Yingli Solar and the 2010 World Cup: BOOM!

Sometimes, expensive advertising is worth it.

Brazil vs Ivory Coast, via nytimes.com
Brazil vs Ivory Coast, via nytimes.com


The New York Times & my favorite china energy news source report that Yingli Solar, a unit of a large Chinese energy conglomerate (YGE), saw its market cap grow 42% during the World Cup in South Africa.  How? Why? They paid roughly $20 million (according to the New York Times) or RMB540 million (about US$80million according to “an insider”) for prominent on field advertisements during… well, during every game I saw.

In raw numbers, that’s growth from US$540million to US$1.84 billion, in about 7 weeks.  They’ve secured US$5.3 billion financing to meet demand (via), so all I can really say is: well played.  I have not yet found decent numbers about on field ad prices in this or previous World Cups, but $20 million seems awfully cheap for the exposure.

That’s a 65:1 ROI if the NYTimes and my math is correct. It’s a 15:1 ROI if “the insider” is correct. Either way. well played, Yingli.

  • http://twitter.com/clauderitter Claude

    540 million RMB would be more like 80 million USD…

  • mark_e_evans

    ah crap, a couple of sentences got swallowed. Thanks for catching it. It will be fixed in a minute.