How France’s World Cup win cost Chinese brand Vatti US$4.3 million in losses
Company promised that if France won the World Cup it would give full refunds to customers who bought ‘Championship Set’ during promotion period
France’s triumph over Croatia in Sunday’s action-packed World Cup final may have had Chinese fans jumping for joy in their kitchens – the win means some shoppers will be getting brand new gas stoves for free.
But it will amount to losses of up to 29 million yuan (US$4.3 million) for Chinese home appliance brand Vatti, which will have to make good on a World Cup-themed publicity stunt.
Early last month, Vatti, which makes gas hobs and extractor fans, promised a full refund to buyers of its 4,999 yuan “Championship Set” if France won the tournament. It applied only to those who bought the gas cooktop, extractor hood and water heater set between June 1 and July 3.
Bricks-and-mortar sales jumped 20 per cent in that period from the previous month, while online sales went up 30 per cent, the Guangdong-based company said in a statement on July 4.
It expected total offline sales during the World Cup to exceed 700 million yuan, and online sales to be more than 300 million yuan.