Activities related to Super Bowl LI will generate a record $190M in direct spending throughout the greater Houston area, according to figures released today by PricewaterhouseCoopers. PwC U.S. Sports & Tourism Sector Dir Adam Jones said when adjusting for inflation, the area could see an approximate 40% increase in direct spending (in nominal dollars, not adjusted for inflation) over the last time the market hosted the Super Bowl in ‘04. That figure is lower than recent games, said Jones, because Houston’s Super Bowl footprint is fairly compact, reducing travelers’ transportation expenses. “In contrast to the prior three games in the San Francisco Bay area, Glendale, and New York/New Jersey, Houston’s centralized downtown with close proximity to the host stadium allowed this year’s host committee to plan events within a relatively small radius, enabling visitors to spend more time on experiences and less time traveling -- ultimately enhancing the visitor experience while capturing greater overall return,” noted Jones. The estimate includes spending on area lodging, transportation, food and beverage, entertainment, business services and other hospitality and tourism activities. It is based on a proprietary analysis, which considers characteristics unique to this year's event such as the participating teams, local market attributes, national economic conditions and scheduled corporate and other ancillary activities. Excluded from the analysis is a “multiplier effect,” which accounts for "indirect" impacts, such as a concession company's purchase of goods from local producers and manufacturers, and "induced" impacts, which occur when the income levels of residents rise as a result of increased economic activity and a portion of the increased income is re-spent within the local economy.
HAVE LOVE, WILL TRAVEL: Houston should benefit from two fan bases that are willing to travel. Some 14.7% of Super Bowl tickets purchased on StubHub through yesterday came from Massachusetts-based addresses, according to data provided to THE DAILY, while Georgians made up 13.9%. That is much higher than last year’s Broncos-Panthers matchup at Levi’s Stadium, when only 8% of the game’s tickets purchased on StubHub came from Colorado-based addresses, and North Carolinians made up 5%.
