The International Olympic Committee (IOC) and the German Olympic Sports Confederation (DOSB) have agreed to relax some restrictions on advertising during and around the Olympic Games, after administrative proceedings conducted by the Bundeskartellamt (BKA), the German competition authority, found the rules to be overly restrictive.
While the changes relate to the IOC guidelines in the Olympic Charter, the DOSB is involved in the case as the organization that may grant exemptions for German athletes. The BKA explained that this should make it easier to define advertising activities that are exclusively targeted at Germany – they actually pertain to activities around German athletes. However, the concession made by the IOC and the DOSB in Germany is not unlikely to trigger similar complaints in other countries.
The BKA said it conducted its review because it suspected that the current application of Rule 40 of the Olympic Charter for athletes and sponsors in Germany restricts competition, and that the DOSB and IOC are abusing their dominant position. The proceedings were launched on the basis of a complaint by the German sporting goods industry association (BSI) and in connection with press reports around the Olympics in Rio.
As outlined by the BKA, under the current Olympic guidelines, no athlete taking part in the Olympics may allow his or her person, name, picture or sports performance to be used for advertising purposes during the Olympics and several days before and after the Games. This restriction covers all advertising and social media activities, and it applies from nine days before the opening ceremony until the third day after the closing. This “frozen period” is meant to protect the rights awarded to Olympic partners.
Andreas Mundt, president of the BKA, said in a statement that the organization's assessment found the rules overly restrictive, pointing out that the athletes do not benefit directly from the very substantial advertising revenues generated by the official sponsors.
The DOSB and the IOC have offered to relax the restrictions on advertising activities exclusively targeted at Germany. Generic advertising, as well as greetings or congratulatory messages from the sponsors to athletes will be permitted during the frozen period under certain conditions. The notions of Olympic and related terms will be defined conclusively and in a much narrower way. Athletes will be able to share or retweet content from the IOC, the DOSB, the Organizing Committees for the Olympic Games (OCOG) and Team Germany, and link it with greetings or acknowledgements to the sponsors. The two parties further agreed that the delays for approval of applications will be significantly reduced, and the deadline will not constitute a cut-off period. The rules will work with an assumption of approval. The standard for advertising measures will be the Olympiaschutzgesetz, the Olympic Protection Act.
The BKA said it would carry out a market test on the proposed commitments, sending around surveys to associations, athletes and sponsors, particularly in the sporting goods industry. Changes in the DOSB guidelines are subject to the outcome of this test, but the proposed rules will already be used ahead of the Winter Games starting in Pyeongchang in February.
