Jason Clement is Co-Founder and CEO of The Sports Facilities Companies (SFC), a large network of community-based sports facilities.
The mission is clear: to create opportunities for all youth to participate in sports.
The benefits of youth sports—ranging from the physical, mental and emotional to learning life skills like setting and achieving goals, teamwork and overcoming obstacles and failure—are not a new revelation. Still, their impact remains as crucial as ever. It’s no coincidence that many high achievers in various areas, including 94% of C-suite women, have played sports, according to an Ernst & Young report.
But youth sports are expensive today. The average family pays $883 every year for one child’s main sport, according to the Aspen Institute’s “State of Play 2022” report. The cost and discrepancies grow greater when comparing household income. “Parents in the wealthiest households spent about four times more on their child’s sport than the lowest-income families,” the report said. That means children in the U.S. have differing sports experiences, opportunities and upbringings based on money.
As the youth and amateur sports tourism industry continues to explode—it’s expected to reach $77.6 billion by 2026—providing many opportunities to the masses must remain a priority beyond just focusing on the bottom line.
It is critical to balance the mission and margin so they fuel and support one another without sacrificing either.
Here are three ways those involved in the youth and amateur sports tourism industry can strike a balance that benefits everyone, most importantly the child. It takes a village, from sports organizations and clubs to corporate partners and local municipalities.
Provide a scale of opportunities.
I believe it is detrimental to the development of young people through sports to offer a singular inflexible and unachievable opportunity from which only a limited number of families can benefit. Household incomes vary, and it is essential for leaders in the youth sports space to create a scale of opportunities with lower barrier-to-entry services for as many families as possible, regardless of whether their annual household income is $40,000 or $400,000.
Sports Business Journal reported that from 2020 to 2021, nearly 68% of children between 6 and 17 in the wealthiest households participated in organized sports, compared to almost 34% of children in the lowest-income households. Dionne Koller, director of the Center for Sport and the Law at the University of Baltimore School of Law, told Sports Business Journal there are two main issues plaguing youth sports: exclusion and barriers to entry because the industry is heavily privatized and expensive, as well as the “professionalization of youth sports” for those once they’re in it.
Since urban areas account for 80% of the U.S. population, municipalities and communities have the opportunity to offer a range of youth sports opportunities while keeping their costs low. In addition to local recreation programs, leaders could consider creating local “travel” programs where teams play against nearby towns or neighborhoods before the child reaches high school. Those who cannot afford to travel across the country can still gain valuable experiences in their area without expensive travel costs. The players will benefit from learning about different neighborhoods and playing against kids from different backgrounds.
In my experience, most teams don’t need to travel more than an hour to compete. However, the scale can continue to another level for families with the means and desire to play outside their state through a club team or amateur athletic union program. That should be an option for families who want it.
Creating this scale and ladder of opportunities allows families to move up and down depending on their interest, desire, potential and investment in a child’s athletic growth and success—regardless of their point of entry.
Offer financial support or assistance.
Provide opportunities for kids to afford to play and participate throughout the various stages of the scale you have created. Similar to academic scholarships for colleges and universities, delegating funds through scholarships, corporate sponsorships and nonprofits go a long way in helping young athletes pursue their goals without any financial constraints.
Consider the United States Tennis Association, for example. The USTA does a great job leveraging the U.S. Open, the fourth and final Grand Slam of the season, to raise money for its foundation to create opportunities for youth players. Earlier this year, more than $3 million was raised at an opening night gala to support the USTA Foundation’s mission to fund tennis and education programs.
Money should never be the reason for a child not to participate.
Leverage strategic partnerships.
All of the above sounds well and good, but the fact is playing comes with real costs. Building or renting a facility, turning on the lights and providing high-quality coaches, trainers, equipment and programming all require resources. This is where the balance with the margin comes into play so as not to ostracize certain kids in the program and community.
While the apparent revenue source will be registration fees for the youth participants, that doesn’t have to be the only income stream for a program that must pay for all the necessities. Diversifying revenue-generating opportunities through food and beverage; merchandise sales; fundraisers, such as auctions or 50/50 raffles; and parking all help generate additional revenue to help drive margins while subsidizing the mission.
The USTA Foundation also leverages partnerships (paywall) with brands, such as American Express, JPMorgan Chase and Jersey Mike’s, to support its mission. Jersey Mike’s, for example, donated 20% of sales during a weekend in September to support the foundation.
Ultimately, the goal is to create opportunities for everybody. While a one-size-fits-all solution does not exist for every community, these are a few ways various organizations can mitigate issues while keeping the youth the top priority.
Sport is transformational. I believe it can transcend factions; heal generational wounds; provide a common vernacular; and breathe confidence and character into young, impressionable and developing leaders. The ball fields, courts and rinks today are the building grounds for the inhabitants of tomorrow’s board rooms, courts, government offices, entrepreneurial startups and, most importantly, kitchen tables and living rooms of healthy families.
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