Sales-based Brand Equity as a Performance Driver in ‘The Country of Soccer’

Abstract

Despite being the most popular sport in Brazil, soccer suffers from structural problems. Managers working in this reality know little about the factors that determine performance measures in stadiums. Existing research is undertaken according to an economic logic, which attributes importance to a dependent variable only, the total attendance of soccer matches. This article presents an approach that retrieves a sales-based brand equity (SBBE) measure responsible for performance (revenues and proportional demand) in Brazilian soccer stadiums. The methodology involved a process of a canonical regression model with two dependent variables using on-field performance and SBBE as the main drivers of marketing performance. The theoretical assumption underlying the models is the discussion about the multidimensionality of performance and the importance of testing the potential correlation amongst marketing performance variables. The model developed was estimated using all matches of the Premium Division of Brazilian Championship (Série A) held between 2012 and 2017. The main result highlights the power of SBBE as the primary driver of performance in Brazilian stadiums. Corinthians and Flamengo, the two most important Brazilian soccer club brands, exert a positive influence considerably higher than all other competitors.