Event Management - Host City

Cube appointed Master Licensee for 2023 UCI Cycling World Championships – Glasgow & Scotland

[Source: Cube] Cube Partnership has been appointed Master Licensee of the 2023 UCI Cycling World Championships – Glasgow and across Scotland.

The Championships, to be held 3-13 August 2023, will be the biggest cycling event in history, with 13 UCI World Championships taking place across seven disciplines in Glasgow and across Scotland.

As Master Licensee, Cube Partnership will be responsible for designing, sourcing, delivering, and retailing licensed products at the Championships’ official venue shops, other local and national retail outlets and via a dedicated online store. The online store, to be designed and operated by Cube, will include a comprehensive range of exciting merchandise products, and will bring a world class ecommerce service to fans across the globe. The official online store is due to be launched early spring next year.

In line with Cube and the Championships’ social value commitments, the official range of products and merchandise will have a strong commitment to sustainability, with a focus on limiting single use plastics, responsibly managing waste materials, and reducing carbon emissions.

Trudy Lindblade, CEO of the 2023 UCI Cycling World Championships said: “We are so very pleased to welcome Cube Partnership as the Master Licensee for the 2023 UCI Cycling World Championships.

Having a bespoke range of inspiring memorabilia to commemorate this truly extraordinary event is one we welcome.  The inaugural event is a celebration, and a take home piece of history will be a trusted gift to give and or receive.

Andy Bough, Cube’s CRO said: “We are delighted to have been appointed Master Licensee for the 2023 UCI Cycling World Championships. Through this partnership, and the Championships’ An Event For Everyone ethos, Cube will leverage its extensive global event experience and unrivalled merch design expertise to bring to life an exciting and sustainable retail and merchandise programme for cycling fans across the globe.”

Tour de France report shows impact of hosting events in Copenhagen, Denmark

[Source: Sport Event Denmark / Wonderful Copenhagen] This year’s Tour de France started in Tivoli Gardens in Copenhagen, when the teams were presented in front of 10,000 cheering fans, and ended with Jonas Vingegaard returning triumphantly dressed in yellow.

Vingegaard however, is not the only Dane thinking back at Tour de France with fond memories. A new report shows how the Danish Grand Départ had great impact both in terms of tourism income, exposure, and not least in engaging the whole nation.

Of the 1,665,789 spectators for the three Tour de France stages in Denmark, 722,167 were tourists, both domestic and international, spending more than EUR 100m.

The event also generated massive media attention, with Denmark and Tour de France mentioned together in 80,000 editorial articles from June 2021 to July 2022.

“For us, Tour de France was an engine boosting our focus on promoting everyday cycling and showcasing the infrastructure solutions we have in Copenhagen. And these numbers just show what a powerful platform a major event can be. We have hosted major medias from all over the world, including The Guardian, Le Monde, and The Times returning home sharing stories showing what the transformation bike infrastructure can do for a city and how it helps Copenhagen to become a healthier, cleaner, and less congested city, says Lars Vallentin, senior manager at Wonderful Copenhagen, the Official Destination Management Organisation of Copenhagen.

However, the biggest success of the Danish tour start was probably the enormous local engagement and the many projects, carried out in relation to Copenhagen and Denmark hosting the Tour de France – Grand Départ. In the last 100 days before the event, a total of 744 Tour de France related events were carried out all over Denmark engaging everything from schools to shops and even a hospice, where the visitors helped knit an enormous yellow jersey.

Sport Event Denmark are very happy for the huge impact of Tour de France in Denmark and believe this is the perfect platform for attracting big events for the future.

“We must take advantage of the fact that we have created such a strong image of our unique cycling DNA and hosting role in Denmark. We at Sport Event Denmark dream of Denmark hosting even more big cycling events. The UCI Road World Championships could be an option. Denmark successfully staged the event in 2011 so why not repeat it with the insights we have now from the staging of the Grand Départ Tour de France?” says Lars Lundov, CEO, Sport Event Denmark.

Lundov and Vallentin both point to the close collaboration with the rights holders, ASO, as an important part of the Danish success bringing the event to life all over Denmark, with everything from bike shops and bakers to events using the official city dressing.

