Can Sports Industry Survive the Coronavirus Pandemic?
The coronavirus pandemic canceled most of the sports events worldwide, including the NBA, European football leagues, and the Tokyo Olympics. Some people are now wondering how the sports industry survive the pandemic.
The Indian Premier League Cricket scheduled its opening this month. Also, the NFL will start its season in September. The PGA Tour’s The Open will be on July 16 to 19. It is one of the four majors of golf.
However, many sports administrators across the globe are wondering when sports will resume their activities. They are thinking of ways to reduce expenses for tournaments in the future. For instance, golf event organizers are thinking of having fewer golfers to compete. Also, they are looking into the possibility of decreasing the number of grandstands during events.
Sports Industry Survive the Pandemic
Sports organizations worldwide are facing similar problems. Branding and network deals transformed sports into multi-billion-dollar businesses. Superstar players become protagonists in unscripted dramas for the audience watching at home or live at the stadium.
Sports unite communities. According to a bookie pay per head blog, the sports sector was a growing global market with sales in services and related products amounting to $490 billion in billion. However, that was before the pandemic struck.
Now the business model of most sports is threatened. Most sports organizations make money through match day income, sponsors, and broadcasting deals. Matchday revenue includes tickets, food and beverages, and hospitality. Based on betting software reports, the revenue streams are drying up.
The best pay per head sportsbook is optimistic that the lockdown actions are only a short-term blip to businesses. However, many sports executives believe it has a long-term effect. Fans might not want to watch sports in crowded venues. Also, organizers are reorganizing calendars to make sure postponed tournaments can take happen later this year.
Sports insiders expect changes to happen in the industry. Also, broadcasters are re-evaluating the value of existing business models and deals. Sponsors might slash their marketing budget due to the impending recession.