- PwC foresees three main shifts in ticket gross sales, media rights, and sponsorships.
- NFTs and digital property can be on the middle of fan engagement and sports activities business income streams.
- Metaverse and Web3 integration additionally holds big promise for the business, the agency mentioned in a report.
NFTs have huge potential and are more likely to turn out to be “the way forward for digital property in sports activities,” Massive 4 auditor PwC has said in a brand new report.
The agency’s Sports Industry Outlook 2022 report highlights non-fungible tokens as one of many high ten tendencies that might considerably enhance the sports activities sector.
In accordance with PwC, the expansion in NFTs and general adoption of digital property is a growth more likely to “form fan expertise” and enhance income alternatives.
Per the report, collectible NFT gross sales, season ticket member NFTs and digital entry tokens are more likely to play an enormous position in revolutionising fan engagement. However greater than that, as is with ticket gross sales, media rights and sponsorships, the fast-growing NFT area might open up new income streams for groups and leagues.
“For sponsors, tokenization presents an effective way to align themselves with a staff or league and create distinctive activations that construct fairness for each manufacturers,” the agency famous.
Sports activities organisations and groups can discover collectible NFTs, shifting into tokenised tickets, staff memorabilia and even match highlights.
These can turn out to be key collectible NFT collection, with their sale and buying and selling an avenue that may herald new income on a degree not seen earlier than. The identical idea might apply to season ticket members (STM) and digital entry tokens.
The metaverse and Web3 are additionally going to be main “shifts” in coming years, with progress round these seeing “a reimagination of a lot of how followers eat sports activities.”
As groups and organisations look to combine and profit from this know-how, PwC advises investments within the infrastructure and expertise key to its realisation. It’s additionally vital to work in the direction of authorized and tax compliance.
NFT gross sales amounted to over $17.7 billion in 2021, rising two hundredfold from a complete of about $8.5 million in 2020. Income from reselling and shopping for additionally elevated exponentially, reaching over $5.4 billion in 2021 from $12 million a 12 months earlier.