Coronavirus risks downward spiral for events industry

Global Events Industry was Projected to reach $2,330 billion by 2026

Rise in number of sponsors, enhanced reach among youth population, and increase in inclination toward entrepreneurship among youth was driving the growth expectation of the global events market. Europe accounted for nearly two-fifths of the total market share in 2018, and was estimated to maintain its dominating position during the forecast period. Asia-Pacific was expected to witness the highest CAGR of 13.0% throughout the forecast period.

The global events industry (Music Concerts, Festivals, Sports, Exhibitions & Conferences, Corporate Events & Seminars and Others) generated $1,100 billion in 2018, and was projected to reach $2,330 billion by 2026, registering a CAGR of 10.3% from 2019 to 2026.

The North American sports media rights — fees paid to air sporting events on TV, the internet, and mobile devices — were projected to reach $23 billion in 2021, up from $19 billion in 2017, marking a compound annual growth rate (CAGR) of 4.3%. Media rights were expected to be the most lucrative and fastest growing of the four segments (Media rights, ticketing, sponsorship, and cerchandising) that make up North American sports revenue. The growth of media rights revenue also reflects the premium that's was paid for live sports.

 

Coronavirus risks downward spiral for events industry

Now Country authorities around the world have cancelled all upcoming events to prevent further spread of the coronavirus. “This disease is presenting the exhibitions and events industry with an unprecedented global challenge,” said Cathy Breden, executive vice-president of the International Association of Exhibitions and Events. As the number of coronavirus cases climbs in the US, the UK and across Europe, some of the biggest event organisers face the risk that the disruption extends into the spring and summer .

This has a dramatic impact on all the live production companies around the world. Studio capacity and OBVan capacity is currently on hold. However we hope that by May or June we will see positive movement again. We think that is what everyone hopes. The good thing on the broadcasting side is that it will pick up very quickly because all the studio and OBVan infrastructure is only in rest mode and not dead. The teams take their well-deserved rest after hundreds, sometimes thousands of hours of overtime. And to get back fresh energy for the challenging times after the coronavirus. As soon as there is live content people will enjoy live sports and live concerts even more than before. Once the live production community will return to their normal professional lives, we expect sports and events broadcasting will pick up quickly.

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