Global brands invest millions to sponsor sporting events and mount advertising campaigns that are broadcast around the world. According to Google Trends data, between July 5 and 12, the search for the expressions “Olympic Games 2024” and “Olimpiad” grew by 26.6% and 12%, respectively.
The Paris Olympics and Paralympics 2024, expected to cost € 9 billion (R$ 51.8 billion), are the showcases of the main global brands, but product piracy already marks losses. Therefore, strict rules were created on the use of rings and mascots, and official sponsors are the only ones authorized to advertise.
The supervision on the legitimate use of intellectual property and compliance are intensified in this period.“Olympic properties” are legally protected conjunctural elements and aspects (names and images), such as: the rings, the badge, the flag, the “olympic terms” or “olympic, the marks of the Paris-2024 edition, such as mascots, torch and official poster.
The International Olympic Committee exercises extremely strong control over what companies can do in relation to the “Olympic properties”. According to French press data, only until February of this year, 1,500 products were withdrawn from circulation or destroyed for violating the policy regarding the use of intellectual property.
In the week of the French homeland, near the Stade de France stadium, where athletes will compete in the Paris Olympic Games, police officers raided and closed 11 stores selling pirated products. They confiscated 63 thousand items, including clothes, shoes and counterfeit leather goods from the brands Louis Vuitton and Nike.
One of the great challenges of managing, maintaining and adding value to a powerful brand like this, without a doubt, is to deal with counterfeiting. According to a study conducted by IPEC (Intelligence in Research and Strategic Consulting), in 2020, 60 million football team shirts were sold in Brazil, of which 22 million were counterfeited. That is, in Brazil, 37% of football shirts are counterfeited. In financial terms, the loss was R$ 9 billion in 2021, according to a survey by the National Forum Against Piracy and Illegality (NCF).
On the one hand, ostensible actions to inhibit counterfeits are essential to manage intangible assets. On the other hand, the financial reality of the average Brazilian consumer needs to be considered. Data collected by Amsterdam University demonstrate a significant correlation between income and consumption of counterfeit products in general, and it was also found that most of those who consume counterfeit in Brazil justify the act due to the high prices charged by the market.
Over time, several innovations have emerged to meet the demands of sports for a fairer competition and better performance conditions for the athletes themselves. When thinking about the scope of patents, many immediately refer to the protection of complex technologies mainly related to the pharmaceutical, telecommunications, biotechnology, industrial processes, robotics, among others. What few do not know is that even a ball, apparently simple, can involve such an innovative technology that is subject to protection by invention patent.
Innovative technologies used in the Games, such as timing systems, sports equipment such as swimming goggles, clothing and infrastructure, are protected by patents; as well as the design of new sports equipment, uniforms and other innovations are protected by industrial design records, promoting innovation and ensuring that creators can get a return on their investments.
We have to highlight the ambush marketing’, the Ambush Marketing used by entrepreneurs seeking to associate themselves with the prestige and notoriety of some sporting, social and cultural events, without authorization from the organizers, which can occur from the violation of intellectual property rights (trademarks and copyright) or unfair competition and illicit enrichment.
The ban on ambush marketing aims to protect the investments of official organizers, which are indispensable for the realization of events, such as the Olympic Games. It is understood that ambush marketing is a practice that violates the rights of third parties and should be understood as negative behavior and/or conduct. On the other hand, through occasion-based marketing, it is possible to take advantage of events, shows and other occasions without any violation or undue association, leveraging the natural behavior of the consumer and the greater engagement associated with these times to increase brand visibility, boost sales and increase customer loyalty.
According to public information, in the case of the Olympic Games, revenue from sponsoring companies represents the second largest source of revenue of the event, behind only television broadcasts.For the Paris 2024 Olympic Games, it is estimated that the amounts invested in advertising by more than 60 event sponsors have reached approximately € 1.24 billion.
The use of AI will be revolutionary in the Paris Olympics.In the document 'Olympic Agenda for AI' cutting-edge technology is being used in the detection of athletes, in improving sports performance, in enriching the experience of fans and in the management of major competitions. The security of the Games will also use AI. A law passed last year by the French parliament authorized in exceptional character “algorithmic treatments for analysis of surveillance cameras during the event.
*Gabriel Di Blasi and Paulo Parente are founding partners of Di Blasi, Parente & Associados, an office specialized in Intellectual Law: www.diblasiparente.co.uk
