SportBusiness.com

AB InBev sports chief: escalating sponsorship prices unsustainable

FIFA, the International Olympic Committee and other owners of major sports properties risk sponsorship drift if they are not more realistic about pricing, according to Eelco van der Noll, Global Director, Sports & Entertainment at AB InBev, the world’s biggest brewer and a major sponsor.

Interviewed in the September issue of SportBusiness International magazine, published today, Van der Noll says he believes that the future is bright for those properties which are able to embrace the marketing realities of the digital age and move away from traditional methods of evaluating and selling sponsorship.

But, he adds: “At the moment there is a significant risk of (the bigger properties) pricing themselves out of the market. Current price levels for major events are just astronomical. For example the fees for the World Cup rose 100 per cent between the 2006 and 2010 tournaments and that sort of increase is very difficult to justify.

“I see massive prices for Sochi 2014 and future Olympic Games as well as the World Cup and just don’t believe that trend can continue.”

Van der Noll believes that high prices may simply force brands away from sport and into taking other creative approaches to reaching consumers.

For the full interview see this month’s SportBusiness International.