1. The Economic Impact of the Ryder Cup MAJOR EVENTS AND FESTIVAL IMPACTS | SEMINAR | WEEK 4

2. Seminar Overview  Economic impacts explained  Economic impacts critiqued  The Ryder Cup introduced  The Ryder Cup 2014 in Scotland  Group activity: The Ryder Cup 2010 in Wales  Group discussion

3. Economic impacts explained  Economic impact of a major event refers to the total amount of additional expenditure generated within a defined area as a direct consequence of staging the event.  Three components: Direct impact | Indirect impact | Induced impact  Events can have positive and negative economic impacts.  The value of events is often measured in economic terms.  Economic impact studies try to establish the net change in a host community.  Consider impact on local, regional and national level.  Return on investment as key measures.  The use of figures to legitimise the decision to invest in an event.

4. Economic impacts critiqued  Where do the figures come from? Question statistics.  Economic impact studies as a means of justifying expenditure.  Who conducted the research? Potential for bias.  How to measure impacts? Diverse and theoretically fragile.  Where does the money go? Not all remains within local area.  What are the costs really? Construction, infrastructure cost.  Who makes the decisions? Residents vs decision makers.

5. The Ryder Cup introduced  The biggest team competition in world golf  Held biannually and contested by the best golfers from the USA and Europe  First official Ryder Cup took place in 1927, initially between USA and GB  USA dominance in the 60’s and 70’s led to expansion of GB team to include Europe  Venue alternated between USA and initially England, then in 1973, hosted by Scotland (Spain 1997, Ireland 2006, Wales 2010)

6. The Ryder Cup 2014 in Scotland  http://golf.visitscotland.com/the_2014_ryder_cup.aspx http://golf.visitscotland.com/the_2014_ryder_cup.aspx  Scotland’s Ryder Cup Bid:  1.Cultural Issues – ‘Home of Golf’  2.Sport Development – ‘intro to golf for kids’  3.Economic Issues – Golf tourism promotion

7. The Ryder Cup 2014 in Scotland  Bidding for Ryder Cup part of wider Golf Tourism Strategy  Promotes images of Scotland (not just Gleneagles) in order to stimulate wider tourism as well as golf tourism  £200m worth of benefit to the Scottish economy (McSherry 2001)  Place marketing, Image promotion, Media coverage

8. The Ryder Cup 2014 in Scotland  Used as a marketing strategy to stimulate golf tourism but can it be sustained?  Constraints on economic benefits of quasi-rural setting – but still £24m investment from public purse  Conflicting messages in strategy?

9. The Ryder Cup 2010 in Wales  Ryder Cup 2010 in Wales http://www.youtube.com/watch?v=nGsCA4ONf30 http://www.youtube.com/watch?v=nGsCA4ONf30  Held at Celtic Manor Resort – Newport Wales  Initial economic impact estimate of £73million for the week before the event  Direct Impact of £53.9million for Wales  South East Wales saw an impact of £48.7million  Newport saw an impact of £18.5  70% of the impact contributed by consumer spending

10. The Ryder Cup 2010 in Wales  172 companies were represented at the 2010 Ryder Cup  250,000 visits to the competition was recorded over the event  One third of the audience were from Wales  Half were from the rest of the UK  10% were from overseas – 69% of these said they would return for a short holiday  89% of people were golf enthusiasts!

11. Group activity  Read the short executive summary of the Ryder Cup 2010 Economic Impact Study http://www.rydercup.com/2010/europe/news/economic_imp act_032311.cfm http://www.rydercup.com/2010/europe/news/economic_imp act_032311.cfm  Discuss the document in your small group and provide a critique (use flipchart paper)  Present and discuss your findings and comments with the rest of the class