Los Angeles, CA (PRWEB) June 20, 2012
Dance competition promoters are sashaying back into the spotlight after a pause in industry growth. According to IBISWorld industry analyst Agata Kaczanowska, a dip in recreation expenditure and in the number of adolescents, a key demographic, resulted in an industry slowdown early in the five years to 2012. This reduced the amount of ticket and merchandise sales. A 17.4% dip in corporate profit in 2008 also boosted business uncertainty and severely reduced revenue from corporate sponsorships. Therefore, industry revenue is expected to decline at a 1.6% annualized rate from 2007. Nonetheless, successful TV shows, including Dancing with the Stars and Dance Moms, are providing audiences with a glimpse of the competitive dance world, which is contributing to higher participation in industry events. This boosts the number of registrations. High federal funding for creative arts also boosted interest in dance during the past five years, and a strong rebound in recreational spending is supporting industry growth. Consequently, the Dance Competition Promoters industry's revenue is estimated to expand in 2012 to $486.6 million.
Technology is also benefitting dance competition promoters. In the past five years, many businesses shifted to digital systems that automated industry functions ranging from ticket sales and dancer registrations to scheduling and score keeping. This enabled the industry to shed jobs, cutting wage costs over the five years to 2012. Easier-to-use professional cameras and file sharing through social networks and streaming video have also cut marketing costs for industry firms. This is expected to benefit industry profitability during the next five years, says Kaczanowska. The Dance Competition Promoters industry has a low level of market share concentration, with no single player accounting for more than 5.0% of total industry revenue. The industry comprises an estimated 331 firms. Most industry players are small operators that employ fewer than 10 people. Notable dance competition production companies include Starpower Talent Competition, Showstopper American Dance Championships, Nextstar Competition and StarQuest.
Increasing recreational spending and high corporate profit will drive industry revenue during the next five years. An expanding number of adolescents ages 10 to 19 will also increase industry participation, especially as they continue to be exposed to dance competition role models through popular TV shows. As a result, industry revenue is forecast to rise during the next five years. For more information, visit IBISWorld’s Dance Competition Promoters in the US industry report page.
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IBISWorld industry Report Key Topics
This industry comprises companies that promote competitive dance events. Operators may rent or own event venues and facilities. Dance competition promoters, also referred to as competition production companies, are typically for-profit organizations that produce local, regional, state and national contests that are generally targeted toward specific age groups or styles of dance.
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