REG - 4GLOBAL PLC - New Market Entry

4GlobalAnnouncement

21/01/2025 07:00

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RNS Number : 0245U  4GLOBAL PLC  21 January 2025

 

4GLOBAL PLC

("4GLOBAL" or "the Group")

 

New Market Entry

 

4GLOBAL, a provider of data and technology for sports, fitness and wellness
organisations to optimise operational and investment decisions, is pleased to
announce the launch of 4GSportsPulse, a new offering targeting sports and
sports-related brands.

 

Overview

 

4GSportsPulse combines advanced data analytics with strategic consulting to
empower sports brands not only to understand where and how people engage in
sports but also how to act on these insights. 4GSportsPulse helps brands
uncover growth opportunities, optimise targeted campaigns and drive sales
while increasing sports participation - ultimately contributing to a healthier
society.

 

The breadth and depth of 4GLOBAL's 4+ billion data point sports participation
database combined with the Group's proven ability to leverage it effectively
provide 4GSportsPulse with a significant competitive advantage.

 

One example of the many potential use cases for 4GSportsPulse is a sports
brand planning new retail store openings. By incorporating 4GLOBAL's
participation and movement insights, the brand is able to gain a far more
detailed understanding of local demographics, their activity preferences, and
behaviours compared to traditional footfall data. This enables more strategic
decisions on store placement and marketing, serving local communities better
and driving improved commercial outcomes.

 

4GSportsPulse will be led by Alasdair Lloyd-Jones as Senior Vice President of
the division, reporting into the Group CEO. Alasdair, who joined 4GLOBAL in
the second half of calendar year 2024, brings over three decades of experience
across brands and data-driven marketing. He has deep expertise in turning
insights into impactful strategies and has worked with brands including Nike,
Adidas, Unilever, Mars and Diageo.

 

4GLOBAL has strong existing relationships with blue-chip international brands
through its presence in the sports, fitness and wellness ecosystem. The first
4GSportsPulse customer, the European Volleyball Confederation (Confédération
Européenne de Volleyball), has already been secured and the Group remains in
commercial discussions with several more.

 

Strategic Rationale

 

Already trusted by governments, cities, sporting bodies, trade associations,
health & fitness operators and sports clubs, 4GLOBAL's expansion into
brands is a natural progression.

 

Under Alasdair's leadership, the launch of 4GSportsPulse also brings the
potential for 4GLOBAL to expand its role in its existing customers' data
journeys, going beyond providing actionable insights to actively helping
organisations with implementation - identifying adjacent opportunities,
developing strategies and supporting delivery.

 

In summary, 4GSportsPulse not only unlocks a new vertical with significant
commercial potential, but it also creates new opportunities to deepen
relationships with existing customers and increase lifetime values across all
target segments.

 

Market Opportunity and Next Steps

 

Spherical Insights reports the global sporting goods market size was valued at
$534 billion in 2023 and is expected to grow at a CAGR of 3.97% to $788
billion in 2033. Concurrently, the global sports sponsorship market was
estimated by Statista to be worth $97.35 billion in 2023 and is projected to
grow at a CAGR of 8.68% until 2030, reaching a value of almost $190 billion.
The global sports analytics market, meanwhile, was estimated by Grand View
Research to be worth $3.52 billion in 2023 and is forecast to grow at a CAGR
of 21.5% to $14.41 billion in 2030.

 

4GSportsPulse sits at the intersection of these large and rapidly expanding
industries, with demand from brands for the offering expected to be driven by:

 

·    Significant increases in digital marketing spend and a greater
emphasis on data-driven decision-making

·    Growing adoption of AI and machine learning technologies

·    Requirement for ROI tracking and audience insights to support major
sponsorship deals

 

While 4GSportsPulse is globally relevant, the initial focus will be on
building traction in North America as the most mature market with the largest
near-term potential. This aligns with 4GLOBAL's strategic shift towards
focusing its new business efforts on the region where, as previously reported,
the Group has already seen early success.

 

Financial Model

 

4GSportsPulse is designed to generate a mix of project-based (Insight.Labs)
and recurring revenue (Insight.Solutions & Insight.Platform),
complementing 4GLOBAL's broader strategic shift towards a more predictable
sales model. While the initial focus will be on bespoke engagements with
brands, over time, the Group intends to integrate subscription-based
functionality, such as access to dashboards and analytics.

 

Current market forecasts do not factor in revenues from 4GSportsPulse. While
revenues are expected to be modest in year one, they are expected to become a
meaningful contributor to overall revenue within three years.

 

Eloy Mazon, CEO of 4GLOBAL, said:

 

"To date, we have largely focused on leveraging our data to help organisations
create and optimise sports and fitness spaces. With 4GSportsPulse, we are
extending our focus to the equipment, apparel, and other essentials that
enable participation, helping brands better understand, target and capitalise
on market opportunities.

 

"With the vast range of applications for our data and insights, expanding our
addressable market and diversifying our customer base in this way makes good
strategic sense. It complements our existing business, not only by introducing
an exciting new revenue stream and elevating our profile but also by enabling
us to deliver even greater value to our existing customers through partnering
with them to execute the actionable insights we provide.

 

"We continue to build strong momentum in North America, and the launch of
4GSportsPulse marks a significant step forward in expanding our footprint and
presence in the region. The opportunities for 4GLOBAL in this market were
already considerable, but with 4GSportsPulse now part of our offering, they
have become even greater."

 

Contacts

   4GLOBAL                                       via Alma
   Eloy Mazon (CEO)
   Stuart Wooller (Group Finance Director)

   Spark Advisory Partners (Nominated Adviser)   +44 (0)20 3368 3554
   Neil Baldwin

   Canaccord Genuity (Broker)                    +44 (0)20 7523 8000
   Bobbie Hilliam

   Alma Strategic Communications                 +44 (0)20 3405 0205
   Rebecca Sanders-Hewett                        4global@almastrategic.com (mailto:4global@almastrategic.com)
   David Ison
   Louisa El-Ahwal
   Josh Royston
   Will Ellis Hancock

 

About 4GLOBAL

 

4GLOBAL empowers sports, fitness and wellness organisations to make faster,
smarter decisions about their operations, customers and investments through
data and actionable insights.

 

It operates the largest sport participation and facility database in the
world, with more than 4 billion data points.

 

Sourcing data from health & fitness operators, community programmes and
other structured activities through its DataHub while drawing on information
from GPS location updates and wearable devices, 4GLOBAL's unique combination
of data assets provides a holistic view of physical activity patterns.

 

4GLOBAL is at the forefront of predictive modelling and advanced analytics,
with the insights it generates empowering customers to drive efficiencies,
improve customer relationships and make more informed strategic decisions.

 

Its customers span both the public and private sectors, including central and
local governments, cities, sporting bodies, trade associations, health &
fitness operators and sports clubs.

 

Key markets include North America, the Middle East and Europe. Its
headquarters are in London with offices in Miami and Istanbul.

 

4GLOBAL was founded in 2002 and listed on AIM in 2021 under the ticker 4GBL.

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