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Beijing 2008 Olympics set for record cash haul
(China Daily)
Updated: 2005-01-19 09:03

The 2008 Beijing Games will be the most financially successful in Olympic history, generating an estimated US$3 billion income, IOC marketing chief Gerhard Heiberg said on Monday.

"The Beijing Games will be better financially than anything before," said Heiberg in a phone interview with AFP. "They will set a new benchmark for future Games such as 2012," he said.

The Beijing organizers have already raised US$600,000 from local sponsorship and Heiberg predicts the final total will reach US$1 billion.

"That is the way it looks today. The Olympics have never been stronger. Beijing will be an excellent Games, Vancouver (2010) will be an excellent games so there is no reason why the winning city for the 2012 Games can not match the US$1 billion raised by Beijing," he said.

"The picture is a very positive one for cities considering making a bid in the future to hold the Olympics," he added.

Last year's Athens Games generated a total of US$1.5 billion - the highest raised by a host city to date.

Beijing will get to keep most of the US$1 billion it raises from its own internal sponsorship deals.

"Only a very, very small amount will go to the IOC," explained Heiberg.

Of the other US$2 billion much will go to the IOC and the 200 plus National Olympic Federations.

A high percentage will also go towards Olympic Solidarity which helps athletes and underprivileged countries and their sports programmes.

But some of it will still go to the Beijing organizers.

With six major companies already signed up with the Beijing organizers, including Volkswagen, Bank of China and China Mobile, the commercial lure of the 2008 Games is clear and companies want to strengthen their position in the biggest marketplace in the world.

Provided the world economy continues in its current path without any major upheavals, the Olympic brand is set to continue to be the world's leading sports income generator.

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