Bloomberg Business of Sports – Episode Summary

Episode Title: Kohler CEO David Kohler on Family's Golf Ties; Unrivaled $120 Million Funding Round
Date: May 9, 2025
Hosts: Michael Barr, Scarlet Fu, Vanessa Perdomo
Featured Guests: Kim Bhasin (Bloomberg News), Sean Quill (KPMG), David Kohler (Kohler CEO)

Overview

This episode dives into the major movements in the business of sports, focusing on the professionalization and investment happening across youth sports, the strategic role of private equity and facility development in major sports franchises, and culminates with an in-depth conversation with David Kohler about the Kohler family’s enduring golf legacy, involvement in the PGA Works Collegiate Championship, and efforts to broaden golf’s reach and diversity.

Key Segments & Insights

1. Unrivaled Sports’ $120 Million Funding Round Led by Dick’s Sporting Goods

[02:06–13:45]

Main Discussion Points

• Unrivaled’s Model & Expansion:

  • Youth sports company operating venues, events, and leagues in 30 states.
  • Initially focused on baseball and softball, now expanding into flag football, lacrosse, and basketball.
  • Founders: Josh Harris and David Blitzer; CEO: Andy Campion (ex-Nike, Disney).
  • 1.4 million annual visitors; plans to acquire more properties and launch additional leagues.

• Dick’s Sporting Goods Strategy:

  • Dick’s leads the new $120 million funding round.
  • Sees deep synergy with Unrivaled’s youth sports footprint.
  • Operates “House of Sport” stores, venues for events and community engagement.
  • Potential board influence will allow integration of the retail and youth sports experience.

• Private Equity’s Role:

  • PE titans are fueling the trend of corporatizing youth sports, taking what used to be volunteer-run organizations into a streamlined, data-driven, asset-focused business.

• Flag Football:

  • Big expansion focus for Unrivaled (recently acquired and rebranded New England Flag Football).
  • Major brands (Nike, Under Armour, NFL) see flag football as an accessible, less-dangerous growth sport, especially for girls.
  • The sport's momentum is building ahead of its inclusion in the Olympics.

Notable Quotes

• “Unrivaled Sports is a youth sports company. They own venues, tournaments, programming for kids... This is national. Operate in 30 states now and have grown from baseball, softball, now football, lacrosse, basketball...”
  — Kim Bhasin [04:18]

• “Dick’s has like 850 stores...but also ‘House of Sport’... You do community event in there. Have all the kids in... it just makes a lot of sense.”
  — Kim Bhasin [05:18]

• “I used to go to tournaments and forget my cleats. They should have pop-up stores!”
  — Vanessa Perdomo [06:58]

Memorable Moment

• Vanessa’s personal story about almost skipping a college showcase to play high school flag football, and her wish for today’s expanded opportunities:
  “I wish I had this opportunity the girls have now. Right? Because it’s made for girls right now. Big focus.”
  — Vanessa Perdomo [09:15]

2. PepsiCo’s New Chief Sports Officer & The Expansion of Brand Sports Strategy

[09:45–13:45]

Main Discussion Points

• Centralized Brand Activation:

  • New Chief Sports Officer at PepsiCo (Brett O’Brien) will oversee an integrated sports marketing division across all brands (Gatorade, Frito-Lay, etc.).
  • Marketing is now organized by sport (NFL, basketball, etc.), enabling deeper, sport-specific campaigns and endorsements.
  • Notable campaigns include Gatorade x Kendrick Lamar and athlete endorsements (Caitlin Clark).

• Industry Implications:

  • PepsiCo’s change could push rivals like Coca-Cola to follow with their own centralized sports officers.
  • The role of sports sponsorship as a pillar in consumer package goods marketing is growing rapidly.

Notable Quotes

• “They’ve put it all into one division...separating by sport...focus in on individual sports with big anthemic campaigns.”
  — Kim Bhasin [10:01]

• “The sponsorship deals are just growing and growing... It’s essential, it’s become an essential part to the advertising ecosystem.”
  — Kim Bhasin [12:24]

• “We’re going to see a Messi Hot Cheeto from this, is what I am assuming.”
  — Vanessa Perdomo [11:48]

3. Private Equity and Sports Franchise Valuations with Sean Quill (KPMG US)

[15:13–27:47]

Main Discussion Points

• Sports Finance Landscape:

  • KPMG US has a major sports division, advising on deals like the Boston Celtics’ $6.1 billion sale.
  • Driver for team sales: rising valuations, need for investment, family legacy changes.

