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Blogvent Day 22 - Qatar set for 2022 transformation

Sponsorship | Sport

Russia’s jubilation at being awarded the 2018 Football World Cup may have been met by dismay by many in England, but their disbelief was nothing compared to Qatar’s appointment as 2022 hosts.

Having been to Qatar on numerous occasions for their MotoGP night race, their ambitious plans for hosting one of the biggest sporting events in the world are quite a thrilling prospect. How the next 12 years plan out will define the future of the World Cup. Brazil and Russia will definitely take the event to new heights, but if even a small percentage of Qatar’s plans come to fruition, then we will be in for some exhilarating facilities and a brand new World Cup vibe.

It will also transform the country beyond recognition with a bespoke infrastructure being created especially for the event. A recent report by the National Bank on Kuwait, reported in Sport Business last week, highlights the economic boost that the event will give Qatar and neighbouring countries. Qatar plans to spend $20bn on buildings and road networks with 12 brand new stadia at an additional cost of $4bn, a $25bn metro and rail system, a $10bn airport at Doha and a $4bn causeway linking Qatar and Bahrain.

Other sports will undoubtedly benefit from the improvements in the long-term, while the creation of new stadia offer new sponsorship opportunities for brands looking to expand into or within the region. Naming rights deals are a small but growing form of sponsorship, accounting just under 3% of all sponsorship deals in 2009 but amounting to around 10% of all committed investment. Last December, it was announced that Mercedes-Benz acquired naming rights for a new arena in Shanghai which hosted its first events this year. The alleged fee for that deal was $150m.

As brands look to expand internationally, dovetailing with FIFA’s clear vision to penetrate new markets with the appointment of Qatar as World Cup hosts in 2022 may be a shrewd business move in the coming years.

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