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Super Bowl 50 Produces $350M Economic Impact

The San Francisco Bay Area enjoyed a windfall benefit of about $350 million from Super Bowl 50, the biggest sports and branding event in the world, according to projections compiled by the Global Business Travel Association and its research partner, Rockport Analytics.

The revenue stream includes more than $68 million in direct business travel spending, the study noted, including sponsorships, media, league operations and ancillary events.  A separate pre-event study by PwC forecast $220 million total direct visitor spending by companies, fans, media and NFL operations.

About 70,000 fans spent $2,000 to $3,000 dollars each to attend the game, according to Stanford University economist Roger Noll. Bay Area hotels sold most rooms out well in advance, with demand driving prices up as much as 600%.

Nationally, the event triggered over $15.3 billion in consumer spending, estimates the National Retail Federation; that total is $1 billion more than last year. Beer consumption rises dramatically every year; an estimated 50 million cases are sold Super Bowl week every year.

Advertising of course is a main feature of the event. Promising a viewership of at least 189 million viewers, CBS sold 30-second ads at a $5 million rate, exceeding last year’s figures by $400,000. At that rate, the broadcaster generated about $450 million in revenues.

Much of the Super Bowl’s impact defies ROI analysis. “Super Bowls help showcase a city and its facilities,” said BGTA’s chief economist, Kenneth McGill. “What the Super Bowl does is turbo charge an entire georgraphic area. Suddenly hotels that may have been partially full are sold out months in advance. Every activity gets ratcheted up—from restaurant books, car service, catering and event locations.”


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