Driving Revenues and Commercial Sustainability with Data

Perhaps the biggest challenge facing NGBs today is generating consistent revenue streams. Data can be the key to tackling this challenge. Data can support a multifaceted approach to revenue generation, extending beyond traditional sponsorship and merchandise sales. By harnessing data, NGBs can unlock several avenues for financial growth and operational efficiency.

Understanding the various facets of their operations, such as member demographics and audience preferences, empowers NGBs to identify opportunities for financial expansion. Data offers insights into participation trends, which can be instrumental in boosting revenues by increasing the number of athletes and participants in sports. Data can also guide NGBs in enhancing the delivery of events, supporting the growth of event programmes locally, and increasing the regularity and effectiveness of delivery This, in turn, contributes to increased revenues (growth in this example comes from the bottom-up).

Data can also serve as compelling evidence for NGBs seeking grants, sponsorship, and funding from other sources. Organisational data, supported by financial metrics, can enable NGBs to access resources that support their activities, ensuring financial stability and opening doors to investments in athlete development and infrastructure.

Financial data is imperative to the efficient running of any business including in sport. NGBs often have multiple disparate systems to run the programmes that sustain them. These convoluted solutions make financial reporting difficult and time-consuming and can impact accuracy. By coordinating solutions into a central ecosystem, NGBs can streamline their processes and allocate resources more efficiently, ultimately contributing to financial sustainability.

By utilising data, NGBs can benefit from a holistic approach to revenue generation that goes beyond traditional methods. This approach encompasses increasing participation, optimising event delivery, accessing funding opportunities through enhanced marketing capability, enhancing operational efficiency, and tailoring programs to diverse demographics. This multifaceted strategy ensures that NGBs not only secure their financial stability but also pave the way for sustainable growth and excellence in sports governance.

This article is an excerpt from our chapter in 'The Road to the 2024 Election Manifesto'.