A design developed in collaboration with the French organization. A partnership which helped create an unprecedented celebration of everyday cycling and Denmark as a cycling nation and destination.

Playground, the French Events Management Company, joins Citec, the Swiss Engineering Group

[Source: Citec] The end of 2022 marks the coming together of two key players in the organization of major events. Playground, specialist in the design, planning and operational coordination of sporting events, joins Citec, transport engineering consultancy group, particularly involved in 2024/2026 Olympic Games, 2018 and 2022 Football World Cup, or the European Football Championships since 2008.
Playground is involved in many major events in France such as the 2019 Women's Football World Cup, Roland-Garros, the 24 Hours of Le Mans, the Torch Relay of Paris 2024 Olympics and Paralympics, and produces its own events such as La Grande Course du Grand Paris, the Montpellier marathon and the Boulogne-Billancourt half-marathon via its General Public Events division.

What are the benefits of this merger for Citec/Playground customers?
Citec and Playground successfully operated on joint projects in the past already, as the Ryder Cup in 2018, among the most participated events worldwide. Both companies now share the same ambition "To globally support event organizers, by offering a complete set of services, from planning to operations" explains Franco Tufo, CEO and founder of the Citec group. This merger enlarges the range of both players’ expertise, so that their client who will now benefit from recognized skills in the areas of accommodation, food&beverage and transport, for the organization of major events.

Continuity, trust, growth
This merger will allow the two companies to develop common and unique offers for organizers of major events, from strategy to the delivery of operations. Citec group will also provide the necessary support to Playground to continue its growth in a serene way, by giving it access to the financial, commercial, and administrative resources of a sustainable human-scale group.
The current management team as well as all of Playground's employees are not only maintained but reinforced, with the recruitment of new employees to support the requests which have already confirmed the interest in a complete service. Stefano Manelli, Citec Large Events Manager and Franco Tufo, Citec CEO will be the go-between with the Citec group.
“Since the beginning of our collaboration and exchanges, our vision of the future of major sporting events and the human and professional values that drive us have always been in perfect harmony. This merger marks a major turning point in the history of Playground, and we are convinced that this new adventure will be beneficial to all players in the sports movement, in particular our clients, partners and our teams", adds Yoann Arzur, Playground Managing Director.
After the acquisition of Interface Transport, firm specialized in logistics, in 2018, and shares in IMDM, expert in asset management, in 2021, Citec completes its range of services and continues its growth dynamic in 2022.

About Citec
Founded in 1994, Citec is an independent group of engineers and consultants specialized in the planning, management, development, and regulation of transport. The design of mobility systems for large events is at the heart of Citec activity, with more than 30 major events organized in 15 countries to its credit. Based in Switzerland, the group has a hundred employees in 9 agencies in Switzerland, France, and Italy. The group, 100% owned by its employees, achieved a turnover of CHF 14 million in 2021.
www.citec.ch

About Playground
Playground is an event engineering company supporting organizers in the design, planning and operational coordination of their events, with recognized expertise in accommodation, transport, and catering. Founded in 2017, this company based in Paris and Bordeaux has more than 120 events to its credit.
www.playground-event.fr
 

Cooperation in staging major events: why is compromise becoming so tricky?

The results of the poll on compromise (Photo Credit: Andy Rice. Copyright: Host City)

This November in Glasgow leading executives from the global major events industry met at the first in-person ‘Host City’ conference since the pandemic. The theme of the conference was exploring the new realities for major events in the post-COVID era. As a consultant and prior panellist, I was asked to chair a panel looking at “Partnership paradigms of event hosting and delivery”. Our panel included representatives of a major host city, a global sporting rights-holder and two event organisers – one traditional and one disruptive. In discussion with the panellists, we agreed to explore why it feels that cooperation between stakeholders in running major events is becoming ever more challenging.

At the start of the session, we polled the audience to test our theory. The question was simple: was this indeed the case? The results surprised me and are shown in the picture. Nearly half the delegates felt that compromise was ‘tricky’ while a worrying 9% felt it is ‘almost impossible’. 43% did feel that compromise is ’doable’ but no one, yes 0%, thought it was ‘easy’. This cannot be a good sign and these on-screen results certainly created an energy in the panel discussion.

