The new thing is trying to take the organization from a non-profit to a corporation. Mainly so the executives can increase their already large compensation apparently.
FIFA made $~15 billion USD this World Cup, roughly double what they made in Qatar in 2022. There are many low-hanging fruit that can be optimized to increase that revenue by 10x.
I didn't realize the commercial-block-sized "hydration breaks" were that profitable.
For a second, I thought the Americanization[1] of fùtbol would be done gradually and no one would complain as we'd be slowly boiled. I'm glad the corrupt bastards got greedy/impatient and took a big swing.
1. Sports primarily as a business, catering to owners first, sponsors second, broadcasters third, and then lastly, fans. IMO non-profit sports organizations are the best model for fans, who I identify the most with.
It is absolutely outrageous that FIFA unilaterally changed the structure of a football match (that’s been the same since the nineteenth century) with no consultation, just so they could show ads
Per-ticket prices were a big factor too. By turning it into an open bidding process, every ticket sold at close to its market value, and many above that.
> There are many low-hanging fruit that can be optimized to increase that revenue by 10x.
The $15 billion figure is for FIFA's ENTIRE 2023-2026 revenue cycle, so not just this World Cup. But the obvious "low-hanging fruit" was making the tournamenta lot larger (104 matches instead of Qatar's 64), so a lot more tickets, hospitality sales, ads etc
Also two 3 minute hydration breaks per match, giving broadcasters additional advertising windows.
Yeah, I can see them doubling that revenue by being even more extortionate with ticket prices and adding another 16 teams (as already planned to happen) to add more games.
But the only way they 10x is to start running more FIFA competitions, and that's when they encroach on UEFA's cash cows...
The new thing is trying to take the organization from a non-profit to a corporation. Mainly so the executives can increase their already large compensation apparently.
Interesting parallels to OpenAI.
FIFA made $~15 billion USD this World Cup, roughly double what they made in Qatar in 2022. There are many low-hanging fruit that can be optimized to increase that revenue by 10x.
The difference that FIFA ran the whole tournament now. There was no Local Organizing Committee (LOC) like with every single previous event.
I didn't realize the commercial-block-sized "hydration breaks" were that profitable.
For a second, I thought the Americanization[1] of fùtbol would be done gradually and no one would complain as we'd be slowly boiled. I'm glad the corrupt bastards got greedy/impatient and took a big swing.
1. Sports primarily as a business, catering to owners first, sponsors second, broadcasters third, and then lastly, fans. IMO non-profit sports organizations are the best model for fans, who I identify the most with.
There were 40% more games than the last World Cup, which is a lot of extra broadcast rights and ticket revenues...
It is absolutely outrageous that FIFA unilaterally changed the structure of a football match (that’s been the same since the nineteenth century) with no consultation, just so they could show ads
Per-ticket prices were a big factor too. By turning it into an open bidding process, every ticket sold at close to its market value, and many above that.
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> There are many low-hanging fruit that can be optimized to increase that revenue by 10x.
The $15 billion figure is for FIFA's ENTIRE 2023-2026 revenue cycle, so not just this World Cup. But the obvious "low-hanging fruit" was making the tournamenta lot larger (104 matches instead of Qatar's 64), so a lot more tickets, hospitality sales, ads etc
Also two 3 minute hydration breaks per match, giving broadcasters additional advertising windows.
That's your "optimization".
Yeah, I can see them doubling that revenue by being even more extortionate with ticket prices and adding another 16 teams (as already planned to happen) to add more games.
But the only way they 10x is to start running more FIFA competitions, and that's when they encroach on UEFA's cash cows...
FIFA has announced they plan to officially sell off everything to private investors, dropping all pretense of being a steward of a common good.