The FIFA 2034 World Cup, set to be hosted by Saudi Arabia, is expected to significantly surpass the football organisation’s financial expectations.
According to FIFA’s evaluation, Saudi Arabia’s bid could yield substantial growth in ticketing and hospitality revenues, which would exceed FIFA’s baseline by over 32%. This would translate to an additional $240 million in revenues, according to estimates reported by the Saudi Gazette, based on the country’s official bid.
The Kingdom’s bid anticipates a 10% increase in the global live TV audience, as a result of its strategic location, as well as innovative fan engagement strategies, including digital campaigns and advanced technologies. Moreover, licensing and retail revenues are predicted to outperform FIFA’s baseline by $7 million.
Additionally, FIFA estimates that organising costs will be approximately $450 million below the baseline. Savings are expected in areas such as IT&T services, safety and security, and technical services.
Over the past few years, GCC nations have increased their investments in the sports sector, as part of their economic diversification strategies. Saudi Arabia’s bid to host the World Cup aims to showcase the Kingdom’s advancements under Vision 2030 to a global audience. Moreover, it also aims to build on the success of the 2022 World Cup hosted by Qatar.
The Qatar World Cup resulted in a 365% annual increase in foreign visitors, driving a 276% daily rise in hotel bookings. Overall, the World Cup is said to have contributed between $2.3 billion and $4.1 billion to Qatar’s GDP, according to estimates from the International Monetary Fund (IMF). The nation is estimated to have spent up to $243 billion to host the competition, with $6.5 billion dedicated to stadium costs alone.
“Football is truly global, and the FIFA World Cup is the biggest single sporting event on the planet, so investing in the game is a way to reach all new audiences,” Romy Gai, FIFA’s Chief Business Officer, told Finance Middle East in an interview earlier this year.
“The FIFA World Cup Qatar 2022 served as a catalyst for regional economic growth and sports industry development across the country and the region,” Gai added.
Saudi Arabia was the only bidder to host the 2034 World Cup. The Kingdom has already unveiled the five cities and 15 stadiums set to host the matches, including one built on NEOM’s The Line vertical megacity and described as the “most unique stadium in the world”.
