June 18, 2024
Sports Tourism Market

Sports Tourism Market is Estimated to Witness High Growth Owing to Advancements in Sports Technologies

Sports tourism involves travel to different cities, countries or continents to participate or watch sports events or activities. Sports tourism helps in promoting travel as sports plays a key role in attracting people from different locations. Sports tourism generates significant economic impact through increased local spending on food, accommodation and entertainment. Popular sports that attract tourism include cricket, football, golf, tennis, athletics among others. With growing interest in sports globally coupled with rising disposable incomes, the sports tourism market is estimated to grow substantially in the coming years.

The Global Sports Tourism Market is estimated to be valued at US$ 769.37 Bn in 2024 and is expected to exhibit a CAGR of 12. % over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the Sports Tourism are Victory Sports Tours, BAC Sports Ltd., DTB Sports Management Ltd., Fanatic Sports Pvt. Ltd., Gala Management Services Ltd., Global Sports Travel and Tours Pty Ltd., International Sports Management Inc., ITC Travel Group, JTB India Pvt. Ltd., KNT CT Holdings, Match Hospitality AG, QuintEvents LLC, Sports Tours International Ltd., Sports Travel and Hospitality Group Ltd., Sportsnet Corp. Pty Ltd., The Hospitality Group, Thomas Cook India Ltd., Travel sport, Veda Sports Marketing Pvt. Ltd., and TPI Ltd.

Key opportunities in the Sports Tourism Market Growth include growing focus on untapped regions and sports events. Emerging economies in Asia Pacific and Latin America offer lucrative opportunities for sports tourism providers. Mega sports events such as Olympics, FIFA World Cup, and ICC Cricket World Cup held once every 2-4 years also drive huge tourism inflows.

Advancements in sports technologies such as virtual reality, wearable devices, and motion tracking are enabling remote participation in sports. This is expected to drive higher engagement with various sports, in turn boosting sports tourism.

Market Drivers

Growing middle class population and increasing incomes in emerging economies are driving increased spending on leisure and travel. Rising sports culture is also catalyzing the demand for sports tourism market globally. Investments in sports infrastructure to develop global sporting hubs augment the attractiveness of various destinations, thus supporting market growth.

Current Challenges in Sports Tourism Market

The sports tourism market faces various challenges due to the pandemic situation across the globe. Some of the key challenges are travel restrictions imposed by various countries, cancellation or postponing of major sporting events, and closure of stadiums with no audience allowed. This has severely impacted the revenues and cash flows of players in this industry. Organizing small local sporting events without spectators is also not very appealing and engaging for tourists. The overall demand has witnessed a substantial decline in the last couple of years. Gradual lifting of restrictions and resumption of events will help this market to recover but it may take some more time to reach pre-covid levels.

SWOT Analysis

Strength: Dedicated fan followers for various sports leads to regular flow of tourists. Developing infrastructure like modern stadiums in many countries.

Weakness: Highly dependent on macroeconomic and geopolitical stability. Natural calamities can impact sporting events.

Opportunity: Emergence of virtual sports and esports presents new opportunities. Focus on niche segments like golf, cricket, and marathon tourism.

Threats: Threat from other forms of entertainment. Stringent regulations regarding environment and location of events.

Geographical Regions

In terms of value, North America accounts for the major share in the global sports tourism market currently. Countries like the US and Canada have huge fan bases for sports like basketball, American football, baseball etc. They regularly host mega sporting events and tournaments which attract large number of domestic and international tourists.

Asia Pacific is identified as the fastest growing regional market for sports tourism. Emerging economies like India and China are witnessing rising incomes and interest of people in various sports. Both countries have made massive investments in infrastructure to promote sports at grassroots and international level. Mega sporting events allocated to Asia will further encourage sports tourism in the upcoming years.

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