Sports licensing is big business - with just the sports apparel business generating over $200 billion in 2023 - and Statista is forecasting that this is likely to grow to reach $294 billion by 2030, up nearly 50% in 7 years.
Sports have always been a big part of the licensing landscape, with year-round appeal, growing fandoms and regular major sporting events to drive hype. With new sports like Pickleball emerging, and the recent explosion in women's sports, particularly soccer, sports licensing has incredible scope for further growth.
Sports, like video games, are also crossing over into general entertainment with sports teams using popular film and TV characters to help drive kids into sports early, before they lose them entirely to video games and esports. Recent examples of this include the Teenage Mutant Ninja Turtles and Tottenham Hotspur in the UK and with the Aussie Football league in Australia and Looney Tunes with basketball and the 2024 Olympics.
Sports events also drive interest and eyeballs through half time shows featuring huge music artists - The Super Bowl having been doing this for years. Last month Beyonce performed at half time at the Houston Texans vs. Baltimore Ravens game on Christmas Day, streamed globally on Netflix it attracted 27 million viewers.
This demonstrates another development in sports - as the fight for broadcast rights become part of the streaming wars. Live sports events and fixtures are some of the few remaining 'appointments to view' TV events and streamers are fighting over the rights, much like the cable and satellite networks did so for years. And streamers wanting to make good on their investments will do their upmost to drive as many eyeballs as possible, by making them must-watch events, by including the biggest names in music and entertainment. And similarly we should expect a spike in interest in WWE this year following the move to Netflix, with its debut broadcast, in early January, achieving 4.9m global viewers.
Music and sports have been intertwined for years, not just sharing stadiums and arenas but through musicians and sports stars themselves, who have been dating and marrying for decades - just look at David and Victoria Beckham, who have then created their own successful brands. But Taylor Swift dating Travis Kelce, has taken this to another level and has put American Football on the radars of millions of women and girls around the world.
Music artists are teaming up with sports teams in other ways also. Last year in the wake of Oasis announcing its reunion and to mark 30 years since the launch of the “Definitely Maybe” album, Manchester City worked with PUMA and launched its “Definitely City” kit, co-designed by musician and lifelong City fan, Noel Gallagher. The collaboration saw the launch day of the kit go on to become one of the highest generating sales days in its history.
The collaboration also showcased another way sports are trying to compete for eyeballs - through integrations into platforms like Fortnite, with some of the most popular creator-led games having limited-time kit reveal experiences, like the “Definitely City” kit, integrated into their lobbies
From the latest ways to drive interest in sports to one of the earliest. Trading cards and stickers continue to do big business with the likes of Upper Deck, Panini and Topps leading the way. The trading card game category continues to grow overall but sport is so universal it has much wider appeal than the more niche interests such as Magic: The Gathering.
Online betting has also driven more interest in sports, with online betting platforms like bet365 and BetMGM also sponsoring leagues and teams across multiple sports around the world. Many decide to sponsor teams local to their HQs, some go broad across sports and territories and others go deep, targeting particular sports or locations. Betting encourages people to take an incredibly deep interest in their chosen sports in order to try and forecast performances and scores, driving fandom further.
In so many ways sports licensing is most definitely having ‘a moment’. With new sports emerging, women’s sports getting more attention, sport integrating into the wider entertainment and gaming space. And with more categories and collaborations yet to be explored, now is a great time to collaborate with a league, team or athlete to help drive your business.