All Home And No Play: Not Since World War II Has The Global Sports Industry Faced Such A Crippling Crisis

Published 3 years ago
Stadium background with a green grass pitch in the daytime

Not since World War II has the global sports industry faced such a crippling crisis, which is likely to cost billions of dollars in lost revenue and could yet see the permanent extinction of some teams and competitions.

The coronavirus pandemic that has spread across the world has the potential to change the face of sports forever, and Africa will not be spared, with one administrator suggesting the outbreak could set their game back 20 years.

The severity of the impact will be determined by how long it takes for society to live alongside the pandemic, but even if that were to happen in June, there has already been significant damage done.

Advertisement

Confederation of African Football (CAF) President Ahmad Ahmad has tried to provide a positive outlook, but knows the complexity of the situation on the continent is dire.

None of the 54 domestic leagues in Africa was still running in May, as Burundi was the last to close up shop the month before, but just when cross-border competitions such as the lucrative CAF Champions League, and qualifiers for the Africa Cup of Nations and World Cup, can resume, is anybody’s guess given travel restrictions are likely to be in place for some time, and vary from country to country.

“CAF is already focused on the conditions for relaunching our competitions and our events,” Ahmad said in comments supplied to FORBES AFRICA.

“Never has a crisis of such great magnitude crossed the world, never has world sport decreed so many postponements of its programs and never has such a tsunami struck the most basic sporting practice.

Advertisement

“We are now condemned to rebuild the basics, or at least to reinforce them, to energize them so that at the time of recovery, we will be the best structured and best disposed to conquer or re-conquer, the dry territories of sport and football.

It is Ahmad’s way of saying that any thought of returning to pre-coronavirus levels of engagement and sponsorship are fanciful in the short-term, or perhaps even medium-term.

His suggestion of having to “rebuild the basics” is a key admission and will be the same for many sports that face a sponsorship vacuum from some of the world’s leading brands.

When airlines, major sponsors of African sport, have been laying off staff and cut their schedules to next to nothing, can they justify pumping millions of dollars into sport?

Advertisement

The same for car manufactures, loss-making banks and oil companies hit by the drop in the price of crude.

The health conditions to allow play for many sports in Africa may return this year, but the question is whether there will be the financial support vital to being able to play the game.

Selwyn Nathan, commissioner of South Africa’s Sunshine Tour and a leading expert on global golf, suggests the pandemic may return the sport to the year 2000 in terms of financial capabilities.

“It could be like starting a business all over again, you can’t have an attitude that people [sponsors] will just come back,” Nathan says.

Advertisement

“It’s not something unique to Africa, or sport anywhere in the world, but we are going to have to change the way we do things.

“Players will have to accept that they are not going to be playing for the same money, and organizers must accept they will have to ask for less [money] and possibly do more just to retain sponsors.

“It is going to fundamentally change the way we operate and we have to adapt to that.”

Winners in some co-sanctioned Sunshine Tour and European Tour golf events can earn upwards of $1.5-million per tournament, but Nathan believes those numbers will be fanciful for the foreseeable future and it is likely to be a fraction of that.

Advertisement

The pandemic could be the death knell for ailing Super Rugby, the southern hemisphere club championship that has been hanging on for dear life, as it was, due to dwindling interest and its format that sees players criss-cross the globe between Argentina, Australia, South Africa, New Zealand and Japan.

In the case of world champion Springboks, that could actually work in their favor and see them looking north to Europe for club and country competitions, where the TV revenues are greater and load on players less, according to respected Stormers coach John Dobson.

“I believe there will be a restructuring of the game and that could be at Super Rugby’s expense,” Dobson says. “There could be stronger focus on domestic competitions with less travel and more tailored for television, because ultimately, that is where you get the revenue to run the game.

“It’s critical you have a product that is appealing to rugby fans, and after this period, maybe that will rather involve South African teams playing in the [European] Heineken Cup. I don’t know, but something has to change.”

Advertisement

Nicolas Pompigne-Mognard, who is chairman of the APO Group, a communication and business consultancy in Africa, says he has seen first-hand the toll the virus has taken on sports federations almost across the board.

“I think, unfortunately, it will have a devastating effect for many. First of all, athletes cannot train properly and when you are at the level of international competition, just a few percentage points off can compromise your body,” he says.

“Added to that, there is no competition and the longer this goes on, the longer it will take for athletes to return to peak performances, so in the near term, you will have a poorer product for television and sponsors.”

Pompigne-Mognard says cross-border competitions are vital in Africa and it is in these multi-national tournaments where many federations across different sports make most of their revenue.

“Each African nation is unlikely to return to full health at the same time, so, for example, the Basketball Africa League, which involves 12 teams from across the continent has to be put on hold until travel is possible.

“It will go ahead, but the question is when and what are the financial consequences of this? It is something that we cannot quantify now, so we live in this state of uncertainty and that is not good for anybody, sport or business.”

The postponement of the Tokyo Olympic Games to 2021 has brought much relief for many athletes, who had seen their training regimes brought to a halt, or at best conducted in the confines of their own home.

Olympic gold medalist swimmer Chad le Clos had had to make do with what he has at home while in lockdown in South Africa, one of thousands of elite athletes from across Africa in similar situations.

“It is what it is and I am happy with the decision (to move the Olympics) that has been made,” Le Clos says. “I have a small pool at home, so I attach a cord that allows me to stay stationary as I swim.”

 “We cannot afford to take a break, even in lockdown. You cannot let yourself lose the months and months of work that you have put into your body.

“I don’t know where or when I will compete again, but you have to stay positive. You have to hope for the best, that is all we can do.”

-Nick Said