Licensed Sports Merchandise Market

Licensed Sports Merchandise Market Outlook (2023 to 2033)

According to the recently released research report by Fact.MR, the global licensed sports merchandise market expanded at a CAGR of 2.4% from 2018 to 2022. Worldwide demand for licensed sports merchandise stands at US$ 34.45 billion in 2023 and the market is forecasted to progress rapidly at a CAGR of 7.1% and reach US$ 68.40 billion by the end of 2033.

Rising population of sports enthusiasts along with increasing urbanization is predicted to bolster the demand for licensed sports merchandise globally. Noteworthy expansion of the online retail sector is also stimulating licensed sports merchandise sales. The increasing number of worldwide and regional sports leagues is also estimated to aid market growth opportunities over the coming decade.

• The South Korean market is predicted to register 5.8% CAGR and reach a value of US$ 2.12 billion by 2033.
• Demand for sports footwear is forecasted to increase at a CAGR of 7.4% and reach a market valuation of US$ 25.38 billion by 2033.
• Sales of licensed sports merchandise in Japan are projected to rise at a CAGR of 6.8% and reach US$ 2.80 billion by 2033.

More consumers are shifting from conventional retail channels to online platforms to purchase products with convenient shopping experiences and to buy genuine quality products at economical prices. Licensed sports products, including sweatshirts & hoodies, t-shirts & tops, bottom wear, hats, caps, jackets, etc., with the logo of prominent sports teams are becoming popular among many sports enthusiasts. The growing spending capacities of several people along with their increased expenditure on sports merchandise are fueling market growth opportunities.

Goods and products with endorsements from athletes and sports teams are known as licensed sports merchandise. Footwear, clothes, video games, accessories and toys for sports, and sporting goods are some popular products that are covered in licensed merchandise. Further, sports entities get a fixed share of royalty payments from respective licensing organizations for numerous goods that are sold with their trademarked designs, logos, and other branding options.

Many fans of various sports and video games are inclined to wear officially licensed sports accessories and sports gear. Sports accessories and apparel that are waterproof, lightweight, and breathable are available in the market at premium price points. The growing use of online shops by consumers to purchase a wide variety of goods is also contributing to increased sales of products.

Noteworthy investments in conventional and e-sports are leading to the commercialization of contests, tournaments, and athletic events. The rising popularity of endurance sports, including cycling, swimming, and running is also contributing to increased demand for licensed sports merchandise. Moreover, rising investments by private and public companies for the promotion of sports events are predicted to open up lucrative opportunities for market players.

Report Attributes	Details
Licensed Sports Merchandise Market Size (2023)	US$ 34.45 Billion
Projected Market Value (2033)	US$ 68.40 Billion
Global Market Growth Rate (2023 to 2033)	7.1% CAGR
Offline Sales Growth Rate (2023 to 2033)	5.7% CAGR
United States Market Value (2033)	US$ 20.72 Billion
United Kingdom Market Value (2033)	US$ 3.35 Billion
China Market Value (2033)	US$ 19.01 Billion
Key Companies Profiled	Adidas AG Yonex Co. Ltd. Asics Corporation Under Armour INC Columbia Sportswear Company Skechers Dicks Sporting Goods Inc. Shiv Naresh Sports G-III Apparel Group Puma Inc. Nike Inc. Hanes Brands Inc.

Why is Demand for Licensed Sports Merchandise Growing at a Fast Pace Globally?

“Widespread Popularity of Commercial Sports Driving Demand for Licensed Sports Merchandise”

Commercialization of sports tournaments and events is boosting demand for licensed sports merchandise. Various products, including t-shirts, lowers and activewear, tracksuits, socks, and jerseys with the logos of key sports teams are gaining traction among various consumers who give preference to fashionable casual as well as gym wear. The growing spending capacities of many consumers and rising investments in some sports licensing activities are driving market growth.

A majority of teenagers are inclined towards sportswear due to the rising adoption of cross-cultural fashion trends. Fashion plays a vital role in the sports industry. One example of this is Levi’s falling sales of denim clothing owing to the rising popularity of fashionable sports clothing. Increasing consumer preference for sports items because of leisure purposes is boosting sales of licensed sports merchandise.

“Use of Superior Quality Fabrics for Producing Sports Merchandise”

The development of newer fabrics with numerous superior properties and the availability of different apparel with enhanced functionality are estimated to present opportunities for licensed sports merchandise suppliers.

For instance,

• In October 2021, Nike opened its new research lab, Lebron James innovation center for advanced testing facilities, product creation, and more.

“Rising Traction for Personal Computer and Console Games”

Noteworthy opportunities in leisure spaces and sporting goods are projected to contribute to the rising demand for licensed sports merchandise. The revenue of personal computer and console games is estimated to increase at a significant rate. Thriving public interest in sports is leading to the rising purchase of sports goods through different platforms.

Which Drawbacks of Licensed Sports Merchandise are Predicted to Create Barriers for Suppliers?

