Middle East airline spending in sports sponsorship
Middle Eastern airlines are among the highest spenders when it comes to sports sponsorship, with Emirates Airline and Qatar Airways dominating deal values in 2023 so far compared to European and North American airlines. However, these types of values are expected to occur when partnering with some of soccer’s biggest sporting entities, like the two brands have. The Middle East airline brands currently account for 53.5% of airline spending within sports sponsorship and this will further increase in the coming years, says GlobalData, a leading data and analytics company.
GlobalData’s latest report, ‘Sponsorship Sector Report – Airlines 2023’ reveals that the highest spending deals among airline brands are all with either one of the two Middle East airlines and Europe’s biggest soccer clubs. Combined, shirt sponsor deals with Paris-Saint Germain (PSG), Real Madrid, and Arsenal have an estimated combined value of $216.1 million, highlighting the significance of the deals.
Tanveer Aujla, Analyst at GlobalData, comments: “There is a huge cost involved in associating with some of the most popular and well-supported soccer clubs in the world. It’s a sport with global popularity, and the calibre of players who ply their trade at these clubs brings a visibility that most other sports and teams can’t replicate. Globally, the number of people who are watching games featuring these teams can number in the millions, especially in the UEFA Champions League.”
The deal between Qatar Airways and PSG is especially unsurprising in its nature, given the Qatari ownership of the club. The Qataris have been attempting to expand their footprint within soccer sponsorship given their recent hosting of the 2022 FIFA World Cup. This expansion into soccer is emblematic of the Middle East becoming more influential in sporting affairs around the world.
Aujla continues: “While there was plenty of news coverage generated by the 2022 FIFA World Cup, the reality is that Middle Eastern nations are beginning to entrench themselves in the world of sport in significant ways. This summer has seen an explosion in soccer players heading to the Saudi League, while the merger between LIV Golf and the PGA Tour represents a seismic shift in the global structure of professional golf.”
This could be an indication of a more aggressive approach to come regarding sports sponsorship. It is highly likely that more Middle Eastern brands, including airlines, will strike lucrative deals with major sporting properties due to the many positive associations sport can bring.
Aujla concludes: “The Middle East’s expansion into sport is highly likely to continue through new sponsorship opportunities. Brands from the region, specifically airlines, have already proven themselves capable of paying extraordinarily high fees to secure these kinds of partnerships. As teams look to expand their sponsorship portfolios and bring in higher revenues, they could look to Middle Eastern brands to achieve this.”
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