Millions of viewers eagerly anticipate the World Cup, a global sporting event that generates substantial profits for host countries. A significant factor in this success is the international pricing strategy involved throughout the games, which changes based on consumer preferences and economic conditions of the time as well as the demographics of the host country. In the past couple of years, the World Cup has undergone a major pricing revamp with the adoption of dynamic pricing. This pricing method involves real-time adjustments of prices to reflect supply and demand. Therefore, tickets for certain matches could cost more as the event draws near and popularity surges. Also, depending on the team and popularity of the players, prices could also fluctuate.
Tickets varying in price based on seat location, country involved in the match, and the time in which the match is to be played are all involved in the World Cup’s tiered pricing strategy. This expands the consumer base of the cup as individuals have a wider variety of pricing options when looking for games to attend. Furthermore, pricing initiatives to improve accessibility and affordability have been implemented to aid with viewership and attendance issued faced after the pandemic. Also, this combats the issue of only wealthy individuals being able to attend the tournament.
Attendance and viewership of the matches also play a significant role regarding sponsorship deals and merchandising agreements to further generate revenue than what is generated from ticket sales. As you may know, sponsorship deals involve partnering with companies to promote their brand throughout the tournament, and merchandising involves selling official merchandise of each country as well as the tournament itself to fans. Therefore, it is evident that viewership and exposure of each brand plays a key role in how likely brands are to sponsor the tournament. The pricing of sponsorships and merchandise also reflects changing economic conditions and consumer preferences. Endorsements and sponsorships specifically reflect changes in consumer preferences as certain endorsements may be more lucrative than others, especially with the games highlighting the player’s every move. These brand sponsorships could lead to higher revenues via merchandise sales and vice versa.
World Cup Promotion and Marketing Strategies (Qatar 2022) | Peek & Poke (peekandpoke.com)