Betting companies sponsor Brazilian football

The departure of Caixa as a sponsor of Brazilian football has opened the door for more betting brands to be involved in the sport.

Brazil.- Ibope Repucom, the statistics company that focuses on football sponsorship, has published a report on the situation in Brazil. The entity revealed that sports betting is the second segment with more associations with local football. Digital banks appear as the largest representative in Brazil’s football.

The sponsorship in football was previously in charge of Caixa Econômica Federal. With the company’s withdrawal, 144 different brands were featured on football jerseys this year. The figure represents an increase of almost 30% compared to the 111 sponsorship brands in the previous year.

“The void generated by the exit of Caixa finally gave way to new sponsor participants in Brazilian football, such as digital banks, betting sites and new brands that took advantage of the buyers market. In parallel, new sponsorship partnership models have been developed, such as sponsorship agreements linked to the sale, where the club receives a fixed part and a variable depending on the conversion objectives,” said José Colagrossi, executive director of Ibope Repucom.

Betting regulation in Brazil

The Chamber of Deputies of Brazil has approved a measure that treats a project to change the administration of sports clubs. The proposal had been previously discussed, but now it will be formally treated by lawmakers.

As established by the legislative piece, clubs would start operating as businesses, as it proposes a benefits package for clubs to abandon the structure of a civil association to migrate as one like a company. In addition, they may choose to operate as a limited company or as a corporation.