Sport, Activity, and Behaviour in a Changing World Paul Burditt - PowerPoint PPT Presentation

Understanding the Market: Sport, Activity, and Behaviour in a Changing World Paul Burditt Head of Insight and Strategy, LTA 1

What are the current trends in tennis? 2

Tennis comes from a challenging position in participation - but we were not unique in decline England Monthly Participation: % change among the top 20 sports/activities (2005/6 vs 2014/15) 100% Positive growth Negative growth 80% 60% % Change since 2005/6 40% 20% 0% -20% -40% -60% 3 Source: Active People Survey (NB comparison for Angling, Exercise, and Keep Fit vs 2010/11; comparison for Fitness vs 2015/16; comparison for Squash vs 2006/7

Despite that, tennis remains the 4 th biggest traditional sport, behind badminton ACTIVE LIVES SURVEY: England 2x Monthly Participation 16+: TOP 20 ACTIVITIES Year to November 2017 Cycling 17.3% Running 15.4% Fitness class 14.6% Gym session 12.0% Swimming 10.2% Exercise machines 8.4% Climbing or Mountaineering 5.5% Interval sessions 5.4% Traditional game sports Football 5.0% Weights session 4.6% Generic fitness training 4.4% Golf 2.2% Badminton 2.0% Tennis 1.9% Boxing (includes boxing fitness classes) 1.7% Rowing (includes indoor rowing) 1.6% Table Tennis 1.0% Squash 0.8% Bowls 0.8% Gymnastics (includes trampolining) 0.7% 4 Source: Active Lives Survey Insight: Paul Burditt

But the trend continues: traditional sports see YoY decline; individual sports take market share ACTIVE LIVES SURVEY: England 2x Monthly Participation 16+: TOP 20 ACTIVITIES Year to November 2017 - % change YoY n/a n/a referenced Cycling because Running 0.8% measurement changed vs first Fitness class 2.7% year Gym session n/a Swimming -5.8% Exercise machines n/a Climbing or Mountaineering 15.8% Interval sessions 27.2% Football -3.3% Weights session n/a Generic fitness training n/a Traditional game Golf -1.1% sports Badminton -6.1% Tennis -3.4% Boxing (includes boxing fitness classes) 10.2% Rowing (includes indoor rowing) n/a Table Tennis -4.0% Squash -17.5% Bowls -3.7% Gymnastics (includes trampolining) 13.7% 5 Insight: Paul Burditt Source: Active Lives Survey

So what’s happened? 6

An underlying and changing context…which has changed the way people think and feel about sport… …and a sense that tennis has some distance to “catch - up” with that changing world

It’s always on…and we have to strive for visibility and relevance

Sport is becoming explicitly “for everyone”…and we have to make people feel tennis is “for them”

The way people play sport is changing…we have to innovate to stay relevant

People can choose what they want, when they want, on a seamless online journey Discover Plan Play Advocate “I like how Classpass lets me track which classes and teachers I like, as well as helps me try out new classes easily.” 11

Fitness has changed the way people engage with sport Fitness has redefined the market

The paradigm has changed Fun & Enriching Medium Experience All round Strong, not skinny Self- Wellness/ Confidence Balance High Low Self-Testing (Strength & Power) The quest for a healthy balanced lifestyle: desire for Different Different physical emotional motivations Format intensity needs & mental strength One gym, 105 different classes All the most in-demand classes plus new workshops every month 13

Wellness – a simpler, holistic consumer perspective – has redefined what people are looking for

So, we are now selling the benefits of a lifestyle , not a product • Fit around busy schedule • Fit mindset and attitude (i.e. diet, family) • Opportunity to socialise with like-minded people (i.e. post workout brunch, online) The Lifestyle • Complementary of other interests and needs Fit (in life and sport) (i.e.: partnering with brands or other sports that contribute to the same lifestyle) • Combination of clothes, food, music, environment, etc.

Yoga, for example, has been at the forefront of driving change in the market… Measuring Success of Group Fitness Classes: Online interest over last decade 2008 2009 2010 2014 2015 2016 2004 2005 2006 2007 2011 2012 2013 CARDIO YOGA CROSSFIT ZUMBA HIGH-INTENSITY INTERVAL INSANITY WORKOUT AEROBICS TRAINING PILATES DANCE CLASSES 16 *BOXING, BOOTCAMPS & BARRE all show increase too but are too small in scale against SPINNING WEIGHT LIFTING YOGA Source: Google Trends 2017 (UK Search Data from 2004-Now)

