Paying the price: Sports after Covid-19

Guest opinion by Jeff Goldberg

Of all of the industries affected by America’s COVID-19 pandemic, the sports sector was among the hardest hit. With the U.S. forced into lockdown, almost all sporting competitions were suspended and it’s only now that they’re resuming again, leaving us sports betting fans without anything to wager on for months on end. But, as the country still grapples with the health crisis, it looks like sports are going to be played in a crowdless environment for the foreseeable future. Considering how much teams rely on matchday revenue, the ensuing financial impact could devastate the industry. Can the sector survive, and what does this mean for sports betting, one of the industries that most depends on it?

Empty stadiums leave sports teams in the mire: No crowds means no money coming in from fans on game days. It also means empty stadiums, which will be highly costly for all professional leagues. For example, it’s estimated that NFL sides will lose a staggering $5.5 billion if the 2020 season is played entirely behind closed doors. Of course, this will affect some teams worse than others, like the Dallas Cowboys, who will miss out on over half their revenue. There are also fears that fans won’t feel comfortable returning to these venues, even when they’re able to. For instance, a CivilScience poll found that one in five fans would never return to their local sports venues due to safety fears. This reduced interest would likely have a knock-on effect on broadcast and sponsorship deals too, especially among a probable economic depression.