The industry benefited from corporate spending on employee wellness events
New York, NY (PRWEB) February 02, 2015
The Athletic Event Organizers industry had to overcome a number of obstacles in the five years to 2015, as it recovered from its recessionary slump. Industry players organize athletic events that do not require facilities, such as marathons, cycling competitions and obstacle courses. Prior to the five-year period, declining per capita disposable incomes and falling advertisement expenditures reduced the amount of money that consumers and sponsors could spend on events, causing industry revenue to fall. Moreover, the industry has been suffering from declining athletic participation rates among Americans, which has hindered industry growth over the past decade.
According to IBISWorld Industry Analyst Maksim Soshkin, “Over the past five years, the industry benefited from increased corporate spending on employee wellness events, such as company-hosted marathons, as corporations attempt to mitigate healthcare costs.” Furthermore, events tailored toward sports enthusiasts and large-scale marathons have increased in popularity. These trends, combined with a low starting base, enabled the industry to recover once the economy began to recover. Nonetheless, revenue growth has been slow and is expected to remain below prerecession levels in 2015.
However, in the next five years, industry revenue growth is anticipated to increase its pace as demand rises. The combination of increasing health awareness and the popularity of corporate wellness programs are expected to be primary drivers of industry growth. “The popularity of marathons is also projected to continue growing, with baby boomers increasingly participating in industry events,” says Soshkin. Older consumers have more leisure time to partake in events and are gradually striving to improve their health. However, a number of obstacles will remain. Namely, external competition from athletic activities that require facilities (i.e. football, basketball and soccer) is anticipated to intensify. Consequently, as the amount of time spent on leisure and sports by Americans is forecast to remain nearly stagnant, organizers will have difficulty attracting time pressed consumers. Nonetheless, in the five years to 2020, industry revenue is forecast to increase.
For more information, visit IBISWorld’s Athletic Event Organizers in the US industry report page.
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IBISWorld industry Report Key Topics
This industry provides event management services for sporting events such as marathons and triathlons. Companies in this industry also offer logistical, operational and marketing services.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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