Morumbis will have sectors renamed and the stadium’s old sign will be auctioned – 02/29/2024 – Sports

In the wake of the partnership between São Paulo and Mondelez that resulted in the renaming of the Morumbi stadium to Morumbis, sectors of the stands will also be renamed and the old sign that named the space will be auctioned.

During an event on Thursday afternoon (29) at the stadium to make the partnership official, a model of the new sign that will be installed at the entrance to Morumbis in the coming weeks was also presented. The club is awaiting authorization from the city hall to carry out the installation.

According to Alvaro Garcia, vice-president of marketing at Mondelez, a survey will be launched in the second half of March on social media, through which the public will be able to vote on the names that will be used to name the sectors of the stadium. The suggested names will still be announced.

“Instead of choosing the names internally between São Paulo and Mondelez, we made the decision to launch a survey with fans,” said Garcia.

He added that conversations between the club and the chocolate manufacturer began about a year ago, and that the partnership aims to double the consumer market for Bis chocolate. According to the executive, the product reaches a market of approximately 65 million people annually.

“The affinity between the club and Mondelez is historic. Lacta launched the Diamante Negro in honor of Leônidas da Silva. The affinity began way back and we have only resumed it now”, stated Garcia, in reference to the player who played for the club in the 1940s.

São Paulo’s marketing director, Eduardo Toni added that the stadium’s old sign — São Paulo Futebol Clube — will be auctioned. The amount raised will be donated to the São Paulo Social Fund, a project that promotes social programs chaired by the first lady of the State, Cristiane Freitas.

The old name that gave the stadium its name, Cícero Pompeu de Toledo, will not be included in the auction. The tricolor leader’s initials C, P and T will be kept in the club’s memorial. The marketing director also said that a statue in honor of the top hat is in production and will be installed in a prominent place inside the stadium.

“Cícero Pompeu de Toledo is an icon and a very important name in the history of São Paulo.” The auction will be launched over the next week, with the results announced at the end of the first half of March.

Toni also said that the reception towards the new name of the stadium has been good among the public and the press. “Acceptance has been very quick. The fans are referring [ao estádio] like Morumbis, the media, the subway started to advertise the station as São Paulo – Morumbis”, said the executive.

“The pioneers always pay the price”, stated Toni, referring to the difficulty of rivals Palmeiras and Corinthians in getting the public to adopt the new names of the stadiums — Allianz Parque and Neo Química Arena, respectively.

When studying the ‘naming rights’ project, stated the marketing director, the club recognized the difficulty of associating with brands that would completely mischaracterize the name of the stadium. “That’s why the joke is that it’s the smallest ‘naming rights’ in the world, because it’s just one letter.”

The marketing director also said that the club has “a lot of confidence” that it will renew the contract with Mondelez “long before” the end of the contract period.

The agreement between São Paulo and Mondelez is for three years, with a total contribution of R$75 million to the club by the chocolate manufacturer. The R$ 25 million per year exceeds what the insurance company Allianz pays to Palmeiras for the name of Allianz Parque and what the pharmaceutical company Hypera Pharma pays to Corinthians for the name of Neo Química Arena.

The model is different from that adopted by rivals. The total contribution will be smaller, but over a shorter period. The annual money will be significantly higher.

In the case of Palmeiras, the option was to tear down the old Palestra Itália to build a new stadium, opened as Allianz Parque at the end of 2014. The construction company WTorre carried out the works and, in exchange, took over the operation of the arena until 2044.

The contractor negotiated the “naming rights” with the insurance company Allianz, for R$300 million over a period of 20 years.

It was also for R$300 million over 20 years that Corinthians gave up the name of its stadium, opened in 2013 as Arena Corinthians. In 2020, Hypera Pharma purchased the right to rename the space and called it Neo Química Arena.

The annual installments of R$15 million are adjusted for inflation indices. Corinthians, for example, calculates that it will take more than R$400 million at the end of the contract.

In any case, in the annual entry, the value obtained by São Paulo will be higher. It will be important money for a club working to overcome financial difficulties.

At the end of 2022, according to the club’s balance sheet, the debt was around R$700 million. The numbers for 2023 will still be counted, but, even with a prize of R$88.7 million for winning the Copa do Brasil, the Morumbi club reached the end of the third quarter with a deficit of R$97 million for the year.

Now, the expectation is for some relief. Not just for the agreement with Mondelez but for the sale of players. The board recently agreed to transfer defender Beraldo to Paris Saint-Germain for 20 million euros (R$106.6 million).

“Our ‘core business’ is football. We are here today because we have a glorious team, known internationally, a very strong brand. All the money, all the monetization we do in marketing and other activities, has as its main objective serve football”, said the marketing director of São Paulo

He added that the resources obtained through the partnership will contribute to the association having a more competitive squad, “so that we can increasingly compete in championships on equal terms with São Paulo’s main competitors.”