Singapore Seeks Private Funding Boost for Sports Amid Challenges

Singapore’s sports sector is grappling with a pressing need for increased private funding as government support remains limited. Athletes like Lee Kai Yang, a water polo player and national team captain, have faced challenges in securing sponsorship. Lee, a three-time Southeast Asian Games gold medallist, recalls his initial attempts to partner with companies in 2017, where he found that many brands viewed him not as an athlete but merely as another social media influencer. “They cared more about my follower count than my achievements,” he noted, expressing frustration with the lack of understanding from potential sponsors.

Over the years, various elite athletes and national sports associations (NSAs) have encountered difficulties in attracting private sector support. A report by Channel News Asia (CNA) highlights that uneven visibility and interest in different sports contribute to these challenges. Experts suggest that a shift towards storytelling and national initiatives could help sports associations improve their funding prospects.

Current State of Sports Funding

The absence of public data on the ratio of private to government funding in Singapore’s sports sector complicates the landscape. In 2017, Sport Singapore (SportSG) supported 45 out of 63 eligible NSAs, funding their operational functions and training programs. By 2022, the government had invested approximately S$70 million (US$54.5 million) into national high-performance sports.

To enhance corporate involvement, the government established the One Team Singapore Fund in 2017, which matches donations to support national athletes. Early contributors such as Deloitte and Fullerton Health donated S$150,000 and S$250,000, respectively. More than 90 companies have since contributed to this fund, highlighting a growing interest in supporting local sports.

Despite this, funding from the private sector remains low. In the financial year 2023, donations to the sports sector amounted to S$13 million, a modest increase from S$7.9 million in 2021. This figure represents less than 1% of all donations made that year. James Walton, leader of Deloitte Southeast Asia’s sports business group, described the overall funding sentiment as “pretty depressing.” He pointed to a stigma surrounding sports sponsorship, which often leads to a quick dismissal by potential corporate partners.

Challenges and Opportunities for Sponsorship

Former CEO of the Singapore Sports Hub Oon Jin Teik acknowledged the diversification and professionalisation of sports sponsorship over the past two decades. While major events like the Formula 1 Singapore Grand Prix attract international sponsors, grassroots and semi-professional levels still struggle to secure consistent funding.

Some NSAs face additional hurdles in promoting niche sports. For example, the Singapore Sailing Federation encounters frequent rejections while seeking support, as sailing is less understood compared to more popular sports. Similarly, the Singapore Canoe Federation faces challenges in raising awareness about its various disciplines, which include sprint kayaking and stand-up paddling.

In sports lacking a strong local following, sponsorship often comes from individuals with personal connections to the sport. For instance, the Wrestling Federation of Singapore finds support primarily from former athletes or family members of wrestlers. Other sports, such as rugby and golf, must also leverage existing relationships to secure sponsorships.

The perception of sports sponsorship as a less valuable investment in Singapore compared to larger markets like Indonesia and the Philippines further complicates the situation. In these countries, private funding constitutes a significant portion of sports financing, while Singapore’s Football Association relies heavily on government support.

As Walton observed, a lack of a vibrant sporting culture in Singapore can inhibit corporate investment. “A vibrant sporting culture boosts participation, media coverage, and community narratives,” he stated. The absence of a strong culture may deter potential sponsors from investing in local sports.

Despite these challenges, some companies are taking steps to bridge the gap left by insufficient public funding. Various firms have partnered with sports organizations, not only to contribute financially but also to gain visibility. For example, Adonis Skincare and Major 99 have supported the relatively niche sport of tchoukball, aiming to connect with younger audiences.

Longstanding partnerships, such as that between Sunrise & Company and the Singapore National Olympic Council (SNOC), illustrate the potential for mutual benefit. This collaboration began in 1973 and has provided essential support for athletes over the years. Yeo’s, a prominent beverage company, has also committed to long-term partnerships with athletes, focusing on community engagement rather than immediate financial returns.

Experts suggest that sports associations should adopt a partnership mindset rather than viewing sponsorships as one-way support. This includes actively communicating the value of sponsorships and finding creative ways to engage sponsors. For instance, the Singapore Golf Association has organized golf sessions for sponsors’ clients, allowing athletes to share their personal journeys and highlight the dedication required in sports.

As athletes like Shanti Pereira and Loh Kean Yew gain recognition, the potential for increased corporate interest in sponsorships grows. SportSG noted a significant rise in corporate sponsors for Singapore Athletics, reflecting the positive impact of athletes’ recent performances.

Despite the progress, many stakeholders believe that embedding sports culture into Singapore’s national identity is crucial for attracting more sponsors. As the sporting landscape evolves, athletes and organizations are encouraged to proactively seek partnerships and cultivate relationships with brands. Lee Kai Yang, now more experienced in securing sponsorships, emphasizes the importance of educating potential partners about the unique value athletes bring to the table.

As Singapore navigates the complexities of sports funding, the collective effort of athletes, sports associations, and corporate partners will be essential in fostering a sustainable future for the nation’s sports ecosystem.