Are you looking for sport business ideas with great gain? Here, you will find 5 lucrative businesses in sports that you can explore.
Most times, we are carried away with the funfair that comes with sports that we lose track of its business side.
Just as we have the movie industry, sports is an industry that transcends boundaries. It is one of the industries that is generally accepted by countries all over the world.
Its general acceptability makes it a viable business option for investors, organizations, governments, etc. Examples abound of people who turned their passion for sports into a very lucrative business.
Whether you are a sports lover or not, sport is a business, a lucrative one for that matter. A business that has the potential of lifting people into wealth they never envisaged.
Follow through as we introduce you to top lucrative businesses in sports.
What Exactly is Sports Business?
By definition, the sports business is the off-field business of engineering and facilitating sports events.
The sports business is more centred on the actual business activities that make sports happen e.g. managing an athlete, sponsoring a team, selling TV rights, sport event setup, and marketing sports to fans.
The Top 5 Lucrative Businesses in Sports
Below are the most profitable businesses in sports you can venture into today.
1. Sports Event Planning
Event planning is a lucrative business and even more lucrative when it is a sports event. If you look around, you will discover that sports events happening in various communities.
It could be a football event, basketball event, tennis event, or rugby event. Whichever it is, having the opportunity to serve as a sports event planner is lucrative.
Although, sometimes individuals and organizations bid for the contract/right to plan and execute sports events, your ability to present a great proposal is important.
However, the delivery of your proposal is even more important.
Are you aware that Gerrard Pique and his company Kosmos Tennis were awarded the right to take charge of the famous Davis cup for the next 25 years? Davis cup is an annual tennis tournament that features some of the biggest players in the sport.
The likes of Roger Federer, Rafa Nadal, Novak Djokovic, amongst others. The deal which is worth over $3bn is aimed at making the Davis Cup take a world cup style. Imagine if he delivers on his and the company’s promise.
The financial benefits and goodwill that come with it are beyond imagination.
According to Glassdoor, Lakepointsports (a company that specializes in sports event planning, execution and management) earns between $10m to $25m per annum.
2. Start A PR Business For Athletes
Are you good at making people look better than they are? Do you have the capability to give people some ‘presence’ and create brand awareness? Your skill could bring you income beyond your imagination.
Often, when athletes are caught in the web of controversy, they look for ways of redemption. This is where your skill comes in. You could write proposals to athletes on helping them overcome challenges related to how they are perceived.
All you need may just be one chance and your status will change forever.
You can also ask to give an athlete some presence or awareness amongst fans, especially athletes who think that having a presence could improve their chances of bagging an endorsement deal from top companies.
If you are good at what you do, athletes, clubs, or national teams will most likely decide to employ your services.
In 2020, news emerged that Barcelona paid a PR company almost 1 million pounds, to help manage the club’s image.
You read that well….1 million pounds.
3. Marketing and Distribution of Sports Equipment
There are so many eCommerce platforms in the world today. Individuals and organizations are taking advantage of the digital space to market and distribute products.
People who wish for a lucrative business in sports can also take advantage of eCommerce platforms.
The good thing about this business is that you do not have to produce what you market and distribute. All you need to do is to create a platform or serve as a link between producers of sports equipment and buyers.
This you can achieve by owning an eCommerce platform where you display these sports.
Estimated Annual Revenue
One of the world’s leading Sports equipment marketing and distribution companies is Rave Sport.
The company focuses on water sports equipment such as water trampolines, bouncers and accessories, tables, stand-up paddleboards, water skis, and wakeboards, pool toys, etc.
On their website, a water mat inflatable activity platform is sold for as much as $799.99 each while a Lake Cruiser Sup is sold at $999.99 each.
According to glassdoor, the estimated revenue of this company is about $1m annually
4. Become A Professional Sports Blogger/Reporter
Have you ever thought of how much the famous goal.com is worth? Ever wondered about the number of visitors the website attracts daily?
Sports blogging is a very lucrative business that allows individuals to convert their passion for sports into income.
You may decide to focus on one aspect of sports like football just like the Soofootball blog. Or you may choose to write about several sports.
Whichever you settle for, there are several factors to consider. Some of these are:
- Can you build and manage a website or do you need to employ the service of a web developer?
- Will you be the only one who creates content for the website or will you employ the service of others?
- Who is your target audience and what type of content will they prefer?
- How do you source content to create?
When you have found answers to some of these questions, you can start your sports blogging business. However, it takes some time and dedication before you start earning from sports blogging.
You have to create contents that appeal to a large number of people consistently.
If you can drive traffic to your website, in no time, your website will become a hub for the advertisement of products from very big organizations. Of course, it will not be for free!
Estimated Annual Earning
Glassdoor’s review of Goal.com’s annual revenue shows that the company earns about $1m annually.
The same website ( glassdoor.com ) shows that an average Sports Blog Writer in the U.S.A earns about $51, 395 per year.
As a company or an individual, those are not bad figures to earn annually.
5. Jersey Sale And Customizing
Jersey sales and customizing are some of the most lucrative sports businesses an individual may engage in.
One of the easiest ways to determine the club or sports an individual supports and follows is via the Jersey they wear.
A typical Chelsea fan wants a Chelsea jersey, so also do a Hamilton fan and a Lebron James fan.
Depending on your capital, you can either opt for the sale of a brand-new jersey or a fairly used one. Besides capital, your location could play a major role in what option you settle for.
For instance, if your store is located in an area where people with low-income dominate, it is better to focus more on the fairly used jerseys.
This is because fairly used jerseys are more affordable for low-income earners than brand-new ones.
Beyond the sale of jerseys, customizing jerseys to suit individual needs will surely attract more fans to your store.
Fans who wish to have their names inscribed on the jersey they bought from you or another store will find your customizing business attractive.
To attract more people to your store, make sure your designs are neat, attractive, and durable. Good works have a way of selling themselves.
The quality of your work and awareness of it are some of the factors that may determine your earnings in this business. U.K based company Blue Moon Sports is one of the firms in the sale and customizing of jerseys.
On their website, 10 basketball kit is sold for about £180 each. If you need to add a player’s name, team name, or logo to each of the kits, an extra £9 has to be paid per kit.
Most of the lucrative businesses in sports listed here are businesses that comparatively do not require a huge amount of money to establish.
Individuals who wish to go into the sports business must consider so many factors: location, population, audience, etc.
Individuals or organizations going into the sports business should have an understanding of the industry and adapt to it. You don’t want to employ the movie industry business acumen in sports, it may not work!