Chick-fil-A Peach Bowl’s 50th Anniversary game provided $49 million boost to local economy.
ATLANTA (March 14, 2018) – Peach Bowl, Inc. events have eclipsed the $1 billion mark in cumulative economic impact since 1999 following the $49 million delivered by the 50th Anniversary Chick-fil-A Peach Bowl played on New Year’s Day.
Officials announced the 2018 game between No. 12 UCF and No. 7 Auburn also provided $3.9 million in direct state and local tax revenue collected within metro Atlanta.
When added to the $62.5 million delivered by the Chick-fil-A Kickoff Games (Florida State vs. Alabama and Tennessee vs. Georgia Tech), the three college football games hosted by Peach Bowl, Inc. during the 2017 season combined to drive a total economic impact of $111.5 million including $9 million in direct tax revenue.
Over the past 10 years, Peach Bowl, Inc. events have now contributed an average annual economic impact of $76.9 million per year and $4.9 million in direct tax revenue, further solidifying the organization’s position as the main economic driver for college football events held in the city.
“Every two to three years, our games are combining to deliver National Championship-caliber economic impact results for our community,” said Percy Vaughn, Peach Bowl, Inc. chairman. “It is especially important when you realize that the city has to bid for and win the rights to host games like the national championship and they don’t come around that often. The impact that comes from Peach Bowl events is guaranteed every single year.”
Although annual results vary based on the identity and location of the participating teams, results of the Bowl’s annual economic impact study show that college football remains a significant economic engine for Atlanta and Georgia.
“This last season, Atlanta became known as the Capital of College Football by hosting two Chick-fil-A Kickoff Games, the Chick-fil-A Peach Bowl, SEC Championship and College Football Playoff National Championship,” said Gary Stokan, Peach Bowl, Inc. CEO and president. “These five football games were five of the seven largest conventions in the fourth largest convention city in the United States. This shows how important of an economic driver major college football games are to our city on annual basis.”
The economic impact study was conducted by Dr. Bruce A. Seaman, associate professor of economics at Georgia State University and one of the preeminent experts on economic impact in the country. It also revealed additional information about how long visitors stayed and how much money they spent while they were here.
“High-profile college football games attract tens of thousands of visitors to Atlanta who help the local economy by shopping and eating at local establishments, booking hotel rooms, utilizing transportation, etc.” Dr. Seaman said. “Our model looks to generate data that accounts for the specific teams involved, the travelling origins of their fan bases, their discretionary spending habits and average length of stay, among many other factors.”
The following chart shows the weighted average amount spent per person (including taxes) by the non-Georgia based fans who stayed in hotels or bed & breakfasts, out of the 71,109 fans who attended the Chick-fil-A Peach Bowl’s 50th Anniversary game.
|Expenditure per person||Average Spend (Chick-fil-A Peach Bowl)|
|Hotel per day (adjusted for room occupancy)||$57.70|
|Food & Beverage per day||$59.47|
|Transportation per day||$31.26|
|Stadium (excluding ticket)||$79.86|
|Shopping total stay||$66.02|
|Average length of stay||2.1 nights|
2017 Season and Cumulative Impact by the Numbers: Metro Atlanta
|Event||Eco. Impact (2017 Season)
||Eco. Impact (Cumulative)
||Tax Revenue (2017 Season)||Tax Revenue (Cumulative)|
|Chick-fil-A Peach Bowl||$49 M||$647.3 M||$3.9 M||$34.7 M|
|Chick-fil-A Kickoff Games||$62.5M||$ 397.5 M||$5.1 M||$25.6 M|
Adjustments were made to account for displaced spending that would have occurred without the games, for the proportion of visitor spending actually captured by regional vendors and for motivations for visiting the region not directly associated with the games.
In total, Peach Bowl, Inc.’s Golden Season delivered golden results as the Chick-fil-A Peach Bowl and Chick-fil-A Kickoff Game events set new organizational records for combined attendance (222,546), television viewership (28.4 million) and total team payouts ($27.5 million).
This season’s Chick-fil-A Peach Bowl will be played Dec. 29, 2018 at Mercedes-Benz stadium leading into both College Football Playoff Semifinals. The game will match two of the nation’s top-ranked teams from around the country as assigned by the College Football Playoff Selection Committee.
Over Labor Day weekend, Peach Bowl, Inc. will host what is projected to be another matchup between top-ranked teams when Washington and Auburn face off in the Chick-fil-A Kickoff Game on Sept. 1.
About the economic impact study:
Economic Impact is the incremental net change in gross regional product resulting from the net new spending injected and captured within the metro area (or the State), and also incorporates an output spending multiplier of 1.85 (1.90 for the State). A downward adjustment is made for the non-local team payouts made by Peach Bowl, Inc. to the universities and to the College Football Playoff (when applicable), as well as for the expenses (if not paid by local organizers) by the teams to local hotels and vendors during their stay in Atlanta. Tax revenues reported include those from local option sales, state sales taxes collected locally, hotel-motel taxes and transportation taxes (including non-federal airport fees) within the metro area.
In an effort to continually improve the economic impact model used and ensure its accuracy, Peach Bowl, Inc. and Dr. Seaman make regular modifications to the model to incorporate any changes in local tax rates, the location within the metro area of the hotels where visitors stay, and other factors. Slight changes were made to the metro output multiplier used to reflect the latest data and the weights applied to different relevant sector multipliers reported by IMPLAN (Impact analysis for Planning, reporting I-RIMS multipliers) that help capture the full indirect and induced effects. Additional downward adjustments in economic impact were made to account for the reality that not all visitors from outside Georgia (or outside Metro Atlanta but within Georgia) who spent money in the city were doing so solely because of the games in contrast to combining or rescheduling an already planned trip to the region. Ongoing adjustments for visitor vs. non-visitor spending and less than 100 percent local capture rates for visitor spending (beyond team payouts) were also applied.
The Economic Impact Model was originally developed in partnership with the Atlanta Sports Council, Atlanta-based McKinsey & Company and Dr. Bruce A. Seaman, Georgia State University economics professor and past president of the Association for Cultural Economics, International. The model provides a defensibly accurate approximation of the direct, indirect and induced economic impacts generated by major sporting events, being sensitive to the many legitimate criticisms that can be made of such studies. Because it incorporates data derived from a carefully administered survey of those attending the games (with sample sizes typically ranging from 600 to 800), the reported impacts are not solely “ex ante” estimates, but incorporate information as obtained from people actually attending the events.
About Peach Bowl, Inc.:
Peach Bowl, Inc. operates the Chick-fil-A Peach Bowl, one of the New Year’s Six Bowls selected to host the College Football Playoff. This season, the Peach Bowl celebrated its Golden Season, including its 50-year history of traditions and successes as the nation’s ninth-oldest bowl organization. The Bowl has earned a reputation as one of the most competitive bowls in the country, with 54 percent of its games being decided by a touchdown or less. Peach Bowl, Inc. has disbursed $240.5 million in team payouts over its 50-year history. Peach Bowl, Inc. also leads all other bowl game organizations in charitable and scholarship contributions, giving more than $22.3 million to organizations in need since 2002. Peach Bowl, Inc. also runs the Chick-fil-A Kickoff Game, the Chick-fil-A Peach Bowl Challenge charity golf tournament and manages The Dodd Trophy national coach of the year award. For more information, visit Chick-fil-APeachBowl.com or follow us on Twitter at @CFAPeachBowl and find us on Facebook at Facebook.com/CFAPeachBowl.