Deloitte shares insights into surging revenue in women’s sports

The GIST: Yesterday, Deloitte shared key insights into why the women’s game is generating revenue at an exponential rate. The company predicts global revenue for women’s sports will cross the $2B threshold in 2025, a 240% increase in just two years. This is largely thanks to commercial revenue, which is set to top $1.26B after a rise in engagement, brand recognition, and sponsorships.

• While trends like multi-club ownership, operating leagues like start-ups, and boosting audience access via streaming are strong business practices, key takeaways for brands include coming in at the ground level and focusing on return on objective (ROO). Class is in session.

The breakdown: While Deloitte predicts commercial revenue will be responsible for 54% of total global revenue in the women’s game, broadcast deals are expected to bag $590M (25%) with matchday experiences earning $500M (21%). Basketball leads the way as the highest-grossing sport globally at $1.03B (44%), with soccer banking around $820M (35%).

• Regionally, North America comes in far ahead with an expected $1.39B in revenue, which would be 59% of total earnings. Europe is second with $420M (18%), but markets in Asia, Africa, and Australia are quickly gaining ground.

The impact: Women’s sports sponsors are also seeing significant payoffs in meaningful metrics like brand affinity. Deloitte specifically cites how partners in the WNBA Changemakers program saw a whopping 286% average ROI, with one making $18M on a $5M investment, showing how brand strength — which is a powerful sales driver — can be amplified among women’s sports fans.

The ROO factor: While rising ROI is an easy indicator of sponsorship success, it’s not the only one. Deloitte encourages brands to consider more holistic metrics such as ROO, which allows brands to reach benchmarks in categories such as brand affinity, social impact, and fan engagement.

• One example is Nike’s 2019 “Dream Crazier” campaign, which was narrated by Serena Williams and featured women athletes who defied expectations. Similar to its historic Super Bowl ad, the theme of empowering women athletes played well and garnered over 400M cross-platform impressions, including more than 100M on YouTube.

Zooming out: The Deloitte report proves that while investing in women’s sports produces significant financial returns, there are other proven ways that brands benefit. By associating with women’s sports, companies win favor with fans, something brands like Ally have consistently seen as they double down on their investments. Banking on it.