In Brazil, seven arenas have already adopted the strategy; most recent case was with So Paulo, which sold the rights to Mondelz
A practice little adopted in Brazil in recent decades, naming rights have been gaining ground in the world of football. What was always common in Europe, here, was very rare to see. It was. Especially because the country is seeing an increase in the number of stadiums that are being renamed with brand names.
Seven arenas already have naming rights negotiated Allianz Parque (Palmeiras), NeoQumica Arena (Corinthians), MorumBis (So Paulo), Ligga Arena (Athletico-PR), MRV Arena (Atltico-MG), Arena BRB Man Garrincha (Braslia), and Casa de Apostas Arena Fonte Nova, in Salvador (BA).
In England, for example, this number is smaller in the land where football was invented, there are five stadiums (Etihad Stadium, Emirates Arena, Vitality Stadium, Gtech Community Stadium and Amex Stadium), the same number as in Italy.
The first naming rights in Brazil were signed in 2005 by Athletico Paranaense (at the time, still Atlético): Arena Baixada, in Curitiba, was renamed Kyocera Arena, in a three-year contract. And the most recent case is that of So Paulo, which, in partnership with Mondelz, renamed Morumbi MorumBis.
The company will pay R$30 million annually to name the Cicero Pompeo de Toledo, the initial three-year agreement and can also be used for shows and events.
Ivan Martinho, professor of sports marketing at ESPM, said that the naming rights model is a strategy that has already been adopted in concert halls and theaters for more than two decades, but that, within the sports universe, it intensified after the FIFA World Cup. 2014 and, above all, he highlighted, as brands understood the return that such an investment can generate.
Naming rights contracts are an extremely important recipe in composing a business plan for any sports and entertainment equipment. The greater investment in the industry, the more the segment develops and has the capacity to approach the experience offered in other more mature market regions such as North America, he stated.
On the rise in the USA
In the United States, stadium naming rights are much more common. Former VP of marketing at Fluminense, Idel Halfen carried out, in 2020, a mapping of naming rights on American soil. Halfen considered the spaces used for the NBA, WNBA, NFL, NHL, MLB and MLS at the time, 112 of the 139 arenas adhered to the business model, equivalent to 81%.
Armnio Neto, sports business specialist and founding partner of Let’s Goal, said that, in Brazil, unlike the USA, arenas are relatively new, and so is the existence of new properties and new business plans. She believes that brands are better understanding how to fit these properties into their marketing strategies.
Over time and quickly, this segment will become more mature and naming rights will have more value, including financial value, he said.
In his view, the challenge for clubs lies in delivering services, executing activations and promoting high-standard experiences in order to strengthen the product and attract more and more brands. Given positive cases and history, this will be a recurring and relevant revenue, invariably under long-term contracts, characteristics of this type of agreement.”
Engagement, brand building…
For Ren Salviano, CEO of Heatmap, the arena is one of the main places to connect brand and public and create experiences for fans, whether in games or shows. “The arenas are true cannons for creating experiences and connections with fans.”
He also highlighted that the arenas have digital media, static media, social networks, televisions, boxes, activation areas, “in addition to other deliveries that can be much more complete than their competitors, so that brands can pursue their objectives”, he stated.
Ana Clara Campos, content manager at End to End, naming rights are a set of possibilities for visibility, engagement and building brand presence. “The stadium is the place where fans live incredible and unique experiences, having your brand linked directly to the name of this mystical place for them opens up possibilities for personalized strategies capable of bringing fans closer together.”
In the land of all saints
At the end of last year, the consortium responsible for managing Arena Fonte Nova, in Salvador, announced the sale of naming rights to Casa de Apostas, a company that operates in the betting segment. The agreement will last four years and have an approximate value of R$52 million.
The stadium, which opened in 2013 for the following year’s World Cup, was called Arena Itaipava Fonte Nove for a decade, a beer from the Petrpolis Group. The contract ended at the end of last year.
Hans Schleier, marketing director at Casa de Apostas, says that, following the announcement of the agreement, the brand’s digital indicators changed. “The brand has increased its presence on websites and news portals, profiles on social networks covering a wide range of topics, and in searches on the main internet search tools,” he said.
According to him, the short-term objective is to increase the base coming from ‘this excellent asset, in football matches and sporting events held at Casa de Apostas Arena Fonte Nova’.
Still in Salvador, Barrado should be another stadium to be renamed. Vitria’s partners approved the opening of an agreement so that the home of the Bahian black and white team will be called Arena Fatal Model Barrado. The sale of the naming rights, which is not yet 100% finalized, would be for R$100 million over ten years.
“Our partnership with Vitria has been based on mutual benefit for both parties. While we invest and help the club financially, the repercussion generated has been very positive so that our values of equality and respect are disseminated”, said Nina Sag , spokesperson for the escort website Fatal Model.