As I write, we are watching an 11th hour dispute between Budweiser, a FIFA Partner, and the 2022 FIFA World Cup (FWC) Host Nation around who can drink a Bud Light, where and when [1]. Such a public dispute two days before a global event that was awarded in 2010 seems avoidable; was compromise not possible much earlier? In our discussions at Host City, we learnt that the Edinburgh Festivals need more visitors in 2023 for the operators to return to profit. Yet the City Council has moved to significantly reduce supply in the temporary accommodation stock [2]. This new supply and demand imbalance has also driven up rental prices for visitors, performers and their crews. It seems the festivals are set to be even further away from profit in 2023. Without some form of compromise Edinburgh City council seem set to kill their ‘golden goose’. One festival, the Edinburgh Film Festival, has already seemingly collapsed, the organisers citing “the perfect storm of sharply rising costs, in particular energy costs, alongside reduced trade due to the ongoing impacts of the pandemic and the cost-of-living crisis” [3]. 

But if the Edinburgh Festivals can recover to viability, does attracting hundreds of thousands of visitors to travel to Edinburgh sit comfortably with ESG considerations? Indeed, one can say the same of any large-scale event, such as a football world cup. ESG is becoming a major area of contention in sport. Just in the last few weeks we have seen the collapse of a lucrative sponsorship deal between a mining company and Australian Women’s Netball [4] and also one between British Cycling and Shell which cost the cycling CEO his job [5].

Likewise, FWC22 clearly shows that Diversity, Equality, and Inclusion (D&EI) will only grow as a consideration in sport and other major events. FWC22 again is in the spotlight, following the collapse of plans by European captains to promote inclusion through a “One Love” armband. It appeared that purely financial penalties would not deter national teams from showing their support for the LGBTQ+ community. However, amidst threats of sporting sanctions, the teams chose to prioritise competition and performance although this might be overruled by the Court of Arbitration for Sport (CAS) [6].

So, finding a way through the competing agendas of Host Cities, Organizers, Rights Holders, Athletes and participants, sponsors, broadcasters, the media and the wider public is indeed becoming ‘tricky’. But from my own experience, I can say that it is far from ‘almost impossible’. When I was CEO of the International Tennis Integrity Agency (ITIA) and Chair of the “Tennis Rules Committee” we needed to find a common, global position in the sport on the issue of betting sponsorship of both tournaments and broadcast coverage but also of the tennis players themselves. With different attitudes and dynamics in-play either side of the Atlantic and trade-offs required between commercial and integrity considerations, this seemed a gordian knot. But achieved it was; and tennis now has a very coherent and sustainable global position in this respect which is supported by the players.

My sense from this and other relevant experience dating back to working with the London 2012 ODA in the mid-noughties is that finding compromise in sport going forward will take three key ingredients.

  1. Evidence Based Decisions. Returning to Edinburgh’s short-term lettings decision, it would seem that the veracity and completeness of the data which informed the council’s decision has been called into question [7]. Likewise, assertions on possible revenues to be made, or lost, in a decision must be verified by a trusted and neural body. This takes time, effort and resources but decisions based on incorrect or incomplete data sets will unravel, perhaps spectacularly.
  2. Discussion and Debate. The panel at Host City all agreed that the quality of debate and discussion during COVID had decreased. Online meetings are fine for the passage of information. But there is no substitute for in-person meetings to discuss matters of common interest and to tease out any areas of possible concern. Working through these areas, taking evidence, and listening to differing points of view should only reduce areas of conflict. Footballer, Kylian Mbappe, recently refused to take part in sponsorship activations as part of his membership of the French national team [8]. He raised concerns about fast food and betting companies being associated with the team. The team have asked to be consulted on sponsorships going forward. This will be a growing requirement. One can only wonder if Australian netball took this step with its players before agreeing to the mining sponsorship? As ever, neutral consultants can more easily put themselves in the middle of these discussions to work through issues and concerns.
  3. Arbitration and Compromise. The above process should reduce the number of areas of contention. But there will likely remain some. Lawyers may now be involved. But I remain firm in my view and experience that brokered arbitration and a willingness to compromise for the greater good can often be achieved if the evidence is sound and differing points of view are aired and understood.

