Home About Us Industry Report Store Resources Contact us

Sports Hospitality Market To Reach USD 67.83 Million By Year 2032

The Sports Hospitality market was worth USD 19.13 Billion in 2023. As such, the forecast is that the market is expected to reach USD 67.83 Billion by 2032 with a CAGR of 15.1% over the period from 2024 to 2032

27-05-2024
Swati Kalagate
Consumer Goods and Retail Industry
AkViS Intelligence LLP

According to a new report published by AkVis Intelligence, titled, “Sports Hospitality Market by Product Type, Sports Events, Channel, Attendees, and Revenue Stream. Opportunity Analysis and Industry Forecast, 2024–2032,” The Sports Hospitality market was worth USD 19.13 Billion in 2023. As such, the forecast is that the market is expected to reach USD 67.83 Billion by 2032 with a CAGR of 15.1% over the period from 2024 to 2032. Sports hospitality refers to a range of premium services and experiences provided to enhance the enjoyment and comfort of attending sporting events. It combines the thrill of live sports with luxury amenities, exclusive access, and superior service.

The global sports hospitality market is experiencing robust growth, driven by the increasing demand for unique and luxurious experiences at major sporting events. This market encompasses services such as VIP seating, exclusive access to lounges, gourmet catering, and personalized services that enhance the spectator experience. Key drivers include the rising disposable incomes, the popularity of sports as a form of entertainment, and the corporate sector's use of sports events for client engagement and brand promotion.

The increasing disposable income among global populations is a pivotal driving factor for the burgeoning sports hospitality market. As individuals and households attain greater financial stability and discretionary spending power, their propensity to invest in leisure activities, including premium sports experiences, rises significantly. This shift is particularly evident in emerging economies where rapid economic growth has created a burgeoning middle class eager to indulge in luxury experiences that were previously inaccessible.

The Leveraging technology to personalize and customize the fan experience. With the rise of mobile apps, stadiums and hospitality venues can offer tailored experiences based on individual preferences. This could include customized food and beverage options, preferred seating arrangements, or exclusive access to behind-the-scenes content. Implementing augmented reality (AR) or virtual reality (VR) experiences can also provide fans with immersive interactions, such as virtual tours of the stadium or interactive games that complement the live action.

The integration of data analytics allows for a deeper understanding of fan behavior and preferences. By harnessing data from ticket purchases, social media interactions, and in-venue spending, sports hospitality companies can create targeted marketing campaigns and loyalty programs to enhance engagement and drive revenue. Personalized offers, discounts, and rewards can incentivize fans to return and increase their overall satisfaction.

Sports Hospitality Market, Segmentation

The Sports Hospitality market is segmented based on Product Type, Sports Events, Channel, Attendees, and Revenue Stream.

Product Type:

The Product Type segment is further classified into Food & Beverage, Lodging, Events, Merchandise, Memorabilia. Among these, the Food & Beverage, sub-segment accounted for the highest market share. The fan experience is increasingly defined by the quality and diversity of F&B offerings. Sports venues are no longer just about the game; they have evolved into experiential destinations where attendees seek memorable culinary experiences alongside the action on the field. From gourmet dining options to artisanal snacks and craft beverages, F&B offerings have become a significant draw for fans, influencing their decision to attend events and enhancing their satisfaction levels.

Sports Events:

The Sports Events segment is further classified into Football, Cricket, Tennis, Motorsports, Golf. The Football sub-segment accounted for the highest market share. Football, or soccer as it's known in some regions, boasts a global fan base like no other sport. With its roots deeply embedded in numerous cultures and its ability to unite people from all walks of life, football transcends boundaries and brings communities together in shared passion and excitement. This widespread appeal forms the cornerstone of its dominance in the sports hospitality market.

Region:

North America boasts a rich tapestry of state-of-the-art sports facilities, ranging from iconic stadiums to cutting-edge arenas, spread across the continent. These venues serve as the cornerstone for hosting various sporting events, attracting millions of spectators annually. The presence of world-class infrastructure not only enhances the overall spectator experience but also provides a solid foundation for the development of sports hospitality services.

Some of The Leading/Active Market Players Are-

  • Hospitality Group International (HGI) (Australia)
  • Keith Prowse (UK)
  • MATCH Hospitality (Switzerland)
  • Caterforce (UK)
  • Sportsworld Group (UK)
  • Byrom PLC (UK)
  • The Jockey Club Services (UK)
  • Circuit of The Americas (COTA) Experiences (USA)
  • On Location Experiences (USA)
  • Sports Travel and Hospitality Group (STH) (UK)
  • QuintEvents (USA)
  • Official Sports Events (OSE) (Australia)
  • Eventmasters Ltd (UK)
  • THG Sports (UK), and Other Active Players.

Key Industry Developments

  • In Feb 2024: Oyo, has announced its expansion into the sports hospitality sector, marking a strategic departure from its traditional focus on hospitality and travel. With a deliberate aim to cater to the diverse needs of large-scale sports gatherings, the company has meticulously selected 100 hotels across 12 key cities, including Delhi, Chennai, and Bangalore, to offer bespoke hospitality solutions. This initiative seeks to provide athletes and officials participating in various sports competitions with comprehensive accommodation options.
  • In Sep 2023: Travel + Leisure Co. the world’s leading membership and leisure travel company, and Sports Hospitality Ventures, LLC, hotel and resorts licensee for the Sports Illustrated brand across North America and the Caribbean, introduced a new concept for a network of future sports-themed resort and lifestyle complexes located in popular college towns near universities with devoted fan bases.

 Key Findings of the Study 

  • The well-developed sports infrastructure in North America has facilitated the growth and expansion of sports hospitality services. These services offer premium experiences, including VIP seating, exclusive lounge access, gourmet catering, and personalized services. This development is driven by the high demand for luxurious and unique experiences at sporting events, supported by the region's high disposable incomes and a strong corporate sector that utilizes sports events for client engagement and brand promotion.
  • The immense popularity of football drives significant engagement and revenue in the sports hospitality market. Major football events, such as the FIFA World Cup, UEFA Champions League, and domestic leagues, draw substantial attention and investment. The widespread appeal and high spectator turnout at football matches create lucrative opportunities for sports hospitality services, ranging from VIP packages to exclusive behind-the-scenes experiences, enhancing the overall fan experience and contributing to the market's growth.

 

AkViS Intelligence LLP

Conatct Us

Would you like to get in touch? We'll be happy to talk!

Press Contact