Striking contrast. The next few weeks should have been dominated by sport and its athletes in the Japanese capital. They should have been Olympic. But, due to the health crisis, the organizers of the Tokyo Games are preparing to spend them with their noses in the figures. With one priority: convincing sponsors not to abandon ship. And even, come on, give them an extension.
Masa Takaya, the spokesperson for the Tokyo Games organizing committee, recognized this week during an online press conference: discussions with private partners on the extension of their contracts beyond December 31, 2020 have not yet started. They must start from the beginning of July.
The exercise promises to be long and tedious. By the number, first. Before the coronavirus pandemic, the Japanese at Tokyo 2020 had shattered all records in Olympic marketing. Their national partnership program currently lists 67 private companies. It would reach the pharaonic sum of 3,3 billion dollars. Sponsorship alone contributes around 60% of the organizing committee’s total revenue.
The meetings promise to be numerous. They could also often prove tricky. According to a survey carried out earlier this month by the television channel NHK, two-thirds of the national partners of the Tokyo Games have not yet firmly decided whether they will extend their contracts beyond the end of the year.
Masa Takaya explains it: “ We plan to discuss with everyone to modify the clauses and details of the agreements already signed. »
Logically, the bulk of the troops should remain on board. Abandoning the adventure less than a year before the Games would make little sense for a Japanese company that has already invested in the operation. On the other hand, it is not certain that the organizers of the Games will in all cases manage to obtain, in parallel with the extension of the contract, an increase in its amount.
According to the Japanese daily Asahi, the organizing committee has already established its course of action: it will ask for an extension from each of its partners in exchange for an extended contract until the end of 2021. With an additional cost of postponing the Games estimated between 2 and 6 billion dollars, the Japanese have no other choice.
But always according to Asahi, citing anonymous sources, the speech may have difficulty getting through. The Japanese economy has been hit hard by the COVID-19 pandemic. Bosses are currently under great pressure. “ Discussions could become difficult”, anticipates everyday life. Several national partners of the Tokyo Games have already made the decision to possibly accept an increase in services or goods, but in no case in money.
The organizers seem to expect it. Masa Takaya admitted this this week: “ We are currently doing our best to research other potential partner companies. » In Tokyo, summer promises to be tricky.
