Super Bowl Expected To Generate Around $206M In Direct Spending For Phoenix Area

Super Bowl XLIX will generate approximately $206M in direct spending throughout the greater Phoenix area by the NFL, businesses, visitors and media, down from $210M spent in the N.Y. metro area during Super Bowl XLVIII last year, according to figures from PricewaterhouseCoopers. This year's estimate includes spending on area lodging, transportation, food and beverage, entertainment, business services and other hospitality and tourism activities. It is based on an analysis that 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 concessionaire’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. PwC U.S. Sports & Tourism Sector Dir Adam Jones said of the small drop for the Phoenix area compared to a larger market like N.Y. last year, “The lower base costs of the Phoenix market should reduce the average spend per visitor compared to last year's event in N.Y./New Jersey. However, we estimate the decline will be less than 20% given an anticipated longer average length of stay, higher relative premium for Super Bowl weekend, and greater propensity to spend due to the concentration of official activity in downtown Phoenix” (THE DAILY).