NaijNaira
Finally, the FIFA World Cup Qatar 2022 ended on Sunday with a historic football match between Argentina and France, and a thrilling win by the South American country.
The match showed the iconic performances of Argentina’s Lionel Messi and France’s Kylian Mbappe.
The tournament, which required years of preparations and investments, fetched FIFA about $7.5 billion through commercial deals, which is $1 billion higher than what it had earned during the Russia World Cup in 2018.
The iconic football match on Sunday went to a penalty shootout where Emiliano Martinez came up big and saved Kingsley Coman’s shot, while Aurélien Tchouaméni missed the target as Argentina defeated France 4-2 as the match ended 3-3 after the extra time.
How Much Did FIFA Budget Its Revenue During Qatar Football World Cup 2022?
For the four-year cycle to the Qatar World Cup 2022, the world’s highest governing body of football FIFA had estimated total revenue of about $4.7 billion.
It was almost the same as what it earned during the four-year cycle to Russia World Cup 2018.
Of the about $4.7 billion revenue budget for 2022, FIFA had struck commercial contracts of about $3.8 million, about 82 per cent of the total target, till the end of December 2020.
Now, the next four-year budget, which was presented on December 16 to the FIFA Council, pegs its total earnings at $11 billion for the world cup 2026, which will be hosted by three North American countries — the US, Mexico, and Canada.
According to FIFA’s website, the world cup is the main source of revenue for FIFA and takes place at the end of the four-year cycle, resulting in a delayed pattern of revenue recognition.
How Much FIFA Has Earned
FIFA has earned about $7.5 billion through commercial deals during the Qatar World Cup 2022, which is $1 billion higher than what it earned during the Russia World Cup in 2018.
The jump in earnings during this football world cup is also on the back of cost savings by FIFA as the whole tournament was conducted in one city, thus cutting down travel costs and extra infrastructure.
All eight stadiums were within the 50-kilometer radius of Doha.
According to a Guardian report, FIFA officials estimate the windfall will generate an extra $700,000 in investment for the game, with $300,000 accounted for in emergency COVID-19 funding.
The Revenue Break-Up: Rights Sales and Ticket Revenue
FIFA mainly earns from five categories — television broadcasting rights; marketing rights; hospitality rights and ticket sales; licensing rights; and other revenue.
Television broadcasting rights is the largest contributor with an overall share of 56 per cent in the total earnings, followed by marketing rights at 29 per cent.
The rest accounted for 15 per cent of the total 2022 revenue budget.
According to the FIFA website, the revenue target for television broadcasting rights was $2.64 billion during the 2022 football world cup.
The total budget for marketing rights sales was $1.35 million. The licensing rights budget was $140 million for the year.
According to Germany-based sports outfitter Keller Sports, match tickets in Qatar were 40 per cent costlier as compared with the previous FIFA World Cup Russia 2018.
Tickets for the final match cost a hefty 684 pounds (nearly Rs 66,200) on average.
As more than three million tickets were already sold, the total ticket revenue is estimated to be about $1 billion (on 286 pounds or $340 per seat).
In the 2026 world cup, FIFA foresees an almost 50 per cent increase in income mainly tied to broadcasting and sponsorship deals, plus ticketing and hospitality at a tournament that will use several NFL stadiums.
