with higher future wages for players and transfer fees for clubs. Research limitations/implications: Clubs are advised to pay sufficient attention to investments in their youth academy. This will eventually lead to better trained players and higher revenues. Players in turn should strive to be part of the best academies that provide good training and the opportunity to become a top-earning player. For policymakers, such as football federations, the results imply that stimulating club investments in academies can lead to better national team performances. Originality/value: The impact of the quality of a youth academy on an individual professional football player's career has never been quantified in the literature before. To this end, a new variable has been constructed using scientific assessments of youth academies.