sports industry, a - sportbizlatamglobal sports market = us$756 billion annually. ... mexico russia...
TRANSCRIPT
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Sports Industry, a global overview
COVID-19 economic impact and challenges.
Amir Somoggi
Content
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Global Sports Industry
Football, the global game.
Coronavirus economic impact on sports.
Challenges and new trends.
4
Global sports market = US$756 billion annually.Global Sports Industry Sports Industry revenues– 2018- US$ billion
23%
36%
15%
26%
Source: Sports Value
5
19%
36%
16%
29%
Sports retail in US represented for 50% for all global sales.
Global sports retail sales- 2018- US$ billionGlobal Sports Industry
270
9472
22
Global sports retail Sports goods sales Nike, Adidas,Puma andUnder Armour sales
Other brands
New Balance- US$ 4,1 Vans - US$ 3,9 Asics- US$ 3,5Mizuno- US$ 1,7
Source: Sports Value
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US$ 70 billion in marketing
USA= US$ 32 billion
Europe = US$ 20 billion
Global sports revenues
Jersey sponsorship / total commercial income
Global Sports Industry
European teams generate more than US$ 7 billion annually in commercial revenue.
Source: Sports Value
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Top 4 Leagues
generated US$ 3,9
billion in 2018.
NBA jumped 30% in 2018.
1.070
679 695
409
1.150
739 778
447
1.200
799 827
477
1.250
861 892
505
1.320
1.120
938
560
NFL NBA MLB NHL
2014 2015 2016 2017 2018
Sponsorship revenues in US Leagues -US$ billion
Source: IEG
Global sports revenues
Global Sports Industry
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US$ 52 billion in matchday
EE.UU. = US$ 32 billion
Europe = US$ 18 billion
Global broadcast rights = US$ 49 billion
7,3
4,6
3,8
3,7
3,1
1,6
1,6
1,4
1,3
1,3
0,9
NFL-USA
Premier League-UK
NBA-USA
MLB-USA
Colleges USA
Champions League-EUR
Bundesliga-GER
NHL-USA
Serie A-ITA
La Liga -SPA
Ligue 1-FRA
USAUS$ 22 billion
Global sports revenues
Global Sports Industry
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More than 3,7 billion people are footblal fans worldwide, and 1 billion of them are fanatics!
Source: Nielsen
Football, the
global game
Football, the
global game
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252
165
105
103
97
86
82
76
66
47
45
45
40
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28
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C H I N A
B R A Z I L
U S A
I N D O N E S I A
J A P A N
I N D I A
M E X I C O
R U S S I A
G E R M A N Y
F R A N C E
I T A L Y
U K
T UR K E Y
C O L O M B I A
T H A I L A N D
S P A I N
A R G E N T I N A
S O U T H K O R E A
S O UT H A F R I C A
P O L A N D
FIFA 2014 WC Audiences
Source: FIFA
Football, the
global game
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FIFA WC Audiences
Source: FIFA
2018 and 2014 FIFA WC TV audience
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Football clubs business model
Clubs
70/80 90
CompaniesConsume and entertainment
2000
Content generation
Now /Future
Football, the
global game
Football, the
global game
15,6
5,3
4,2
2,6
0,7
BIG 5 - 1ST.DIVISION
NON BIG 5 -1ST. DIVISION
FIFA/UEFA/NATIONAL ASSOCIATIONS
BIG 5- OTHER DIVISIONS
NON BIG 5 -OTHER DIVISIONS
In 2017-18 professional European football market generates€ 28,4 billion, according to Deloitte.
Revenues- € billion
Top 20 teams€ 8,3 billion
Globally professional football genrates around € 36 billion.
Source: Deloitte
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Challenges• Game quality.
• Global audience.
• Legal Safety.• Household spend in football .
Football leagues worldwide revenues-€ million Emerging football markets with big future potential:Football, the
global game
Source: Sports Value
COVID-19-Coronavirus economic impact
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Coronavirus
economic
impact
Sport as an important economic sector
Leagues, teams, sponsors, investors, media aresuffering with COVID-19´s crisis.
Competitions being cancelled or extended.
Matches with closed gates and leagues decidingto simply paralyze their activities.
By Sports Value calculations, for every US$1 generated directly with aprofessional sports league, can reach up to US$ 2,5 produced inindirect and economy-induced effects.
Sports Industry indirect and induced effect
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Losses will be inevitable
Matchday revenues -By League- US$ millionCoronavirus
economic
impact2.256
1.400
1.089
1.011
718
544
504
296
217
200
182
111
88
79
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MLB- USA
NFL- USA
NHL-- USA
NBA- - USA
Premier League- UK
La Liga- Spain
Bundesliga-Germany
MLS-USA
Série A -Italy
Série A-Brazil
Ligue 1- France
Netherlands
Turkey
Scotland
Portugal
Source: Sports Value
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Losses will be inevitable
Coronavirus
economic
impact
According to Forbes, the big professional sportsleagues will loose US$ 5 billion in revenues.
KPMG predicted that Top 5 European Leagueswill loose other US$ 4,5 billion in revenues.
Losses = Gate receipts, broadcast rights, product sales and sponsorships
Sports Value´s prediction show that professional sports sector will loose more
than US$ 15 billion with COVID-19.
9% of all Sports Pro revenues.
2% of global Sports Industry .
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Challenges and
new trendsPeople are enclosed in their homes.
Digital environment will be afundamental response to thisconfinement.
For work and leisure.
Brands need to exploit this highunique home audience.
Global4,6 billion people are connected
in Internet.
3,8 billion in social media platforms.
US$ 3,5 trillion e-commerce sales in 2019.
The world is in lockdown!
Football fan and shoppers
How to work on this environment?
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Challenges and
new trends
Teams and idols at social network
Source: Result Sports
Big idols have more followers on social media than
their clubs.
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Challenges and
new trends Continuous fan engagement work.
Use digital channels, players and formerplayers/coaches to entertain the fan.
Use this new content to create new deliveries forsponsors.
Providing new unique content for broadcast andrights holders.
Develop leisure and sports activities to parents andtheir kids at home.
Create weekly activities to the fans at social network,posting, interacting and exchanging passion.
What leagues and teams MUST do:
How to work on this environment?
Contact
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Sports marketing, branding, sponsorships and valuations
Amir [email protected]+55 11 99749-2233
https://www.sportsvalue.com.br/
Our Services
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