The above arrangements should be underpinned by robust scenario planning. Host City delegate IPSEM Squared made a very valid point on the need for an effective and proactive crisis management approach to be in place should issues arise. Sponsors should also have a response plan that can be put in place quickly to change (or at least manage) the arising conversations better than is currently the case. We have already seen the almost complete removal of cigarette and nicotine sponsors from sport and the failure of other industries- such as alcoholic drinks, energy, extractives and fast food - to engage more effectively may see them go the same way.

Achieving consensus in how best to stage major events is going to only get harder as wider societal issues play into what was always a complex process of creating national or world class events, be those cultural festivals or major sporting occasions. However, Ankura would posit that with careful stakeholder management, agreed evidence on which to base dialogue and active listening most areas of dispute can be worked through to find compromises that create positive outcomes to the overall benefit of the event itself and indeed the wider community.

Jonny Gray is a Senior Managing Director in the Ankura sport practice and the former founding CEO of the ITIA. 

Copyright 2022. The views expressed herein are those of the author(s) and not necessarily the views of Ankura Consulting Group, LLC., its management, its subsidiaries, its affiliates, or its other professionals. Ankura is not a law firm and cannot provide legal advice.

References

[1] https://www.reuters.com/lifestyle/sports/budweiser-world-cup-campaign-curbed-not-crashed-by-qatar-beer-ban-2022-11-19/

[2] https://www.thetimes.co.uk/article/holiday-let-changes-will-mean-shortage-of-beds-for-festivals-7pvdssmzf  

[3] https://deadline.com/2022/11/edinburgh-film-festival-new-campaign-launched-to-save-festival-filmhouse-cinemas-1235160292/

[4] https://www.abc.net.au/news/2022-10-24/netball-australia-hancock-prospecting-explainer/101569486

[5] https://www.theguardian.com/sport/2022/oct/31/british-cycling-chief-brian-facer-steps-down-three-weeks-after-controversial-shell-deal

[6] https://www.skysports.com/football/news/12098/12753559/world-cup-german-fa-taking-fifa-to-court-of-arbitration-for-sport-over-one-love-armband-ban

[7] https://www.scottishdailyexpress.co.uk/news/politics/new-edinburgh-restrictions-short-term-27631993

[8] https://talksport.com/football/1198477/kylian-mbappe-france-paris-saint-germain-sponsorship-deal/

HRH Prince Feisal Al Hussein chairs FIBA Safeguarding meeting

[Source: Jordan Olympic Committee] A major step in FIBA’s efforts to advance its safeguarding and protection approach has been reached today, when the FIBA Safeguarding Council met for a final review of the new Safeguarding Policy. Having gone through extensive reviews by the Council members as well as relevant FIBA internal structures, the draft Policy will be presented for approval at the forthcoming meeting of the FIBA Central Board.

Discussing the significance of this first step, the Council members reiterated the importance this Policy will have in ensuring basketball is being accessed by anyone who wants to take part and enjoy the game: in a fair and equitable safe space, free from all forms of harm and abuse, regardless of playing level.

The Council, the majority of which is composed of independent members, has also looked at the steps that will follow Policy’s adoption later this year. HRH Prince Feisal Al Hussein, Council’s Founding Chairman, said: “FIBA moved fast to finalise its Safeguarding Policy, and is now ready to engage with its stakeholders, promote its safeguarding efforts, and contextualise and adjust practices that will protect not only vulnerable but all players and basketball participants, regardless of who or where they are. It is paramount for our Olympic and sport Movement to adopt such policies and standards, to follow FIBA and other stakeholders in making sure young people in particular are able to thrive while playing safe sport”.

FIBA Secretary General Andreas Zagklis reiterated: “I have been delighted to welcome in the Patrick Baumann House of Basketball this important meeting of FIBA Safeguarding Council. We thank HRH Prince Feisal for leadership and members of this independent Council for their commitment, as we take full advantage of their analysis and recommendations”.

The six additional members of the Safeguarding Council include Slovakia's four-time Olympian Danka Bartekova, FIBA Americas President Carol Callan, international basketball star Astou Ndour-Fall, Romanian Basketball Federation President and FIBA Executive Committee Member Carmen Tocala, award-winning journalist Alan Abrahamson and FIBA Chief Operating Officer Patrick Mariller.

