India’s Sports Industry is Expected to Grow to $130 Billion by 2030

November 16, 2024

A recent report predicts that India’s sports sector could grow to $130 billion by 2030 at an annual rate of 14 percent, which is almost double the growth of India’s GDP, driven by increased government investments. A shift towards a multi-sport culture is also evident. Furthermore, the rise of digital platforms is reshaping how fans engage with sports.

Job Creation and Economic Impact

The sports sector has the potential to create 10.5 million jobs by 2030. It could also generate $21 billion in indirect tax revenue. This economic boost will benefit various industries linked to sports. The growing interest in sports will stimulate demand for sports goods and services. As a result, a thriving ecosystem will emerge, enhancing overall economic growth.

Multi-Sport Culture

Cricket remains a dominant sport in India. However, 90 per cent of fans now engage with multiple sports. Kabaddi and football are gaining popularity, boasting 120 million and 85 million fans, respectively. This diversification in sports fandom presents opportunities for investment and cross-promotion. The rise of multi-sport culture will encourage participation across various sporting disciplines.

Digital Consumption Trends

Digital consumption of sports content is on the rise. Gen Z consumers constitute 43 per cent of the sports fan base. Fans are spending 20 per cent more time on non-live content. This trend marks a preference for on-demand viewing. Shorter, personalised content experiences are increasingly popular. Digital platforms are crucial in enhancing fan engagement and accessibility.

Gender and Demographic

Women now represent 36 per cent of India’s 655 million sports fans. Additionally, 59 per cent of fans live in rural areas. This demographic shift indicates a growing inclusivity in sports. The rise of multi-sports culture will also boost the sports goods and apparel market. This market is projected to double in value to $58 billion by 2030.

Technological Advancements

The sports technology sector is ripe for investment. It is projected to reach a market size of $1 billion with a CAGR of 19 per cent. Advancements in technology, including AI and cloud platforms, offer unique opportunities. These technologies can nurture talent from grassroots levels. They can also enhance operational efficiency and fan engagement.

Challenges and Opportunities

Despite the promising growth, challenges remain. Issues of access, infrastructure, and equitable development must be addressed. Building strong public-private partnerships will be essential. These partnerships can facilitate sustained progress in the sports ecosystem. They can also promote health and enhance India’s global standing in sports.

Important Facts for Exams:
Kabaddi: Kabaddi is a traditional Indian sport that combines elements of wrestling and tag. It has gained immense popularity with 120 million fans across India.
Gen Z: Gen Z refers to the demographic cohort born between the mid-1990s and early 2010s. They constitute 43 per cent of India’s sports fan base.
Compound Annual Growth Rate (CAGR): CAGR is a useful measure of growth over multiple time periods. In India’s sports sector it is projected at 14 per cent until 2030.
Public-Private Partnerships: Public-private partnerships involve collaboration between government and private sectors. They are crucial for addressing infrastructure challenges and promoting sustained growth in India’s sports ecosystem.

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