Economic Impact Assessment World Mixed Curling Championship: October 13-‐20, 2018 |Kelowna, British Columbia
Prepared by: Richard Leigh-‐Bennett, CSTA EI Consultant December 28, 2018
WHAT IS EI? Economic Impact Assessment (EIA) studies measure the positive change in economic activity resulting from hosting an event in a specific city / town. There are three factors: 1. 2. 3.
the spending of out-‐of-‐town visitors while they attend the event; the expenditures of the event organizers in producing the event; capital construction costs that are directly attributed to hosting the event.
An EI study calculates the amount of new money being spent in the host community as a direct result of hosting the event, and then the impact these new monies have on the regional, provincial and national economy as a whole.
CSTA’S TOOL The Canadian Sport Tourism Alliance (CSTA) has developed a tool called steam pro2.0 that collects, measures and analyzes data across the three primary channels. Our economic impact services empower event organizers and host cities to accurately assess economic impact resulting from hosting a specific event in a specific location.
MODEL OUTPUTS The elements (outputs of the model) used to measure the economic impacts are: § § § § §
Gross Domestic Product (GDP) Employment Taxes Industry Output Wages & Salaries
CSTA’s steam pro2.0 measures the direct, indirect & induced effects for each of these elements.
RELIABILITY OF THE MODEL In order to produce economic contribution assessments that are robust and reliable, the CSTA has partnered with the Canadian Tourism Research Institute (CTRI) at The Conference Board of Canada. The CTRI serves the travel and tourism industry in providing sound economic forecasts and models with timely and insightful interpretation of data specifically relevant to travel. The findings in this report make use of the most current and most detailed input-‐output tables and multipliers available from Statistics Canada and leverages the credibility and robustness of sector specific tax data available from Statistics Canada’s Government Revenues Attributable to Tourism (GRAT) report.
HOW IT WORKS
WORLD MIXED CURLING 13-‐20 OCTOBER 2018 KELOWNA
WORLD MIXED CURLING CHAMPIONSHIPS The 2018 World Mixed Curling Championship was held in Canada for the first time at the Kelowna Curling Club, in Kelowna, British Columbia from Saturday October 13th to Saturday October 20th, 2018. This event attracted 35 of the World Curling Federation’s 60 Member Associations. The Kelowna Curling Club and Tourism Kelowna partnered to host this event. The Kelowna Curling Club, with its 12 sheets, is one of the biggest clubs in Canada. Previously the 2002 World Junior and the 1986 World Women’s Curling Championships have been held in Kelowna. President and CEO of Tourism Kelowna, Lisanne Ballantyne, said: “Tourism Kelowna is proud to support the winning bid for the World Mixed Curling Championship. With over 35 countries competing and many of them coming to Canada for the first time, this major event increases our destination awareness and appeal to an international audience”.
THE METHODOLOGY The visitor statistics cited in this report were derived from an on-‐site intercept survey that was developed by CSTA’s economic impact consultant for this assignment and customized for this event. The survey was administered by volunteers engaged by event organizers during the event. The CSTA provided training on data collection and both onsite and virtual support to surveyors/event organizers during the event. Surveyors selected potential survey participants through a randomized process. A total of 154 valid responses were collected through the survey. An additional email survey was sent post-‐event to augment the data, however 0 valid responses were received. The survey included questions for the participants, spectators and others attending the World Mixed Curling Championships related to spending, motivation to attend and the number of days they were in Kelowna attending the event. Additional questions provided event organizers with experience-‐related information. This survey data, together with event budgets, capital costs, organizer-‐provided spectator estimates and participant registration estimates were entered in the steam pro2.0 economic impact model.
VISITOR SPENDING Per P erson
Overall
$1,471
$516,447
$229
$80,284
Other Food / Groceries
$8
$2,664
Recreation & Entertainment
$6
$2,120
Retail / Shopping
$12
$4,121
Transportation
$64
$22,464
Accommodation Restaurants
Clothing Total
$6
$1,990
$1,795
$630,091
Average spending per person was $ 1,795 (estimated number of visitors was 3 51). • Average room rate was $ 176. • Average number of room nights was 8 .6 nights. • Average party size was 3 .2 people.
