THE POWER OF EVENTS TO DRIVE REGIONAL VISITOR ECONOMIES
By Linda Tillman and Kushla Gale , Tilma Group
Events are catalysts of economic benefits for communities , particularly in smaller regional economies where their relative impact can be greater .
This article outlines the value of events for regional economies , how their economic value can be maximised , and ways to measure the economic value from events , using case studies from across regional Australia to illustrate .
THE ECONOMIC VALUE OF EVENTS The number of events held in regional Australia together makes them a sizeable industry . 1 In 2023 , the value of all trips to a regional destination to attend a leisure event 2 was $ 3.54 billion . For these trips , domestic overnight visitors ’ average trip spend was $ 744 , with $ 129 spent per domestic daytrip visitor , and $ 1,176 per international visitor . 3
Events are often the reason for first and repeat visits to a destination 4 – a motivator that inspires people to get in their cars and drive out to regional destinations . According to Tourism Research Australia , 5 threequarters of event attendees would not have gone to a destination if not for an event . In addition , an event is the main reason for visiting a destination for 57 % of the event ’ s attendees who are first-time visitors to the destination and 69 % of its repeat visitor attendees .
Aside from attracting visitors and their expenditure ( often outside of peak tourism season , supporting cash flow for local businesses ), events provide value to regional economies in numerous other ways . Examples include attracting new money ( such as state and federal grants ) into the local economy , providing local charities with opportunities to fundraise , and legacies such as new infrastructure and upskilled volunteers . Events are also effective creators of jobs , 6 especially when local suppliers are used by the event organisers .
Destination managers should look beyond common assumptions when considering strategically what type of events might offer the best economic opportunity for their region . For example , a community that is well placed geographically and has quality sports venues may choose to focus on attracting high-value juniors and masters sports events instead of leisure festivals . In 2023 , the total value of those who travelled to a regional destination to participate in or watch a sports event was $ 1.5 billion with $ 768 in average trip spend per domestic overnight visitor . 9 This compares to the value of those who travelled to attend a festival or performance , where the total value was $ 936 million in total trip spend ( 39 % lower ) with $ 706 trip spend per domestic overnight visitor ( 8 % lower ). 10
VOL 17 NO 3 2024 16 www . edaustralia . com . au