Articles

15/06/2010

Red card for World Cup advertising?
Jacky Morris ,Paul Jordan

With the early stages of the World Cup finals now underway, the world focuses on the tournament that seems to matter the most.  Whilst focussing on the games themselves, people from around the world will be exposed to brands associated with chocolate bars to airlines as extensive advertising campaigns also "kick off".

FIFA has been quick off the mark to profit from this advertising exposure, and reportedly charges up to $125 million for those brand owners who wish to be official sponsors of the tournament.  Consequently, FIFA's total estimated revenue in connection with the tournament is $3.4 billion. Given the significant exposure of advertising surrounding the games and the profit available to FIFA, there is a strong incentive for both the official sponsors and FIFA to protect the advertising space around the World Cup.

To this end, FIFA have prepared strict guidelines surrounding the promotion of the World Cup (for the latest version see www.fifa.com).  These guidelines set out FIFA's rights in the official marks, including the terms "2010 FIFA World Cup South Africa" and "2010 FIFA World Cup".

The guidelines also set out practical examples of what use is prohibited. For example, legitimate use is any editorial use which does not create an "Unauthorised Association" with the World Cup.  In terms of merchandising, general football terms can be used.  Overall, the theme in the guidelines is that no loose association with the World Cup held in South Africa in 2010 should be made.

The impression given by this theme, and in particular by the tough legislation implemented in South Africa, is that advertisers are not entitled to make any reference to the "World Cup" whatsoever.  In reality though, there is no blanket ban on advertising around the World Cup.  However, advertisers in the UK should be aware of the boundaries and seek specialist advice. For example, advertisers in the UK should be able to avoid infringing FIFA's rights by not using FIFA's UK trade marks as registered (which include "WORLD CUP 2010").  Advertisers should also be aware that issues may arise if they target audiences outside of the UK (as the registered trade mark position can differ from country to country).  Particular care should be given to avoid the South African audience where strict local legislation combats any loose association with the tournament.

An interesting example of how the competing interests of official sponsors and unofficial sponsors play out relates to Nestlé's current World Cup themed promotion which uses Kit Kat fingers as a symbol of "crossing your fingers" to support the England team. Although not directly related to FIFA, Nestlé's rival Mars is the official sponsor of the England team, and is allegedly considering legal action in conjunction with the Football Association on the basis that Nestlé's campaign amounts to "passing off" due to the fact that consumers will believe there is an association or commercial connection between Nestlé and the England team.  With so much marketing spend at stake it will be interesting to see how this dispute plays out.

Businesses should be able to tap into the excitement surrounding the "festival of football" without infringing the organiser's valuable intellectual property rights - understanding the true underlying rights position will help ensure that advertising campaigns stay the right side of the line.

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