At the ongoing Qatar 2022 FIFA World Cup, the Saudi Arabian male national team beat the Lionel Messi-led star-studded Argentine national team in their opening group game of the World Cup and social media went into overdrive. News broke, accompanied by a curious video of the Saudi team being rewarded with a Rolls Royce car each.
Alas, the news about this extraordinary reward was false. This does not take away from the bountiful financial harvest that the World Cup represents for FIFA, the competing national teams, officials, fans, and the host nation.
Here is a list of some of the financial/ business aspects of the Qatar 2022 FIFA World Cup:
- $220 billion: An estimate of the total amount spent by the Qatari government since the hosting rights were awarded to the oil-rich middle eastern nation. This is far more than the $11.6 billion reportedly spent by Russia for the 2018 event and far outstrips the $7 billion jointly spent by South Korea and Japan to host the event 20 years ago.
- $466 million: This figure represents the total expected revenue budget for the Qatar 2022 FIFA World Cup. It consists of five main revenue streams with the sale of television broadcast rights making 56% of the total income.
- $1.7 billion: Total revenue accruing to FIFA from sponsors with brands paying as much as $63.26m for rights in a 4-year cycle. Adidas, which has the longest-running involvement with the event since its involvement in Mexico in 1970), Coca-Cola, Wanda Group, Hyundai/Kia, Qatar Airways, Qatar Energy, and Visa are all designated as FIFA partners while Budweiser (sorry about the change in policy regarding alcohol), Byju, crypto.com, Hisense, McDonald’s, Mengulu Dairy and Vivo are designated as official sponsors within the 4-year cycle, according to GlobalData’s report, “Business of the FIFA 2002 World Cup”.
- $440 million: That’s the total available prize money pool for the Qatar 2022 World Cup. This is an additional $40 million on the $400 million that was available in the 2018 World Cup in Russia.
- $42 million: The total amount the winner of the 2022 Qatar FIFA World Cup will receive in prize money, up from the $38 million France received for winning the 2018 edition in Russia.
- $9 million: It represents the minimum amount any of the participating teams will receive during the tournament. This amount is paid out for being involved in the group stages and increases as the team progresses in the competition. This money is the constant basis for strife between African Teams and their home Football Associations as regards the sharing formula. FIFA is not directly involved in this and leaves it to individual associations to determine.
- $48 million ($1.5 million per participating nation) which FIFA makes available to aid preparation for the World cup.
- $209 million: the largesse FIFA announced it plans to share with clubs whose players participate in the World Cup. According to a FIFA statement: “As part of its commitment to recognize the contribution that football clubs make to the successful staging of the FIFA World Cup, today FIFA started the application process for its Club Benefits Program that will see $209 million distributed to clubs across the world.” The fund has tripled in value since the 2014 World Cup in Brazil.
- $70,000: This is the base pay for referees at the World Cup with a further $3,000 as allowance for every game they oversee. The assistant referees and fourth official get paid $25,000 for their participation and a further $2,500 per match involvement.
- $128 million: This is how much Kylian Mbappe, the young French Striker who is the heir apparent to the football throne earns in a year, according to Forbes. This consists of $110 million for on-field activities and another $18 million for off-field earnings. Lionel Messi is second with $120 million consisting of $65 million for on-field and $55 million for off-field earnings, while Cristiano Ronaldo is third with $100 million comprising $40m for on-field and $ 60 million for off-field earnings.
- $24 million: The highest amount paid out to a Footballer to endorse a particular brand of football boots. Puma pays this amount to the Brazilian Superstar Neymar for him to wear their boots.
- 40%: The number of teams at this year’s World Cup whose jerseys and kits are provided by the American Kit maker Nike, with Adidas having 34.8% and Puma 12.1%, according to figures analyzed by the SUN Newspapers in the UK.
- $1.8 billion: An estimate of how much is expected to be placed on different outcomes by Americans during this year’s event, according to the American Gambling Association. All over the World, billions will be gambled on the games with betting companies increasing advertising in and around matches with Africa being a new battleground for most.
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To me Kylian Mbappe is not the heir while Halland is doing wonders thisdays.
The amount of prize money just for participating is very high. In confederations like CONCACAF and CAF, unless the funds are squandered, this is an excellent basis for shoring up infrastructure, develop new talent, and initiate a virtuous cycle which can help the countries keep participating.
Of course, there’s a big difference between theory and priactice, and that’s sad.