Adidas’ reported $200 million World Cup sponsorship is proving to be fruitful for the sporting goods company. The alliance helped sales soar 20% to $2.33 billion in the second quarter.
“The Adidas Group had an outstanding first half of 2006. crowned by our strong showing at the World Cup,” said Adidas AG Chairman and CEO Herbert Hainer in a statement. The figure excludes Reebok sales, which the German-based company acquired in January.
Adidas reported record sales of more than $1.53 billion for its soccer balls, up more than 30% from 2005. A record 3 million replica jerseys were sold, which included 1.5 million jerseys of the German national team. In comparison, Adidas sold 1.5 million jerseys and 250,000 German jerseys at the last World Cup in 2002, which it also sponsored.
“Our products are scoring with consumers, and this success is translating into market share gains,” Hainer said.
Additionally, more than 15 million +Teamgeist soccer balls, in the design of the match ball of the 2006 World Cup, have been sold worldwide, a record that more than doubles the previous record of 6 million for the Adidas Fevernova, the match ball of the 2002 World Cup.
Adidas activated its sponsorship throughout the World Cup games. The company’s soccer ball was used on the field at every match as it returned as the game’s official match ball supplier (a position it has held since 1970). In addition, on July 6, the Adidas Golden Ball, the official tournament trophy, was awarded to the competition’s most valuable player. Millions of fans worldwide also caught the soccer action and a glimpse of Adidas signage at multiple World Cup venues.
As luck, and a keen eye for winning teams would have it, Adidas was the sponsor of the three of the top teams (Argentina, Germany and France). Each team donned Adidas gear, including jerseys, shorts and footwear, which aided Adidas’ on-field brand presence.
Off the field, an online gaming community at Adidas.myplus10.com provided fans with tournament coverage. An Impossible Team Online game enabled soccer fans to interact in an Adidas-branded tournament. Top players received prizes, including a trip to London to meet a British soccer team and attend one of their games.
For all of its sponsorship activity, news reports indicate that Adidas outspent its Nike rival (also a World Cup sponsor) two to one. For its part, Nike paired up with Google.com to launch Joga.com, an online social community for soccer fans. The site was available in 140 countries worldwide and allowed fans to meet fellow soccer enthusiasts online; play games, join clubs, exchange tips on the coolest soccer moves and more.
Additional 2006 FIFA World Cup sponsors included Anheuser-Busch, Avaya, Coca-Cola, Continental AG, Deutsche Telecom AG, Emirates Airline, Fujifilm, Gillette, Hyundai, MasterCard, McDonald’s, Philips, Toshiba and Yahoo. The World Cup Soccer Tournament ended July 9.