“High Cost of Licensed Merchandise and Easy Widespread of Counterfeit Products”

Some counterfeit products are easily available worldwide, which negatively affects sales of original products due to a lack of awareness. The market expansion is also forecasted to be hampered due to the increased prices of licensed sports merchandise.

Which Strategy is Being Adopted by Start-ups to Enhance Their Market Presence?

“Production of Environment-friendly Products to Reduce Carbon Footprint”

A dramatic shift from SF6 to nitrogen is stimulating manufacturers from different companies to engineer and design new products due to rising awareness about the carbon footprints on the environment. This stimulates start-ups to produce environment-friendly products while matching consumer requirements.

Country-wise Insights

What is Stimulating the Sales of Licensed Sports Merchandise in the United States?

“Ever-rising Popularity of Sports Leagues in the United States”

Sales of licensed sports merchandise in the United States are predicted to expand at a CAGR of 6.2% and reach US$ 20.72 billion by 2033. The dominance of the United States in the regional market is attributed to it having 3 of the top 5 sporting leagues across the globe.

Innovating fabrics with numerous superior properties and the availability of apparel with improved functionality are projected to open up lucrative opportunities for market players. In addition, the growing popularity of prominent sports leagues, including MLB (Major League Baseball), NBA (National Basketball Association), and NFL (National Football League) is projected to exhibit immense growth potential.

A majority of Americans are passionate about sports and they spend a noteworthy amount to purchase the licensed sports merchandise of respective players and teams. Furthermore, growing consciousness among various people about their health and involvement in different sports activities to stay healthy and fit is anticipated to boost sales of licensed sports merchandise, including gym equipment.

Why is Demand for Licensed Sports Merchandise Increasing in the United Kingdom?

“Inclination Toward Cross-cultural Fashion Trends in Sports Propelling Sales of Licensed Sports Merchandise”

Demand for licensed sports merchandise in the United Kingdom is projected to advance at a CAGR of 5.9% and reach a valuation of US$ 3.35 billion by 2033.

Rising popularity of numerous international sports among youngsters is predicted to boost the demand for licensed sports merchandise. Moreover, the growing adoption of different cross-cultural fashion trends in sports is also driving market growth.

Why is Demand for Licensed Sports Merchandise Surging in Japan?

“Huge Popularity of Badminton and Table Tennis”

Sales of licensed sports merchandise in Japan are forecasted to progress at a 6.8% CAGR and reach US$ 2.80 billion by 2033.

Increasing popularity of badminton and table tennis is predicted to contribute to the growing demand for licensed merchandise related to these games. Baseball and basketball are some other sports that are becoming popular in Japan, thus driving lucrative opportunities for suppliers of licensed sports merchandise.

Category-wise Insights

Which Product Type Accounts for a Higher Profit Share of the Market?

“High Popularity of Comfortable Footwear According to Changing Fashion Trends & Aesthetics”

Demand for sports footwear is estimated to increase at a CAGR of 7.4% and reach US$ 25.38 billion by 2033.

The quality and styles of footwear are evolving with the changing fashion trends and aesthetics to offer the utmost comfort to respective consumers. People idealize and admire their favorite sportspersons. They want to purchase their sports shoes, jerseys, etc. Further, sports footwear that is sold with endorsements of popular celebrities is also contributing to the increased profit share.

What Makes Offline Channels a Preferred Choice for Purchasing Licensed Sports Merchandise?

“Improved Interaction Between Consumers and Suppliers Leading to Rising Purchase of Sports Merchandise from Physical Stores”

Sales of licensed sports merchandise through offline channels are forecasted to increase at a CAGR of 5.7% and reach a value of US$ 32.22 billion by 2033. Most consumers prefer buying merchandise from physical stores, which is leading to the proliferation of various organized retail outlets that have improved interaction between customers and manufacturers.

Key Market Players

Prominent suppliers of licensed sports merchandise are spending on strengthening their supply chain management systems, providing quality products, new developments, maintaining product standards, etc.

Key players embrace various innovative approaches, including mergers, acquisitions, technological advancements, etc., to expand their market footprints.

For instance,

• In August 2021, Adidas AG agreed to sell Reebok to Authentic Brands Group Inc., adding another prominent name to the growing line of consumer companies.
• In December 2020, Fanatics acquired WinCraft, which is a licensed sports merchandise company. Fanatics has a noteworthy presence with numerous non-apparel merchandise due to the prominence of WinCraft in hard goods, including sports-themed banners and clocks.

Key companies in the licensed sports merchandise market are Adidas AG, Yonex Co. Ltd., Asics Corporation, Under Armour INC, Columbia Sportswear Company, Skechers, Dicks Sporting Goods Inc., Shiv Naresh Sports, G-III Apparel Group, Puma Inc., Nike Inc., and Hanes Brands Inc.

Segmentation of Licensed Sports Merchandise Industry Research

• By Product :

  • Apparel
  • Accessories & Toys
  • Footwear
  • Domestic and House Wear
  • Games & Software

• By Distribution Channel :

  • Online
  • Offline

• By Region :

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East & Africa