Emirates is restoring its Australian Open sponsorship.GETTY IMAGES
Emirates is set to make a "shock decision" to restore its naming rights partnership with golf's Australian Open, six months after "ditching the association," according to Nick Tabakoff of THE AUSTRALIAN. Emirates Communications, Marketing & Brand SVP Boutros Boutros said that the airline is "currently in talks with officials from Golf Australia about a possible new sponsorship deal" worth around A$5.5M ($4M) over three years. This effectively represents a "cut-price deal" for Emirates. Boutros described it as a “good proposal” and a “competitive” deal, because it represents the same amount Emirates was paying for the event five years ago. He said, "For one golf event, it's not cheap. But because it's Sydney, and we don't do much there (in terms of sponsorship), it's worth it. It's the number one golf event in the region, and for corporate clients, it's a way of collecting them together in a relaxed environment, rather than visiting them in the office in a more formal setting." The resumption of talks by Emirates with Golf Australia is a "significant surprise," as in recent months, Emirates has "axed some of its biggest sponsorships" in the country, including its naming rights deals at the Victorian Spring Racing Carnival for the Melbourne Cup and the Emirates Stakes, which were worth A$4M ($3M) a year. Despite Emirates "surprise" re-entry into calculations to sponsor the Australian Open, Boutros maintained that his overall spending "has to fall." He said, "My total budget for the whole world is slowing down. We don't need to keep spending the same amount" (THE AUSTRALIAN, 6/22).