DB Schenker supports Porsche GT4 e-Performance Tour with green logistics

DB Schenker and Porsche Motorsport will take an important step toward climate neutrality by launching a global demonstration tour for the electrically powered GT4 e-Performance race car prototype. DB Schenker has organized a complete sustainable logistics solution for the electric race car’s trip around the world, which will include stops at select racing locations. Among other things, only the most environmentally friendly modes of transport will be used for the tour, which will cover a total of 13,000 kilometres. The GT4 e-Performance Tour will kick off at the end of January with the legendary GP Ice Race in Zell am See in Austria. After that, the electric race cars will be transported in a sustainable manner by ship, rail, and trucks to other events in Europe, the U.S., and Asia.

Both DB Schenker and Porsche have firmly incorporated sustainability aspects into their corporate strategies. For example, the international logistics service provider has set itself the goal of becoming the world’s leading provider of green logistics solutions and is thus the ideal partner for the Porsche GT4 e-Performance Tour.

“This partnership is enabling us to take a major step forward together on the road to green mobility – we’re very much looking forward to addressing this challenge, and we have the right solutions to ensure we’ll be successful,” says DB Schenker CEO Jochen Thewes. “During the tour, we will be able to highlight the progress we’ve made with the development of environmentally friendly transport and logistics solutions around the world.”

The customized logistics solution for the GT4 e-Performance Tour includes environmentally friendly and emission-free rail transport of the concept vehicles, as well as transport with all-electric trucks and ships powered by marine biofuels. The latter mainly consist of fuels made with used cooking oil methyl ester (UCOME). DB Schenker plans to use its position as a partner for the tour to get new target groups interested in green logistics.

“We’re very happy that we were able to get DB Schenker onboard as a partner for our motorsports logistics,” says Barbara Frenkel, member of the Porsche Executive Board, with responsibility for Procurement, and also a co-initiator of the sports car manufacturer’s sustainability strategy.

“Together, we want to generate additional momentum for sustainability and sustainable solutions. Porsche has an ambitious sustainability strategy that we are implementing together with our suppliers. We are now taking steps to make our value chain carbon-neutral on balance by 2030, and this also includes ensuring a carbon-neutral service life on balance for future battery-electric models.”

 

Prototype for all-electric customer motorsports

The GT4 e-Performance will offer Porsche the possibility to provide customers with a motorsports option with all-electric race cars in the future. The strategy here makes use of the technology components in the IAA Mission R concept car, which Porsche presented in 2021 as a vision for the future, but which the company has now made a reality. The vehicle’s body is made of, among other things, composite materials based on natural fibers. The prototype, which is not for sale, will be presented for fans and potential customer teams around the world to marvel at during the tour. However, the electric race car will also collect valuable data during the tour, which will enable Porsche to gain new knowledge for use in the future – and not only for motorsports.

The global tour will begin with the prestigious GP Ice Race in Zell am See from January 27-29, 2023. After that, it will move on to the U.S., where the innovative concept vehicle will take part in the famous Grand Prix of Long Beach in April, as well as in other races. Then it’s on to the Asia-Pacific region for a series of events in the second half of the year.

 

DB Schenker’s stated goal: Clean logistics

As a pioneer in the field of innovative logistics solutions, DB Schenker has set itself the goal of becoming the world’s leading provider of green logistics services. The company continuously invests in renewable energy and environmentally friendly products for its customers in order to achieve its ambitious goal of ensuring climate neutrality by 2040. The company also plans to achieve complete sustainability transparency in 2023.

“We believe we have an obligation to continue our pioneering work and move ahead even further in the area of clean logistics – and ensure consistent and transparent communication in this regard as well,” says Thewes.  

 

About DB Schenker

With around 76,100 employees at more than 1,850 locations in over 130 countries,  DB Schenker is one of the world’s leading logistics service providers. The company operates land, air, and ocean transportation services, and it also offers comprehensive solutions for logistics and global supply chain management from a single source. DB Schenker is celebrating its 150th anniversary in 2022. The company continuously invests in innovative transport solutions, renewable energy, and environmentally friendly products for its customers in order to achieve its ambitious goal of ensuring climate neutrality by 2040.

