Olympics-Rio's 29th sport: building the perfect corporate 'dream house'

Omega Interactive Technologies

22/08/2016 12:00

By Liana B. Baker 
    RIO DE JANEIRO, Aug 22 (Reuters) - As the athletes strived 
for gold, the world's biggest companies engaged in their own 
sport during the Rio Olympics - outglamming each other with 
spectacular hospitality houses. 
    The opulent houses, with lavish pools, flowing bars and 
world-class chefs, are not new to Olympics hospitality. In Rio, 
however, they rose in prominence with a lack of high-class 
catering and facilities at the sporting venues. 
    Nike has two houses, one near Copacabana beach and another 
on a golf course. Under Armour has a penthouse in Copacabana 
with a pool, while Adidas is in an upscale local mall. 
    Nissan took over an entire hotel, renamed it "Nissan Kicks 
Hotel" and hosted rooftop parties until dawn. 
    Companies can spend years gutting and renovating buildings 
to create an "Olympic dream house," aiming to appeal to as many 
high-profile athletes and celebrities as possible so that 
corporate guests can mix among them. 
    "Hopping between houses is the 29th sport of the Games," 
says Thierry Borra, director of Olympic Games Management at 
Coca-Cola. There were, of course, 28 sports at Rio. 
    Take a typical night at the Omega house, set up in a stylish 
neighborhood across the street from Ipanema beach: the Olympics' 
official timekeeper threw a golf-themed party, covering the 
floors in green astroturf to look like a course. 
    Spanish golfer Sergio Garcia showed up, and the bar served 
Arnold Palmer inspired sweet-tea vodkas. The mom of a U.S. 
swimmer dropped by in flip-flops to check out the scene, while 
Brazilian socialites milled around. 
     
    "WAY TOO MUCH" 
    But at least one executive has begun to question the 
millions of dollars that companies spend on Olympic hospitality, 
especially when many Olympians struggle to make ends meet or 
when sports are overwhelmed with doping controversies. 
    "I think it's clutter. I think it's overdone," said Gene 
McCarthy, chief executive of Asics Americas, a unit of Japanese 
footwear company Asics Corp. "It's way too much." 
    McCarthy would like to see more corporate Olympic dollars 
invested in motivating people to get involved in sports. 
    "I personally believe we should be spending our money on 
participation," he said, explaining that Asics had a house in 
Rio because all the major brands did. 
    "Asics Hub" has a pool and sits in a wooded area that 
usually hosts weddings. Its guests included the U.S. women's 
field hockey team and sprinter and long jumper Jarrion Lawson. 
    With Tokyo hosting the Games in 2020, it seems unlikely the 
Japan-based firm will give up on a corporate house altogether. 
       
    LEGACY 
    No sponsor revealed to Reuters how much they had spent on 
their houses, but some pointed out that they would leave the 
spaces to the community once they left Rio. 
    Cisco, a sponsor of the Rio organizing committee, renovated 
the Brazilian military's officers club in return for using it 
during the Olympics. The club now has a new balcony overlooking 
the ocean and Rio's famous Sugarloaf mountain. 
    Omega did a 14-month renovation of the Laura Alvim Cultural 
Center, which was built in the early 1900s. When Omega leaves, 
the arts community will take back the refurbished digs. 
    "The greatest legacy is the renovation of the house's 
theatre that can now be used to stage theatre plays," said an 
Omega representative. "Already, Rio's artistic community are 
eagerly booking the space for their work." 
 
 (Reporting by Liana B. Baker in Rio de Janeiro) 
 ((liana.baker@thomsonreuters.com; 6462816084; Reuters 
Messaging: liana.baker@thomsonreuters.com@reuters.net)) 
 
Keywords: OLYMPICS RIO/MARKETING