Sports

Revenue in the Sports market is projected to reach US$261.90m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 2.20%, resulting in a projected market volume of US$291.90m by 2029.
In global comparison, most revenue will be generated United States (US$49.76bn in 2024).
The average revenue per user (ARPU) in the Sports market is projected to amount to US$10.25 in 2024.

Definition:

The sports market encompasses various segments related to popular sports such as Soccer, Football, Basketball, Baseball, and Cricket. These segments include media, ticket sales, and merchandise sales, catering to the diverse needs of sports enthusiasts worldwide.

Structure:

Media: This market focuses on revenues generated from broadcasting rights, digital streaming services, advertising, and sponsorships related to sporting events. It encompasses television broadcasting, online streaming platforms, and radio broadcasts dedicated to Soccer, Football, Basketball, Baseball, and Cricket.
Ticket Sales: This part comprises revenues generated from the sale of tickets for live sporting events, including matches, tournaments, and championships in Soccer, Football, Basketball, Baseball, and Cricket. It encompasses sales from both physical ticket outlets and online ticketing platforms.
Merchandise Sales: This market includes revenues derived from the sale of sports-related merchandise such as jerseys, caps, memorabilia, equipment, and accessories associated with Soccer, Football, Basketball, Baseball, and Cricket. It covers sales through retail outlets, online stores, and official team or league merchandise shops.

Additional information:

The market metrics include revenues, users, average revenue per user, and market penetration rates. Revenues are primarily driven by consumer spending on media subscriptions, ticket purchases, and merchandise. Insights into the consumer market also encompass data on specific sports events, teams, and leagues, providing comprehensive analytics for informed decision-making.

Key players in the sports market include major sports leagues, broadcasting networks, sports apparel brands, and retail chains specializing in sports merchandise. For further details on the data presented, refer to the information provided alongside the respective data sets.

Ticket sales from games, such as league games
Revenue from merchandise, such as jerseys
Revenue from media rights, such as TV broadcasting

Revenue from player transfers, such as transfer fees
Tickets sold on the secondary market, such as on eBay
Revenue from licensing or sponsorship, such as from logos

The Sports market in South Africa has been experiencing moderate growth due to various factors such as the popularity of soccer and cricket, increasing investments in infrastructure, and rising disposable income among consumers. However, this growth is being impacted by the limited growth rate in American football and basketball, along with challenges related to audience attendance and sponsorship opportunities.

Customer preferences: Consumer behavior in the South African Sports market has shifted towards a preference for ethical and eco-friendly products. This is influenced by the country’s growing awareness of sustainability issues and the impact of climate change. This trend has led to a rise in demand for sustainable sports apparel and equipment, as well as an increase in participation in eco-friendly sports and activities. Companies are also adopting more eco-friendly practices to appeal to these conscious consumers, resulting in a more sustainable Sports market in South Africa.

Trends in the market: In South Africa, the Sports Market has seen a significant rise in the use of digital platforms and technologies, especially in the wake of the COVID-19 pandemic. There has been a rapid growth in the popularity of virtual fitness classes, online coaching and training programs, and e-sports tournaments. This trend has been driven by the need for socially distanced and accessible options for sports enthusiasts. It has also opened up opportunities for collaborations between sport brands and digital platforms, creating new revenue streams for stakeholders. With the increasing adoption of these digital solutions, the Sports Market in South Africa is expected to continue its upward trajectory in the coming years, while also providing a more inclusive and convenient experience for consumers. Industry stakeholders, including sports brands, digital platforms, and athletes, must adapt to these trends to stay competitive in the market.

Local special circumstances: In South Africa, the Sports Market is heavily influenced by the countrys diverse demographics and rich sporting culture. With a long history of apartheid and a recent transition to democracy, the country has a unique blend of cultural and political influences affecting its sports landscape. Additionally, the governments emphasis on promoting sports and physical activity as a means of improving public health has spurred growth in the market. Moreover, South Africas vast and varied geography, with stunning landscapes and a diverse climate, presents opportunities for a wide range of sports and outdoor activities.

Underlying macroeconomic factors: The Sports Market in South Africa is heavily influenced by macroeconomic factors such as economic stability, government policies, and global economic trends. As one of the leading economies in Africa, South Africa has seen steady growth in recent years, with a focus on diversifying its economy and investing in infrastructure. This has created a favorable business environment for the sports industry, with increased consumer spending and a growing middle class contributing to market growth. Additionally, the countrys hosting of major sports events, such as the 2010 FIFA World Cup, has also been a key driver in developing the Sports market and attracting investment. However, challenges such as high levels of unemployment and income inequality continue to impact the overall health of the market.

Data coverage:

The data encompasses B2C and B2B revenues. Figures are based on media spending, merchandise spending, and ticket spending. All monetary figures for merchandise and tickets refer to consumer spending on goods or tickets in the respective segment, which can be online and offline.

Modeling approach / Market size:

Market sizes are determined through a combination of bottom-up and top-down approaches, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per ticket, price on sport goods). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, number of internet users, and internet consumption. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function or linear forecasting, as it fits the development of either strong growing markets or more sophistacted and saturated markets, such as soccer in Europe.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). We also account for the different cycles of international tournaments, such as world cups or continent cups. Consumer Insights data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.