Aggregate V isitor Spending was over $600,000 Transportation, 4% Restaurants, 13%
Retail, 1% Groceries, 0.4% Recreation, 0.3%
Accommodation, 82%
Clothing, 0.3%
Visitor Origin & Role At the Event The majority of event attendees were from BC (61%) and were spectators (67%). The majority of Attendees were from BC 48%
Kelowna and Central O kanagan Lower Mainland North O kanagan South O kanagan Vancouver Island Other BC Alberta Other Canada U.S. International
The majority of Attendees were Spectators
5% 3% 1% 3% 1% 4% 5% 5%
67%
Spectator
13%
Participant
10%
Volunteer Coach /Team Staff Technical O fficer
25%
5% 3%
Media
1%
VIP
1%
Other
1%
Size of Party The majority (79%) of local attendees had a party size of 2 or less while out-‐of-‐town attendees had larger travel parties (55% were 4 or larger). The average party size for all attendees was 3.6, while locals had a party size of 2.2 and out-‐of-‐ towners had a party size of 4.9.
Number of people in party Total
Out of Town
Local
20%
9%
37%
28%
9% 13%
32%
1
9% 8%
25%
42%
47%
2
3
4
5 or more
9% 4%7%
Planned Daily Attendance Days Planning to Attend Event
The overwhelming majority (67%) of out-‐of-‐town attendees planned to attend the event for more than 7 days, while local residents planned to attend for 1-‐4 days (58%). The average number of days attending the event for all attendees was 5.8, while locals planned on attending 4.2 days and out-‐of-‐towners expected to attend for 7.3 days.
Total
Out of Town
23%
8%
19%
19%
6%
39%
Local
1 to 2
11%
3 to 4
47%
67%
19%
5 to 6
16%
7 or more
26%
Type of Accommodations Most (44%) of attendees stayed at a hotel or in a short-‐term rental (38%). Just one in ten stayed with a friend or relative in the area (11%). Just under half of attendees (48%) stayed 9 days or less, while the other half stayed 10 days or more (52%). The average number of days of accommodation in Kelowna was 8.3 nights.
Accommodation for Out-‐of-‐Town Attendees 44% 38% 11% Hotel
Short Term r ental
Staying with Friends /Relatives
6% Other
Nights Spent in Kelowna Out of Town Attendees 45% 20%
28% 7%
1 to 4
5 to 9
10 to 12
13 or more
Transportation
Travel While in Kelowna
Travel To Kelowna
46%
Rental car
The majority (67%) of attendees travelled to Kelowna by plane. While in Kelowna, just under half (46%) used a rental car as their primary form of transportation.
Plane
67% Taxi/Shuttle
Personal Vehicle
31%
Personal Car Walking
Bus
2%
25%
Public Transit
21% 5% 3%
Trip Motivation The large majority (81%) of the non-‐ local attendees who traveled to Kelowna indicated that the Mixed Curling Championships was the single reason for their visit to Kelowna. This was calculated based on a scale of 0 to 10, where 10 indicated the event was ‘the only reason for traveling to Kelowna’, and 0 indicated that the event was not at all a factor. Overall, the importance of this event in influencing visitation to Kelowna was 9.4/10.
Importance of Curling Championship in deciding to come to Kelowna 81%
10 8 to 9
7%
6 to 7
6%
4 to 5
6%
OPERATIONAL EXPENDITURES Event organizers spent approximately $94,000 on a variety of goods and services related to hosting the event. Food and Beverages and Event Accommodations were the main categories of expenses related spending.
Operational Spending By Event Organizers $25,323
Food and Beverages Event A ccommodation
$15,618
Other Expenses
$15,268 $13,857
Merchandise and Retail items Staff Salaries, Fees and Commissions
$8,000
Facility, Venue and O ffice Rental
$7,136
Transportation and Storage Marketings Costs
$5,572 $2,265
Other Supplies
$513
Communication
$500
CAPITAL EXPENDITURES In addition to the operational expenditures required to host name of event, event organizers spent approximately $26,000 on capital projects to ensure the successful operation of the event.
Capital Expenditures
Buildings and Renovations
Furniture and Fixtures
$20,000
$6,000
THE EI RESULTS The c ombined spending of out-‐of-‐town fans/spectators, participants, media, sponsors, and other people who visited Kelowna for the event, in c ombination with the expenditures made by the organizers of the event, totaled $ 750K, supporting $ 1.21 million in economic activity in British Columbia, including $ 1.04 million of economic activity in Kelowna.
