23 May Tourism Economics Unveils Economic Impact of Lake Placid’s Large Summer Events
Tourism Economics, a research firm focused on economic impact, forecasting and market analysis of tourism-based destinations around the world, has shared the results of its recent economic impact analysis of three prominent summer events: the Lake Placid Summit Classic, IRONMAN Lake Placid, and the Lake Placid and I Love NY Horse Shows.
Greg Pepitone, senior economist at Tourism Economics, presented the findings of this economic impact study during a virtual public information session on May 23.
The three events analyzed were selected due to their status as the most highly attended; bringing the largest number of participants, support teams and spectators to the area.
The Tourism Economics team studied multiple data sources from the 2022 event season including post-event surveys, mobile phone location data, estimated attendance, participant origin information, county-level visitor spending, and financial information about each event. These data sources provide comprehensive information from which the team assessed direct spending impact and overall economic benefits of the events.
Tourism Economics studied each event individually and summarized the findings. It also produced a summary of the overall economic impact of the three events, combined. These key findings include:
- Combined economic impact of the three events in 2022 was more than $49 million.
- The events generated approximately $7.6 million in state and local tax revenues.
- Average length of stay, party size and average spend for event participants are higher than that of the leisure traveler.
According to Pepitone, There is a higher economic impact associated with event participants as compared to the leisure traveler. “When we compare an event traveler with a leisure traveler, we see that the event traveler tends to be part of a larger group of travelers, traveling together for the event,” he said. “Additionally, groups traveling for events tend to stay longer. Our research also indicates that the expenditure per party, per stay is larger than a typical leisure traveler.”
Pepitone also noted that events tend to lead to increased exposure for the region. “Equally as important, some of the event participants and their groups come to the area from outside the traditional travel market, increasing the region’s exposure beyond the defined, typical target market.”
Tourism Economics’ report shared information about direct spending by the event organizers along with direct spending by event participants and attendees. The summary analysis of each event included direct spending, along with tax revenue generated and a summary of spending by industry.
According to Mary Jane Lawrence, chief operating officer at ROOST, the goal of this study was to better understand the economics of these events. “One of the key takeaways from the North Elba Destination Management Plan was the need to develop an events management strategy,” she said. “This study is just the first step. It is also important we evaluate how events impact all aspects of our community as we create a long-term events management strategy.”
The full report can be found at ROOSTadk.com/research.
Individual Event Findings
Lake Placid Summit Classic: In 2022, the Lake Placid Summit Classic generated a total economic impact of $15.7 million in Lake Placid, which included $4.4 million in total labor income, supported 203 part-time and full-time jobs, and generated $2.3 million in state and local tax revenues. The event incurred $205,000 in operating expenses – money spent within the local region to organize and operate the event.
IRONMAN Lake Placid: In 2022, IRONMAN Lake Placid generated a total economic impact of $15.5 million in Lake Placid, which included $4.3 million in total labor income, supported 136 part-time and full-time jobs, and generated $2.4 million in state and local tax revenues. The event incurred $462,000 in operating expenses – money spent within the local region to organize and operate the event.
Lake Placid and I Love NY Horse Shows: In 2022, the Lake Placid and I Love NY Horse Shows generated a total economic impact of $17.9 million in Lake Placid, which included $5.0 million in total labor income, supported 164 part-time and full-time jobs, and generated $2.8 million in state and local tax revenues. The event incurred $675,000 in operating expenses – money spent within the local region to organize and operate the event.
About The Regional Office of Sustainable Tourism
The Regional Office of Sustainable Tourism (ROOST) is a destination marketing organization dedicated to promoting and enhancing the economic and environmental sustainability of Lake Placid and the surrounding Adirondack region. Through innovative marketing strategies, partnerships, and community engagement, ROOST aims to maximize the region’s tourism potential while preserving its natural beauty and unique character.
About Tourism Economics
Tourism Economics is an Oxford Economics company with a singular objective: combine an understanding of tourism dynamics with rigorous economics in order to answer the most important questions facing destinations, developers, and strategic planners. By combining quantitative methods with industry knowledge, Tourism Economics designs custom market strategies, destination recovery plans, tourism forecasting models, tourism policy analysis and economic impact studies. More than 500 companies, associations, and destinations work with Tourism Economics every year to conduct and analyze research findings to assist with better marketing, investment, and policy decisions.
Jane Hooper, communications manager
Regional Office of Sustainable Tourism
518-621-3662 | 578-6328 cell