Economic Index increases despite flat participation, declining equipment sales and play occasions
HILTON HEAD ISLAND, S.C. (Aug. 21, 2019) — The total value of the U.S. tennis economy grew by 2.1 percent last year to a total of $6.19 billion, according to data from the Tennis Industry Association’s annual Economic Index, created to evaluate the total worth of the U.S. tennis industry to the overall economy.
The 2018 Tennis Economic Index value measured 112, the highest since the Economic Index value was first released in 2008, which is the index’s base year, with a value of 100. In addition, the increase in 2018 continues the steady growth of the Tennis Economic index since 2008.
The total value of the tennis economy is calculated by measuring various segments in tennis, including participation, facility revenue, program delivery and lesson/clinic revenue, equipment sales, media and revenue from the professional tours. Although sales of tennis equipment to consumers declined in 2018, gains were realized in facility and lesson revenue, sponsorships and ad revenue, which led to the overall 2.1 percent gain in the tennis economy at year-end 2018.
“We’re pleased to see the positive trend line continuing in the overall tennis economic index for 2018,” says Jolyn de Boer, executive director of the Tennis Industry Association. “But we are concerned that the important categories of tennis participation and tennis equipment sales remain flat or down. Every segment that contributes to the tennis economy is vital to the long-term health of this industry, and we need to remain vigilant to address challenges in those areas.”
From year-end 2017 to 2018, equipment sales at retail declined 1.9 percent, but gains were realized in tennis facility revenue (3 percent), lesson revenue (1.3 percent), tennis media revenue (2.6 percent) and tournament and pro tours (3.4 percent).