Global Esports Federation and European Olympic Committees form Strategic Partnership

[Source: Global Esports Federation] The Global Esports Federation confirmed a strategic partnership with the European Olympic Committees (EOC). In line with the growing convergence of sport and esports, this partnership will further amplify the GEF’s efforts to promote, expand and develop esports across Europe. The partnership also forms part of the EOC’s initiatives to explore new ways of engaging with young people across the continent. 

Europe represents a large number of countries and cultures – each remarkable and unique, and each with its own National Olympic Committee. This partnership presents a powerful opportunity to connect across borders through the GEF’s #worldconnected community.

“The European Olympic Committees looks forward to this strategic partnership with the Global Esports Federation as we explore the significant growth of esports across our European family. Through this partnership we also focus on promoting sport and the Olympic values, while establishing links with all EOC activities and exploring new forms for fan engagement. Europe is one of the growing regions in the development of esports. The partnership with the GEF will help to evolve, build, and shape our strategy around esports,” said Spyros Capralos, President of the European Olympic Committees.

The GEF and the EOC expect to jointly develop new opportunities to make the connection between sport and esports. The European Games, with the third edition in preparation in Kraków-Małopolska, Poland 2023, can be a great example that demonstrates the convergence of sport and esports. 

“Together, we are committed to expanding esports, creating new modes of entertainment that engage new audiences, and offering inspiring and innovative formats for esports. The success of the recent Commonwealth Esports Championships at Birmingham 2022, demonstrated these opportunities in service to youth and we are looking forward to adding to this through our partnership with the European Olympic Committees,” said Chris Chan, President of the Global Esports Federation.


 

Deloitte: the key forces for change in sport

Zoe Burton, head of sports transformation advisory, Deloitte’s Sports Business Group

The sport industry is an instigator of societal growth, as well as significant economic returns. As a result, the future of the industry doesn’t just impact the organisations involved within it; it affects a huge swathe of communities, fans and players around the world. 

Here are the trends that we’re expecting: 

 

1. Next generation of players, fans and workforces  

Gen Z (1997-2010) and Gen Alpha (2010-2025) will play and consume shorter, more action-packed formats of traditional sports. Organisations will have to innovate via format and rule changes, whilst captivating younger audiences through excellent online content, social media engagement and live experiences. 

Impact on the sports industry now: Declining interest in sport from younger generations is forcing organisations to begin their digital transformation to attract, retain and diversify fanbases & player pools. 

Impact that we expect to see by 2030: The future customer will dictate what new sports will become mainstream and how existing formats need to evolve. Delivering the right fan experience will continue to be a non-negotiable.  

 

2. Evolving global sports market 

The sports industry will continue to grow beyond its current commercial value of $500-600bn. The number of sports seeking to commercialise is increasing at an unprecedented rate and organisations will explore innovative ways to expand their revenue generation models. By 2030, private equity investment will be the major catalyst for change and commercialisation across sports. 

Impact on the sports industry now: Sports organisations are looking to commercialise in order to generate how revenue by boosting customer acquisition and retention. 

Impact that we expect to see by 2030: Investment in sport will enable organisations to have undertaken transformations, innovate and evolve to become entertainment entities. 

 

3. Pace of digital  

Digital innovation continues to yield new ways for people to play, consume and engage with sport. As a result, many ad-hoc initiatives are being driven through technological advancements. Keeping pace with digital is a major challenge and sports organisations must be agile in order to rapidly respond to grow and counteract disruption.  

Impact on the sports industry now: Sports organisations are going back to basics as the first step in their digital transformation, by establishing robust foundations with key capabilities that will enable their digital aspirations. 

Impact that we expect to see by 2030: Digital will be embedded in all aspects of sport, resulting in numerous use cases. Organisations will need to become data-obsessed and digital first in how they operate.    

 

4. Societal impact  

Societal demands are forcing sports organisations to redefine their views on equality, diversity and inclusion. From a participation standpoint, female sport will flourish with the aid of watershed moments like the success of the Women’s Euro 2022 Championship. Societal shifts will also mean that the structure of sports organisations will evolve, with a growing focus on building an inclusive industry for workers, players and fans. 

Impact on the sports industry now: Increased focus on societal issues and high-profile incidents has resulted in organisations taking a stance, grasping the potential for sport to act as a catalyst for societal change.  

