Wasserman’s The Collective® Launches Research centered around investment opportunities in north american women’s sport teams

LOS ANGELES, CA

– New research, developed in partnership with Royal Bank of Canada, anticipates that the value of NWSL and WNBA teams will increase by at least $1.6B in the next three years
– The Collective® created a new blueprint for women’s team valuations that considered valuation drivers inclusive of 40 key variables and investors’ motivations across different ownership structures

The Collective®, Wasserman’s women-focused, global impact and advisory business, today released the findings of The New Economy of Sports – Part II, in partnership with Royal Bank of Canada (RBC). Through an evaluation of the two most established women’s sports leagues in North America, the Women’s National Basketball Association (WNBA) and the National Women’s Soccer League (NWSL), the study demonstrates that women’s sports teams are poised to unlock billions of dollars in new value for investors.

Among the key insights, the study found the value of the WNBA and NWSL teams is anticipated to increase by at least $1.6B in the next three years, resulting in a major upside for the entire women’s sports industry. On average, more than 60 percent of this growth is based on the new revenue from increased broadcast viewership and gameday attendances. In comparison, new team franchises make up 40 percent of valuation growth.

Given the rapid growth of women’s sports in 2024, the landscape is primed for new investors to impact the future of the sector significantly. By providing capital and resources, investors can support the development of essential infrastructure that will sustain long-term growth while positioning themselves to maximize future returns – and leave a legacy in the future of women’s sports.

“This research reaffirms what we’ve known for some time—that the women’s sports industry is an incredibly valuable and rapidly growing sector,” said Managing Director, The Collective® Thayer Lavielle. “WNBA and NWSL teams are leading the charge, but this growth is not limited to these leagues it’s about the growth of the entire women’s sports ecosystem. As we continue to see increased fan engagement, media attention, and sponsorship spend, it’s clear that investing in women’s sports is a smart business decision. The future of women’s sports is bright, and now is the time for investors to seize the opportunity and be part of this transformative moment.”

Utilizing a quantitative and qualitative approach, the study collected all data in Q3 of 2024 and looked at three components: future team valuation forecasts, valuation drivers inclusive of 40 key variables, and investors’ motivations across different ownership structures. The Collective® also conducted exclusive interviews with owners and stakeholders of women’s sports properties, including Willow Bay, lead owner and representative to the NWSL board for Angel City FC, and Joe Lacob of the Golden State Valkyries.

Key themes for future investors to consider include:

– Teams that sell approximately 85% of the seats in their home venues (with an approximate capacity of 18-19K attendees) are more likely to have higher
valuations.
– In general, fans of WNBA teams are 13% more likely to purchase merchandise from their favorite teams than NBA fans; teams with highly engaged fan bases that capture ancillary revenue, such as from enhanced merchandise offerings outside of traditional in-venue sales, are likely to have higher valuations.
– Teams in women’s leagues often feature diverse ownership models, unlike the single-majority owner model standard in men’s sports. These structures encourage active investment and greater stakeholder participation. Celebrities are almost twice as likely to own WNBA and NWSL teams as the NBA or MLS, and almost 40% of WNBA teams have a celebrity owner.
– Teams selling the front-of-kit patch for $1.4M (USD) average annual value and WNBA teams selling their jersey patch for US$1.1M average annual value are more likely to have higher valuations.

This is the second part of a study that was released in August 2023 when RBC partnered with The Collective® to address and quantify the pay disparity between men and women athletes while also highlighting the extraordinary influence women athletes have on their fan bases. This continuation of the work shifts to focus on another crucial part of the sports ecosystem – owners and investors in women’s sports properties. From this new research, RBC hopes to illustrate the growth potential in women’s sports and provide relevant data points to support current and prospective clients considering entry into the ownership space.

“It was important to us to make sure that numbers are available to arm key stakeholders and clients to help them make data-driven business decisions,” said Luana Harris, Managing Director, RBC Sports Advisory. “This year we focused on creating a better understanding of what may be impacting valuations, key revenue drivers, and motivations for investors across different ownership structures. The more people understand about the sports ecosystem, the more they can play a role for advancement in ways that are valuable and impactful to them.”

The full report can be found here.

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About The Collective
Wasserman operates at the epicenter of sports, music, entertainment and culture, serving talent, brands and properties on a global scale. The Collective® is Wasserman’s women-focused, global impact and advisory business that exists to provide rationale that drives investment in women. We aim to advance the power of women in sports, entertainment, and culture by providing unique insights, strategies, and ideas. For more information, visit WEARETHECOLLECTIVE.com.

About RBC
Royal Bank of Canada (including City National Bank, an RBC company) is a global financial institution with a purpose-driven, principles-led approach to delivering leading performance. Our success comes from the 100,000+ employees who leverage their imaginations and insights to bring our vision, values and strategy to life so we can help our clients thrive and communities prosper. As Canada’s biggest bank and one of the largest in the world, based on market capitalization, we have a diversified business model with a focus on innovation and providing exceptional experiences to our more than 18 million clients in Canada, the U.S. and 27 other countries.

Established in 1989, the RBC Sports Advisory navigates all areas of the organization to create an efficient roadmap to support clients across the global sports ecosystem, and brings together top bankers, advisors and wealth management specialists who provide integrated financial services and tailored strategies to help those in the business of sport set a solid foundation for financial success. A thorough understanding of the rapidly evolving sports industry, and extensive experience with clients worldwide allows us to understand their needs. From stadium and league financing, to supporting ownership consortiums and advising athletes, agents and executives, we’re here to help with every step of the journey.

About Wasserman
Wasserman operates at the epicenter of sports, music, entertainment and culture, serving talent, brands and properties on a global scale. Wasserman works with iconic sports and media figures across the world in every major sport, utilizing our extensive influence to maximize negotiations and create meaningful opportunities for our clients across teams, leagues, brands, content and live events. We are the power behind you.

Headquartered in Los Angeles, Wasserman’s presence spans 28 countries and more than 68 cities, including New York, London, Abu Dhabi, Amsterdam, Hong Kong, Madrid, Mexico City, Toronto, Paris and Sydney. For more information, please visit www.teamwass.com.