Sports Equipment Market (2022 - 2030)

Sports Equipment Market Summary

The Covid-19 pandemic has adversely affected several industries including the athletic and fitness industry. Many tournaments and game events, including the Olympics, have either been postponed or their format has been altered. As a result, stakeholders in the market are trying to assess the downstream impact arising from disrupted cash flows, insecurities, and the potential declines in long-term attendance and engagement. The growing popularity of national and international events, such as the Soccer World Cup, Olympic Games, and Cricket World Cup, is also boosting the growth of this market for sports equipment. Rising cases of lifestyle-related health issues, such as stress and obesity, are pushing more people to engage in outdoor and fitness activities and this is fueling the demand for various sorts of fitness and sports equipment.

The growing availability of popular international athletic equipment brands is also contributing to product demand. Women’s participation in sports is a major factor that is likely to boost market growth. According to BBC, the difference between the number of men and women participating in sports in England has dropped to 1.55 million in 2018.

The gap is further expected to reduce over the coming years and this will have a positive impact on the demand for equipment. Spending on such equipment for kids has increased in gradually over the years thanks to the growing awareness pertaining to the benefits of such games in their physical development. India and China are lucrative markets for sports equipment. Rising disposable income and improved living standards of the consumers are key factors accelerating product demand in these countries. Moreover, low production costs and a thriving manufacturing industry are likely to propel the market growth in Asia Pacific.

Companies are trying to maximize market penetration by increasing brand awareness via TV commercials and print media, internet, social media platforms, team sponsorships, and partnerships with the athletes of various sports and fitness enthusiasts. Moreover, social media influencers and favorite sports personnel are endorsing various brands which is likely to supplement to the growth of the market for sports equipment.

Product Insights

The ball games segment dominated the market for sports equipment and accounted for the largest revenue share of 34.0% in 2021. Since ball games are popularly watched all over the world, the revenue generated from this segment is notably higher than rest of the segments. The segment is expected to witness a CAGR of over 6.3% over the forecast period. Burgeoning global popularity of events such as cricket, basketball, and football is projected to be one of the key factors contributing to the growth of the segment.

On the other hand, fitness/strength equipment segment is projected to witness highest CAGR over the forecast period. In recent times, a drastic change has been witnessed in lifestyles of urban population, owing to rigorous, complex, and chiefly sedentary work cultures. Growing health concerns coupled with rising disposable incomes of consumers are further boosting their inclination towards sports and fitness.

Distribution Channel Insights

The specialty and sports shops segment dominated the market for sports equipment and accounted for revenue share of 45.0% in 2021. These stores have a broad portfolio of branded products and provide required support and information to consumers through expert customer service personnel. Moreover, convenience provided by this distribution channel and its ability to stock popular brands has been supplementing the growth of this segment.

The online retail segment is projected to register a CAGR of 7.4% in the sports equipment market from 2022 to 2030. Rising internet penetration amongst consumers and target marketing done by companies to reach all customer touchpoints are likely to fuel the growth of this segment. In addition, increasing use of smartphones, increasing consumer spending, growing penetration of internet and online shopping from e-commerce platforms are factors likely to drive segment growth over the forecast period.

Regional Insights

North America dominated the market for sports equipment and accounted for the largest revenue share of 31.7% in 2021.The growing popularity of games such as football, basketball, etc., are prompting government in the region to established arenas and offer an enhanced sporting experience to citizens. This is expected to create positive outlook for the market growth market over the forecast period. In Asia Pacific, the market for sports equipment is projected to witness the highest CAGR of 7.3% over the forecast period. In 2021, Asia Pacific countries registered a swift increase in sales of fitness equipment on account of COVID-19. India has also made significant strides in outdoor equipment over the past couple of years owing to the growing popularity of games and subsequently the rising number of associated leagues.

Furthermore, high demand in Australia can be attributed to rising focus on sports. Additionally, increasing disposable income and consumer spending across emerging markets such as India, China, and the Middle Eastern countries are expected to bolster the demand for sporting goods. These countries have also been hosting a variety of athletic events and have developed infrastructure to attract more people to participate in several gaming events, subsequently triggering the growth of the market in APAC.

Key Companies & Market Share Insights

The market includes both international and domestic participants. Key market players focus on strategies such as innovation and new product launches in retails, expanding distribution channel, entering in department and discount stores, and collaborating with the celebrities in order to gain maximum customer penetration.

• In March 2021, DICK'S Sporting Goods, the largest U.S.-based, omni-channel sporting goods retailer, announced the introduction of VRST, a men's athletic apparel brand built for the modern active man who lives life on-the-go.

• In June 2021, JD Sports Group recently acquired Deporvillage, an online-only retailer of outdoor sporting equipment. Under this acquisition, the company will acquire 80% of stake, while 0% will be retained by Deporvillage founders Xavier Pladellorens and Ángel Corcuera.

Some of the prominent players in the sports equipment market include:

• Adidas AG

• Amer Sports

• Callaway Golf Co.

• Sumitomo Rubber Industries Limited

• Nike, Inc.

• Puma SE

• Mizuno Corporation

• Sports Direct International PLC

• Under Armour

• Yonex Co., Ltd

Sports Equipment Market