ONE of the country’s principal football sponsors, NetOne,
have called time on their association with the game, in a major blow to the
nation’s biggest sporting discipline.
It’s the first major boardroom bombshell, triggered by the
Covid-19 pandemic, to hit local football and confirms fears the game, as is
happening around the world, could be badly hit by the epidemic.
The mobile network operator says its focus has turned
towards fighting the Covid-19 pandemic and, with local companies set to feel
the full impact of the epidemic on their operations, they were no longer in a
position to continue with their football sponsorship programmes.
Sources said NetOne remained “dedicated to creating a
better future for Zimbabwe, by transforming and developing the communities in
which we operate”, and “pride ourselves as having the nation at heart and, as
witnessed through our active Corporate Social Initiatives, will continue to
support the Government of Zimbabwe’’.
To demonstrate the change in focus, said the sources, the
company recently “unveiled a Covid response facility to the tune of $10
million, as a collaborative initiative (with TelOne) to capacitate health
facilities during and post Covid-19.’’
This includes supplying equipment and drilling boreholes at
the country’s main hospitals and providing sanitisers and disinfectants to
frontline medical personnel.
The Covid-19 crisis has thrown sport, around the world,
into turmoil with many major sporting activities postponed or cancelled while
inflicting a multi-billion-dollar damage on different sporting disciplines.
ZIFA have already applied for a US$2 million bailout from
FIFA, to try and help the domestic national game deal with the crisis triggered
by the Covid-19 pandemic.
A number of other FAs around the world have also applied
for a similar bailout package from the world football governing body.
“FIFA is working on possibilities to provide assistance to
the football community around the world after making a comprehensive assessment
of the financial impact this pandemic will have on football,’’ FIFA said.
NetOne have evolved into one of the big sponsors of
domestic football, bankrolling the salaries of the players and coaches at CAPS
United and Highlanders, providing incentives to the two clubs to strive for
excellence and also providing them with kits.
Although the three-year sponsorship package was pegged at
$700 000, for each club last year, the company ended up pouring in far much
more than that figure.
They also splashed $170 000 on Black Rhinos, which also
included a kit and a $50 000 performance-based bonus, as part of their
financial outlay into the game.
Airforce of Zimbabwe side, Chapungu, also received support
from NetOne last year.
NetOne described themselves as a company who have been
“spearheading the development of soccer since the turn of the millennium, at
both national and club level, through their sponsorship packages which also
covered financial and material support for the Warriors, Mighty Warriors and
the Young Warriors”.
Along the way, the company also sponsored the NetOne Cup,
the Charity Shield, the One Wallet Top 8 and Easy Call Cup.
When, they changed their focus to bankrolling the clubs,
they went for the Big Three — Dynamos, CAPS United and Highlanders — before the
Glamour Boys left the stable to find a partnership with a new sponsor last
year.
The Green Machine and Bosso remained with NetOne and the
stability at the two giants was credited, to a large extent, to the
relationship with their flagship sponsors who were taking care of the salaries
of their players and coaching staff. CAPS United led the battle for the league
championship, until the final weekend of the campaign last year when they
self-destructed and ended up finishing third, while Highlanders won the Castle
Cup.
At the Bosso annual meeting earlier this year, club
chairman Kenneth Mhlophe told members that NetOne remained committed to their
partnership.
“Our main sponsors NetOne Cellular remain committed to our
partnership and they supported the review of salaries, camping and travelling
costs during the year particularly when prices began to shift way out of
budgets that had been allocated,’’ he said.
However, The Herald can reveal today that NetOne will be
calling time on their sponsorship of domestic football although the company
will give both Bosso and Makepekepe enough notice, for the termination of their
partnership, by sponsoring the two giants this year. After that, according to
sources, the parties will go separate ways.
“The year 2019 witnessed NetOne committing to three-year
sponsorship contracts with CAPS United FC and Highlanders FC,’’ sources said.
“The sponsorship comprised basic sponsorship and
performance incentives, which saw the teams playing world-class football and
entertaining the nation of Zimbabwe.
“While NetOne has a demonstrable record of contributing
immensely towards the development of football in Zimbabwe, the recent developments
affecting the entire world, have made it difficult to maintain a long-term
sponsorship commitment to Highlanders FC and CAPS United FC.
“Even the Summer Olympics, Wimbledon Tennis and French
Open, which are typically some of the world’s most-watched sporting broadcasts,
have been pushed back by a year.
“The money-spinning UEFA Champions League and Europa League
have been suspended indefinitely, and the local Premier Soccer League has not
been spared.’’
NetOne, the sources said, have not been spared by the
challenges which have arisen in recent months.
“As a business, the operating environment has been
constrained with the overall economic landscape expected to shrink, thereby
affecting revenue generation capacity for most companies, NetOne included,’’
the sources said.
“The uncertainty brought about by this pandemic, makes it
imperative to review our long-term financial obligations, and re-align our
strategies and expenditure to high priority areas.
“As such, maintaining long-term football contracts with
CAPS Utd FC and Highlanders FC is no longer tenable. It is against this
background that NetOne has decided to discontinue the active three-year
sponsorship contracts with the two teams — particularly as they relate to the
2021 football season.
“NetOne undertakes to fulfil its contractual obligations,
and will process the full sponsorship amount to both teams as it relates to the
2020 football season.
“However, given the uncertainty that lies ahead, notice for
termination will be served for the 2021 season.
“This decision has been arrived after careful consideration
of various factors, including the need for all corporates to play an active
role in pooling resources to support and complement Government’s efforts to
fight the pandemic and rebuild communities during and after the Covid-19
scourge.’’ Herald
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