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The Case for Commercial Investment in Women's Sport

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The Case for Commercial Investment in Women's Sport Big Deal? 2011: The case for commercial investment in women’s sport Contents 1. Introduction 2. Executive summary 3. State of play: 2011 3.1 Investment overview 3.2 Audience 3.3 Sport and social implications 4. Business case and recommendations 4.1 Ten reasons to invest now 4.2 Recommendations 5. Case studies 5.1 England Hockey 5.2 FA Women’s Super League Appendices i. Research sources and methodology ii. Acknowledgements iii. The Commission on the Future of Women’s Sport iv. Women’s Sport and Fitness Foundation 3 1 Introduction “Inreviewinginvestmentin2011,weaskedourselves thequestion,‘Doeswomen’ssporthaveareal commercialfuture?’Independent,authoritative researchanswersresoundingly:‘Yes,itdoes.’” In 2010, the Commission on the Future Not all sports are the same; tennis and golf, London 2012 is just months away. It’s the of Women’s Sport undertook the first annual for instance, enjoy relatively high levels of only opportunity in our lifetime that we’ll have review of commercial investment in women’s sponsor support. However, they’re the exception to showcase our elite female athletes and teams sport in the UK, in a report entitled Prime and for the majority, a year on from our on home soil. It’s a massive profile-raiser for Time. The Commission was created by the benchmark report, low levels of commercial women’s sports in this country and for those Women’s Sport and Fitness Foundation investment remain an over-riding issue. savvy brands who’ve recognised the opportunity (WSFF) to unlock the exceptional potential and already seized the day. I hope others will In reviewing investment in 2011, we asked of women’s sport, by bringing together leading follow suit and help to create positive and ourselves the question, “Does women’s sport figures from sport, business and the media to lasting change. have a real commercial future?” Although it’s address the problems of leadership, a difficult market to measure with absolute investment and profile in the sector. accuracy, independent, authoritative research Baroness Grey-Thompson DBE It’s our role to highlight the issues that matter illustrates its overwhelming potential and Chair, Commission on the Future of Women’s Sport and work with those who can effect change. answers – resoundingly – “yes, it does”. October 2011 Investment in women’s sport really matters: it affects elite development, the promotion of female sporting role models and the provision of opportunities at a grass-roots level; all of which directly impact the health and well-being of the nation. 1 2 Executive summary At a glance The problem: sport’s biggest deal – missed In the year when the FIFA Women’s World Between January 2010 and August 2011, Women’s sport is a commercially uncluttered Cup Final became the most tweeted women’s sport received just 0.5% of all UK market, with extensive rights available at a about event on the planet, women’s sport sports sponsorship. During the same period, comparatively low cost. Its quality has never accounted for only 0.5% of all sports men’s sport received 61.1%. These figures, been higher and it’s often a different game sponsorship here in the UK. Great however, do not tell the true story of what to men’s sport, offering differentiating benefits. audiences, public demand and a home women’s sport is really worth. Commercial Sportswomen provide a more distinctive and Olympics and Paralympics all point to investment completely fails to reflect the value broader marketing opportunity than sportsmen, sport’s biggest missed opportunity. of the market. appealing to a wider audience of both men and women and a wider range of brands. Our leading sportswomen regularly outperform Uniquely, commercial investment in elite their male counterparts on the international women’s sport enhances perceptions of good stage. The best women’s events enjoy large corporate responsibility, as it’s a developing television audiences that compare favourably market with important social implications. with men’s. 70% of viewers for women’s events are male sports fans, highly sought- Yet women’s sport is over-looked, under-valued after by advertisers and sponsors and and under-capitalised. If broadcast fees were attractive to broadcasters. taken into account, as well as sponsorship, the disparity with men’s sport would be even According to sports fans, women’s sport is as greater. In a challenging economy, governing exciting, skilful and internationally successful bodies, sponsors, broadcasters and as men’s, with a brighter future; 61% want government – with the public’s money – to see more high quality women’s sport on are missing sport’s biggest deal. television. 