LONDON: The 2018 FIFA World Cup kicks off in Russia in just a fortnight and a new report estimates that the tournament could boost the UK economy by £1.33bn, rising to £2.72bn if England make it through to the final.
As brands and retailers prepare for the spending spree, the study by VoucherCodes, a UK-based digital marketplace, breaks down the expected consumer spend across categories and even how much is forecast to be spent at the group and round of 16 stages.
Not surprisingly, the hospitality sector is on course to be a major beneficiary with £193m expected to be spent in pubs, restaurants and clubs – and this could rise to £488m if the England team become finalists.
Football fans who choose to watch the tournament from home are expected to splash out £240m on food and £297m on alcohol if England make it through the group stage. And if they get to the finals, the amount spent on food and drink is forecast to reach a massive £1.12bn.
Garden parties and BBQs are likely to rake in £37m through to the round 16 stage and British consumers – not just the English – are also expected to spend £264m on sportswear, rising to £463m if England become finalists.
Fans also will spend large sums on souvenirs, with the total expected to reach £72m during the second round and £155m if England goes the distance.
Meanwhile, many people intend to upgrade their TVs and it is estimated that £277m will be spent on new TVs and electrical goods over the group and round 16 stages. Again, this will almost double to £431m if England get to the final.
However, of particular note for brands and retailers, just 16% of UK consumers indicate that their spending will slow if England are knocked out of the World Cup. Either way, large sums are expected to be spent.
These findings are based on a survey of about 2,000 UK adults that VoucherCodes conducted with the Centre for Retail Research in the second week of May 2018.
Commenting on them, Jimmy New, director of marketing at VoucherCodes, said: “The 2018 World Cup looks set to be a big one in the UK, not only for football fans but for British retailers too, with a huge £1.33bn estimated to be put through the tills over the next couple of months to celebrate the occasion.”
Sourced from VoucherCodes, Centre for Retail Research; additional content by WARC staff