Sports Hospitality Market - Forecasts from 2023 to 2028

The sports hospitality market is predicted to grow at a CAGR of 14.06% from US$8,427.448 million in 2021 to US$21,163.970 million by 2028.

Significant growth in marketing expenditure over the years and also due to entrance of the international companies in the market. For instance, regions of Europe, and the Middle East and Africa are immensely populated with sports enthusiasts. Sporting events in Europe, like FIFA, attract the highest number of viewers in the world. In fact, FIFA’s hospitality packages for the 2022 World Cup in Qatar have generated a high level of interest even before going on sale.

Younger and millennials are becoming interested in sports tourism, which gives visitors a lasting and unforgettable experience while they enjoy a sport or event. Additionally, adults and elderly folks participate in sports tourism because it promotes socializing and communication and helps with self-image and acceptability in society. Global sports hospitality is being boosted by expanding sporting events like football and cricket leagues. The demand for sports hospitality is also rising as a result of expanding social media advertising and alluring travel deals.

Additionally, the growing interest in professional sports, especially in major sports leagues like the NFL, NBA, MLB, and NHL, is also driving the demand for sports hospitality experiences. The passion and loyalty of sports fans in the USA, along with the country's strong sports culture, contribute to the increasing demand for sports hospitality services and experiences.

Market Developments:

• WSBSPORT and Yves Preissler Business Consulting are collaborating to create the greatest football and paddle solutions for fitness clubs and hotels throughout the world. The collaboration caters to hospitality locations that want to include sports themes in their social experiences. The idea is to build venues where exercise and leisure activities such as 5-a-side football and paddling may coexist and be completely incorporated into the hospitality offering.
• In Lesotho, three young entrepreneurs launched new hospitality businesses, and 535 teenage young people are entering the labour force, particularly in hospitality.

By sports type, the global sports hospitality market is segmented as soccer, American football, baseball, tennis, basketball, and others. Sports hospitality through soccer has seen a boom in demand, driven by rising factors such as increasing disposable income among fans, rising demand for unique and memorable experiences, and the growing popularity of major sporting events around the world. According to FIFA's 2020 annual report, the budgeted revenue from hospitality and ticket sales for the FIFA World Cup alone totals USD 500 million. This underscores the importance of strategic investments in hospitality to ensure a successful and profitable event. Furthermore, technological improvements have enabled sports venues to provide more complex and personalized hospitality services, while the emergence of social media promoted a desire among fans to share their experiences with others, driving demand for premium products even higher.

By geography, the American sports hospitality market is expected to hold a considerable market share fueled by increasing consumer spending on sports-related experiences, the development of state-of-the-art sports facilities, and growing demand for unique fan engagement opportunities. For example, Mercedes-Benz Stadium is the home stadium of the Atlanta Falcons (NFL) and Atlanta United FC (MLS). It is known for its cutting-edge technology and innovative features that enhance the fan experience.

Asia-Pacific is experiencing a significant rate of adoption of IT Infrastructure and technological advancements. With new entries of international companies in the market, their top priorities are brand awareness and client retention, and they are using the sports industry as the PR and marketing tool. The region is also set to witness a significant number of sports events being held. Thus, it is predicted that the sports hospitality market in this region to experience rapid growth during the forecast period.

Market Segmentation:

By Sports Type

• Soccer
• American Football
• Baseball
• Tennis
• Basketball
• Others

By Geography

• Americas
• USA
• Others
• Europe Middle East and Africa
• United Kingdom
• Germany
• France
• Others
• Asia Pacific
• Japan
• China
• Others