By: Hee-Dee Walenga
Various leaders and entrepreneurs of African sport gathered in Kigali, Rwanda for the third edition of the SportsBiz Africa Forum. This year’s forum was held under the theme “The Nexus Between Sports and Business Towards Africa’s Development.”
In her address, Rwanda’s Minister of Sports, Nelly Mukazayire, highlighted how Africa only has 0.5% of the global sports industry, which is valued between US$2.3 and US$2.65 trillion. Mukazayire asked the audience why there are individual countries in the world that have up to a 3% share of the industry, yet an entire continent (Africa) can only muster 0.5%.
The minister identified three points that can help Africa increase its share: data, people, and commercialisation.
“We need to look at how we create and collect data that is for Africans and collected by Africans that is going to be used in our markets. How do we use science and technology that is applicable to Africans, to our context, and to our athletes?” the minister stated, encouraging Africans to develop their own solutions instead of seeking foreign assistance.
Mukazayire also emphasised that data efforts for women’s sports on the continent need to improve because there is little to no data regarding women’s sports in Africa.
“We haven’t been doing much or enough in terms of understanding the athlete beyond their skill,” Mukazayire said when discussing how people can increase Africa’s share of the multi trillion dollar sports pie.
“What is the health, what is the mental health of the athlete, what is the environment around the athlete, what is the particular type of training in addition to the skill that this athlete needs to succeed?” the minister questioned, explaining that this information is also used to ensure that athletes live sustainable lives after their careers.
Mukazayire added fan engagement under the people point as well, explaining that countries and organisations that are succeeding in sport are those that have made intentional efforts to connect with supporters.
This point is particularly true for Namibia’s sports economy. There are only a handful of sports organisations and federations in Namibia that make an intentional effort to connect with their fans, yet expect the average Namibian to spend money on them.
On commercialisation, Mukazayire, who is also an economist, highlighted the need for African countries to tap into the value chain behind broadcast rights and merchandising. “The sport industry drives investment into manufacturing, garments, and food and beverage, which connect with the chain or supply chain of agriculture,” she said.
She also called for African countries to change how they invest in sporting infrastructures. Mukazayire stressed that facilities cannot be built just for the act of sport. “Today we need to think about adding an outlet for merchandise, a restaurant, a hotel etc. By building pitches, you’re creating community. By adding all those services, you’re creating value,” the minister concluded.
