How much does Glendale stand to make from Super Bowl LVI, and what is its overall impact on the city and the Phoenix MSA? If a city has a pre-existing stadium that meets the NFLs standard, that helps to offset some of the costs. Most recently hosted in 2015, the Super Bowl generated $719.14 million in total revenue, according to research done by Arizona State University. Even if a city isnt bringing in the $500 million to $700 million that the NFL dangles before them, if they can generate between $30 million and $130 million that Matheson suggested, then thats still a nice financial boon to the city. 2:06. Stadiums built within the last few years have cost billions of dollars, whereas State Farm Stadium cost $455 million to construct. Ridiculous is how Lauren Heller, an associate economics professor at the Campbell School of Business at Berry College in Georgia, describes the total benefits number. For instance, last years hotel revenue in Tampa saw a jump of 166% year over year. The Intriguing Finances Surrounding $66 Million Takefusa KuboTracked By Real Madrid, Coach Darryl Sutter Fired As Calgary Flames Continue Summer Of Change, Philadelphia 76ers Look To Win First Playoff Series Over Boston Celtics Since 1982, FC Barcelona Tell Newcastle United Their Raphinha Asking Price: Reports, Inflation Of Sports Media Rights Is Unsustainable, JPMorgan Analysts Say, wide fluctuations in the impact estimates provided, anticipated displacements for London's Summer Games. For Brandon Ahlgren, seeing the Tampa Bay Buccaneers advance to Super Bowl 55 was the best possible outcome from a bad situation. But NBCLXs Noah Pransky is here with a yellow flag for those claims. Conversely, in 2019, Victor Matheson, an economist and writer for the Journal of Sports Economics, estimated that the big game only brings in around $30 million to $130 million. And in 2025, Phoenix will host SEMICON West, the premier microelectronics exhibition and conference, marking the first time in 50 years that the prestigious event will be held outside of California. Can The Math Game Help The Denver Nuggets Beat The Phoenix Suns? Web1. Economic forecasts for such mega-events can be dubious in methodology and are notoriously overhyped, some experts say, acting more as a marketing tool for the events and their host cities than a true analysis of the business and tourism spending that is likely to take place. But experts and city officials say it's worth it and they expect to reap the general consensus of $400 million in economic activity from tourists. Got a confidential news tip? What Is The Super Bowl's Impact On The US Economy 5. What Super Bowl 50 Means For Host City's Bottom Line Phoenix has a full carousel of major sporting events now, and it will host the Final Four next year. Rousseau did acknowledge the disparity in the estimates. Narrator: The Super Bowl is America's biggest annual sporting event. Each year, over 100 million TV viewers tune in for the big game, making the Super Bowl nine of the 10 most-watched American TV programs of all time. And hosting it has become as American as watching it. "That's how they got to the $500 million.". Rob Higgins, president and CEO of the Tampa Bay Super Bowl LV host committee, stated that the demand for hotel rooms on previous weekends was 41,000 rooms per night but jumped to 67,000 during Super Bowl weekend. Costing an estimated $850 million, the community will offer 2,600 apartments, 150,000 square feet of retail space, and more, according to CoStar Group. NFL draft a boon for cities, teams since it hit the road February 8, 2023 In Draft Flier Kayshon Boutte, The New England Patriots Hope To Find All The Potential In The World, Wolfsburg Reach Womens Champions League Final In Front Of Record Attendance. Super Bowl economic impact touches down at $571 million Furthermore, the report stated that the average spectator spent $1781 per day and stayed in town for a little over three days. People are sick and tired of being home all the time and this is going to be their big splurge, said Roy Weinstein, managing director of Micronomics Economic Research and Consulting, which was hired by the Super Bowl host committee to study the economic benefits expected from the game and related events. This research will show if increasing local taxes in order to host the game yields an increase in per capita GDP after the game. Heller, the Berry College economics professor, said such reports are rare. The software allows economists to input such numbers as hotel room rates and ticket sales for a specific region to get an overall economic activity forecast. This Super Bowl's economic impact will be determined in about one month, once ASU concludes a new study, Rousseau said. Kansas City has been a tremendous host, this site is fantastic.. A $300-million (minimum) gondola to Dodger Stadium? I cover the economics of the sports industry. local news and culture, Elias Weiss Super Bowl hangover could be realor maybe it's the NY Giants, $4.5M Super Bowl ador all this on social media. WebA Arizona Super Bowl Host Committee President & Chief Executive Officer's compensation ranges from $517,801 to $856,158, with an average salary of $677,620. Opinions expressed by Forbes Contributors are their own. Master Your Draft Strategy With Our Free and Easy-to-Use Mock Draft Simulator, Be the first one to comment on this story. Before the pandemic, his company, Elite Events and Rentals, was clo Hosting the Super Bowl does provide an increased economic activity for the host city, the metro region and state. Super Bowl XLIX is in the books and the dust is settling in Glendale, Arizona, but the event's economic impact on the city is still being determined. 