|Status : Published||Published On : Sep, 2021||Report Code : VRSME9063||Industry : Semiconductor & Electronics||Available Format :||Page : 200|
The testing, inspection, and certification market in sports and entertainment industry was USD 3 billion in 2020, registering a CAGR of 3% during the forecast period 2021-2027.
Testing in TIC means an industrial activity that assures manufactured products, individual components, and multi-component systems are suitable for the predetermined purpose. Inspection and testing are the operating parts of quality control which supports cost, productivity, on-time delivery, and market share, thus the critical factor for the survival of any manufacturing company. The testing, inspection, and certification market report is composed of conformity assessment agencies, which provide services from audit and inspection to testing, verification, quality assurance, and certification.
Globalization has led to product standardization norms and has penetrated developed technologies across various industries such as retail industry, sports & entertainment, electronics and automotive industries, etc., resulting in the growth of the TIC market during the forecast period 2021-2027. Moreover, the growing middle-class population, rapid urbanization, mandatory safety regulations, upsurge in the illicit trade of counterfeit and pirated products, advancement in networking and communication technology, the inclination of outsourcing testing, inspection, and certification services has propelled the growth of the TIC market in the sports & entertainment industry. Furthermore, there is a growth in the TIC industry to ensure products are of the highest quality and comply with regulations will minimize the risk of injury or expensive product recalls and will be able to promote the product with confidence, resulting in the growing demand for TIC in the sports & entertainment industry. Nevertheless, TIC provides various advantages related to its credibility and image, compliance with legal and regulatory requirements, less turnover of employees, high level of cost control improvement, and fast improvement of different processes.
The COVID-19 pandemic has negatively impacted the sports & entertainment industry as athletes and production houses cannot perform their sports and entertainment remotely. TIC is playing a crucial role by offering fast, reliable testing. Moreover, flexible components such as pooled testing, medical staff, collection services, and data integration will offer affordable and seamless solutions for the organizations. Business organizations in the TIC market for the sports & entertainment industry are intensifying IT infrastructures, developing technologies to sustain business continuity plans, conduct audits, damage assessments, and certification procedures, implying that the testing, inspection, and certification market are holding the substantial potential to bounce back from the COVID-19 outbreak. This is due to the fact that TIC services will enhance and protect brand reputation, verify products’ safety, and enables trade.
Insight by Sourcing Type
Based on sourcing type, the TIC market for the sports & entertainment industry is bifurcated into in-house and outsourced. Among the two segments, the in-house segment dominates the market and is anticipated to hold the largest share during the forecast period 2021-2027. Deploying in-house testing and inspection will offer companies to have complete control over the entire process in terms of technology, skilled personnel, and testing and measurement equipment. Thus, enabling organizations to handle TIC activities like on-site availability, ability to employ talent, and establish custom practices as per the needs and desires of the organizations.
Insight by Service Type
Based on service type, the TIC market for the sports & entertainment industry is segmented into testing, inspection, and certification. Among these segments, the testing segment holds the largest share in the testing, inspection, and certification market in 2020 so as to deliver safe products to the targeted markets. There is a need for testing to comply with regulatory authorities like REACH, RoHS, etc., performance evaluation regarding durability, fitness for use, and product certification like CE mark, GS mark. Moreover, the certification market is anticipated to have a high CAGR during the forecast period owing to the consumer awareness about the certified products, companies growing need to improve the product value, the surge in demand for quality and safe products, and mandatory regulatory requirements.
Insight by Industry Vertical
Based on industry vertical, the TIC market for the sports & entertainment industry is divided into sports industry (sports equipment, fitness studios, water sports products, bicycles & electric cycles, playgrounds & climbing parks, and others) and entertainment industry (theatre, stage and studio equipment, musical instruments, camping & seasonal equipment, and others).TIC services help in demonstrating the safety, functionality, and longevity of products in the sports equipment industry and these are the qualities consumers look for while purchasing sports gear. Bicycles and electric cycles are anticipated to grow at a faster pace as there is a rising prominence of biking for practical and leisure purposes, and plays a significant role to protect the environment.
The TIC market for the sports & entertainment industry is characterized by various industry trends such as growing investment in AR and VR, mounting adoption of connected devices and cloud-based technology, increasing mergers and acquisitions by the industry players, and sustained consolidation of suppliers leading to globalization.
The growing government-enforced regulations, considerable industry standards, certification requirements, and huge penalties against non-compliance parties are projected to drive the demand for TIC in the consumer goods & retail industry. There is a need to provide comprehensive quality, safety services, build, maintain & protect brand reputation along with product performance, and environmental protection will result in the growth of the TIC market for the sports & entertainment industry. Thus, the increase in attention of manufacturing companies to offer quality products will enhance customer retention, mounting demand for interoperability testing for connected devices and IoT, globalization, and rise of global trade, and emerging digital technologies will boost the growth of the TIC market in sports & entertainment industry.
The testing, inspection, and certification market may face certain challenges like trade wars and growth fluctuations, high cost of TIC owing to diverse standards and regulations globally. Moreover, a lack of testing facilities and skilled personnel may hamper the growth of the TIC market.
Testing, inspection, and certification is a massive market that provides lucrative opportunities in technologies such as AI, robotics, drones, big data analytics, next-generation automation, and cloud and cybersecurity. Moreover, there is a need to deploy an effective and extensive inspection system that provides promising opportunities for the growth of the TIC market in the sports & entertainment industry.
Geographically, APAC is anticipated to have a high CAGR during the forecast period owing to the rising investment in R&D, rapid urbanization & industrialization, huge manufacturing capabilities and exports, rising per capita income among the middle-class population, improved lifestyles, and increasing consumer awareness about the importance of quality certification, testing, and inspection. Moreover, the developed countries have their manufacturing units and testing labs in the region, especially in China and India. These manufacturing units manufacture products according to internationally accepted standards. Nevertheless, the growing middle-class population has led to the growth in private consumption and mounting demand for safety and product quality, resulting in providing opportunities in the sports & entertainment industry.
Key players are adopting technological changes to improve their product portfolio and generate new revenues, optimize the operational cost, and enhance service efficiencies via process upgrades. The industry players are taking the COVID-19 crisis as an opportunity to restructure and revisit their existing strategies, focus on new services and delivery models to access the demand for rising automation and enhanced digitization. Moreover, the industry players in the TIC market have started building strategies like mergers and acquisitions, product innovation, and geographical expansion to hold a major share in the TIC market for the sports & entertainment industry.
LGC, the international science group and market leader in analytical, forensic and diagnostic services and reference standards, and UL, a leading global safety science organization, have created an alliance for enhancing supply chain verification program for the sports and athletic supplements industry in North America.
Some of the key players operating in the TIC market in sports & entertainment industry: Intertek Group plc, Bureau Veritas, UL LLC, SGS SA, Eurofins Scientific, TUV Rheinland, SAI GLOBAL Pty Limited, TUV Nord Group, Turk Loydu, and TUV SUD.
Source: VynZ Reserach