Kelowna
British Columbia
Canada
Initial Expenditure
$750,000
$750,000
$750,000
GDP
$581,000
$690,000
$792,000
These expenditures supported $ 415K in wages and salaries in the province through the support of 7 .3 jobs, of which 6 .5 jobs and $ 358K in wages and salaries were supported in Kelowna.
Wages & Salaries
$358,000
$415,000
$470,000
6.5
7.3
8.1
The total net economic activity (GDP) generated by the 2 018 World Mixed Curling Championship event was:
Total Taxes
$203,000
$230,000
$250,000
Federal
$86,000
$98,000
$108,000
Provincial
$92,000
$113,000
$111,000
Municipal
$25,000
$19,000
$32,000
$1,037,825
$1,211,400
$1,426,740
• $792K for Canada as a whole • $690K for the P rovince of BC • $581K for the City of K elowna The event supported tax revenues totaling over $ 250K across Canada.
Employment
Total Industry O utput
Gross Domestic Product (at basic prices)
GDP The Kelowna Mixed Curling Championships contributed $792K in GDP to the Canadian economy through direct and spin-‐off impacts.
$792,225
Total Impact
$690,178 $581,198 $207,608
Induced Impact
$156,837 $100,253 $193,035
Indirect Impact
$141,759 $90,597 $391,582
Direct Impact
$391,582 $390,349
Canada
British Columbia
Kelowna (CMA)
Wages and Salaries The Kelowna Mixed Curling Championships supported $470K in Canada-‐wide wages and salaries through direct and spin-‐off impacts, with $357K earned by workers within the Kelowna area and $414K in additional wages and salaries earned by workers in other parts of British Columbia.
Wages & Salaries $470,478
Total Impact
$414,759 $357,720 $92,620
Induced Impact
$66,049 $40,647 $120,814
Indirect Impact
$91,666 $60,902 $257,044
Direct Impact
$257,044 $256,172
Canada
British Columbia
Kelowna (CMA)
Employment The Kelowna Mixed Curling Championships supported 8 full-‐ time equivalent positions (FTE’s*) across Canada, through direct and spin-‐off impacts. The majority (6.5) of these FTE’s were supported in Kelowna.
Employment (full-‐year jobs) 8.1
Total Impact
7.3 6.5 1.4
Induced Impact
1.0 0.7 1.9
Indirect Impact
1.5 1.0
*A FTE, or full-‐time equivalent position equates to a 2,000 hour (year-‐long) position.
4.8
Direct Impact
4.8 4.8 Canada
British Columbia
Kelowna (CMA)
Taxes The Kelowna Mixed Curling Championships supported taxation in Kelowna of just over $200K , while taxes contributed throughout the rest of British Columbia amounted to roughly $229K . Total federal tax contribution was just over $250K.
Taxes (Direct, Indirect and Induced Impact) $250,403
Total
$229,502 $203,006 $31,548
Municipal
$18,690 $25,474 $111,327
Provincial
$113,216 $91,754 $107,528
Federal
$97,596 $85,778
Canada
British Columbia
Kelowna (CMA)
Industry Output
Total Industry Output The Kelowna Mixed Curling Championships supported $1.0 million in overall economic activity in the Kelowna region, and just over $1.4 million Canada-‐wide.
$1,426,740
Total Impact
$1,211,400 $1,036,825 $338,628
Induced Impact
$239,216 $152,910 $1,088,111
Direct & Indirect
$972,184 $883,915
Canada
British Columbia
Kelowna (CMA)
SUMMARY | BY THE NUMBERS 2018 Kelowna Mixed Curling Championship– Key Facts & Figures
$750,000
$630,000
6.5
$1.21 Million
$250,000
of initial expenditures
of visitor spending attributable to event
Kelowna jobs supported by event
350
$415,000
$690,000
estimated out-‐of-‐town visitors in Kelowna
of wages and salaries supported locally
Financial information is presented rounded to $1,000
total boost to provincial GDP
overall economic activity in BC
in taxes supported across Canada
QUESTIONS? If you have any questions concerning the findings in this report, please contact: Richard Leigh-‐Bennett, CSTA EI Consultant Email: capradvisroy@gmail.com If you would like to conduct an EI study using steam pro2.0 on a future event, please contact research@canadiansporttourism.com