Impact that we expect to see by 2030: Female representation in sport will be higher than ever before. More women will participate, including in traditionally male-dominated sports like football, cricket and rugby. The make-up of sports organisations will also evolve, as organisations will look to be more purpose-driven and be at the heart of broader societal change. 

 

5. Health and wellbeing  

Physical health is already a concern for many and this was exacerbated by the pandemic. Moreover, lockdowns highlighted the benefits of exercising and team sports due to the rise in mental health issues. Increased awareness and new sports formats will therefore play a role in boosting interest in sport and participation rates in the future. 

Impact on the sports industry now: Health is top of mind, particularly for younger generations post-pandemic. Disease prevention as a priority, increased from 22% to 28% between2020-2021 for both Millennials and Gen Z. 

Impact that we expect to see by 2030: Greater health awareness will drive more young people to exercise and play sport.  

 

6. Climate change and sustainability  

Climate change and sustainability are impacting consumer and societal expectations, with an emphasis on individuals and institutions taking a more environmentally conscious approach. The sports industry can be the catalyst in responding to and driving initiatives, if it wants to be, due to its ability to transect geographies and cultures. 

Impact on the sports industry now: It’s estimated that the sports industry contributes 0.6-0.8% to total global carbon emissions, with a carbon footprint equivalent to Spain. 

Impact that we expect to see by 2030: A changing climate will have a serious impact on how, when and where sport can be played. Governing bodies will need to play a leading role in developing policy accordingly. 

 

To receive the full overview of these forces for change, email: UKDeloitteSportsBusinessGroup@deloitte.co.uk

DB Schenker makes air freight transport greener

Photo Credit: Lufthansa Cargo, Oliver Roesler

The logistics service provider, DB Schenker, announced the extension of its portfolio of climate-friendlier logistics solutions by opening the next chapter of greener transport in air freight. With immediate effect, customers can choose Sustainable Aviation Fuel (SAF) for their air transport to anywhere in the world and independent of the type of aircraft or airline used. Via virtual allocation of biofuel, it is possible to avoid up to 100 percent of CO2 emissions. The logistics service provider purchased over 11,000 tons of SAF and has avoided more than 33,000 tons of CO2e this year.

“We are very proud of the game-changing pioneer project we started with our trusted partner Lufthansa Cargo. Today, we take the next step by starting a global green air cargo network. We have purchased massive volumes of biofuel to push the decarbonization of our industry. Customers of DB Schenker can now virtually book SAF on all trade lanes to thousands of airports. This new flexibility is a success factor and good for the climate. Every ton of biofuel counts,” said Jochen Thewes, CEO of DB Schenker.

“Reducing the carbon footprint in supply chains is possible not only in a far-distanced future but already today. Yes, sustainability comes with a price. But now the choice is available: No DB Schenker customer needs to use traditional kerosene for their air freight anymore. We hope that this message will give further momentum towards sustainability in aviation. Customers who have tested or are already regularly using our SAF offer are very satisfied,” said Thorsten Meincke, Global Board Member for Air & Ocean Freight at DB Schenker.

 

SAF fueling greener air freight transport

SAF is a well-tested alternative fuel produced from renewable waste and residue raw materials such as used frying oil. The CO2 released during combustion in the engine is only the CO2 removed from the atmosphere during the photosynthesis phase of the plants employed to produce the oils SAF is refined from. DB Schenker only uses biofuel which is certified palm oil free. Currently, SAF is 3-5 times more expensive than regular fossil-based fuel.

For their ESG reporting, customers deciding to pay the premium for virtual allocation of SAF for an air freight shipment receive certification for the exact amount of greenhouse gases avoided. While the actual physical insertion of SAF might occur on different flights, the climate is protected as the exact CO2 emissions of a flight or shipment with conventional kerosene are avoided. This process is called a virtual application and can also be exercised for upstream emissions originating from the production and transport of the biofuel itself.

The new global offer complements DB Schenker’s unique weekly full charter route between Germany and China, launched in spring 2021 and still the only regular air cargo flight in the world to be fully covered by SAF. Over 150 round-trip flights with Lufthansa Cargo have already avoided more than 40,000 tons of CO2e. Individual SAF agreements with further airline partners, such as a recent purchase of SAF credits by Singapore Airlines, will also continue.

