I readily admit now, as I have in the past, I am far from being world’s biggest soccer, er futbol, fan. I was, however, very much drawn to the recent World Cup. As the level of competition intensified as the tournament went on so too did my interest. It was indeed a highly entertaining event overall.
Of course the marketing, advertising and branding junkie in me was quite curious to see how the big brands would play a role during the event. In fact on the very first day of the World Cup, I published How Coca-Cola Is Spreading Happiness At The 2014 World Cup.
The way Coca-Cola spread happiness was via it’s Coca-Cola Happiness Flag — a football stadium-sized, crowd-sourced mosaic flag created from photos and tweets submitted by fans from around the world.
Today, however, I am here to tell you of the impact an event such as the World Cup can have on a given country’s economy. No, not the host country but ANY country participating in the event.
Winning = Good/Losing = Not So Good
Using data collected from June 15th to July 14th, myThings, a leader in programmatic ad solutions tailored for the largest eCommerce brands, releases findings that tie a strong correlation to World Cup wins and a boost in spending via online shopping in the respective country.
The findings were released via an infographic, which is below. Here’s some of the key findings:
- Germany, the World Cup winner, displayed a 75% average increase in transactions one day after their victories
- Brazil experienced a 17% drop in spending after their devastating loss to Germany, compared to a 9% increase after winning
- U.S.A.’s elimination from the World Cup resulted in a 7% decrease in online spending
- Mexico displayed a 51% decrease in spend after their round of 16 match loss
- UK’s loss to Uruguay resulted in a 13% decrease in the amount of transactions
I spoke with Benny Arbel, CEO of MyThings, to dig a little deeper into the research findings.
Steve Olenski: What surprised you, if anything, about the findings?
Benny Arbel: We did expect to see that after victories shopping would increase and after losing it would decrease. The reality is always more complicated as many factors come into play in different areas of the world. For example, in France there was an increase in shopping after winning and losing, in Germany there was a shopping frenzy after winning, and in Latin America there was less shopping. An interesting factor to note is that in Europe there was still shopping after a loss but at a much lower rate than after winning. All in all, it’s a refreshing global perspective on how mood affects shopping online across countries and across cultures.
Olenski: What does this data mean for advertisers/retailers?
Arbel: In most cases, the outcome of the game has an impact on shopping, although it varies per country. If advertisers want to predict shopping patterns in advance they can use this data to pre-plan advertising campaigns with tailored messages and offer products that would best fit a win or loss result. This type of advertising can be applied across websites and other marketing channels, including advertising campaigns surrounding big games. The use of advertising after a loss can be even more effective in some situations since shoppers with a lower morale may not want to visit a site unless they are actively encouraged by a discount or promotion.
Olenski: Does this data indicate that this could impact other sporting events?
Arbel: The data reflects that mood has a strong impact on shopping behavior and motivation to purchase. Sports, as we know, produces very strong emotions so we can definitely anticipate similar patterns with other sporting events.
I think you can equate the World Cup final to the Super Bowl or to a game 7 in the NBA finals. In each case, there are knockout stages that precede the big game. There are always important and exciting games ahead of the big games so it’s never really about just a single game. Therefore, if we examine the Super Bowl, we can expect to see different effects in different cities throughout the playoffs with a winning city doing more shopping than a losing city.
Gil Regev, VP of Marketing at MassiveImpact, agrees and says purchase behavior can be impacted over multiple platforms, as well.
“Advertisers in general use sporting (and other ‘celebratory’ )events as an opportunity to increase consumer purchases – this holds true over mobile as well as online shopping,” he said. “Look at the Super Bowl, which is just as famous for its half-time advertising as it is for the actual game. The assumption is, and we already have the numbers to show for it, that excitement in general makes people want to spend more as a way of celebrating the moment, case and point holiday sales, sporting events and in-flight advertising.”
What do you think?
As a consumer do you think you’re more inclined to make a purchase based on a sporting event or in turn not make one based on a sporting event, depending on the outcome?
Original Source: Forbes