The Business of Tennis, Pickleball and Padel: Piecing the Puzzle Together

By: Scott McCulloch 

When I talk to owners, developers and club leadership, one common question almost always comes up: Which sport should we be investing in?

It's a fair question, but I believe it's the wrong one.

After spending decades working alongside club owners, operators and racquet professionals, I've become convinced that the most successful facilities won't be built around choosing one sport over another. They'll be built around understanding the role that tennis, pickleball and padel play within the broader business.

Each brings something different to the table. Each serves a different customer. Each creates revenue in different ways. And when they're strategically aligned, they become far more powerful together than they ever could independently.

Think of it like a puzzle. Every piece matters.  But the sports themselves are only part of the equation. Behind every successful racquets operation is a staffing model and an operational model designed to support them. One leader simply cannot grow tennis, pickleball and padel alone. As facilities expand their racquets offerings, they must also invest in the coaches, administrators, programming teams and operational support that allow each sport to thrive. The puzzle isn't just about courts; it's about building the organization that supports them.

Tennis is the Engine

Tennis remains the foundation of the racquet sports industry, and for good reason.

No other racquet sport has built the infrastructure that tennis has over the past century. From junior development pathways and adult programming to leagues, tournaments, private lessons and a wide array of certified teaching professionals, tennis has an ecosystem that simply doesn't exist elsewhere.

From a business perspective, that matters.

For the overwhelming majority of clubs, tennis continues to generate the largest share of racquet revenue. Lessons, clinics, leagues, junior academies, camps, tournaments and long-term player development create recurring participation and predictable revenue streams that are difficult to replicate.

More importantly, tennis creates lifetime customers.

Players often begin as juniors, return as adults, introduce their families to the game and remain connected to facilities for decades. That's incredibly valuable.

Yes, tennis growth today is more measured than some of the emerging sports. But "steady" should never be confused with "stagnant." There is still tremendous opportunity for clubs willing to invest in programming, coaching, hospitality and member experience.

Tennis isn't yesterday's game. It's still the engine that drives most successful racquet operations.

Pickleball is the Gateway

If tennis builds lifelong players, pickleball opens the front door.

Few sports have lowered the barrier to entry the way pickleball has. New players can learn the basics quickly, experience success almost immediately, and begin enjoying the social side of the game within their first visit. That accessibility has made pickleball one of the most effective ways for clubs to introduce new people to racquet sports.

That's why I view pickleball as the gateway. It welcomes first-time players, reconnects former athletes with competition, and often serves as the first touchpoint that introduces someone to everything else a facility has to offer. Many players who discover pickleball eventually explore tennis, padel, fitness offerings, dining and social events, making pickleball much more than a standalone sport; it's often the beginning of a much deeper relationship with the club.

The business model, however, looks different from tennis.

Coaching certainly has an important place, but many pickleball players would rather spend their time playing matches (both socially and competitively) than taking weekly lessons or clinics.   While instruction certainly has value, many pickleball players enter the sport by simply getting on the court with friends. That's what makes the game such a powerful gateway. The business opportunity often centers less on traditional lesson pathways and more on creating frequent opportunities to play, compete and connect.

That's where the real opportunity lies.

Open play sessions, ladders, leagues, socials, mixers and special events create vibrant communities that keep players coming back week after week. Those recurring touchpoints often become the heartbeat of a facility. It's also where the membership value is truly felt. A nice facility with an average community is always outperformed by a facility with less bells and whistles, but a more engaged and active community.

Competition also deserves more attention than it sometimes receives. Pickleball tournaments have become increasingly popular because they're accessible, exciting and, in many cases, can be completed in a single day. That creates opportunities for clubs to activate their courts, attract new visitors and generate additional revenue without lengthy scheduling commitments.

Padel is the Margin

Padel may be the newest addition to many clubs, but its business potential is impossible to ignore.

Globally, it continues to be one of the fastest-growing sports in the world, and we're seeing that momentum steadily build across North America.

What makes padel particularly exciting is that it appeals to such a broad audience. Tennis players enjoy the strategy and shot-making. Pickleball players appreciate the social doubles format and accessibility. Many players quickly find themselves playing all three sports rather than choosing just one.

From an operator's perspective, the economics are equally compelling.  Unlike tennis or pickleball, padel is still defining its long-term business model in many markets. What makes it particularly exciting is its balance. Players often remain engaged in coaching and structured programming as they develop their skills, while also embracing the sport's naturally social culture and vibrant match play. That combination creates exciting opportunities for both participation and profitability.

Padel courts often generate strong revenue through court reservations, programming, leagues, lessons and memberships. When managed well, they can produce attractive margins while creating an energetic atmosphere that keeps facilities active throughout the day and evening.

Demand continues to outpace supply in many markets, making padel an exciting opportunity for clubs evaluating future capital investments.

Like every sport, success isn't simply about building courts.

It's about building experiences that keep players engaged long after their first match.

The Competitive Advantage is Variety

Not every facility has tennis, pickleball and padel. And that's perfectly okay.

Every club has different market conditions, available space, capital budgets and membership demographics. There is no universal blueprint.

But for facilities that do have the opportunity to offer multiple racquet sports, variety has become a meaningful competitive advantage.

Members increasingly value choice. One player may primarily play tennis but enjoy an occasional pickleball social. Another may discover padel through friends before taking tennis lessons. Families appreciate having activities that appeal to different ages, skill levels and interests.

From a business standpoint, multiple sports also allow facilities to maximize court utilization throughout the day, diversify revenue streams and better adapt to changing consumer preferences.  Just as importantly, variety allows clubs to design experiences that extend well beyond the courts. Thoughtful facility design, inviting social spaces and integrated food and beverage offerings encourage members to stay longer, connect with one another and make the club part of their lifestyle. Too often, facilities focus on adding courts without giving equal attention to the spaces that build community around them.

Private clubs can deepen member engagement. Resorts can create memorable guest experiences. Commercial facilities can broaden their customer base while increasing programming opportunities.

The goal isn't to replace one sport with another. It's to understand how each contributes to the overall health of the business.

The most successful operators won't ask whether they're a tennis club, a pickleball club or a padel club. They'll ask how each sport strengthens the other—and how, together, they create a better experience for every player who walks through the gate. That's where the real opportunity begins.

Looking to help grow tennis, pickleball, and padel at your facility? We'd love to learn more about what your priorities and goals are. Fill out this form and our expert team would be happy to start the conversation!