Salt Lake City is hosting NBA all-star weekend for the first time since 1993. This is made possible because of the $125 million renovation initiated by the Jazz president in 2017.
Last year, the NBA all-star weekend was hosted in Cleveland, producing a direct net economic benefit to the city of a stunning $141 million, part of $248.9 million in total economic impact.
Typically the price for a city hosting an event like this is paid entirely by taxpayers, however, the Jazz decided to put up the initial cost with the help of a "collection of 12 prominent businesses." Taxpayers' estimated support comes to $4.5 million: $3 million from the state via the Utah Sports Commission, $1 million from Salt Lake City, and the balance kicked in by Salt Lake County. This money will mostly be spent on the NBA's expectations for free facilities, safety, and security, traffic control, marketing, programming, etc. It is estimated the total cost of hosting the event is around 10 million dollars.
Although this seems like a large amount for the city, the Jazz, and other businesses to contribute for a 3-day event, it is expected to positively impact the city's economy, bring exposure to businesses, the community, and "portray the host city’s team, lifestyle and culture"
Article: https://www.utahbusiness.com/nba-economics-sports-marketing/#:~:text=Based%20on%20this%20assessment%2C%20the,officer%20of%20the%20Utah%20Jazz.
Utah also seems to be one of the most popular skiing destinations in the United States, so I wonder how the money generated from skiers differs from those coming for the NBA all-star weekend? And by how much?
ReplyDeleteIt's always amazing to not only see how much money all star weekend generates for the city hosting it but also how much money the city spends on being the hosts. While the cities all know they will make way more than they spend on it, they still are allocating a lot of money toward one weekend.
ReplyDeleteFor this being only weekend out of the entire season, it's truly mind-blowing that one place can generate this much money. I'm glad Utah will thrive off of this in their economy as well as Jazz in their organization. Cool article!
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