Emerging Sports and Events: A Hidden Treasure in Growing Economies?

May 17, 2024

Sports have always transcended borders, cultures, and social classes, serving as a powerful medium of communication and a lucrative commercial opportunity.
In rapidly expanding economies, they are not merely a form of entertainment but a significant driver of social and economic development.
The rise of these emerging economies is reshaping the global landscape, offering a plethora of opportunities for visionary brands.

A Booming Market

Emerging economies are experiencing a radical transformation of their social and economic fabric.

Interest in sport peaks as rising incomes and urbanization drive demand for prestigious events.

At the same time, technology has made sport more accessible than ever, attracting an ever-widening audience.

Google Analytics data shows a 50% increase in searches for sports events and gear in India and Brazil.

In a rapidly expanding market, sports sponsorships are recording double-digit growth rates, far outpacing those of mature markets.

Nielsen Sports predicts sports sponsorships in Asia, Africa, and Latin America to hit $50 billion by 2025.

Beyond the Boundaries of Traditional Sports

Emerging economies also facilitate innovation, as they are not limited to embracing only the most traditional disciplines.

Sports such as kabaddi, originating from the Indian region of Punjab, and sepak takraw, developed between Thailand and Malaysia, are becoming increasingly popular and offer brands an opportunity to connect with a young and dynamic audience.

Furthermore, these events promote tourism and cultural awareness.

The Asian Games and Africa Cup of Nations draw millions of viewers and significantly boost host nations’ economies.

Risk Analysis

Before investing in new markets, understanding potential challenges is crucial.

Political stability, local regulations, existing infrastructure, and event management capabilities are certainly factors to consider.

A SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) can help companies navigate these complex territories, maximizing outcomes and minimizing risks.

A Future Rich in Opportunities in Sports

• Increased Purchasing Power · Economic expansion leads to the emergence of a new middle class with more disposable income to invest in leisure and entertainment.
• Youthful and Passionate Population · In these states, young people form a significant part of the population and are avid consumers of sports content.
• Developing Infrastructure · The construction of stadiums and arenas allows hosting international-scale events.
• Openness to Innovation · As we have seen, these markets are particularly receptive to new ideas.
• Hunger for Visibility · Finally, local brands see sports as an effective way to enhance their visibility and reach new consumers.

If you’d like a free consultation to discover what kind of sponsorship might suit you, contact us. We’re waiting for you!