The sports industry employs millions of people every year and continues to grow larger. Fans fuel this growth by purchasing merchandise, attending games, cheering for beloved athletes and tuning in on game days. Professionals who understand sports economics are equipped with the knowledge and skills to pursue a wide array of careers in sports.
The Global Growth of Sports
The sports industry shows no sign of slowing down, and global revenue illustrates this fact. According to Statista, the global sports market revenue was nearly 487 billion U.S. dollars, and by 2027 it is predicted to be worth 623 billion.
This booming industry doesn’t just include coaches and athletes.
The global sports market is made up of the people, activities and organizations involved with producing, facilitating, or organizing sports activities. For sports professionals to keep their heads in the game they must stay on top of business trends that help teams connect with fans, attract investors, and gain support for athletes.
Business Trends in the Sports World
Deloitte’s 2023 Sports Industry Outlook focuses on five business trends impacting the world of sports:
- Growth of Digital Assets: The world of sports is embracing non-fungible tokens (NFTs), fan tokens and blockchain-enabled tickets. Rather than stand-alone digital assets, they’re becoming advanced assets that can be used to enhance fan engagement and loyalty, generate new revenue streams and create new business models.
- Responsible Sports Betting: Sports betting has only been legal in the U.S. since 2018. Organizations as a whole need to look towards other mature countries that have created responsible sports betting industries and fostered a healthy customer base. So, as the U.S. betting scene matures, they can help do the same with their fans and customers.
- Managing Private Equity (PE): Over the past few years, private equity firms have been developing funds and creating new entities to invest exclusively in sports. In addition to the potential issues that PE’s entrenchment in sport presents, it also opens up new opportunities.
- Pro Women’s Sports: 2022 was a record-breaking year for women’s sports. Yet, the difference in attention, investment and sponsorship between women’s and men’s professional sports is still significant. For women’s leagues to progress, what will it take? Sports professionals should continue to ask questions surrounding this topic.
- U.S. College Athletes: Since 2021, athletes have been allowed to profit from their name, image, and likeness (NIL), and some have secured major deals. College athletes can now earn more money and professionalization which allows for opportunity but requires responsibility. Since these athletes have more freedom, programs should provide physical and mental support to help them manage an increasingly complex environment.
The economics of sports help professionals in these areas respond to business trends such as these and strategize ways to overcome and develop them.
Expand Your Sports Economics Knowledge At CUC
As the global sports market continues to rise, there are growing opportunities for sports professionals to launch or advance their careers within the industry.
Concordia University Chicago’s online MBA with a concentration in sports management prepares graduates for a rewarding career in sports. Whether working as an athletics director, ticket sales manager, or sports marketer, you’ll have the tools to understand important facets of the sports industry.
The online degree program, taught by CUC faculty, covers topics such as the economics of sports, sports finance, sports law, and diversity in sports. The program’s curriculum covers a wide range of business- and sports-related elements to ensure that, whether negotiating athlete contracts or contracting to purchase a new stadium, you’ll have the skills to succeed in this booming industry.
To learn more about CUC’s online MBA with a specialization in sports management visit our overview page today.
