The Size of US Sport: A $1+ Trillion Industry

Having analysed the size of the global sports industry, it is important to highlight the USA as a large contributor to the current sports landscape.

American sports and their spread across the world combined with the introduction of US investors in football have emphasised the presence of the USA on the global sports scene.

Of the $2.65 trillion estimated revenue of the global sports business industry in 2023, $1.06 trillion comes from the US – around 40% of the global total.

What Are the Biggest Revenue Streams?

Leading the way when it comes to income is the area of sports products, which, in 2023, contributed around $380 billion to the US’ $1.06 trillion figure according to the same Global Sports Insights report.

At the heart of the sports product industry are sportswear, sports equipment, and sports nutrition, which have such high revenues because of their appeal to the average sporty person, as well as elite athletes.

Sports participation was the second-biggest contributor at $355 billion. According to the U.S. Department of Health and Human Services, the US is aiming for 63.3% participation among young people by 2030.

For the 55.4% who currently take part, participation ranges from recreational sport, where expenses like club memberships and match fees form a $196 billion revenue stream, to outdoor activities like camping and fitness pursuits such as going to the gym.

A third contributor is fan engagement. Making up the leftover $327 billion, this number spans sports events, sports media and sports entertainment, and is a vital cog in the US sports machine.

In 2024, the Dallas Cowboys led the NFL for highest home attendance in the league. Averaging over 92,000 fans per game, as well as being responsible for two of the three most-watched NFL games so far this season with 25+ million viewers each, they are an example of the numbers US sport can bring.

The NBA is a further example of world-class fan engagement, producing 24/7 coverage and discourse to engage fans in a league where the average team is worth over $4 billion.

In 2023, the US had 193 professional sports teams contributing, at least in part, to the country having the highest consumer spending in the world, according to Global Sports Insights.

The Impact of Sport on the US Economy

In the US, income from the sports industry is reaching unprecedented heights, with Neil Bradley of the US Chamber of Commerce saying the sports industry should be seen as having the same importance as healthcare or manufacturing. 

In the next three years, the US will host the world’s biggest sporting events, including the FIFA World Cup in 2026 and the Olympic Games in 2028.

Though various stadiums are undergoing upgrades, there will not be any new stadiums built for the 2026 World Cup due to the region’s pre-existing sporting infrastructure. This means fewer expenses for the organisers, and the tournament is targeting a revenue of $10 billion, including $4.4 billion in ticket sales, which would make it the most lucrative sporting event of all time. According to FIFA, the tournament is estimated to add $40 billion to the nation’s GDP, as well as create 185,000 jobs.

The USA: A Commercial Powerhouse

It isn’t just ticket prices that make the US such a powerful player in the sports industry.

Starting with the famous commercialisation of the 1984 Olympic Games (the first since 1932 to turn a profit), the US is known for its ability to excel commercially in the sporting world.

This financial success extends from the franchises themselves to the media and broadcasters that put them in global view.

Beginning with the franchises, the now-international reach of US sport has made partnering with professional teams a promising investment opportunity for sponsors. Stadium naming rights are one example of how brands can expand their name, with AT&T reportedly paying up to $19 million a year for the naming rights to the Dallas Cowboys’ stadium.

Media companies similarly commit substantial funds for the rights to broadcast live sport in the US. In 2023, the NFL reached an agreement with some of the US’ biggest networks for a 10-year media rights deal worth approximately $110 billion.

Globally, US sporting competitions further boost their revenue and reputation through league-specific streaming services, with the NBA launching the NBA League Pass in 2012, and MLS agreeing a 10-year deal with Apple TV to show live games in 2023.

Looking ahead, the growth of women’s sport, esports and sports technology are all areas poised to increase the nation’s already significant sports revenue. With this growth comes employment opportunities in a variety of different fields, from sponsorships to event management.

If you aspire to work in these exciting fields, GIS is a great place to secure the education that can help you on your career journey. 

With online programmes as well as the option to study at our various global hubs including Miami and Toronto, GIS students have the flexibility to work and study simultaneously. To learn more about our course offerings at both undergraduate and postgraduate level, click here.
Article by Zakaria Anani