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MATCHING SPORTS EVENTS and HOSTS Published April 2013 © 2013 Sportbusiness Group All Rights Reserved

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MATCHING SPORTS EVENTS and HOSTS Published April 2013 © 2013 Sportbusiness Group All Rights Reserved THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS Published April 2013 © 2013 SportBusiness Group All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise without the permission of the publisher. The information contained in this publication is believed to be correct at the time of going to press. While care has been taken to ensure that the information is accurate, the publishers can accept no responsibility for any errors or omissions or for changes to the details given. Readers are cautioned that forward-looking statements including forecasts are not guarantees of future performance or results and involve risks and uncertainties that cannot be predicted or quantified and, consequently, the actual performance of companies mentioned in this report and the industry as a whole may differ materially from those expressed or implied by such forward-looking statements. Author: David Walmsley Publisher: Philip Savage Cover design: Character Design Images: Getty Images Typesetting: Character Design Production: Craig Young Published by SportBusiness Group SportBusiness Group is a trading name of SBG Companies Ltd a wholly- owned subsidiary of Electric Word plc Registered office: 33-41 Dallington Street, London EC1V 0BB Tel. +44 (0)207 954 3515 Fax. +44 (0)207 954 3511 Registered number: 3934419 THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS Author: David Walmsley THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS CONTENTS 1. Introduction 2 2. Executive summary 6 3.1 Successful bidding: Leading cities and nations 14 3.1.1 Paris tops the podium 14 3.1.2 The Olympic effect? 14 3.1.5 Odd man out: Budapest 16 3.1.4 Next stop Melbourne? 17 3.1.5 What about the US? 17 3.1.6 Newcomers no more 19 3.2 Continental drift: Major event hosting heads east 21 3.2.1 How rapid has the rise of Asia been? 21 3.2.2 Europe stays strong 23 3.2.3 America turns inwards 23 3.2.4 Aus v NZ 24 3.2.5 Africa and South America – the final frontiers 25 3.3 Diversity: Rights allocation by federation 27 3.3.1 The globetrotters 27 3.3.2 Frequent flyers 28 3.4 Around the world: Expansion of global series 31 3.4.1 ATP World Tour 32 3.4.2 WTA Tour 32 3.4.3 Formula One 33 3.4.4 MotoGP 34 3.4.5 IRB Sevens World Series 34 3.4.6 Volvo Ocean Race 35 3.4.7 European PGA Tour 36 3.5 Big game hunting: Multi-sport event bidding 37 3.6 Bid processes 40 3.6.1 Fees 40 3.6.2 Documentation 41 3.6.3 Face time 42 3.6.4 Decision-makers 43 3.6.5 Bid contest durations 43 v THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS 4.1 All about the event: FINA World Aquatics Championships 48 4.1.1 Building a mega event 48 4.1.2 Creating a safety net 49 4.2 More sports, more clarity: Multi-sport event bidding 51 4.2.1 Drivers of change 51 4.2.2 Change in action 52 4.2.3 Informed bids are better bids 52 4.3 Geographic balance: Volvo Ocean Race 54 4.3.1 Where the wind blows 54 4.3.2 In with the old – and with the new 55 4.3.3 Making the grade: Host port requirements 56 4.4 Global series bidding: Getting in the game 58 4.1 The ATP World Tour 58 4.2 Memphis to Rio 60 4.3 Vertical relationships 60 4.4 Joint expertise 60 4.5 Rights holder approval 61 4.6 Host selection strategy 61 4.5 A graduated approach: Winter sports 63 4.5.1 Track record required 63 4.5.2 Fewer events to gamble with 64 4.5.3 Aversion to risk breeds conservative thinking 65 4.5.4 Exacting standards 65 4.5.5 Stepping up 66 4.6 Bid process development: FEI World Equestrian Games 69 4.6.1 Problem 69 4.6.2 Solution 70 4.6.3 Results 71 4.7 Sustainable bids: FISA World Rowing Championships 73 4.7.1 Sustainable sports 73 4.7.2 Environmental sustainability 74 4.7.3 Economic sustainability 75 4.8 Barriers to mega event play: ICC Cricket World Cup 78 4.8. Rotation 78 4.8.2 Specialisation 79 5.1 International federation profiles: Summer Olympic sports 83 5.1.1 Aquatics 84 5.1.2 Archery 86 5.1.3 Athletics 