CREDIT: Kearney
The global sports industry is undergoing a structural transformation, with its value projected to reach $600 billion by 2030, according to a new report by global consultancy Kearney. Accelerating from an average annual growth rate of 5% since 2020, the industry is now expected to grow at 8% per annum over the next five years — a surge driven by private capital, digital expansion, and strategic innovation.
Sport Becomes a High-Return Asset Class
“Sport is no longer a passion project for investors,” said Christophe Firth, Partner at Kearney. “It holds promise as a high-growth, high-return investment class.” He highlighted how technological innovation, diversified revenue models, and alternative formats have broadened the industry’s appeal to sophisticated investors.
The shift from passion to profit is evident across team ownership, fan engagement models, and league operations. Private equity firms, sovereign funds, and institutional investors are reshaping the commercial core of global sports.
Recent milestones — including the $10 billion valuation of the LA Lakers and the £500 million foreign investment pursuit in The Hundred cricket league — are early signals of a more institutionalised capital market forming around sports IP.
Gaming and Betting Lead Sectoral Growth
Out of the current $417 billion global market, the gaming ecosystem (betting, fantasy sports, esports) accounts for $177 billion — making it the largest and fastest-growing segment. The liberalisation of betting regulations, particularly in the United States, along with the ubiquity of mobile access, has propelled sports betting alone to a value of $133 billion.
Other key verticals include:
- Commercialising IP and matchday assets – $154 billion
(includes sponsorship, media rights, in-stadium advertising, merchandising) - Broadcasting and streaming – $86 billion
(includes TV subscriptions, streaming services, and advertising revenues)
Where to Play, How to Win
As private capital deepens its involvement in the sports economy, clarity of ambition and operational precision become non-negotiables. Stakeholders — from clubs to leagues to sponsors — must navigate the rapidly evolving landscape with institutional-grade strategies.
Key strategic levers:
- Platformisation of IP: Teams and leagues must treat their brands as media and lifestyle platforms, not just sporting assets.
- Fan data monetisation: First-party data will be crucial for personalised commerce, loyalty, and recurring revenue.
- Asset bifurcation: Decouple sporting performance from commercial performance — and manage both with tailored KPIs.
- Geo-strategic partnerships: Cross-border deals (e.g., Middle Eastern capital in Western leagues) must account for cultural, regulatory, and long-term political risk.
Sport’s Future Is Being Built Today
Whether you’re an investor entering the market, a league seeking structural reform, or a rights holder looking to monetise new verticals — 365247 Consultancy is your strategic partner.
We deliver end-to-end advisory across investment readiness, brand transformation, market expansion, and commercial strategy — helping you turn ambition into action in a $600 billion global industry.
Reach out now to unlock your next play.
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SOURCE: Kearney
IMAGE: GETTY IMAGES
