Dutch supermarket chain Jumbo has reacted to reports that it may end its title backing of the Jumbo-Visma team, telling Cyclingnews it is considering whether its "sponsorship policy still matches our vision and ambitions and the needs of our customers."
Jumbo confirmed to Cyclingnews that its current sponsorship with the cycling team ends after the 2024 season. They said their intention is to remain associated with the team in the future but did not specify if this will be in a lead title sponsor role.
Dutch newspaper Algemeen Dagblad suggested Jumbo could become a co-sponsor rather than leave the team and the sport. Visma is a major European software company and could perhaps step up to fill Jumbo's position. The team also has six further co-sponsors listed on its site, along with 12 sub-sponsors, who provide a substantial part of the team's budget according to reports in the Netherlands.
Following the team's development and success, manager Richard Plugge is said to be looking for a bigger, multinational sponsor that can help his project grow even more and allow the team to compete for victory year after year at the Tour de France.
Jumbo is a privately owned company with a turnover in excess of €10 billion from its supermarkets located in the Netherlands and Belgium, and it has been the main sponsor of the Jumbo-Visma cycling and skating team since 2015. It has no real business interests outside of the Netherlands and Belgium.
The women's and men's cycling squad – which the group has a contract with through to the end of 2024 – includes Marianne Vos, Wout van Aert and Primoz Roglič. The team also topped the UCI men’s rankings and won the Tour de France with Jonas Vingegaard in 2022.
Outside cycling and skating, Jumbo sponsorship includes Formula 1 Dutch pilot and current World Champion Max Verstappen.
"We are working together on a long-term successful future for Team Jumbo-Visma and it is our intention to remain associated with the team in the future," Jumbo told Cyclingnews.
"Jumbo is currently looking at its positioning. We are also looking at whether our sponsorship policy still matches our vision and ambitions and the needs of our customers. Our current sponsorship agreement with Team Jumbo-Visma runs until the end of 2024. As soon as there is something to report, Jumbo will do so."
While the Jumbo-Visma team may be thriving, the supermarket chain is facing an increasingly challenging business environment, pointing in its annual report to uncertainty in the market and increases in operating costs, which despite the continued revenue growth in 2022 led to reduced earnings. That, too, has not been the only challenge
The supermarket group has already withdrawn much of its sponsorship from motorsport after the Public Prosecution Service launched an investigation into money laundering. Former General Director Frits van Eerd was questioned as part of the ongoing investigation and resigned from his position at the company. Jumbo commissioned a fact-finding investigation saying in their annual report that “no criminal offences within Jumbo have emerged from this.”
Also, in December 2022 Chairman and Dutch supermarket entrepreneur Karel van Eerd, who had led the company through its period of increasing sports sponsorship, died at the age of 84.
“The changes within the company have led to a moment of reflection, also with regard to sports sponsorship,” said Algemeen Dagblad in its article disclosing the sponsorship review.
The sponsorship model of professional cycling means the team depends on direct funding and title sponsorship to survive, with a number of successfully managed teams disappearing after losing their title sponsors.
Dutch public broadcaster NOS quoted team managing director Richard Plugge's reassurances that the squad would find a path through the potential changes.
"This project will continue," Plugge told NOS. "Together, with Jumbo and with Visma, we are looking at how we are going to approach the future. But we can continue. There are no worries, there is no reason to panic. We have more partners than just Jumbo. We hope we can continue this for years to come."
