Findings Organization Information

At the onset of the study, we collected broad organizational information so further analysis could be analyzed by elements including organizational structure and number of full-time equivalents (FTEs).

The majority of respondents (63%) are employed by a DMO/CVB in some capacity.

• Overall, only 16% of respondents indicated they worked for a stand-alone sports commission, but this number rose to 30% for organizations with a budget over $1M.

• City or county departments accounted for 11% of survey respondents.

Organizations continue to operate with lean staff (specific to sports tourism).

• Almost half (46%) of sports events and tourism destination leaders note their organization has a full-time equivalent (FTE) of one, while an additional 38% revealed a count of two to five.

Select the option that best describes your organization's total FTE (full time equivalent) count specific to sports tourism.

Greater than 8 out of 10 operate with a sports staff of less than or equal to 5 FTEs.

• However, despite having five or fewer dedicated sports tourism staff, the overwhelming majority of these individuals have the authority to develop (94%) and maintain some control (92%) of their organization’s sports operating budget.

This finding aligns with Sports ETA’s 2021 State of the Industry Report. Think of your closest 10 destination colleagues. Chances are only 1 or 2 of them likely work for a true stand alone sports commission!

Key Insights

• As continually observed across our data collection, the percentage of destination organizations that are truly stand-alone sports commissions is small, especially in small-mid markets. This likely has a direct relationship with the ability – or lack thereof – to sustainably fund sports events and tourism efforts independently.

• It stands to reason that larger markets have at least the community capacity in key resources (personnel, business community support, fundraising capacity, etc.) to warrant their increased prevalence of independent structure.

• While true stand-alone sports commission structures are more the exception than the norm, many sports tourism organizations still maintain a significant role in the development and maintenance of the sports events and tourism department’s operating budget.

• We often hear of “sports commissions” that have their own name, brand, board, and budget that share formal organizational structure and varying levels of administrative support (finance, marketing, human resources, etc.) with the other entity.

Most organizations have a primary funding source, but only half are allowed to maintain financial reserves.

25%

• The survey revealed 72% of organizations have a contract with a primary funding source (lodging tax, TID (Tourism Improvement District) funds, etc.). This number was nearly consistent across budget sizes (Over $1M – 74%, under $1M - 72%).

4%

Does your organization have a contract with a primary funding source such as lodging tax or TID funds?

4%

25%

72%

Does your organization have a contract with a primary funding source such as lodging tax or TID funds? Yes No Unsure

Who awards the contract?

• Counties (38%) and cities (39%) were the most common governmental entities who awarded these contracts.

• 55% of these contracts did not have a designated term, and 1 in 5 (20%) were one year or less.

Financial Reserves

• Fewer than half (47%) of respondents revealed that a provision or internal policy exists in the contract which allows the organization to maintain financial reserves.

• Of the organizations with a provision or internal policy, only 43% indicated a limit on reserve amount. The most common amount was 4 to 6 months of operating expenses (13%).

Performance Goals

When looking at quantifiable criteria, organizations (regardless of budget size) shared similar performance goals and/or deliverables outlined in the contract.

• In total, only four of the 36 answer choices exceeded the 20% mark:

Top 5 Performance Goals by Frequency

The chart below outlines performance goals/deliverables based on organizational structure:

“If you can’t measure it, you can’t manage it.” Peter Drucker.

Key Insights

• From a financial security perspective, three out of four organizations have no contract or a oneyear contract with their primary funding source. This data underscores the potential susceptibility of the organizations in this category’s financial position should funding be revoked or the relationship between the organization and the funder becomes distressed.

• Organizations without longer-term assurance from their primary funding source should prioritize establishing additional funding mechanisms and cultivating their primary funding source(s) for long-term sustainability.

• More than 75% of respondents either aren’t sure or have no contractual provision related to financial reserves, opening them to financial risk. Establishing financial reserves: A solid rule of thumb is six to 12 months of operating expenses.

• Those without performance goals/deliverables tied to their primary funding contract should consider establishing some in order to continually demonstrate their value proposition.

Knowing the performance metrics by which your organization (and thus staff) are measured, is crucial. See Sports ETA’s Expanded Definition of Success whitepaper and Beyond Economic Impact certificate course for more detail on this topic.