Jarrett Bachman & Collin O'Berry of Looking Glass Strategic Research Consultants in Asheville, NC
The economic impact that festivals & events have upon local communities can be profound. In the industry, the focus is often on "Direct Economic Spending" or "Economic Impact Assessment" in reference to the figure that represents the amount of money produced by the festival or event. In this article, we will explore attendee spending & economic impact assessments to highlight the processes & benefits of conducting this type of research. Oftentimes, the terms "Direct Economic Spending" and "Economic Impact Assessment" are used improperly. The difference between these two measurements is subtle in text but monumental in meaning. Direct Economic Spending refers to the total amount of money spent in a city or county as a result of a festival or event. The total amount spent per person for different types of attendees (most often residents and non-residents) is calculated and extrapolated for the total attendance. An Economic Impact Assessment is far more detailed. Essentially, it starts with Direct Economic Spending numbers and traces how money flows through & impacts the community as it is spent and re-spent.
Conducting a Direct Economic Spending assessment provides information about spending across a variety of segments. Read more here!
