The rise of sports tourism has ushered in a new era for the hospitality industry, offering hotels a lucrative opportunity to diversify their bookings and cater to a vibrant segment of travelers. Sports tourism in the United States generated $9.7 billion in lodging revenue in 2021, highlighting its significant contribution to the industry.
In this post, we’ll explore how sports tourism is reshaping the landscape of meetings and events, drawing insights from recent trends, and offering strategies for hotels to tap into this dynamic market.
Exploring the Surge in Sports Tourism for Hotels
Sports tourism is not just about the games. It’s a comprehensive ecosystem encompassing sports fans, teams, sponsors, and the media, all requiring accommodation and venues for meetings, celebrations, and strategic discussions.
Cities like Las Vegas have showcased a remarkable 22.2% year-over-year growth in meeting volume, attributed significantly to sports entertainment. This trend highlights the potential for hotels to capitalize on.
Sports tourism offers a full range of revenue opportunities, from professional national events to regional/local sports teams.
- Large city-wide events drive attendee room nights and F&B revenue
- Team group room blocks boost room and F&B revenue
- Employee incentives and rewards coinciding with sports events can help fill day-of-week need dates.
- Client or prospective corporate meetings leveraging sporting events fill meeting space that would otherwise go unused.
Case Study: Las Vegas and the Blueprint for Sports Tourism Success
With its recent surge in sports-related meetings, Las Vegas serves as a blueprint for success in sports tourism. The city’s infrastructure, entertainment options, and capacity to host large groups have made it a hub for sports events. The key takeaway for hoteliers outside of Las Vegas is leveraging your unique assets—location, facilities, or services—to attract sports-related clientele.
Las Vegas is a prime example of a destination that leverages sporting events to attract and capture supplemental revenue from group business.
Revenue Sources of Sports Tourism
Hospitality:
- Hotels see increased group bookings from athletes, teams, fans, and event staff.
- Meeting space bookings from associated meetings or corporate events using the sporting event as an incentive or backdrop for client meetings or planning sessions
Food & Beverage:
- Catering services see a rise in F&B business for events and team meals.
- Restaurants, bars, and cafes see higher foot traffic and increased sales.
The amount of revenue captured depends on several factors:
- Size and scale of the sporting event: Larger events with international appeal generate more revenue.
- Length of the event: Longer events lead to a more prolonged economic impact.
- Number of attendees: More attendees translate to higher spending across various sectors.
- Type of sport: Some sports, like golf or motorsports, may attract wealthier audiences, leading to higher spending.
By effectively planning and promoting sports tourism events, local businesses, and organizations can capitalize on potential revenue opportunities and contribute to the community’s overall economic development.
Related Read: How to Attract Meetings and Events to Your Golf Resort
Strategies for Attracting Sports-Related Meetings and Events
- Track National and Regional Event Destinations: Knowing where large organizations host events can open opportunities for related meetings and events. National sports organizations and regional teams often host planning events, concurrent meetings, and executive sessions before or during more significant events. It’s a perfect opportunity for local venues to capture supplemental meeting business.
- Identify and Engage with Sports Leagues and Associations: Building relationships with sports organizations can position your hotel as their go-to venue. Understand their requirements, seasonal patterns, and how your hotel can meet their specific needs.
- Offer Tailored Packages: Create packages that cater specifically to sports groups, including flexible cancellation policies, tailored catering options, and spaces for equipment storage for teams.
- Leverage Marketing Channels: Use social media, email campaigns, and your hotel’s website to highlight your facilities’ suitability for sports events, showcasing past successes and testimonials.
Designing Tailored Experiences for Sports Teams and Fans
Creating memorable experiences for sports teams and their fans can set your hotel apart. This could include personalized welcome messages, themed decor reflecting the spirit of the sport or team, and arranging meet-and-greet sessions with local sports personalities. Remember, it’s about creating a connection that guests will recall long after their stay.
Leveraging Local Sports Events to Boost Hotel Bookings
Don’t worry—you don’t have to host the Super Bowl, FIFA World Cup, or Olympic Games to attract visitors. Local sports events, such as marathons, regional tournaments, or school competitions, can significantly impact hotel bookings.
Partner with event organizers to offer promotions and become the official hotel for the event. This boosts occupancy rates and strengthens your hotel’s presence in the sports tourism market.
Marketing Tactics to Spotlight Your Hotel as a Sports Hub
Effective marketing is crucial to positioning your hotel as a sports tourism hub. Highlight your hotel’s amenities, such as fitness centers, spas, and high-quality nutrition options, that cater to athletes and sports enthusiasts. Share success stories and testimonials from previous sports groups that have stayed at your hotel to build credibility.
Collaborating with Sports Leagues and Associations for Mutual Benefit
Partnerships with sports leagues and associations can be mutually beneficial. These relationships can provide a steady stream of bookings during sports seasons and open opportunities for sponsorship deals or hosting major sports events. Collaboration can extend beyond accommodation, offering spaces for press conferences, award ceremonies, or training sessions.
Measuring the Impact of Sports Tourism on Your Hotel’s Growth
To truly understand the impact of sports tourism on your hotel, it’s important to track specific metrics such as occupancy rates, average daily rate (ADR), and revenue per available room (RevPAR) during sports events. This data includes meeting metrics, including group room blocks, meeting space utilization, space revenue, and ancillary revenue from catering and A/V services. These metrics will help refine your strategy, demonstrating the value of investing in sports tourism as a growth driver.
In conclusion, the rise of sports tourism presents a golden opportunity for hotels to diversify their clientele and boost revenue. By understanding the needs of this market, creating tailored experiences, and building strategic partnerships, your hotel can become a preferred destination for sports-related meetings and events. Embrace the spirit of innovation, professionalism, and helpfulness to make your hotel a champion in the sports tourism arena. Knowland’s market insights can help you source revenue-driving sports events near you. Speak to an expert to learn more!