88 5.1.4 Badminton 90 5.1.5 Basketball 92 5.1.6 Boxing 94 5.1.7 Canoeing 96 5.1.8 Cycling 98 5.1.9 Equestrian 101 5.1.10 Fencing 103 5.1.11 Gymnastics 104 5.1.12 Handball 106 5.1.13 Hockey 109 5.1.14 Judo 111 vi THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS 5.1.15 Modern pentathlon 113 5.1.16 Rowing 115 5.1.17 Sailing 116 5.1.18 Shooting 118 5.1.19 Table tennis 119 5.1.20 Taekwondo 121 5.1.21 Triathlon 123 5.1.22 Volleyball 125 5.1.23 Weightlifting 128 5.1.25 Wrestling 129 5.2 International federation profiles: Winter Olympic sports 131 5.2.1 Biathlon 132 5.2.2 Bobsleigh 134 5.2.3 Curling 135 5.2.4 Ice hockey 137 5.2.5 Luge 139 5.2.6 Skating 141 5.2.7 Skiing 143 5.3 Global multi-sport games 145 5.3.1 Olympic Games 146 5.3.2 Commonwealth Games 148 5.3.3 Universiade 149 5.3.4 World Games 151 5.3.5 X Games 152 5.4 Mega events and global series 155 5.4.1 FIFA World Cup 156 5.4.2 Rugby World Cup 157 5.4.3 Cricket World Cup 158 5.4.4 Formula One 159 5.4.5 ATP World Tour 160 5.4.6 WTA Tour 162 5.4.7 PGA European Tour 164 5.4.8 IRB Sevens World Series 165 5.4.9 MotoGP 166 5.4.10 Volvo Ocean Race 167 6.1 The impact of an Olympic bid: London 170 6.1.1 Olympic hosting: Push on or go out at the top? 170 6.1.2 Looking at London in a new light 171 6.1.3 Change of image brings change of approach 172 6.1.4 A new point of difference in a competitive market 173 6.2 Challenges for new bidders: Qatar 174 6.2.1 Qatar’s rise as a bidder and host 174 6.2.2 Motives for bidding 176 6.2.3 Bid strategy and challenge 176 6.3 Bid strategy and success: Auckland 178 6.4 Economic impact: Key questions for bidders to assess 182 6.4.1 Does economic impact still matter? 182 6.4.2 Can we afford to assess? 183 6.4.3 Do we believe the rights holders? 184 6.4.4 Are assessments accurate? 185 6.4.5 Where next for impact assessments? 186 vii THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS 6.5 The role of event agencies 188 6.5.1 Establishment 188 6.5.2 Agency structure 188 6.5.3 Agency functions 189 6.5.4 Key relationships 190 6.5.5 Funding 191 6.5.6 Event targets 191 6.5.7 Bid strategies 192 6.5.7.1 VMEC 193 6.5.7.2 EventScotland 193 7. Leading bid city profiles 195 7.1 Paris 196 7.2 Doha 197 7.3 London 198 7.4 Moscow 199 7.5 Tokyo 200 7.6 Budapest 201 7.7 Madrid 202 7.8 Melbourne 203 7.9 Dubai 204 7.10 Beijing 205 7.11 Shanghai 206 7.12 Barcelona 207 7.13 Kuala Lumpur 208 7.14 Auckland 209 7.15 Istanbul 210 7.16 Sydney 211 7.17 Stuttgart 212 7.18 Munich 213 7.19 Berlin 214 7.20 Rome 215 viii THE BID BOOK MATCHING SPORTS EVENTS AND HOSTS The Bid Book is all about “matching sports events and hosts”. This is a field The Sports Consultancy has been immersed in for a decade and we’re delighted now to be able to partner with SportBusiness to share some of the insights we have gained in that time. The Sports Consultancy has built a unique insight into the relationship between hosts and major events, looking at this fascinating interaction from every angle. We have been privileged to manage some of the world’s most complex and comprehensive bid processes for our rights holder clients; worked on feasibility and management of host city bids for some of the world’s largest events ranging from multi-sport mega events such as the Olympic Games to blue chip properties like Ryder Cup; and provided consultancy to some of the world’s most ambitious host cities and nations, at all stages of event hosting maturity. If there is a single truth of which we remain sure, it is this: the partnership between rights holder and host is the foundation on which the success of major sports events is built. The host provides more than just the venue and stage upon which the drama of the sporting event is played out and the event is more than a sum of its players. Host cities and regions are amongst the most tangible beneficiaries of the sport event, whether viewed in terms of the immediate economic and media benefits that a major event brings to a city or long lasting and more nuanced legacy outcomes like the development of sports facilities, increased sports participation and enhancements to public health.
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