Invest in team sports say 41% of experts with women’s sport on track for continued growth - new PwC Global Sports Survey

• Teams and leagues (41%), gaming (22%) and tech (17%) are the most attractive sectors to invest in

• 85% of sports experts predict double digit growth in women’s sport

• 59% of sports organisations do not have a strategy for GenAI incorporation into their business model

PwC unveiled its 8th Edition of its Global Sports Survey today, showcasing optimistic prospects for the business of sport. The survey, which gathered insights from 411 sports leaders worldwide, examined the current state of the sports industry and their expectations for the next three to five years. Despite presenting a cautiously optimistic outlook, the report indicates positive sentiment across all regions.

With the continued growth of big US sports and global football, as well as the emergence of sports such as Padel and Pickleball, there are significant growth opportunities across the sector. 

Clive Reeves, PwC Global Sports Leader comments: 

"The report provides valuable insights into the state of the sports industry and its future prospects, from some of the top leaders and sports strategists globally. Despite economic uncertainties, the industry remains optimistic and poised for growth. This summer in particular highlights the pulling power that sports continue to have - from the Men’s UEFA Euro 2024 to the Paris Olympic and Paralympic Games.”

“We believe this survey will be an invaluable resource for businesses and industry leaders, sparking crucial discussions and debates on how the sports industry can seize growth opportunities and navigate potential challenges."

Investment in the sports industry

The sports sector is becoming highly sought-after due to continued revenue growth (based on media rights and sponsorship deals) and more sustainable business models emerging. Sports experts surveyed are optimistic about institutional investors' prospects, especially with growth in the sports market. While growth isn't universal, certain investors are well-positioned to seize opportunities in this evolving landscape. Of the 411 experts surveyed by PwC, they identified teams and leagues (41%), gaming (22%) and tech (17%) as the top investment areas. 

The scarcity of investable sports assets has driven up valuations in recent transactions, prompting shifts in investment strategies and structures. Relaxing ownership regulations in the US and the continued rise in asset valuations are attracting evermore diverse investors. Sports leaders surveyed conveyed a growing popularity for minority investment and joint venture investment (both 36%). Dedicated sports investment funds and athlete- backed funds are becoming more active. They are partnering with operators to unlock value and seek synergies across portfolios with athlete funds in particular mobilising the pulling power of attracting bigger audiences. 

Major sporting events

44% of sports executives believe financial concerns are a key barrier to hosting a large event. Despite stating the benefits of investment and infrastructure (25%) and the tourism benefits (24%) of hosting such events, experts still believe that they can lack public support (19%) and a lack of suitable facilities to host in (15%). The majority of those surveyed believe that there needs to be new hosting models (64%) and utilisation of existing venues (60%) to help future major sporting events be delivered in a sustainable way.

86% of experts also believe a multi-location model is best for hosting such events - great news for the upcoming EURO 2028 across the UK and Ireland, as well as the future Olympics and Paralympics . 

Women’s sport

Women's sports are experiencing a surge in interest and significant growth potential, driven by record-breaking events like the FIFA Women's World Cup (Summer 2023) and the NCAA women's basketball tournament (March 2024). Sports executives believe women’s sports will grow double-digit over the next three to five years, highlighting the significant potential still to be realised.

Sports leaders surveyed highlight that increased media coverage has been crucial for this growth and stress the importance of continued focus from broadcasters and media outlets. To attract new audiences, 18% of respondents cite increased promotion (advertising, ticket prices), 16% emphasise live broadcasting of women’s sports events, and 13% mention enhancing the matchday experience (food options, accessibility). Additionally, 12% advocate for improved athlete storytelling, and another 12% emphasise the need for family-friendly scheduling.

GenAI & Sports

Generative AI (GenAI) and other innovative technologies present significant growth opportunities for sporting organisations, but their adoption and impact vary across the industry. Sports tech and media companies are poised to benefit the most, focusing on content creation, distribution and fan engagement. Yet 59% of sports leaders reported not having a clear GenAI strategy, highlighting barriers such as funding and capability requirements, thus offering early adopters a chance to gain a competitive edge.

Media (26%), technology (21%) and fantasy/betting (16%) are the industry stakeholders that stand to benefit most from GenAI through an enhanced ability to create content more quickly, at lower cost, to unlock further commercial opportunities, driving opportunities for new pricing and fan engagement models. With many GenAI use cases still emerging, sports organisations will likely adopt a ‘wait and see’ approach. As more solutions come to market, organisations will have a greater opportunity to develop an overarching strategy and implementation plan. 

Survey results suggest that teams, leagues and federations have been slower to embrace GenAI - 67% of respondents in this category do not yet have a plan for GenAI, while 15% do not see it as relevant for the business.