Source: Logistics Matters, the global blog by DB Schenker

Passing the baton: How the next generation of fans, players and workforces will shape the future of sport

Fans  

Traditional sport, it seems, is increasingly struggling to connect with younger generations.  

Only 23% of Gen Z describe themselves as passionate sports fans, compared with 42% of millennials, according to a survey assessing sport fandom in America; a significant fall and one that looks set to decline further in the next decade.  

An additional survey highlighted that 35% of US parents with children born from 2013-2017 said they lost interest in sports during the pandemic.  

In response, sports organisations are rapidly spinning-up digital platforms and personalised products aimed at attracting, retaining, and diversifying their fanbases.  

According to YPulse research, 70% of 13-37 year olds say that they don’t need to watch sports events to keep up with what’s going on. Many prefer to watch highlights or bitesize content rather than a full match. We’re also seeing growth in the type of content that audiences enjoy, with a greater variety to watch live or on streaming channels than ever before.  

Whilst younger generations’ appetite for watching a full match is declining, content consumption as a whole is increasing, with 30-60 minute streaming platform series and social media content growing in popularity. As a result, there is a rush amongst clubs, leagues and governing bodies to respond to fans’ insatiable demand for content by partnering with OTT platforms to produce docu-series.  

Traditional sports formats are also changing to appeal to a wider spectrum of generations and fans. The Hundred (cricket), super tiebreaks (tennis), RugbyX and 3x3 basketball are all examples of the shifts in fan preferences, resulting in new formats and rules being applied to traditional sports. Supplemented by slick digital content and social media engagement, format innovation is targeted at appealing to younger audiences’ preferences and habits.  

Stadium experiences are also transforming to meet fan expectations, with technological, sustainability and safety related enhancements at the core. Bringing the live stadium experience closer to those who can’t or won’t attend (with international and sustainable minded audiences) is also becoming an increasing focus for organisations looking to grow their fanbases. Digitally connected stadia and virtual/augmented reality in-home experiences will complement the fan experience, but these must be seamless and deliver real fan value to become truly mainstream and there is much work to be done here. 

 

Players  

Around half of Gen Z males in the US spend more time following non-traditional sports than traditional sports. This is challenging ‘traditional’ sports to evolve to attract younger audiences. The introduction of new Olympic sports in Tokyo 2020 and Paris 2024, such as climbing, skateboarding, surfing and breaking, is a direct response to the growth of these sports and aiming to draw younger and more diverse audiences to engage with the Games.  

A common denominator of high-growth sports is their more compact and action-packed format when compared with traditional sports. For example, Padel – a form of tennis played in an enclosed space – is the fastest growing sport in the UK with younger players finding it more exciting, sociable and easier to play than tennis.  

With participation and player dynamics changing, sports organisations are having to go back to basics to develop core digital capabilities to increase recruitment and retention of grassroots players. Making it easy for people to sign-up, find and book facilities online will be paramount to increasing participation as users expect a frictionless experience.  

 

Workforce  

Younger generations are growing up in a ‘purpose-focused’ world, challenging brands to reflect their values such as a commitment to sustainability, equality and inclusion. The race for talent is likely to continue at pace and younger generations in particular will seek out roles in sports organisations that have an authentic purpose and an inclusive working environment.  

The race for talent is likely to be particularly competitive for digital experts as new entrants and new innovations enter into the market. Private equity investment is playing an increasingly active role in professional sport and this is likely to soon filter down to grassroots sport, too. 

As the commercialisation of sports organisations develops, particularly at a grassroots level, the profile of full-time employees and volunteers within a workforce will also change.  

Sports organisations must embrace the change and importantly put themselves in a position where they are agile to respond to the changing demands of the next generation. 

The next decade will be crucial in determining the future success and legacy of some sports. Whilst the future consists of many uncertainties and potential challenges, it also will provide great opportunities for the sports industry to take an active role in addressing the next generation’s most pressing concerns: climate change and sustainability, health and wellbeing, and societal issues. 

 

Alice John, head of economic growth and development advisory in Deloitte's Sports Business Group, spoke on the panel The Future Fan at Host City 2022

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