The popularity of sports merchandise endorsed by a sportsperson or sports club is increasing extensively around the globe. The popularity of sports like cricket, football, baseball, basketball, rugby, and others are expanding at a rapid rate, especially among Generation Z and the millennial category. Thus, these aspects are fueling the demand for licensed sports merchandise promoted by the sports club or sportspersons.
Rapid urbanization, rising disposable income, and the penetration of the online shopping trend around the world are some prime factors that are influencing the growth of the licensed sports merchandise market. Furthermore, the innovations are also fueling the growth prospects of the licensed sports merchandise market. . Players in the licensed sports merchandise market are engaging in R&D for designing unique marketing strategies that attract a large consumer base. Furthermore, these activities also bring extensive revenue-generating opportunities, eventually increasing the growth rate of the licensed sports merchandise market.
In the highly competitive licensed sports merchandise market, strategic collaborations prove to be the foundation of growth. Mergers, acquisitions, joint ventures, and partnerships are crucial for the growth of the licensed sports merchandise market. The players are involved in these activities for increasing their influence across different regions. These collaborations are essential for the merchandise to be sold seamlessly. Many players partner with renowned clubs and sports players to promote their merchandise. These factors ultimately serve as growth accelerators for the licensed sports merchandise market.
A recent example of strategic collaboration is Nazara Technologies subsidiary, NODWIN GAMING. It acquired Planet Superheroes, a licensed merchandising company. The acquisitions will enable Nodwin to enter into the D2C business related to gaming enthusiasts. Such developments bode well for the growth of the licensed sports merchandise market.
Rising Number of Country Leagues and Sports Events Propelling Demand for Licensed Sports Merchandise
Sports events have increased phenomenally over the years. Many sports enthusiasts are hooked to watch their favorite sports stars in different formats such as club level games, international games, etc. These factors have boosted the popularity of licensed sports merchandise to a considerable extent. Events like LaLiga, Premier League, UEFA Champions League, Indian Premier League, Big Bash League, etc. are leading to an increase in the demand for licensed sports merchandise. In a latest development, sports brand Puma inked a deal with Royal Challengers Bangalore, a cricket team in the Indian Premier League (IPL) for 3 years. Through this strategic partnership, Puma has gained exclusive retailing rights to replicate their jerseys. These aspects add value to the growth trajectory of the licensed sports merchandise market.
Online Retailing Gathers Steam during COVID-19 Pandemic
The COVID-19 pandemic is one of the worst infectious outbreaks the world has ever faced since the Spanish Flu in 1918. The growing prevalence of the virus forced the closure of brick-and-mortar shops to restrict movement in order to prevent high number of COVID-19 cases. This factor gave rise to online shopping. Licensed sports merchandise are now mostly sold online. The players in the licensed sports merchandise market are trying to systemize online shopping mechanisms. LaLiga has launched an official store on Amazon e-commerce platform. The store has more than 1600 licensed products on sale. These aspects churn exponential growth for the licensed sports merchandise market.
The investment interest in the licensed sports merchandise market is growing due to the high sale number and the prediction of a bright forecast. Many investment firms and conglomerates are adding value to the licensed sports merchandise market through extensive investments and funding.
Some well-established players in the licensed sports merchandise market are DICK’S Sporting Goods Inc., Nike Inc., G-III Apparel Group, Ltd., Under Armour, Inc., Fanatics, Inc., and VF Corporation.
Get Extensive Insights On Licensed Sports Merchandise Market