Puma beats Adidas as top World Cup team sponsor
(Reuters)
Updated: 2006-06-09 16:52

Puma is sponsoring 12 of the 36 countries in the soccer World Cup which kicks off in Germany this Friday. Its rival Adidas, which normally has the stronger showing, trails this year as some of the country teams it sponsors have failed to qualify.

The stakes are high in the competition with top sports goods firms spending millions supplying and sponsoring teams participating in the tournament to bolster their brand and lift the sales of products such as jerseys and footwear.

Adidas, which claims to be global market leader for soccer gear, has been the games' top supplier for decades. But it has had bad luck this time with several teams, including European champions Greece, failing to qualify.

As Fifa's sponsor, Adidas will still provide the match ball and kit out referees, linesmen and ball boys.

The victory is also due in part to Puma's heavy investment in soccer products to take on Adidas.

Analysts say contracting with key teams such as Germany, England or Brazil helps boost sales.

Industry sources say a deal with a top team will cost a double-digit million euros amount annually, while small teams such as Trinidad & Tobago are almost free.

U.S. firm Reebok, which Adidas bought, has not contracted with any teams.

Nike, the biggest sports goods firm, has also invested heavily in soccer activities. In past tournaments, it used to trail Adidas with the number of sponsoring contracts.