In 2023, we identified six forces for change in sport: Evolving Global Market; Pace of Digital; Next Generation; Diversity, Equity & Inclusion; Health & Wellbeing and Environmental Sustainability & Climate Change.

Over the last 15 months, we have monitored the impact of these trends with a broad range of sport and entertainment leaders, through conversations with leaders across our client network, hosting industry roundtable events and gathering responses to our Future of Sport Survey, which was completed by more than 100 senior leaders across 20 countries and 27 sports.

Our analysis highlights that as investment continues to fuel innovation across the sports industry, leaders are focussed on blazing their own trail through attracting new investment, embedding digital capabilities, engaging the next generation of fan and instilling trust across their operations.

Download the full Future of Sport 2024 report here, scroll down for the key findings and get in touch if you’d like to discuss the implications for your business.

Future of Sport 2024: Key findings
 

Transformation is a necessity to stay in the game
 

Optimism stems from action. Now is the time for organisations to start playing their role in the future of sport.

The sports industry continues to experience profound change, as complex market dynamics increase competition, strain finances and disrupt operations.

But there is a sense of optimism, one driven by the benefits that come within an ever-globalised industry, presented with opportunities like never before.

Most sports industry leaders are feeling hopeful: more than half of the leaders we surveyed said they felt more optimistic about the future growth of the sports industry than they did last year, with our analysis identifying that many leaders have now implemented initial changes and are realising their benefits.

Many of these optimistic leaders are bought-into the need for transformation and are driving a culture that reflects a positive outlook towards change.

While for those at the start of their journey, recognising how key industry trends are impacting their organisation may prove the first crucial step.

The ‘big three’ forces for change lead the pack
 

As more capital flows into sport, the need for agility to keep pace with innovation will be crucial to staying relevant.

Leaders identified the Evolving Global Market, Pace of Digital and Next Generation as the most impactful forces for change.

These forces impact day-to-day operations, with organisations grappling with increased competition, new digital-first operating models and divergent demands and preferences. Stakeholders are recognising an immediate need for change as new challengers enter the market, sweeping in digitally-enabled innovation.

Leaders also recognised a qualifier for the success of these forces: Trust.

This force for change, introduced for the first time in our 2024 report, explores how leaders are continuing to protect the reputation and sporting integrity of their organisations, while reacting to the societal issues which resonate with their fans, players, workforce and partners.

Our analysis shows that leaders across sport must act vigilantly to garner trust across stakeholder groups. Those that fail to act may be trumped by challengers who act swiftly and daringly to take on key issues.

The shifting balance of power in sport
 

As industry dynamics continue to evolve, there will be additional opportunities for stakeholders to step in and disrupt legacy models in the market, while revenue diversification will remain a top priority.

Sports leaders expect investors to be the most impactful stakeholder in sport over the next five years, followed by tech giants, fans and athletes.

This comes as a new profile of investor and intensified interest from private and sovereign-wealth investors is reshaping the landscape.

Over the next five years, we expect to see an increased focus on revenue diversification, as leading properties invest in global growth, entertainment focussed real-estate, direct-to-consumer initiatives and integrated adjacent businesses.

In relation to revenue, the leaders we surveyed predicted that digital products and data will be the fastest growing revenue streams over the next five years, a tell-tale sign of the digital revolution underway across the industry.

Meanwhile, women’s sport was selected as the greatest overall growth opportunity for the industry, followed by diversifying sports experiences and developing data capabilities.

A comprehensive market analysis, combined with a robust data strategy, can lay the foundations for leaders to better target their investments as they explore new ways to grow revenues, fanbases and participation.

In developing personalised digital experiences, sports organisations can reach new demographics and unlock opportunities they have previously not been able to reach.
 

Future of Sport 2024: Four Forces for change

How will the future of sport impact your organisation?
 

Each force for change presents unique opportunities and risks to sports organisations, investors and governments around the world. For example:

• For governments, the Evolving Global Market is presenting new opportunities to form partnerships with investors that will drive social benefits.
• For investors, the Pace of Digital is providing new ways to create value post-transaction.
• For sports organisations, the Next Generation is offering new to attract new audiences and extend the loyalty of fans.
• And for all, Trust presents significant risks that hold the potential to corrode relationships across fanbases and instigate significant reputational damage.

Download the report for further analysis of how the key forces for change will impact sport in the years ahead, case studies of the organisations leading the way, and an exploration of the steps organisations can take now to seize the moment.

To discuss the implications for your business, or to take part in our future of sport roundtable discussions, get in touch with the team here.

About the Deloitte Sports Business Group
 

The Deloitte Sports Business Group is a leading advisor to governments, investors, sport governing bodies and organisations.

The Group’s Sports Transformation Advisory practice works with clients to devise, design and deliver transformation, to overcome critical challenges and grasp new opportunities.

Their work includes:

• Strategy: Advising leaders on the forces for change in sport, to diversify revenues and develop initiatives that drive growth.
• Transformation: Establishing a programme to deliver an organisation's strategy and effectively communicate this with their people and peers.
• Data & Insights: Working with organisations to maximise the value of data by identifying and activating business insights.
• Operational Excellence: Developing and deploying new operating models that set organisations up for future success.
• Leadership: Supporting the growth of new and established sports business leaders, to identify ways to unlock growth and spark transformation in their role.

To date, the Group has advised clients in over 40 countries, across more than 30 sports, providing knowledge and insight to enable transformational change, resolve significant challenges, enhance value and fuel opportunities for growth.

Learn more by visiting our website.