Tata Forecasts Soaring Commercial Growth In Global Sport Sector

16 Jan 2019 | tshego

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Global IT provider TATA Communications, whose clients include Formula 1, MotoGP and the European Tour, has launched a new thought leadership campaign exploring the impact of digital technology on revenue growth in the sport sector.

The firm’s ‘Show me the Money!’ report identifies 2019 as a tipping point for the global sports industry, with digital tech innovation set to kick-start a new era of soaring commercial growth for broadcasters, rightsholders and sports organisations.

The report, which features insights from TATA clients and the likes of HSBC and DAZN, particularly highlights that streaming platforms, eSports and VR apps are quickly becoming new crucial revenue drivers for sports alongside media rights, event attendance, sponsorship and merchandising.

The report’s authors also claim that new digital platforms are helping to drive emotional connections between athletes and fans, making sport a “stickier” commercial proposition from a ticketing and merchandising standpoint.

Commenting as part of the project, Mehul Kapadia, Managing Director of TATA Communications’ F1 Business and the company’s Global Head of Marketing, said: “Digital technologies are kick-starting a new era of fan engagement, and it’s going to be fascinating to see where the journey takes us.

“It’s important to remember that digital technologies are the friend, not the enemy, of the live experience. So, as the digital fan experience gets better, the pressure is increased to ensure that fans at venues can engage with the action in new ways too.”

“A holistic fan engagement strategy enables broadcasters, rightsholders and other key players in the sports ecosystem to maximise the commercial opportunities that digital platforms offer.”

Frank Arthofer, Formula 1 Global Head of Digital and New Business, added: “The direction of travel is to evolve digital platforms like official websites and social media channels to become content hubs for fans and a place for brand partners to integrate authenticity into the storytelling.”