FIFA World Cup is by far the biggest competition on planet earth, taking place every 4 years and since 2014 World Cup will be taking place in Brazil come June-July this year, Forbes estimates that 2014 world cup will generate 66% more in revenue compared to 2010 world cup in south africa. So how and where the money is coming from ? and how it will be distributed in different channels ? lets take a indepth look.
|TV Rights Sale||$1.7 Billion||BBC, ITV, ESPN, CBC and many worldwide channels|
|Marketing Revenue||$1.4 billion||Adidas, Coca Cola, Visa, Sony, Emirates, Hyundai etc|
|Other Rights Sale||$900 million||EA Sports Game, merchandise sale and other stuff|
|Total Revenue||$4 billion||FIFA will make 66% more revenue in 2014 WC than the last one|
FIFA World Cup 2014 Revenue Generation And Distribution Stream:
Following is the small diagram showing how FIFA will be making $4 billion in revenue and what channels it will be distributed.
TV Broadcasting Rights Sale:
For the World Cup 2014 “FIFA” will make around record $1.7 billion in tv revenue. TV channels around the world has paid huge sums of money to beat of the competition from rival channels. In United States ESPN won the world cup coverage rights when they paid $100 million for 2010 and 2014 world cup. While “Fox Sports” signed a deal with FIFA for 2018 and 2022 world cup rights for figures around $400 to $500 million.
In United Kingdom BBC and ITV will share the world cup rights and they have paid around $300 for their world cup deal.
It is estimated that FIFA will be making around $1.4 billion in revenue for their official sponsorships of different brands.
In terms of marketing FIFA world Cup 2014 is coming at just about the perfect time with players like Ronaldo, Messi, Neymar and Rooney etc at the peak of their powers which makes them some of the most marketable athletes in the world while all the big teams has made it to the world cup finals. Longest running FIFA official partner “Adidas” will be contributing a massive amount of money in sponsorship revenue for FIFA while other major brands like Hyundai, Emirates, Visa, Coca Cola and 100′s of big and small brands have associated themselves with world cup.