About
Subscribe

Vodacom fights stadium branding ban

By Dave Glazier, ITWeb journalist
Johannesburg, 17 Jul 2006

Vodacom has petitioned the Sports and Recreation Portfolio Committee to shorten the time period surrounding the event during which Vodacom must clear its branding from stadiums.

The Special Measures Bill, as it is to be called, regulates all sponsorship and branding issues related to the World Cup in 2010 and the Confederations Cup in 2009. Private sector companies met with the committee in Cape Town last week.

Vodacom urged the committee to understand the financial implications of forcing all branding and promotional outlets of the country`s largest cellular operator to be cleared for a period of six months around the time of the World Cup.

"There`s obviously an understanding that during the competition itself we will have to clear our marketing - but we are calling for that period (surrounding the event) to be three months," says Mthobi Tyamzashe, Vodacom`s executive director of stakeholder relations.

He says the issue relates not merely to branding and advertising rights, but also to businesses "in the vicinity of the stadiums", such as Vodashops and prepaid card vendors.

Vodacom is the main sponsor of Loftus Versveld, in Pretoria, and Vodacom Park, in Bloemfontein, notes Tyamzashe.

The meeting with the committee was less useful than it could have been, as Vodacom was not properly informed that the discussions were to be mostly about merchandising of the event, and protecting the FIFA branding - and less about stadium sponsorship rights, he says.

It is, at this stage, unclear as to how the cellular giant is expected to continue in its drive to shorten the sponsorship clearance period.

Vodacom is unable to predict a figure to the potential revenue loss if all its businesses around World Cup venues were to be closed for six months.

Related stories:
MTN scores $65m FIFA sponsorship
Vodacom declines 2010 sponsorship

Share