As the so-called creator economy—estimated by Goldman Sachs analysts to already include $250 billion worth of activity—continues to grow, Grandstand wants to get both college and pro athletes in on the action. The athlete empowerment startup recently raised $2.75 million in a funding round led by Will Ventures, with plans to launch an app that would allow fans to follow and financially support their favorite players.
“Today’s athletes are incredibly compelling storytellers and entrepreneurs, and they deserve a digital tool kit that is purpose-built to help them capitalize on their unique influence,” Will Ventures partner (and former NFL player) Ben Gardner said in a statement. “Grandstand finally gives athletes an interactive opportunity to provide their most engaged fans with a front-row, all-access pass across every step of their journey and unlock a massive new revenue stream in doing so.”
As it enters a period of early access and testing, Grandstand will first partner with James Nicholas, a pro golfer and Yale alum with more than 100,000 Instagram followers. Invited users will be able to get updates on Nicholas for free in the Grandstand app, while other features, including certain posts and Q&As, will sit behind an athlete-specific paywall. Players on the platform can also explore merchandise and event opportunities. Grandstand will take a percentage of revenue generated through its app, and is offering equity in the company to athletes who participate.
Grandstand was founded by CEO Sandeep Rajan, who previously worked on Patreon’s product. Patreon and OnlyFans have welcomed some athletes onto their platforms, but the dual challenges of players finding time to interact with their fans and followers committing to a new platform to engage with the stars have proved significant. Other attempts at turning athletes into influencers have left competitors worse off than they started.
Rajan and the Grandstand team are already thinking about how to make it as easy as possible for athletes to interact with fans through the platform. They also intend for stars to be able to promote their Grandstand offerings via existing social media platforms.
“Athletes have some of the most loyal and passionate fan bases in the world but have not yet benefited from many of the tools and technologies that have unlocked creator freedom and monetization over the recent years,” Rajan said in a statement. “We believe that by applying the best of these ideas in a way that’s unique to athletes and their biggest fans, we can unleash a new era of true fandom in sports in a way that uplifts and unites athletes and their communities.”
With eyes on a wider launch next year, Grandstand plans to focus first on individual and Olympic sports. The startup has also partnered with Parity, an online sponsorship platform which connects more than 800 female athletes with brands and fans. Direct-to-fan platforms could one day be particularly valuable for college athletes looking to leverage their name, image and likeness rights, allowing them to go beyond ad-based brand partnerships or university-affiliated collective allocations.
“In today’s rapidly evolving sports landscape, we recognize the immense potential of harnessing the creator economy to accelerate growth in women’s sports and to narrow the massive gender income gap” Parity CEO Leela Srinivasan said in a statement. “Through a direct-to-consumer subscription model, Grandstand provides a unique avenue for women athletes to amplify their voices and build strong, engaged communities and in turn, create new avenues for revenue generation.”
