How much money does the IOC make from Olympic sponsorship?
Alongside TV contracts, sponsors and partners are the IOC's main sources of income: $2 billion is taken in by the Olympic host through its 14 top global sponsors alone in the four-year cycle that includes the Pyeongchang Winter Games and the Tokyo Summer Games. For the next cycle, with the 2022 Games in Beijing and 2024 in Paris, the amount is expected to rise to $3 billion, according to the IOC. On top of that, there will be another $3.3 billion or so from the nearly 70 Japanese "domestic sponsors."
No wonder: As a highlight of the sports season lasting several weeks, the Olympic Games still reach billions of people - on their TV screens, but now above all as trending content on social media.
Who are the sponsors and partners for the Tokyo Olympics?
The IOC has a four-tier sponsorship system for the Tokyo Olympics, from global partners to gold partners to primarily Japanese companies as "domestic sponsors." The sponsors and partners at a glance:
|Company||Industry||In the IOC TOP-Programme since|
|Coca-Cola||beverages||1986 (Olympic sponsor since 1928)|
|Alivava||cloud services and e-commerce||2017|
|GE||transportation and infrastructure||2005|
|Intel||processors and chips||2017|
|Procter & Gamble||daycare products||2010|
|Samsung||communication and electronics||1997|
|Toyota||vehicles and mobility||2017|
|Olympic Gold Partners||Olympic Official Partners||Olympic Official Supporters|
|Tokio Marine & Nichido Fire Insurance||Kikkoman||KADOKAWA|
|Mizuho||Alsok||TOBU TOWER SKYTREE|
|Mitsui Fudosan||Daiwa House||PARK24|
|Meiji||Tokyo Gas||Pasona Group|
|Lixil||Tokyo Metro||BCG Japan|
|Tobu Top Tours||Morisawa|
|Toppan||Yahoo Japan Corporation|
|Narita Airport||THE SANKEI SHIMBUN|
|Nissin||The Hokkaido Shimbun Press|
|Japan Airport Terminal Haneda|
|The Japan News|
|The Asahi Shimbun|
How much does it cost to become an Olympic sponsor?
For the IOC's usual four-year cycle, the Olympic sponsorship costs a three-digit million sum to the 14 global partners. According to Quartz, sponsors currently pay up to $300 million per cycle.
Bridgestone or Panasonic, for example, cost $200 million to $250 million each for their status as a global partner for four years. Airbnb is said to have signed an eight-year contract until 2028 with payments of $500 million.
What impact does Corona have on sponsorship?
The postponement of the Tokyo Olympics naturally also has an impact on sponsorship. Contracts have had to be renegotiated simply because of the time blast from the usual four-year cycle. The limitation of spectator numbers at the venues to a maximum of 10,000 people, as well as the likely absence of international fans, are also changing the image of the Games and thus also that of the sponsors.
In the event of a decline in the value of Olympic sponsorship, Rick Burton, a professor of sports management at Syracuse University, says it's conceivable that agreements for the 2022 and 2024 Games could be extended.
Despite the tense economic situation, Japan's "Domestic Sponsors" have also pledged their continued support for the Games.
What do the sponsors receive in return?
Global Sponsors' products and services are used at the sports venues on site and by the athletes. For example, Omega watches are used to measure time at competitions. Consumer electronics for the athletes come from Samsung.
The sponsors and partners, in turn, are the only brands with the right to use the famous Olympic rings and the Olympic flame in their marketing activities. Procter & Gamble, for example, is taking advantage of this in its #LeadWithLove campaign for the Games.
Funding of Olympic Games
The Olympic Games have always been attracting a large number of sponsors being a responsible and honorific event in global sense. The number of companies sponsoring the Olympics annually reaches an average of 50 brands providing different forms of support. But traditionally, the major sponsors of the Olympics remain Coca-Cola, Samsung, Visa, Procter&Gamble, etc.