New Report Shows Strong Impact of Mega-Sporting Events on Tourism

New Report Shows Strong Impact of Mega-Sporting Events on Tourism

Visa Inc. has published a new report that shows mega-sporting events have a major positive impact on the tourism fortunes of countries that host major sporting event, at least based on the spending patterns of Visa cardholders. The report analyzes cardholder spending for three recent mega-sporting events: the 2010 FIFA World Cup South Africa, the Vancouver 2010 Olympic Winter Games and the Beijing 2008 Olympics Games.

According to Visa, these three events served as catalysts of economic recovery for the host country and nations surrounding it in terms of international tourism spending. For each of the three events analyzed, there was healthy growth in Visa payment card expenditure during the event compared to the year prior, including growth of 82 percent for the 2010 FIFA World Cup South Africa, 93 percent for the Vancouver 2010 Olympic Winter Games, and 15 percent for the Beijing 2008 Olympic Games

In Beijing, visitors to the Summer Olympic Games from the U.S., Hong Kong, the United Kingdom, South Korea and Japan accounted for more than half of all Visa card spend in China from Aug. 8-25, 2008. During that period, there were approximately 840,000 Visa transactions with an average daily spend of $10.6 million from international cardholders.1

According to Visa, Vancouver experienced double-digit growth in the total tourism spending during the Winter Olympic Games by inbound Visa cardholders during the months of February and March compared to the same time period in 2009. In the heart of the Olympic Games, from Feb. 12-28, there were approximately 1.14 million Visa transactions, with an average daily spend of $7.2 million from international cardholders.

In South Africa during the World Cup, daily Visa payment card expenditures made by all non-South Africans while in South Africa during the period from June 1, 2010 until July 31, 2010 were compared to similar data for the same two month period in 2009. Since the FIFA World Cup itself lasted from June 11 to July 11, 2010, the data set provided comparative information for 10 days before and 20 days after the Cup.

According to this data, the FIFA World Cup played a significant role in tourism growth experienced in June and July, but visitor arrivals were amplified all year. Spending levels by international Visa cardholders traveling to South Africa in December ($220 million) and January ($200 million) even rivaled the June ($222 million) and July ($204 million) World Cup months.

Visa has been worldwide sponsor of the Olympic Games since 1986 and will be the exclusive payment services sponsor and the only card accepted at Olympic venues through 2020, including the London 2012 Olympic Games; the 2014 Olympic Winter Games in Sochi, Russia; the 2016 Olympic Games in Rio de Janeiro, Brazil; the Pyeongchang 2018 Olympic Winter Games in South Korea; and the 2020 Olympic Summer Games whose site has yet to be selected.

Visa also is one of six global FIFA Partners with global rights in the financial services product category to all FIFA World Cup activities. Following its debut as an official sponsor at the 2010 FIFA World Cup South Africa, Visa’s FIFA sponsorship includes the rights to the FIFA Women’s World Cup Germany 2011 and the 2014 FIFA World Cup Brazil.