Expanding the Sphere of Influence for Tennis– Think Locally

Increasing the Sphere of Influence for Tennis–
Think Locally                   

Tennis leaders are upbeat. They have aggressive plans for expanding the sphere of influence for tennis. At times, their commentary sounds like industry growth is as easy as waving a wand and pulling rabbits out of a hat.

Strategic growth is appropriate, but it requires more than stating that participation will increase, teaching professionals will be certified, and courts will be added or renovated. A more effective approach from industry leaders would include the following.

• Demonstrate strong and collaborative leadership to establish common goals.

• Understand the industry and how tennis facilities add value to communities.

• Learn from the best practices in other industries regarding workforce issues.

• Help local leaders align funding to their strategic goals.

• Use basic economic development principles to foster meaningful and measurable growth.

Understanding the Tennis Industry

The tennis industry is in the mature stage of its life cycle.

Within the last fifty years, the tennis industry experienced a temporary infusion of players following the Battle of the Sexes in 1973 and an increase of about six million players in 2020 and 2021 due to COVID-19 social distancing policies. Neither growth spurt was a result of industry programs or policies.

Right or wrong, the tennis industry recently brought pickleball, squash, platform tennis, and padel under its umbrella. These sports are now part of the discussion when renovating or adding courts.

Quick Tennis Industry Facts

Tennis

• 270,000 courts (RIRG)

• 23.8 million participants played at least once in 2023 (Sports Marketing Surveys).

• 11.8 million participants played at least ten times in 2023, 3.4% of the United States population over the age of five. (SMS)

• Participation increased by 249,000 in 2023. (SMS)

• Nine USTA sections increased, and seven decreased in 2023. (SMS)

• Sixty percent of tennis participants were in the Southern, Midwest, Texas, Southern California, Eastern, and Florida USTA sections. (SMS)

Pickleball

• Founded in 1965, Bainbridge Island, Washington

• 50,003 courts (USAP)

• 13.6 million players (SFIA 2023) Note: Estimates by other groups are higher.

• Top states for participation: Florida, California, Texas, Ohio, New York, Illinois (USAP)

Squash

• Squash is about 200 years old.

• 1.4 million players and 3,700 courts (https://ussquash.org/) and SGMA.

Platform Tennis

• Platform tennis was founded in 1928 in Scarsdale, New York, as a winter replacement for tennis.

• There are an estimated 2,000 courts in 30 states and eastern Canada. About 75% of the courts are in New York, New Jersey, Connecticut, Illinois, Pennsylvania, Ohio, and Massachusetts (APTA).

Padel

• Padel originated in Acapulco in 1969.

• There are about 48,000 courts in Europe and 13,000 in South America. (USA Padel)

• In 2023, there were approximately 454 padel courts in the United States. (USA Padel)

Tennis players are not distributed evenly across the United States. This is a result of different demographics, cultures, and the support that tennis receives locally.

The fifty-year-old adage, "Think globally and act locally," applies to planning for growth in the tennis industry. There has to be a local twist to increasing engagement in tennis at the national level.

Goals for Growth

Internal priorities and external factors determine the goals for renovating tennis facilities or building new ones. The best goals are the ones that are most appropriate to the local situation.

The unwritten goal of most tennis companies is to maximize profits for the owners or shareholders. TCA and its three divisions, is a company that strives to maximize its profits by providing excellent sports experiences.

Another approach is to maximize profit from the acquisition and sale of tennis real estate rather than the operation of the facilities. While this may be lucrative for the owners, it is not ideal for the tennis industry.

The goal for tennis programs run by many municipalities, government agencies, school organizations, or non-profits is to operate within a budget.

Public-private partnerships often have goals that allow them to effectively support a variety of tennis market segments.

Some facilities have social goals tied to hiring or membership policies. They may also have resource consumption goals related to energy, water, the environment, or a political ideology. These internal policies may conflict with or enhance profit goals.

The primary external factors affecting growth are demographic changes such as in and out-migration, the aging of Baby Boomers, and lower fertility rates. In-migration is most relevant in regions within the Sun Belt states, while out-migration is prevalent in some major metro areas in parts of Illinois, New York, and California.

The bottom line is that goals for growth must be clearly stated. Defined metrics will determine whether the goals are successful.

Adding Value to the Community

A new or renovated tennis facility is more than a battery of courts, a pool, and a snack shop. Based on its goal, it has the potential to touch many in the local community.

