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The puzzle of financing Eurovision… for its future winner

2022-05-13T18:13:26.534Z


As tradition dictates, the winning country of the 2022 edition of Eurovision will have to take charge of organizing the event in 2023. A real headache as the event can be expensive. Especially if Ukraine wins the competition.


Rumor has it that some countries send poor candidates to Europe's most famous singing competition, to make sure they don't have to organize it... Since the creation of Eurovision in 1956, the country winning the said competition is entrusted with the daunting task of hosting the competition the following year.

If for the host country, the organization is very expensive, does it turn out to be a good deal?

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Whether they like it or slander it, many around the world will revel this Saturday, May 14, in the wildest shows, extravagant outfits, or even kitsch pop that will liven up the finale of the legendary competition.

On average, the show brings together between 180 and 200 million viewers, in front of their television or in front of live YouTube, and this, across more than 45 countries, according to Eurovision TV.

Advertising spots are snapped up at a hefty price, since it is the second largest television audience in the world after the football cup.

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Hundreds of projectors, a gigantic LED screen, the rental and fitting out of the complex serving, for the occasion, as a television set, the installation of a

"Eurovision Village"

or even advertising campaigns... linked to the organization are numerous.

For this 2022 edition of Eurovision in Italy, the budget is estimated at between 20 and 25 million euros, shared between the broadcaster of the event RAI, the European Broadcasting Union (EBU), local authorities and sponsors.

Five million viewers on average in front of France Télévisions

The show is a co-production between the host broadcaster and all other participating broadcasters.

The latter pay the EBU a participation fee.

The sum paid by the national channels is proportional to the audience that the program generates in their country.

France Télévisions, Eurovision broadcaster for France, brings together on average more than 5 million viewers.

France is one of the five largest financial contributors to the competition, alongside the United Kingdom, Italy, Spain and Germany.

A participation which grants him the privileged status, since 1999, of being directly qualified for the final.

Sponsors as well as advertising revenue generated on online platforms like YouTube also contribute to the budget.

Other elements such as the logistics of the event or the spots presenting the candidates are financed, for example, by the tourist office of the country and the host city.

In addition, the government traditionally grants the host broadcaster 30% of the full funding of the competition.

A bill that amounts to between 15 and 60 million euros

To analyze after the fact the economic impact of Eurovision, the countries scrutinize the official figures of tourism, and the creation of jobs during the period of the competition.

For example, the capital of Azerbaijan, Baku, had spent in 2012 the astronomical sum of 60 million euros.

For the occasion, she had built the

"Crystal Hall

", which contributed to the creation of 530 full-time jobs.

The tourists who came for the occasion had spent more than 8 million euros.

Above all, the country benefited thanks to the show from a real political and international showcase.

Far from this huge budget, Sweden had spent a year later 15 million euros to organize Eurovision in the city of Malmö.

The country had quickly found its account there since the tourist receipts amounted to 14 million euros.

The event even led to the creation of 130 permanent full-time positions.

For some countries, however, the singing competition was a real money pit.

The Portuguese broadcaster RTP, which organized it in 2018 in Lisbon, for example, lost more than 4 million euros.

Ticket sales, revenue from advertisers or even sponsorships having brought in less than their initial investments.

A year later, the Israeli national channel KAN had to take out a loan over fifteen years to ensure the event at 28 million euros, after the State decided at the last minute not to support it financially. .

Ukraine given favorite

This year, citizens attending the competition's final on Saturday in Turin paid an average of 1,100 euros for their ticket.

The Italian city expects nearly 25,000 tourists.

This 66th edition of Eurovision is special, since the war in Ukraine has brutally interfered in the menu of the festivities.

While Russia was disqualified from the singing competition at the end of February, Ukraine is now considered the favorite by the bookmakers, with the hit Stefania by the group Kalush Orchestra.

Winner of the competition twice, Ukraine has already organized the event in kyiv in 2015, then in 2017, with the PBC television channel.

"If the Ukrainian group is elected winner on Saturday evening, we will work quickly to find a solution to ensure the continuity of the contest, considering the fragility of the country",

declared at the start of the week the Deputy Director General of the EBU, Jean- Philip DeTender.

As for France, the Alvan & Ahez quartet hopes to thwart the forecasts of the bookmakers, who imagine them finishing 15th in the competition with less than 1% chance of winning it.

If a victory would be synonymous with pride on the international scene, the organization of such a competition just one year before the Olympic Games in Paris would above all be a risky bet.

Source: lefigaro

All news articles on 2022-05-13

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