Some of the World Cup's top sponsors issued statements on Tuesday "following the resignation" of newly re-elected FIFA President Sepp Blatter, according to ESPN.
Budweiser, adidas, Visa and McDonald's "all essentially called Blatter's resignation a step in the right direction in reshaping the image and reputation of FIFA following the indictments, arrests and ongoing investigations for corruption and bribery reaching to the highest levels of football's world governing body."
Though Blatter himself "has not been charged with anything," reports revealed that the FBI "had been investigating the four-term FIFA president."
Adidas: " ... Today's news marks a step in the right direction on FIFA's path to establish and follow transparent compliance standards in everything they do."
McDonald's: " ... The allegations of corruption and questionable ethics within FIFA have overshadowed the game and taken away from the sport, players and fans. We're hopeful that the changes being implemented within FIFA will be a big first step in positively reforming the organization and gaining back trust from fans worldwide."
Budweiser: "We expect today's announcement to accelerate FIFA's efforts to resolve internal issues, install positive change and adhere to the highest ethical standards and transparency. ... "
Visa: " ... it is our expectation that FIFA will take swift and immediate steps towards addressing the issues within its organization to quickly rebuild a culture with strong ethical practices that will restore the reputation of the games for fans around the world. ... " (ESPN, 6/2).
PUBLIC PRESSURE: MARKETING MAGAZINE's Shona Ghosh wrote there "is intense public pressure on FIFA's biggest sponsors" --
McDonald's, Coke, Hyundai, Gazprom, Budweiser, and adidas -- "to take a
stand and withdraw." As Trevor Cairns,
a former CMO at Nike-owned Umbro, puts it, any brand under normal
circumstances would have "run a mile" away from FIFA. So "why haven’t
they?" Several tier-one and tier-two FIFA
sponsors "actually did sever ties after last year’s World Cup." Sony,
Emirates, Castrol, Johnson & Johnson and Continental "all decided
not to renew their contracts, though none blamed the rumblings at FIFA
directly." But Osborne Clark partner and European Sponsorship Association Board Dir Nick Johnson suggested that "the current crop of sponsors
might have trouble getting out of their contracts early." All will have a "morals clause" baked into their deals, giving them a chance to exit if a scandal occurs. Arguably, the indictment of multiple FIFA officials and the Qatar
human-rights abuses "should qualify as a scandal." But Johnson suggested that "it
might not be enough because the charges involve individuals rather than
FIFA as a whole." He said, "Even if multiple individuals are convicted, that may not be enough to trigger a morals clause. Generally, FIFA is in a strong bargaining position with new sponsors. I would expect the contracts to be pretty FIFA-friendly." The sponsors "have also attracted criticism for their mealy mouthed statements on both the migrant-worker deaths and the indictments." Only Visa "went further by threatening to reconsider its sponsorship agreement with FIFA." One reason "for their identikit statements may be that they are bound by confidentiality." In light of this, "Visa’s public threats seem remarkable." Johnson said, "Some sponsors have been more vocal than you’d expect, publicly. It’s a trend that sponsors have become more prepared to stick their heads above the parapet and actively engage with the public conversation" (MARKETING MAGAZINE, 6/2).
