WHAT ARE THE CHALLENGES? The sports market place is changing at a - PowerPoint PPT Presentation


 Governance
and
Business
Capability
in
Sport
 
 Beth
Warren
 –
Project
Manager 
 Kim
Williams
 –
Sustainable
Sport
Partnership
Manager
 
 


WHAT ARE THE CHALLENGES?

The sports market place is changing at a fast rate... • Competitive market with over 16 branded and promoted sport products • Increased access to technology driving awareness, business modelling and training of deliverers • Changing delivery models: – 3 rd party provider – Professional deliverers – Targeted and branded products • Shift towards pay-to-play products to address declines in Club Memberships • A shift to commercial partnerships over traditional sponsorships • Governance reforms across sport enabling growth, national delivery and leveraging this investment

The most crowded sports market in the world Australian broadcast market • 4 Football codes • 13+ Domestic codes • 16+ International • AFL 6+ million spectators Australian sport market • 75+ sports offered to the community • 20+ targeted Junior engagement products

Big getting Bigger and coming for your participants 2012 Revenue AFL Cricket Australia Tennis Australia Excludes new broadcast deals NRL A-League ARU $- $50.0 $100.0 $150.0 $200.0 $250.0 $300.0 $350.0 $400.0 $450.0 Million Supporting industry AFL+ARL+ARU Sport Betting $2.6 Billion boost Est. $646.6m 2013 $325m 2013 2013 Source: IBISWorld report

Peoples needs for activity are changing • A Perfect Fit - Personalised sport for health and fitness • From Extreme to Mainstream - The rise of lifestyle sports • More than Sport - The attainment of health, community and overseas aid objectives via sport • Everybody's Game - Demographic, generational and cultural change • New Wealth, New Talent - Economic growth and sports development in Asia • Tracksuits to Business Suits - Market pressures and new business models CSIRO Megatrends 2013

40% of active Australians have moved away from club based products ASC Segmentation Study 6 million people very interested in the right club product

Supplier v Market Driven Traditional delivery Product Innovation Eroding market share Growing market share

Non-organised sport has higher numbers

Only 11% of Australians placed competition in sport as important to them

Competition is even less appealing to females...

There is a much greater interest in casual participation

Why don’t people participate?

People leave when the sport is not meeting their needs

Australian sport needs contemporary governance practices to meet today’s challenges • March 2012: Revised Sports Governance Principles released • Compliance on an “if not, why not?” basis Principle
1:
Board
composi;on,
roles
and
powers
 Principle
2:
Board
processes
 Principle
3:
Governance
systems
 Principle
4:
Board
repor;ng
and
performance
 Principle
5:
Stakeholder
rela;onship
and
repor;ng
 Principle
6:
Ethical
and
responsible
decision
making


To
strengthen
governance
in
sport,
 mandatory
standards
have
been
introduced
 1.
Structure
for
sport
 2.
Board
composi;on
and
opera;on
 3.Sport
transparency,
repor;ng
and
integrity


Prioritising capacity investment is critical Commercial Sponsorship / Investment / Revenue Delivery Go2Market Strategy Research & Evidence ICT / Shared Data / Marketing Culture & Leadership National Alignment Whole of sport Governance strategy Purpose

Thank you for your time....