Lions lucrative
A study of spending by overseas visitors to Christchurch for the first rugby test between the All Blacks and the British and Irish Lions suggests the visiting team’s supporters may have put as much as $22 million into the city economy.
The work, by Rotorua-based consultancy APR, is based on 274 visitor interviews done for the Council in the days leading up to and immediately after the 25 June match. The report notes, however, that estimates of the total direct spend by the British and Irish visitors should be viewed cautiously because it is based upon a relatively small sample, with the average multiplied by 10,650 -- the number of overseas visitors it believes came here specifically because of the rugby.
APR got that number by comparing international visitor arrival information for the same period in 2004.
The Council has commissioned similar research for other sporting events and the Lions tour direct-spend estimate is by far the largest of those studied (the next largest are $11.2m for the Fina World Masters Swimming championships in 2002 and $3.4m for the World Wheelchair Games and ISOD World Athletics in 2003).
Estimates of typical event-related spending per person by those from Scotland, England, Wales and Ireland were $3010, $2161, $1742, and $1280 respectively. To factor out spending on international airfares, half the respondents’ travel spend was taken out of the calculations. APR notes the visitors spent more on beverages and food than on accommodation, indicating "a high level of spending on alcoholic beverages".
Using a standard multiplier formula (an estimate of the amount of additional economic activity generated by each dollar spent) of 1.49, APR calculates the $21.7m direct spend generated an economic impact of $32.3m and created the equivalent of 290 full-time jobs.
Other findings from the survey include:
- Of those surveyed, most came from England (41 per cent), Wales (22%), Scotland (11%) and Ireland (8%)
- 73% of those surveyed were men; and most (72%) were aged from 20 to 39
- 70% stayed between three and five days in Christchurch
- 70% of survey respondents went to the match
- The most common form of accommodation used was hotel (26%), budget hotel/hostel (20%) and own home/friends/relatives (18%)
- The estimated average spend per supporter was $2168
Asked about the event, respondents were complimentary about the city, with many of the visitors saying they thought the city was clean and that people were friendly.
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