Adidas’ decision to pull its sponsorship of the IAAF "may not have come as a total surprise on paper," according to Katie Deighton of EVENT MAGAZINE. The association was "near enough crippled by the Russian doping scandal last year, only to be kicked down again last fortnight" when reports emerged that "corruption was rife at the top of the chain." Yet the way adidas "abruptly pulled the plug" was "headline news." It came "just eight months" after adidas issued a "stern warning" to FIFA regarding its "lambasted human rights reputation -- but made no discernible efforts to withdraw sponsorship" from the organization. In the brand activation world, new Momentum Worldwide U.K. President Luke D'Arcy believes the news to be "an eye-opener." He said, "There is "no hiding from the level of negative coverage that this scandal is generating and for adidas making a stand like this shows how far reaching the implications will be." Sledge CEO Nic Cooper said that adidas’ timing "was right -- despite a potential legal battle that may be on the horizon." Cooper: "I think that [adidas] have acted in a timely fashion and probably are aware that the IAAF will have further bad news to reveal -- just in the same way that there seems to be a new revelation about FIFA every day." FIFA, "it seems, is in hot water." Yet despite "the speight of outcry in May, no sponsor ultimately withdrew." Adidas clearly is not afraid to cut its ties when ethics are involved, "so why not do so" with FIFA? GMR Marketing Managing Dir James Hunt said, "Only they can really answer that but they’ll almost certainly have considered the relative value they’re receiving from their FIFA partnership, as opposed to their relationship the IAAF." Activation agency Ear to The Ground CEO Steve Smith "also believes it’s about the net gains" adidas receives from a partnership with FIFA. He said, "The relationship is deeper at 45 years, it’s more integrated and commercially bigger; the World Cup is a unique world class property with an unmatched commercial value for a sport apparel brand" (EVENT MAGAZINE, 1/25).
FOLLOW THE MONEY: In London, Owen Gibson opined to "anyone with more than a passing knowledge of the fascinating, twisted history" of adidas the idea that it has "suddenly discovered its moral compass" and taken a stand against the "fetid corruption" and institutionalized doping in athletics is "laughable." This, after all, "is the same company that has supplied the ball" at every World Cup since '74 and extended its sponsorship deal with FIFA to '30 even as corruption allegations "brought world football’s discredited governing body to its knees." And, "more crucially, it was absolutely key in the collision between money, marketing, broadcasting and sport that gave birth to the circus surrounding modern football and the Olympics," and indirectly to the "dark heart of bribery and backhanders that infected both" (GUARDIAN, 1/25).
