The Impact of Sports on Place Branding

Sporting events hold profound significance not only for the host country but also for its global image. It’s no surprise that nations fiercely compete to host these events, as they serve as a vital engine for national development and a powerful tool in building and reinforcing a place’s brand identity.

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By Gustavo Koniszczer, Managing Director at FutureBrand 

World-class sporting events attract visitors from around the globe, creating a substantial economic impact while boosting place brand visibility and raising awareness. The host city or country transforms into a vibrant hub, offering participants, spectators, and tourists—both local and international—a rich tapestry of experiences where sports, culture, and tourism seamlessly blend.

Hosting a major sporting event goes beyond economic gains; it strengthens community bonds, instills local pride, and deepens residents' connection to their homeland. However, careful management of expectations is crucial, as the decision to host such an event carries significant risks. If the experience falls short of promises, it can lead to disappointment and undermine the intended benefits. Destinations must rise to the occasion by investing in infrastructure, prioritizing safety, and providing top-tier accommodations and transportation systems. For a place brand to succeed, the promises made must align with the reality experienced by visitors.

In today’s world, for example, a genuine commitment to sustainability is crucial. Integrating eco-friendly practices into an event’s operations not only fosters a forward-thinking, responsible place brand but also resonates with global audiences. Merely claiming to be "sustainable" for positive perception isn't enough; authenticity and honesty in these efforts are imperative. If these standards cannot be genuinely upheld, it’s wiser to highlight other strengths. 

This principle extends beyond sustainability. For instance, when a city, region, or country claims to be inclusive, it must truly embrace diversity, not just for appearances. As the 2024 Paralympic Games approach, Paris—a city known for its modernity and openness—must live up to these expectations. Hosting this event not only reinforces Paris’s commitment to inclusivity but also showcases it to the world.

Being host of a sports or entertainment event offers a unique platform to display a place’s brand identity and highlight its competitive advantages. It can attract new businesses, stimulate investment and exports, and create job opportunities, all while enhancing the place’s global reputation and credibility. Additionally, such events can strengthen international relations and foster cooperation between nations, with global media coverage making it crucial to ensure every detail is handled with care.

Sports: A Tool for Soft Power

In his seminal work “Soft Power: The Means to Success in World Politics”  Joseph Nye (2004) identifies a nation's cultural values as a power source, distinguishing between elite-driven high culture and mass-oriented popular culture. Nye emphasizes that sports, as a key component of popular culture, are pivotal in supporting governmental foreign policy initiatives. He highlights South Africa's international isolation from sporting events due to apartheid, illustrating how sports can be a versatile and potent tool in diplomacy.

The soft power of sports transcends borders, fostering social harmony and enhancing international relationships. It leverages the universal appeal of a place, building connections that contribute to its cultural and brand identity. This can be a strategic advantage when approached with diligence.

For instance, the 2022 FIFA World Cup marked a significant milestone in Qatar’s evolution. Since 2011, the country invested heavily in creating cutting-edge, sustainable infrastructure, much of it driven by the World Cup’s demands. This global event played a crucial role in diversifying Qatar’s economy, particularly in tourism and allied sectors. In 2023, Qatar’s visitor numbers doubled compared to pre-pandemic levels, with new revenue streams and employment opportunities emerging in finance, commerce, logistics, real estate, and construction. Qatar’s brand has now cemented itself on the global stage, evolving from a nation synonymous with hydrocarbons to one recognized for modernity and international openness, with the World Cup being a significant contributor to this transformation.

The 2024 Olympic Games in France provide another example of strategic place branding. The event offered an opportunity to showcase the nation’s rich cultural heritage while emphasizing its modern, innovative spirit. The opening ceremony in Paris captivated millions, blending the historical and contemporary facets of France. This cultural showcase not only attracted tourists but also generated approximately 4 billion euros in additional spending, delivering substantial economic benefits to the local economy. 

Crafting an Authentic Identity

Sporting events are a powerful platform for creating authentic experiences that capture the true essence of a nation. The key lies in highlighting the unique characteristics that distinguish the place and aligning them with the event at hand. By emphasizing what makes a country stand out, it can connect with a global audience through a cohesive and recognizable identity, with sports serving as a unifying force. When done correctly, this alignment generates a harmonious synergy, enhancing the value of both identities.

By finding common ground between the sporting event and the place brand, it is possible to develop a memorable and authentic brand identity that resonates long after the final whistle.