Racing has the opportunity to tap into a new global audience of up to 200 million people if it can convert general sports enthusiasts and fans of entertainment and big events, according to a report published June 3.
To do that the sport needs to improve its digital landscape, present itself as a sport first rather than as a betting medium, and collaborate more on a global scale, the research claimed.
The report, The Horse Racing Audience Opportunity, has been compiled by the Racing Post's parent company Spotlight Sports Group and examined the sport's global fanbase and the strategies that will define its growth in the next decade. It drew together consumer research from GWI, PwC, Two Circles, and British racing's own Project Beacon, along with contributions from the Hong Kong Jockey Club, Ascot racecourse, Horse Racing Ireland, the Japan Racing Association, and the Victoria Racing Club in Australia.
Ascot chief executive Felicity Barnard said her team saw "huge" opportunities for the sport globally, with major racedays a chance to convert people into lifelong racing fans.
"I don't think anything is off the table," said Barnard in relation to British racing's efforts to boost funding. "Racing's digital offering needs to develop and evolve so that it can reach new fans."
She added: "Whether they are here in person or watching from afar, the content we distribute around the live experience is crucial. As the report highlights, racing's digital offering needs to develop and evolve so that it can reach new fans, and the insights from this work will help the whole industry do that more deliberately and at greater scale."
The report found that horse racing's global fanbase stands at between 36 million-48 million, but that there were up to 200 million people, from the ranks of general sports fans or those more interested in big events and entertainment, who could be converted into core racing fans with the right tools.
That would also have the benefit of attracting younger demographics, with those aged 25-44 being 18%-20% more likely than average to be sports fans, while 16-to 24-year-olds were more likely to be interested in big events.
The report also highlighted the changing way in which sport is consumed, citing evidence that 86% of the racing audience is "mobile first" with peak engagement between 6-11 p.m.
It urged the sport to follow the example of Formula 1 and create a single, unified digital entry point for new fans.
However, it acknowledged that different audiences engage with content in different ways and that it was important to retain the support and enthusiasm of existing fans, quoting Hong Kong Jockey Club chief executive Winfried Engelbrecht-Bresges as saying: "The strongest audience strategies are built around understanding distinct customer needs and behaviors."
Engelbrecht-Bresges is also quoted as saying: "When racing is presented as a sport first, around 70% of new fans eventually engage with wagering anyway. The fandom comes first, the betting follows."
The report argued that racing should be sold as a sport, not a betting product, in order to attract the widest possible audience. However, it also claimed that racing needed to make itself easier to understand to remain relevant to young audiences.
While acknowledging that some previous attempts to create series in racing have failed, the report argued that "sequencing major races into a season-long journey would help fans follow racing's story."
"Casual fans do not currently understand the importance of racing's big events," the report said. "By providing better context, the sport would boost its prospects of attracting new young audiences and generating excitement."
It also called for the creation of clear and accessible rankings systems for horses, jockeys, and trainers.
"The strongest racing experiences are built around emotion, atmosphere, and helping people fall in love with the sport itself," Barnard is quoted as saying, "creating a long-term engagement beyond betting."
The report also argued that making the betting experience more simple would result in positive outcomes, claiming that new audiences "feel intimidated when trying to bet."
"The sport should concentrate on intuitive betting formats that are easy to understand and move away from offering solely those that require a reliance on deep racing knowledge," it added.
The report concluded with a warning that inactivity "is no longer an option."
It added: "In all parts of the racing world there is a pressing need to act today in order to secure the sport's tomorrow. If it is to maintain its relevance, racing has to make more people want to follow its story."