The Racquet Center at Albuquerque Academy recently renovated its facility with the assistance of a USTA grant. The Academy opened in 1955 and has been at the forefront of Albuquerque tennis since then. The recent renovation strengthened its long-standing commitment to service and outreach to its students and the community.

The Forked Lightning Club in Santa Fe, New Mexico, has a different model. It is a private club that created a partnership with First Serve New Mexico. The $20 million indoor/outdoor complex will open in the summer of 2025 with 12 tennis courts, nine pickleball courts, three padel courts, and three classrooms. The facility benefits students, the tennis community, and the mission of First Serve New Mexico.

The Denver Tennis Park partners with the University of Denver, the Denver Public Schools, and private donors to provide a special tennis experience for youth in Denver, K-12 programs, and the DU men’s and women's tennis teams.

In Boulder, the City Recreation Department and the University of Colorado Athletic Department are partnering to provide indoor courts for the CU Women's team and residents of Boulder.

Recreation programs, such as those managed by Susan Nardi in Westchester, California, also have multiple beneficiaries. The students have fun and improve their skills. The city has a reliable vendor who generates revenue to cover facility and operation costs. The students represent many demographics (age, race, ethnicity, gender, ability). One of the instructors, a WTA player, is being mentored to become a certified teaching professional. There are many winners in this program!

Community leaders value a new or improved tennis facility for other reasons.

• It is a gathering point that provides a positive environment for a mix of people with different interests.

• The facility supports a healthy lifestyle.

• Tennis employees have a wide range of skills. They spend their wages in the local community.

• The facility will have a supply chain that includes local businesses.

• The tennis facility will generate revenue from property and sales taxes.

• The facility attracts potential customers to visit local businesses.

• The tennis facility may attract other businesses to the area.

As tennis leaders plan for growth, they will learn how the value of local tennis facilities extends well beyond the boundaries of the courts.

Funding to Meet Goals

Many funding sources for tennis court renovations or new construction are similar to other construction projects. Additional options may exist based on the project goal - see the examples mentioned in the prior section.

There may be instances when endowments support a facility for high schools or college programs. Municipalities may offer tax credits or incentives to build or renovate tennis facilities. In certain situations, a facility might be built in an enterprise zone, or a recreation district may be established to fund the operations of a tennis facility, such as the South Suburban Parks and Recreation District.

Tennis leaders can also work with local officials to streamline building permits or ease regulations to expedite the completion of a facility. There are many creative options for funding the renovation or addition of tennis facilities. The funding process must align with the project goals.

Work Force Certification, Education, and Employee Retention

A strong staff is at the heart of success for a new or renovated tennis facility. Qualified workers are necessary to meet facility goals. Continuing education and employee retention programs are essential.

Employee retention efforts are necessary because the tennis labor market is seasonal and is seldom in equilibrium. In other words, there is often a mismatch between the posted qualifications for job openings and the applicants’ skills. A location mismatch may exist between the job openings and the preferred applicants.

It will be easiest to fill positions that require general skills, such as maintenance, accounting, or shop assistant. The challenge may be more difficult to fill positions that require tennis-related knowledge.

Industry leaders can consider best practices for managing the mismatch in skills, addressing seasonality issues, or integrating women and underrepresented groups into the workforce.

Again, the bottom line is that effective workforce management should align with business goals. This alignment will ensure continuity in operations, increased productivity, reduced expenses, and more consistent service.

Increasing the Sphere of Influence

Tennis is a great sport, yet only 3.8% of the United States population (11.8 million players) play a minimum of ten times a year. Many of those players play tennis less than once a month. What a pity!

It is not possible to wave a wand or pull rabbits out of a hat to increase the number of players, courts, and teaching professionals. The construction of USTA mega-facilities that compete against existing facilities and programs is not part of the solution either. Chicken and Pickle facilities may be a hit for pickleball players. A Chicken and Tennis facility will unlikely be a driver of growth in the tennis industry.

Tennis leaders must understand the industry, the value of tennis facilities to local communities, and the importance of managing a qualified workforce. With this understanding, growth strategies can be more intentional. The result will be more tennis success stories. This process is not as sexy as having a Chicken and Tennis or mega-facility in your backyard, but it is essential if the industry is sincere about increasing the sphere of influence for tennis.

In addition, Gary Horvath has conducted extensive business and economic research that has largely supported the state of Colorado's economic development efforts.