Soft drinks giant Coca-Cola has overcome its legal dispute with soccer’s international governing body FIFA to become the latest sponsor of the revamped Club World Cup competition.
The agreement expands a long-running relationship between the two parties, with Coca-Cola having sponsored the showpiece FIFA World Cup since the 1978 edition.
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However, that partnership was in danger of being soured after the brand, along with German sportswear heavyweight Adidas, opened a legal case against FIFA around Club World Cup sponsorship rights.
According to the Guardian, separate cases were lodged by the brands at the Swiss Arbitration Centre in Zurich as they were unhappy at being asked to negotiate new deals for the expanded Club World Cup, which under its new, enlarged, format will take place for the first time this year and contain 32 teams.
Coca-Cola has an existing deal with FIFA running through 2030. The seven-year tie-up from 2023 has been valued by GlobalData Sport at $400 million in total.
Coca-Cola and Adidas thought their deals with the federation would include rights for this year’s Club World Cup in the US.
However, FIFA reportedly asked them to enter a formal tender process for the rights, something neither brand was happy to do.
A compromise was likely reached with Coca-Cola now announced as the latest sponsor of the competition.
The company becomes the fourth Club World Cup partner, joining global drinks heavyweight Anheuser-Busch InBev, Chinese consumer electronics brand Hisense, and Bank of America, with the trio also expanding relationships with FIFA to cover the new-look competition.
Coca-Cola will activate the sponsorship through fan engagement initiatives across the US cities hosting matches in the tournament and other global markets.
The quadrennial Club World Cup’s new format will see continental governing bodies – apart from the Oceania Football Confederation (OFC) – receive multiple team slots.
Europe’s UEFA, with 12, will have the most teams. The lineup will include Chelsea, Real Madrid, Manchester City, Bayern Munich, PSG, Inter Milan, Porto, Benfica, Borussia Dortmund, Juventus, Atletico Madrid, and Red Bull Salzburg.
Romy Gai, FIFA chief business officer, said: “The Coca-Cola Company has been involved in stadium advertising at every FIFA World Cup since 1950 and has provided many memorable experiences in global football over the decades.
“We are delighted to have such an important and long-standing partner on board as we usher in a new era in global club football with the FIFA Club World Cup.”
Brad Ross, vice president of global sports and entertainment marketing and partnerships at The Coca-Cola Company, added: “Sports partnerships like the one we have with FIFA are an important growth driver for our company, brands, and global system, and the FIFA Club World Cup will be a significant moment.”
The Club World Cup will kick off in Miami on June 14, with the final in New Jersey on July 13.
Every match will be live-streamed globally for free by the DAZN streaming service after it recently agreed a broadcast deal with FIFA.
