The economic benefits of winning the Euro Cup



Winning on the pitch also translates into winnings in the economy. Brand Finance estimates that Italy’s win will boost Italian GDP by €4 billion in the short term. This growth is attributed to higher morale, which increases consumer confidence and spending. Considering that the tournament comes after a period of lockdown and reduced opportunities to socialise, people, in general, will be more willing to spend their money saved during lockdowns.


The entertainment and hospitality sectors are expected to benefit the most from this higher confidence. Lifting the trophy also builds global sentiment on the nation, boosting perceptions of the peninsula’s culture, heritage, people, values and sports leaderships.



This is also evident from historical data, suggesting that an uptick in GDP and stocks is expected within the winner’s borders. Out of the five last European Cup tournaments, winners Greece and Spain saw their country stock exchanges outperform the pan-European average STOXX 600 after their 2004 and 2008 and 2012 tournaments. For example, the Athens market outperformed the index by 20% six months after Greece’s 2004 shock win.


But this high doesn’t last very long. The Goldman Sachs report found that the winner's local financial market outperforms the global market by 3.5% in the first month after the final. The boost fades after three months, and by the end of the year, the countries were underperforming by 4%.


Italy’s kit manufacturer Puma will also be a clear winner. The German multinational signed an 8-year kit manufacture contract with the Italian national team in 2015 before the sponsorship value crashed after the failed 2018 World Cup qualification. Italy winning the Euro could therefore mean that Puma gets a significantly better return on their sponsorship investment.

Other winners from this Italian job are players and their entourage, who are set to benefit from higher price tags in future transfers and contracts in any upcoming transfer windows. Not to mention increased endorsement and sponsorship income as brands will look to associate themselves with the likes of Chiesa, Barella and Donnarumma.