May 29, 2024
Sports Hospitality Market

The Global Sports Hospitality Market Driven by Surging Sports Tourism

Sports hospitality refers to the business of providing accommodation, food and beverage, and other VIP experiences for spectators and fans attending sporting events. It offers competitive ticket and hospitality packages combined with accommodation and travel arrangements. The sports hospitality sector has witnessed substantial growth supported by the rising popularity of major global sporting leagues and tournaments attracting audiences worldwide. Sports hospitality packages offer exclusive seats, fine dining, backstage tours, and meet-and-greet opportunities with players enhancing the overall match-day experience.

The global Sports Hospitality Market is estimated to be valued at US$ 30 Billion in 2023 and is expected to exhibit a CAGR of 6.0% over the forecast period 2024 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the sports hospitality market size is the surging demand for enhanced digital experiences. Sports hospitality providers are increasingly leveraging technologies such as augmented and virtual reality, mobile apps, and analytics to offer enriched digital experiences to fans and spectators. For instance, VR platforms allow sports fans to immerse themselves in games from anywhere while digital concierge services enable touchless registration and interaction. Mobile apps provide real-time information on packages, events, and travel making sports tourism more personalized and convenient. Analytics help understand customer behavior and design customized engagement programs. The growing emphasis on digital tools is expected to revolutionize the sports hospitality sector in the coming years.

Porter’s Analysis
Threat of new entrants: Low. High capital requirements and existing competitive dynamics make entry difficult for new players.

Bargaining power of buyers: Moderate. Buyers have some influence over pricing and ticket availability but lack alternatives for premium experiences.

Bargaining power of suppliers: Low. Sports hospitality services require specialized infrastructure and technologies with few substitutes available to teams and leagues.

Threat of new substitutes: Low. No real substitute exists for the live sporting experience that sports hospitality services provide.

Competitive rivalry: High. Established players compete aggressively on service quality, exclusivity, and add-on benefits to gain customers.

Key Takeaways
The global sports hospitality market is expected to witness high growth over the forecast period of 2024 to 2030.

Regional analysis: North America accounts for the largest share of the global sports hospitality market currently. The growth can be attributed to large fan bases for top leagues like the NFL, NBA, and MLB coupled with higher disposable incomes. Events like the Super Bowl are a major driver of demand. Europe has emerged as the second largest region with Football seeing massive fan engagement and events like UEFA Champions League attracting customers.

Key players: Key players operating in the sports hospitality market are Hospitality Digital, Leverage Hospitality, STANLEY Hospitality, and Delaware North. Hostpur Inc., P&P Events, and TicketsForTrade.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraaged AI tools to mine information and compile it