2 Why it matters: The solution: sport and society publicity, recognition and creative partnerships Low levels of commercial investment are a The first step to effect change is to highlight • Sponsors should invest in understanding critical problem for women’s sport, with broad the problem and its solutions, so that the women’s market and collaborate with health, social and economic implications. potential investors recognise the opportunity. rights-holders to support elite success and The case for investment is based not on develop more high quality events that Sponsorship of elite teams and competitors notions of equality or fairness, but on a will appeal to broadcasters and fans provides them with greater development sound commercial rationale. potential. Commercial funding creates • Broadcasters should share their expertise opportunity for grass-roots participation, Each of a wide range of stakeholders has an with rights holders to create entertaining which feeds the top end of the game. Lack important role to play, from sports governing television and capitalise on the demand of investment accounts, in large part, for bodies, rights holders, competitors and from sports fans the absence of a female sporting culture in agents, to sponsors, consultancies, media • Government should use public money the UK: women’s sport is not widely promoted (notably broadcasters) and government. for sport to best social effect, recognise and its competitors are not being publicly Recent successes, such as England Hockey the importance of women’s sport and presented as fit, healthy, sporting role models and the FA’s new Women’s Super League provide “seed-funding” to incentivise to inspire women and girls to be physically offer valuable lessons in key areas, such as commercial investment. active. communication, partnership, social media and engaging audiences. By working together to develop high quality This, at a time when 80% of women and girls - products for a valuable audience, all half the UK’s population - are not playing For the leading protagonists, the stakeholders stand to gain considerable enough sport or doing enough exercise to recommendations are clear and long-term return. Like so much in sport, benefit their health. Associated illnesses from uncompromising: success will come from a team effort. physical inactivity already cost the NHS and • Rights holders, notably governing bodies, industry billions annually and if current trends should learn the language of commerce, continue, it’s forecast that the majority of create high quality business cases, develop women will be overweight in 20 years. strong relationships with sponsors and Sport has an invaluable role to play in broadcasters, present their events and reversing these trends and countering a health competitors in a media-friendly way and crisis. A nation of active women represents a utilise social media, which offer an significant health, social and economic prize, alternative to traditional media and direct both for the nation and for those whose relationships with fans that are attractive money could make a difference. to businesses 3 3 State of play: 2011 3.1 Investment overview 1. Sponsorship income 2010-2011 Value of reported new and The latest data, from January 2010 to August Valuing the market renewed UK sponsorship deals (%) 2011, shows that although commercial The Commission on the Future of Women’s (2005-2009 v. 2010-2011) investment in women’s sport has risen very Sport is provided with an independent slightly, it remains exceptionally low. Women’s estimate of the commercial investment in sport accounted for just 0.5% of the value of 2005-2009 women’s sport by Havas Sponsorship Insights, all UK sports sponsorship, compared to 0.4% using sponsorship data. Havas Sponsorship between 2005 and 2009. 0.4 Insights analyse all UK sports sponsorship deals registered in The World Sponsorship 2010 v. 2011 Monitor (TWSM), excluding Formula One, as A comparison between the whole of 2010 and its teams and competition are exclusively the period between January and August 2011, 42.1 international. TWSM is a database that records shows a rise in the value of sponsorship in announcements of new and renewed 2011. In 2010, investment was worth just 57.5 sponsorship deals, including, where provided, 0.1% of the total market. In 2011 to August, estimates of their value and duration. Fees it rose to 1.5%. paid to rights holders by broadcasters to Comparison to men’s sport televise events are not included in Havas Investment in women’s sport continues to be Sponsorship Insights’ analysis, as many are dwarfed by the investment in men’s sport. 2010-2011 not publicly reported. Between January 2010 and August 2011, 0.5 The benchmark for the annual measurement men’s sport received 61.1% of UK sports of levels of commercial investment in women’s sponsorship investment. Mixed sports - those sport was published in July 2010, using the played by both men and women, such as value of new and renewed sponsorships for football competitions governed by the FA - 38.4 the years 2005 to 2009. Comparative figures accounted for the remaining 38.4%. Anecdotal have subsequently been provided for the value evidence suggests that the men’s side of 61.1 of the market from January 2010 to August mixed sports enjoyed the vast majority of this 2011, to coincide with the timing of this investment.
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