CHICAGO, March 7, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the Coca-Cola Co. (NYSE:KO-Free Report), Sony Corp. (NYSE:SNE-Free Report), Visa Inc. (NYSE:V-Free Report), Ambev S.A. (NYSE:ABEV-Free Report) and Banco Itau (NYSE:ITUB-Free Report).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Thursday's Analyst Blog:
Goals Galore for World Cup Sponsors
The FIFA World Cup 2014, scheduled to kick off on Jun 12 in Brazil, will provide marketers with a dream opportunity to push their brands. Four billion fans are expected to tune in on television and a multitude of digital and social media channels.
During this month-long sporting event, an estimated 500,000 soccer fans from across the globe are expected to travel to Brazil. Obviously, it will be a big boost for the hoteliers, restaurants, retailers and tourist hotspots. A total of 12 Brazilian cities will be hosting the world's largest soccer event that comes every four years. These provide an added incentive to even the non-official partners to up the ante for advertising and marketing.
FIFA's Sponsorship Strategy
To capitalize on this huge money-minting potential, FIFA has a three-tier sponsorship structure. The first tier consists of the FIFA Partners, followed by the FIFA World Cup Sponsors and the National Supporters for each FIFA event.
The FIFA Partners include The Coca-Cola Co. (NYSE:KO-Free Report), Adidas,Hyundai,Emirates Airlines, Sony Corp. (NYSE:SNE-Free Report) and Visa Inc. (NYSE:V-Free Report). These six companies have the highest level of association with all FIFA events and support the development of the sport from the grassroots to the top level. The sponsors in this category have exclusive rights for brand association, the use of selected marketing assets and media exposure, as well as ticketing and hospitality offers.
The final tier of the National Supporters allows local companies to promote themselves in the domestic market. These include Brazilian Trade and Investment agency Apex-Brasil, leading sports retailer Centauro, confectionery manufacturer Garoto, insurance company Liberty Seguros and language school WiseUp.
With such a formidable line-up, FIFA is expected to rake in at least $4 billion in sponsorships and television rights from this event.
The Vast Playing Field
Conservative estimates have revealed that the FIFA World Cup will be equivalent to having the Super Bowl every day for over a month. About 108 million people reportedly watched the Super Bowl in 2013, while 3.2 billion watched the last FIFA World Cup with 715 million watching the finals alone.
In order to have a significant TV presence in all the soccer games and related coverage, about eight companies have paid $600 million on an aggregate to premier Brazilian TV network Globo. This translates to $75 million per sponsor, which is almost comparable to 20 thirty-second Super Bowl spots for each marketer. The sponsors include Ambev S.A. (NYSE:ABEV-Free Report), Coca-Cola, Banco Itau (NYSE:ITUB-Free Report), Hyundai, Nestle, Oi and local retailer Magazine Luiza.
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
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