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Sports Industry, a
global overview
COVID-19 economic impact and
challenges.

Amir Somoggi
Content
Global Sports Industry

Football, the global game.

Coronavirus economic impact on sports.

Challenges and new trends.

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 Global sports market = US$756 billion annually.
Global Sports
Industry Sports Industry revenues– 2018- US$ billion

36%

23% 26%
15%

Source: Sports Value

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 Sports retail in US represented for 50% for all global sales.
Global Sports
Industry Global sports retail sales- 2018- US$ billion
270
New Balance- US$ 4,1
Vans - US$ 3,9
Asics- US$ 3,5
Mizuno- US$ 1,7

94
72

36% 22
29%
19% 16%
Global sports retail Sports goods sales Nike, Adidas,Puma and Other brands
Under Armour sales
Source: Sports Value

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 Global sports revenues

Global Sports US$ 70 billion in marketing

Industry
USA= US$ 32 billion
Europe = US$ 20 billion

Jersey sponsorship / total commercial income

Source: Sports Value

European teams generate more than US$ 7 billion annually in

commercial revenue. 6
 Global sports revenues
Sponsorship revenues in US Leagues -US$ billion
Global Sports
Industry 2014 2015 2016 2017 2018
1.320
1.250
1.200
1.150 1.120
1.070
938
892
799
861
778
827 Top 4
739
679 695 Leagues
560
477 505 generated
409 447
US$ 3,9
billion in
2018.
NFL NBA MLB NHL

NBA jumped 30%

in 2018.

Source: IEG

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 Global sports revenues
US$ 52 billion in matchday
Global Sports
Industry EE.UU. = US$ 32 billion
Europe = US$ 18 billion

Global broadcast rights = US$ 49 billion

NFL-USA 7,3
Premier League-UK 4,6
NBA-USA 3,8
MLB-USA 3,7
Colleges USA 3,1
Champions League-EUR 1,6
Bundesliga-GER 1,6
NHL-USA 1,4
USA
Serie A-ITA 1,3
US$ 22 billion
La Liga -SPA 1,3
Ligue 1-FRA 0,9
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 More than 3,7 billion people are footblal fans worldwide, and 1
Football, the
global game
billion of them are fanatics!

Source: Nielsen 9
 FIFA 2014 WC Audiences
Football, the
global game C HIN A
165
252
BRA ZIL
USA 105
IN DO N ESIA 103
JAPAN 97
IN DIA 86
MEXIC O 82
RUSSIA 76
GERMA N Y 66
FRAN CE 47
ITA L Y 45
UK 45
TURKEY 40
C O L O MBIA 39
THA IL A N D 34
SP A IN 33
A RGEN TIN A 33
SO UTH KO REA 31
SO UTH A F RIC A 28
POLAND 25

Source: FIFA

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 FIFA WC Audiences
Football, the
2018 and 2014 FIFA WC TV audience
global game

Source: FIFA

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 Football clubs business model
Football, the
global game Consume and Content
Clubs Companies entertainment generation

70/80 90 2000 Now /Future

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 In 2017-18 professional European football market generates
Football, the € 28,4 billion, according to Deloitte.
global game
Revenues- € billion

BIG 5 - 1ST.DIVISION 15,6

NON BIG 5 -1ST. DIVISION 5,3

FIFA/UEFA/NATIONAL ASSOCIATIONS 4,2 Top 20 teams

€ 8,3 billion
BIG 5- OTHER DIVISIONS 2,6

NON BIG 5 -OTHER DIVISIONS 0,7

Source: Deloitte

Globally professional football genrates around € 36 billion.

 Emerging football markets with Football leagues worldwide revenues-€ million
Football, the big future potential:
global game

Source: Sports Value

Challenges
• Game quality.
• Global audience.
• Legal Safety.
• Household spend in football .

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COVID-19-Coronavirus economic impact
 Sport as an important economic sector
Coronavirus Leagues, teams, sponsors, investors, media are
economic suffering with COVID-19´s crisis.
impact
Competitions being cancelled or extended.

Matches with closed gates and leagues deciding

to simply paralyze their activities.

Sports Industry indirect and induced effect

By Sports Value calculations, for every US$1 generated directly with a
professional sports league, can reach up to US$ 2,5 produced in
indirect and economy-induced effects.

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 Losses will be inevitable
Matchday revenues -By League- US$ million
Coronavirus
economic MLB- USA 2.256
impact NFL- USA 1.400
NHL-- USA 1.089
NBA- - USA 1.011
Premier League- UK 718
La Liga- Spain 544
Bundesliga-Germany 504
MLS-USA 296
Série A -Italy 217
Série A-Brazil 200
Ligue 1- France 182
Netherlands 111
Turkey 88
Scotland 79
Portugal 51

Source: Sports Value

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 Losses will be inevitable
Coronavirus According to Forbes, the big professional sports
economic leagues will loose US$ 5 billion in revenues.
impact
KPMG predicted that Top 5 European Leagues
will 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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 How to work on this environment?
The world is in lockdown!
Challenges and People are enclosed in their homes. Global
new trends
4,6 billion people are connected
Digital environment will be a in Internet.
fundamental response to this
confinement. 3,8 billion in social media
platforms.
For work and leisure.
US$ 3,5 trillion e-commerce sales
in 2019.
Brands need to exploit this high
unique home audience. Football fan and shoppers

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 Teams and idols at social network

Challenges and
new trends Big idols have
more followers on
social media than
their clubs.

Source: Result Sports 20

 How to work on this environment?
What leagues and teams MUST do:
Challenges and
new trends Continuous fan engagement work.

Use digital channels, players and former

players/coaches to entertain the fan.

Use this new content to create new deliveries for

sponsors.

Providing new unique content for broadcast and

rights holders.

Develop leisure and sports activities to parents and

their kids at home.

Create weekly activities to the fans at social network,

posting, interacting and exchanging passion.
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Contact

Sports marketing, branding, sponsorships and valuations

Amir Somoggi
Director
amir.somoggi@sportsvalue.com.br
+55 11 99749-2233

https://www.sportsvalue.com.br/

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