Why is this the first and last World Cup in Arab countries?
2022.11.20 02:28
Why is this the first and last World Cup in Arab countries?
Budrigannews.com – Before the ball was kicked, there was already no World Cup like Qatar 2022.
Human rights groups are abuzz about everything from the treatment of LGBTQ people in countries where homosexuality is illegal to the deaths of construction workers who build stadiums. Organizers FIFA have recovered from a corruption scandal that cast aspersions on how Qatar was first awarded the competition.
Former FIFA chief Sepp Blatter said he regretted that the Gulf country was chosen as host.
But for all the handwriting of the four—year tournament, the World Cup can still attract 5 billion viewers almost two-thirds of the population of the planet. And when there is an audience, the brand will pay to reach them.
Bloomberg News has contacted 76 companies that sponsor either the convention or the participating teams. They include Adidas AG and Coca-Cola Co. Volkswagen AG and Microsoft were based on XBox, and where human rights criticism was widespread in the United States, Canada and Europe. FIFA’s sponsors did not say they would change their global advertising plans to reflect human rights concerns.
Of the 69 sponsors of the national team, 20 expressed their commitment to human rights, but did not disclose how marketing would change. We have few significant business relationships with Qatar, but thirteen companies said they would make adjustments. They include the business of Danish brewer Carlsberg A/S, Belgian Chocolatier Court d’Or and Belgian accounting firm PwC.
Qatar 2022 is arguably the most scrutinized world Cup in history, and executives face a dilemma as experts and politicians raise concerns about the host country. But financially it is very simple: during a troubled time for the global economy can get hundreds of millions of eyeballs on logos and marketing slogans.
The tournament, which was launched on May 11 for the first time to avoid the summer heat, is expected to bring FIFA record revenue, adding to the nearly55.4 billion 2018 World Cup held in Russia.
“The public has become much more vocal about human rights than it was five or 10 years ago,” said Sarah Simon, a European media analyst at Berenberg Bank in London. “But it’s an opportunity once every four years, so advertisers who advertise around the World Cup want to make the most of it.”
With viewers fleeing traditional broadcasters for online streaming services, sports is one of the last bastions of live TV viewing. The Olympics, the Super Bowl and the World Cup are some of the few opportunities that brands can count on to pay big bucks to reach a live audience, giving them extra-large importance to TV advertising revenue.
Meanwhile, the economic downturn has prompted brands to curb their marketing. According to data firm WARC, this year and next ads are estimated to be990 billion less than previously expected. Regardless of the controversy it will be a timely bright spot for the World Cup, which opens in the game between Qatar and Ecuador in Doha on Sunday. The boost from the tournament could offset widespread weakness in the advertising market.
British private broadcaster ITV Plc, for example, is forecast by analysts to record fourth-quarter sales at a similar level to the previous year, thanks to a show of World Cup matches. This is because it is expected that the advertising revenue of rivals will fall. “Because of all the controversy around the World Cup, it could not come at a better time for broadcasters,” Matthew Bloxham, Bloomberg Intelligence “Their advertising revenue is facing severe headwinds and this will ease some of the pain.”” To say that it’s a normal world Cup for advertisers and sponsors would be wrong, however.
Many brands that support teams from Denmark, Belgium and the Netherlands said they do not intend to take advantage of the match’s ticket allocation. Carlsberg said it had halved its marketing budget compared to last year when Denmark played at the European Football Championship. It is focused on supporting the team before going to Qatar, a spokesperson said in an email. “When the tournament started, we shrank significantly compared to normal things,” she said.
Even though the Cote d’Or brand is part of food distributor Mondelez International Inc., executives attend the World Cup or ticket customers, its products are readily found on the shelves of grocery stores in Qatar. While the company has a large presence in Qatar, PwC’s Belgian arm is doing as well.
Indeed, as the convention unfolds towards Dec, companies will closely monitor the mood of popularity. The 18th final. If the volume of criticism is mounted, some are concerned about continuing the campaign, which has been months into the plan, according to Martin Sorrell, a veteran British advertising executive who is now chairman of S4 Capital Plc, a digital advertising agency he founded after leaving the giant WPP Plc.
“If there was big momentum, if campaigns were developed and criticism was developed, people would review their positions,” Sorrell said. “There may be clients who are concerned about the human rights issues and other policies that Qatar is pursuing around lgbtq,” he said. So there may be some people who take a position on that. But that decision has been made mainly some time ago.”
The experience of British brewer BrewDog Plc shows some of the pitfalls that are trying to go the other way. The company has decided to take advantage of some of the negative emotions against Qatar and run what it calls an “anti-World F*Cup” campaign. “First Russia, then Qatar. North Korea can not wait, “run one sign.” It also pledged to donate the proceeds of the beer sold during the event to a human rights charity.
But as soon as the advertising campaign was announced, the social media post noted that BrewDog was still planning to show the match at the bar and had signed a contract to supply beer to a government-owned distributor in Qatar. The trade union Unite Hospitality criticized how brewers treat their workers and labeled the campaign “dishonest.”BrewDog apologized last year to a former employee who accused the company of bullying.
Then there are those that are sponsors of the convention or FIFA itself, such as Adidas, brewing giant Anheuser-Busch InBev SA, Coca-Cola and McDonald’s Corp, although they publicly support Lgbtq rights.
To be continue