301 Route 17 N, Suite 1150, Rutherford, NJ 07070 USA | Telephone: (201) 902-2000, Image: PHOTO: Peaceful promenade in Miami's Bayfront Park. The NFL has a platform of demands that the host city must provide for the right to stage the game. The NFL and television networks arent the only people making money off of the Super Bowl: Theres no doubt that in the weeks leading up to the Super Bowl, host cities see a massive increase in things like hotel occupancy, shopping dollars spent and an uptick in action at the bars and restaurants. economic independent local journalism in Phoenix. The NFL an Beyond extravagant accommodations, Glendale is also set to open the first-ever Mattel Adventure Park in 2023, just south of State Farm Stadium, which will bring in families from across the U.S. to experience amusement park rides and multi-media attractions and stay nearby. Another view:All Arizona gets from the Super Bowl is a headache. The 2020 Super Bowl in Miami brought 4597 full and part-time jobs to south Florida and a total economic impact of $571.9 million to the region, according to a report released by the Super Bowl Host Committee. itself has canceled all of its activities for the Super Bowl, including its Friday night VIP party and a separate fundraiser and art auction. You may opt-out by. The Super Bowl's Economic Impact on its Host City Wes Moss has been the host of Money Matters on News 95.5 and AM 750 WSB in Atlanta for more than seven years now, and he does a live show from 9-11 a.m. Sundays. But experts and city officials say it's worth it and they expect to reap the general consensus of $400 million in economic activity from tourists. Super Bowl Impact New construction expenses, such as those associated with constructing a stadium big enough to stage the Super Bowl, may be levied against taxpayers. Rockport Analytics, a firm which has analyzed the Super Bowls economic impact on behalf of several host committees, estimates Super Bowl 50 will generate You may occasionally receive promotional content from the Los Angeles Times. Super Bowl's Impact On Productivity In the case of South Florida, which will host Sunday's matchup between the Kansas City Chiefs and San Francisco 49ers, the Super Bowl "If you think about it, all the people come in your airport, and stay in your hotels, use Uber, Lyft and Airbnb, restaurants. A native Californian, Martn was part of the Metro staff that won Pulitzer Prizes in 1993, 1995 and 1998. In my research, I analyze all 32 cities with an NFL team over the most recent 20 years to see if there is a significant impact on the host's economy. Rodney Barreto, chairman of the host committee, agreed. For cities that aren't hosting the Super Bowl but participate, they gain " destination branding " and an increased likelihood to be visited by viewers at a later date. Economic impacts on host cities are enormous but inconsistent. Houston raked in $350 million when it hosted the Super Bowl, versus Santa Clara's $240 million . However, researchers assert that the expenses are a small inconvenience to bear for hosting the most prestigious sporting event, which benefits various enterprises, both big and small. Opinion: You Cant Avoid NY Sports Betting Ads, But The Frequency Is Becoming Maddening, From Longshot Winners To Top Trainers, New York Ties Abound Ahead Of 2023 Kentucky Derby, Nassau County, Las Vegas Sands Announce 99-Year Deal For Coliseum Casino Site, Joe Lodise Brings In Over 15 Years Of Gaming Experience As New Rivers Schenectady General Manager, Impact Of New Combined-Leagues Coalition, NBA CBA Agreement On NY Sports Betting, Back-To-Back Jacks: New York Cashes Second Straight Mega Millions Jackpot, Everything to know about NY online casinos. The total economic impact is projected to be lower than in 2015 due to the Pro Bowl taking place in Las Vegas instead of the Super Bowl hometown as it was in previous years. Matheson said that most of the extra hotel revenue actually goes out of town to corporate headquarters. Ticket sales to allow up to 30,000 fans to watch the parade floats being assembled inside large warehouses before the parade were also canceled to reduce the risk of spreading the virus. The championship game was played on February 2, 2020 at Hard Rock Stadium. The Super Bowl has a major impact on the host city's economy. And that number will be impossible to ignore or overstate. When you start adding up all the costs that take place long before the game kicks off, you can quickly see how the promises of a $500-million-plus payday could seem inflated. Instead of half-a-day, its going to be a week or two of events taking place all around the stadium, so that will help us greatly with business and people coming in and out, he said. What Impact Will the Super Bowl Have on Glendale, AZ? "[ASU] did the analysis and surveying to determine the per capita spending in that population," he said. Major events like the Super Bowl have a significant economic impact on all sectors of the Los Angeles economy. The committee bases its projection on a study conducted by Arizona State University examining the economic impact from Super Bowl XLII in 2008, also held in Glendale. Super Bowl Host How much money will the Super Bowl bring to L.A.? - Los Angeles The Super Bowl's Economic Impact on its Host City Sign up for free newsletters and get more CNBC delivered to your inbox.