…and has diversified to stay relevant : people have felt empowered to drive change and innovate by themselves BEFORE All round Wellness/ Low Intensity Balance NOW All round Self-Testing Fun & Enriching Self- High Low Medium Wellness/ (Strength Experience Confidence Balance & Power) HiiYoga Iron Yoga Normal Yoga Pre + Post natal Normal Yoga Iron Yoga Yoga for anxiety Hot Yoga Strength Yoga Antigravity yoga Yoga Restorative Yoga Strength Yoga Bikram Yoga Bikram Yoga Acro Yoga Restorative Yoga Antigravity yoga Yogilates Barre Asana Hot Yoga Yoga for Runners Pre + Post natal Yoga Acro Yoga Yoga for Runners Yogilates Yoga for weight lifting Yogilates Sup Yoga Meditative Yoga Sup Yoga Barre Asana Restorative Yoga Meditative Yoga Yoga for Anxiety Restorative Yoga Yoga for Anxiety Antigravity yoga 17

Apparel brands are leading the charge: exercise and fashion = athleisure

Brands are selling this new definition • Lululemon focuses on the spirituality, yoga narrative and lifestyle, rather than the products. It’s about a lifestyle choice. • Rebranding yoga to be more accessible and relatable to a wider audience • Brand partnerships: Taryn Toomey x Lululemon clothing line • Ambassador programme: global, local and hyperlocal • Free community fitness classes

Tennis still has reach and scale 20

Tennis still has a solid base to grow from • 4 million people aged 16+ played 1+ times in the last year • 1.2 million play monthly • 420,000 play weekly GB population People who played 1+ times in the last year Male 49% 58% Female 51% 42% 16-24 19% 45% 25-34 12% 16% 35-44 17% 17% 19% 12% 45-54 55-64 13% 5% 65-74 16% 4% 75 and above 5% 1% 21

Beyond playing, 27 million engage with tennis…20m just during Wimbledon, 7m during the rest of the year TENNIS ON IN BACKGROUND FOLLOW SCORES ONLINE/VIA ATTEND AS MUCH AS APPS/WHILE AT WORK/ON MOVE POSSIBLE, INC. ABROAD WATCH OTHER STUDY DRAWS AND BIG ATP/LTA MAP ROUTES FOR WIDER RANGE TENNIS APPS EVENTS (SKY, EUROSPORT) PLAYERS OF PLAYERS LIKE & FOLLOW TALK/SHARE FOCUS ON BIG 4 & BRITISH WITH FRIENDS ALL YEAR WATCH DAVIS CUP PODCASTS PLAYERS ROUND ATTEND WIMBLEDON SUMMER ONLY WATCH WATCH GS (BETTING) WIMBLEDON SEMI/FINALS TALK/SHARE DURING MEDIA/SOCIAL MEDIA→MORE HAVE ‘TENNIS FRIENDS’ WIMBLEDON WATCH WT FINALS RECORD AND WATCH Sporty READING /FOLLOWING FAVOURITE PLAYERS LATER BIG SCREEN/PUB BBC TALK/SHARE WITH WATCH DOUBLES OTHER SPORTS & WHEELCHAIR AWARE FANS INTEREST EXTENDS BEYOND OF TENNIS CALENDAR BLOGS/VLOGS SUMMER /WIMBLEDON ATTEND OTHER LONDON WATCH ALL YEAR YOUTUBE EVENTS (QUEENS, O2) ROUND VIDEOS VERY Sporty MEDIA/SOCIAL MEDIA CONSUMPTION→FOLLOW PLAYERS, EX PLAYERS, TOURNAMENTS, JOURNALISTS 22

HERO WORSHIP THE GAME ESCAPE BRITISHNESS Role models, Sporting rock Tension, drama, Absorbing/fascinating/ Uniquely British, stars, Rebels – shake excitement, momentum addictive. Relaxing, Wimbledon, part of British things up, Attraction and swings, come backs, therapeutic tradition admiration gladiatorial, epic contests, Supporting British players In awe of physical and rivalries technical prowess, Stamina, all round fitness, Never give up Nowhere to hide, TIME OUT Individual PATRIOTISM DRAMA ADRENALINE ESCAPE BEING IN AWE VALUES RELATIONSHIPS NOSTALGIA PERSONAL Fair play Big screens, pub, Henman Reminds me of my GROWTH Good behaviour Hill childhood, history, Learn about the game Respect ‘With my nan/sister/dad’ heritage and tradition Improve own technique Not tribal Office banter Technical, Tactical Played equally by Watch with my boyfriend Players’ lives men/women Getting kids involved Gossip RELATIONSHIPS Sporting BONDING PERSONAL GROWTH FAMILY DISCOVERY SOCIAL May 2018