• Private Equity’s Increasing Presence:

  • PE provides capital, business acumen, modern data analytics.
  • Teams are limited (fixed asset pool); big capital needs for new facilities fueling PE interest.
  • Some legacy owners prefer selling to individuals/families over PE to retain control.

• Facilities & Fan Experience:

  • Renovations, new arenas, and non-game day uses (e.g., immersive art, business suites, sportsbooks) are critical to revenue and community engagement.
  • Owners seek ways to make venues profitable year-round, not just on game days.

• Artificial Intelligence in Sports:

  • AI is key for both internal processes (audit, tax) and evolving fan engagement (personalizing the experience, data-driven insights, frictionless transactions).

Notable Quotes

• “The number one trend right now is around facility renovation or new builds...being able to afford that is harder and harder. Private equity offers a lot in that space.”
  — Sean Quill [17:59]

• “It’s a fixed asset pool...it’s not like housing. Nobody’s building more franchises.”
  — Sean Quill [17:59]

• “Data and analytics...there is so much potential. We know so little about the typical fan...most franchises aren’t leveraging that data.”
  — Sean Quill [21:54]

Memorable Moment

• On why teams diversify their venues:
  “If you think about the fact that most of these owners own their own buildings, it’s like having a vacation house and not using it much...You want concerts, other non-sporting events, to keep it a community hub.”
  — Sean Quill [24:26]

4. Golf, Diversity, and the PGA Works Collegiate Championship with David Kohler (Kohler CEO)

[28:45–40:55]

Main Discussion Points

• Kohler’s Partnership with PGA:

  • Multi-decade relationship with the PGA of America; host of three PGA Championships and the 2021 Ryder Cup at Whistling Straits.
  • Sponsored a six-year partnership to host the PGA Works Collegiate Championship, a collegiate tournament predominantly for HBCUs.

• Promoting Diversity in Golf:

  • Kohler provides grants toward the HBCU Golf Scholarship Endowment.
  • Effort is about offering high-level competitive opportunities and exposure for student-athletes from underrepresented groups.
  • Kohler family deeply involved, with David’s wife Nina incoming chair of the PGA Reach Foundation.

• Golf Industry’s Post-Pandemic Growth & New Venues:

  • The pandemic fueled a renaissance in golf, attracting new, younger, and more diverse players.
  • Off-course and virtual golf experiences (Topgolf, clubhouses with simulators) are democratizing access and lowering barriers for younger generations.
  • Video golf and primetime entertainment formats like TGL are becoming entry points for new fans.

• Future of Golf Events:

  • The importance of providing a “major championship” experience for all participants, nurturing the next generation for both playing and industry roles.
  • Suggestions to further enliven new entertainment formats in golf by bringing in celebrities (“Kevin Hart and Snoop Dogg” as commentators).

Notable Quotes

• “If you look at the 38-year history of this [PGA Works] event...what it means to the game of golf in terms of growing the game...it’s done so much over the years.”
  — David Kohler [29:43]

• “Golf is not an inherently diverse sport...if you look at HBCUs, they’re 3% of U.S. universities but graduate 20% of Black Americans. Making sure they have a championship level competition is an important part of growing the game.”
  — David Kohler [32:55]

• “Covid was one of the best things that ever happened to golf. The numbers really exploded. And the best thing is it’s continued on the growth trajectory.”
  — David Kohler [37:21]

Memorable Moment

• “Mixing it up, maybe with a Kevin Hart in there, here and there to commentate...we just need to continue to spice up the theater.”
  — David Kohler [40:49]

Timestamps for Key Segments

• [02:06] – Start of Unrivaled Sports/Dick's Funding round
• [05:45] – Discussion about retail and youth sports synergy
• [09:45] – PepsiCo’s Chief Sports Officer segment
• [15:13] – KPMG’s Sean Quill on private equity and sports franchise valuations
• [24:26] – Venue utilization and fan experiences
• [26:49] – Role of artificial intelligence in sports business
• [28:45] – David Kohler interview: Golf, diversity, and industry growth

Tone & Language

The episode is conversational, insightful, and pragmatic. Hosts and guests bring a balance of industry expertise and real-world anecdotes, maintaining an energetic yet approachable tone.

Final Takeaway

This episode provides a comprehensive look at how big business is reshaping both the grassroots and professional ends of sports. It explores the marriage of capital and community in youth sports, rising sophistication in franchise management, the ongoing search for fan engagement and venue optimization, and ends with a testament to how legacy and inclusivity can fuel a sport’s future. Whether you’re an investor, a parent, or a golf fan, there’s insight here on how the business side is decisively guiding the next chapters of the sports world.