The Sports Business: Not All Fun and Games, 6-28-2006
Sports are big business. Combined, the NFL, NBA and MLB leagues bring in about $12 billion in annual revenue, but that's just the tip of the iceberg. U.S. sporting equipment sales at retail are roughly $43 billion yearly, sports apparel $43 billion and athletic footwear $18 billion. A reasonable estimate of the total U.S. sports market might be $375 to $425 billion yearly. To put that in perspective, the U.S. retail food industry, including supermarkets, is only slightly bigger. The sports sector is constantly evolving in terms of personal tastes, popular games and technologies. Other growth sectors in recent years include snowboarding and paintball. According to a recent report by Plunkett Research, Ltd., the most important trends affecting this industry include:
- The NBA Goes Global.
Of the 439 players on 2005-2006 team rosters in the National Basketball Association (NBA), 55 came to the association from foreign countries, in addition to a number of foreign-born athletes who played for U.S. colleges before being drafted into the NBA. Home countries such as Croatia, Latvia, Russia, Germany, France, Brazil and Greece are represented on teams throughout the U.S.
- Lacrosse May Be the Fastest-Growing Team Sport in America.
Until recently, few sports fans were familiar with lacrosse, although it is a game that originated hundreds of years ago among native North American tribes. Today, lacrosse is sweeping the U.S., with thousands of amateur and school teams for youngsters, men and women as well as fledgling pro teams.
- World Soccer Faces Trouble Due to Lack of Parity.
As in American baseball, global soccer players have reaped rewards from owners with deep pockets who are willing to write astronomical contracts for top talents. There is a wide gulf between the haves and have nots, and it appears to be widening each year.
To find out more about these exciting trends and more, check out Plunkett's Sports Industry Almanac 2007, just released, or go to www.plunkettresearch.com and sign up for a subscription to Plunkett's completely up-to-date online database!
About Plunkett Research, Ltd.
Plunkett Research, Ltd. is a leading publisher of complete business research and analysis resources, designed to enable professionals in marketing, research and finance to access complete trends analysis, statistics, technology analysis and financial analysis of the world's most exciting industries. For more information, visit www.plunkettresearch.com, or call 713.932.0000.