October 27, 2009
World Cup could mean $400 million for cities
Cities that host World Cup games in the United States in 2018 or 2022 could experience an economic impact of anywhere from $400 million to $600 million according to a study commissioned by the USA Bid Committee.
A independent firm, AECOM, was used to conduct the study which accounted for several factors, ans used Atlanta, Washington DC and Phoenix as models. The firm estimates a conservative domestic economic impact of five billion dollars if the United States is chosen to host the FIFA World Cup in 2018 or 2022. The analysis also estimates that between 65,000 and 100,000 total new jobs would be created in the various host cities during the preparation and operation of the tournament in the year of the event.
Local economic impact is based on 12 host cities staging five to six matches, along with ancillary venues such as the International Broadcast Center in one city and a Fan Fest in each city. The study also estimates 5,000 to 8,000 jobs would be created in each host city during the event’s operation.
“The numbers delivered by this study fully support our initial estimations,” said David Downs, the USA Bid Committee Executive Director. “While the economic impact to our country and our cities during the World Cup will be of vast significance, our goal is to have an even greater impact during the eight to 12 years leading up to the event that will stimulate the development of the game and the soccer economy, both at national and international levels.”
There are currently 27 cities under consideration by the bid committee. The cities are highlighted by 32 stadiums that average nearly 78,000 seats in capacity and represent a wide spectrum of facilities, including venues typically used for college and professional football, featuring open-air, domed and retractable roof venues. All 32 stadiums currently exist or are under construction with eight accommodating between 80,000 and 108,000 fans. Gillette Stadium is among the venues under consideration.
Factors analyzed in the study include: resident market demographics, tourist market factors, competitive market dynamics, climate, regional accessibility and prominence as a soccer and overall sports market.
The study estimates the city hosting the International Media Center would gain an impact of approximately $80 million. The prototype U.S. cities would generate from $29 million to $37 million each from their Fan Fest events.