Why YOU Should Invest in Sports Start-Ups!
Shaji Prabhakaran
Executive Committee Member @ AFC | Football Development, Grassroots, Leadership, Strategy and Author
Sports, and not just cricket, is seeing rapid progress across India and is becoming one of the major sources of entertainment. With a considerable percentage of the population under the age of 25, the demand for sports will only grow. The potential of sports industry is huge and there is a possibility that it will contribute 1-1.5% in the GDP in next ten years.
Start-up might be the word of the decade, and it’s almost become fashionable to find the next need gap and convert it into a start-up idea. Sports isn’t far behind in this regard, and the brightest minds in the country are discovering that technology, sports, and good old on-ground hard work can be an effective and winning combination.
Here are a few reasons why YOU should think of investing in an upcoming sports start-up.
1. Government Policy is Your Friend
The Indian Government under PM Modi remains highly invested in Youth Affairs and Sports, with the country poised to bid for and host some major International tournaments. It might provide industry status to sports and that might ease in finding capital for sports business in India. Govt might also provide tax holidays and other concessions to sports industry in the near future considering the significance and importance of sports in the society.
There is already a significant push by the PM through his initiative “Start-up India, Stand up India”
2. You are the Chicken, And You are the Egg
Your investment, if used strategically, can help in acquiring the proper expertise and create the necessary infrastructure. Too often, the best ideas go to waste because of a lack of adequate funding. There is a huge demand for a better product and services in sports but due to lack of funding many of the startups are struggling to provide that quality.
Scalability and an exit strategy might be your catch-phrases, but understand the potential carefully before passing on an idea!
3. Sports has more Unicorns floating in Blue Oceans
Sports doesn’t mean only creating Olympic or World Champions, the numerous opportunities that exist in sports industry, whether it is grassroots sports, recreational sector, fitness, yoga, coaching services, sports manpower solutions, sports science, sports events, sports broadcasting and media, sportsmen management, women sports, sports tourism, talent development, sports technology space, sports facility/ arenas, sports gyms, etc., all require major investment to capture the demand and extend quality services.
The market is ready, but is the product? Not yet. Not without the investment required. However, this situation is changing rapidly, and you need to get on that boat, or get left behind.
4. Digital Engagement and Sports
Technology and sports are now almost synonymous. The US has pioneered some of the greatest examples of sports tech brands and success stories, and India is poised to follow. With more Indians getting connected, there is tremendous opportunity in connecting India locally, regionally, and perhaps even nationally through the medium of sports. If you’re investing right now, chances are you will be hailed as a pioneer in the near future if you’re smart about it. The ROI expectations look good as well!
5. Build relationships and build Your brand
Investing in sports means investing in the life of human beings/ individuals/ youth and entrepreneurs. The numerous positive relationships forged by investing in sports can improve your existing non-sports businesses.
Investing in sports means improving national productivity in many ways and that leads to better disposal income at the hands of individual which ultimately leads to significantly higher purchasing power. Which means that overall, the economy gets a tremendous boost.
6. Don’t just think Urban, Go Rural
The best top level Indian sportsmen and women do not emerge from the big cities. They rise from the smallest towns and villages, working and training through hardships, and despite the current system. Therefore, your investment in the rural sports set-ups can help it grow with a significant pace if it is strategic and a long-term one.
What are your views on investing in sports start-ups? Let me know in the comments box below!
Talent Advisor at Whirlpool Corporation (Proud to have played football under Late Syed Shahid Hakim Sir- son of Sir Syed Abdul Rahim)
1 年Being Sports enthusiast but unable to become a Pro because of the common Indian middle class family mentality, I think there is a dire need to bring the change in the mindset. Until and unless, people are not seeing a good career option which can sustain the daily lifestyle of the people, many talent will die and have died their own natural death. We need to come out to change the mentality and let people believe that there can be great careers waiting to be made out in Sports in INDIA (besides Cricket). The Vision 2047 is great, being a football lover and going back to 2012 where I myself made a promise to myself to take Indian football to qualify for Qatar 2022 football (the dream eventually died its own natural death because of can't abandoning your family values and leaving your family for starving), I can once again dream of seeing Indian Football at the pinnacle which it has the potential to reach. I might have something to contribute in a piece of History. We might need more Syed Abdul Rahims, Syed Shahid Hakeems, PK Bannerjees, Jarnail Singhs, Peter Thangrajs, Chunni Goswamis, the whole class of 60s to rise again and take Indian Football to the place it deserves. Thanks for the article Shaji Prabhakaran Sir ??
Secretary General at Sri Lanka Football
8 年It's a really nice thought and really need of the era. Private participation for sports is vulnerable now.
Secretary General at Sri Lanka Football
8 年Wise thinking. It's the next booming industry
Building Private Brands @ Purplle.com | Beauty | E-commerce | D2C | Luxury Marketing
8 年Divyanshu Minawala
Football Scout, Football Intermediary
8 年Very well presented Sir.