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Cricket World Cup 2015 June 2015 Page 1 Executive summary 3 2 Introduction and background 8 3 Economic impacts 12 4 Broader benefits 24 Appendices Appendix A Economic modelling approach 30 Appendix B Australian and New Zealand results 39 Appendix C Australian results by state/territory 41 Appendix D New Zealand results by key regions 60 Report Disclaimer This report has been prepared by PricewaterhouseCoopers Australia (PwC) at the request of Cricket World Cup 2015 Ltd, Cricket Australia and New Zealand Cricket in our capacity as advisors in accordance with the Terms of Reference and the Terms and Conditions contained in the Consultant Agreement between Cricket World Cup 2015 Ltd, Cricket Australia, New Zealand Cricket and PwC. This document is not intended to be utilised or relied upon by any persons other than Cricket World Cup 2015 Ltd, Cricket Australia and New Zealand Cricket nor to be used for any purpose other than that articulated above. Accordingly, PwC accepts no responsibility in any way whatsoever for the use of this report by any other persons or for any other purpose. The information, statements, statistics and commentary (together the ‘Information’) contained in this report have been prepared by PwC (and its subcontractors) from material obtained from third-party data providers, public sources and interviews. PwC (and its subcontractors) have not sought any independent confirmation of the reliability, accuracy or completeness of this information. It should not be construed that PwC (and its subcontractors) have carried out any form of audit of the information which has been relied upon. Accordingly, whilst the statements made in this report are given in good faith, PwC accepts no responsibility for any errors in the information provided by Cricket World Cup 2015 Ltd, Cricket Australia and New Zealand Cricket or other parties nor the effect of any such errors on our analysis, suggestions or report. PwC Executive summary The International Cricket Council (ICC) Cricket World Cup 2015 (CWC 2015), the Breaking records Attracting foreign investment pinnacle of international one day cricket, was jointly hosted by Australia and New Zealand during February and March 2015. The ICC CWC 2015 final had the highest attendance ever A structure unique to ICC events, the ICC and its international partners and officially recorded for a single day of cricket anywhere in suppliers contribute significant foreign investment into the CWC host nations This is only the second time these two the world (93,013).1It also broke the television record for in delivering the Tournament. This is a point of difference when compared to nations have hosted the event, the last the most watched cricket match in Australia, peaking at other international sporting events, such as the Olympic Games, Rugby World being the ICC Cricket World Cup 1992, 23 4.2 million viewers nationally, supplemented by almost Cup and the Asian Cup, where host nations must self-fund a significant portion years ago. two million in New Zealand.2 Every match in which the of their events. This allowed Australia and New Zealand to benefit from capital New Zealand Black Caps played was sold out. The India inflows and lowered the level of upfront investment that would otherwise be The Tournament’s 49 matches were played versus Pakistan match in Adelaide was the most talked required to host an event of the magnitude of the ICC CWC. 3 over 44 days across 14 host cities. This about match in digital history. served as a major catalyst for collaboration between the trans-Tasman neighbours Promoting inbound tourism towards a common goal and generating a Most popular ICC CWC ever sense of national pride felt by all attendees. Approximately 595,000 unique visitors (including home-state/home-region) The Tournament was attended by over one The ICC CWC 2015 hosted nearly 1.2 million attended the ICC CWC 2015, staying an estimated total of two million bed million, and watched by over 1.56 billion Tournament attendees, of which nearly one quarter nights. Of this, an estimated 145,000 were unique international visitors and 4 people worldwide. On 29 March 2015, it were from overseas. It also reached a dedicated 150,000 were unique interstate/inter-region visitors, staying an estimated 1.1 television audience of 1.56 billion, with a potential million and 0.5 million bed nights respectively across Australia and New culminated in a final between the two host viewership of 2.51 billion worldwide.5 The Tournament Zealand.8 A joint tourism visa was created to encourage attendees to visit both nations at the Melbourne Cricket Ground received 57.5 billion social media impressions, 1.4 countries. The Tournament coincided with several local festivals and events (MCG) that attracted a record breaking billion live views of tweets and 17.3 million cumulative and provided a platform for host cities to promote themselves as destinations attendance of 93,013. Facebook Likes across the Tournament. In addition, for future international sporting events. there were 35.9 million unique visitors to the In order to analyse the economic Tournament website.6 impact and benefits of the Tournament, Positive lasting PwC collected Tournament-specific community benefits expenditure data from the local organising Beneficial to the economy The Tournament incorporated a strong focus on engagement with multicultural committee, host cities and through online communities, exemplified by the fact that eight of the 20 sold out matches did and face-to-face surveys of attendees. In total, AU$1.10b/NZ$1.15b was directly spent as a not involve either of the host nations. Emphasis was also placed on the next These expenditures were then modelled result of the ICC CWC 2015, generating a positive generation, including programs run for local cricket clubs as well as over 3,890 using economy-wide modelling to assess contribution to the Australian and New Zealand schools taking part in bespoke education programs offered online. 9 the flow-on and total economic impacts of economies. The Tournament triggered an increase in Approximately 3,550 volunteers were also engaged by the event. The gross domestic product (GDP) across both Australia and Tournament was the first major international event to be held in Christchurch the event. New Zealand of AU$460m/NZ$480m, creating 8,320 since the devastating earthquakes of 2010 and 2011, with the Opening Event, full-time equivalent jobs across the two countries.7 Opening match and a further two pool matches giving the city and is people the opportunity to once again shine on the international stage. 1 ESPN Cricinfo (2015), http://stats.espncricinfo.com/ci/content/records/283309.html, last viewed 20 May 2015 5 SMG Insight, ICC Cricket World Cup 2015 – Sponsor 1 Partner Media Evaluation, p7 2 Sinclair, Lara, Cricket World Cup breaks ratings records (Mar 30, 2015),The Australian Business Review 6 Doshi, Saurabh, Cricket World Cup 2015 on Facebook, Facebook Media, http://media.fb.com/2015/03/30/cricket-world-cup-2015-on- 3 International Cricket Council, ICC Cricket World Cup 2015 – Digital Report, p10 facebook/, last viewed 20 May 2015 4 PwC analysis based on PwC survey and ticketing data provided by Cricket World Cup 2015 Ltd 7 PwC analysis based on PwC survey and ticketing data provided by Cricket World Cup 2015 Ltd 8 Ibid 4 9 Provided by Cricket World Cup 2015 Ltd Executive summary (cont’d) Australia and New Zealand - Visitation 1.56 billion television audience 1.2m 1.2m 595k 2.0m International International 270k 145k International Interstate/Inter- 1.1m Match Attendees Interstate/Inter- region region 1.0m 290k 150k Home- Home- Interstate/Inter- state/Home- state/Home- region region region 0.5m 615k 300k Home-state/Home- Tournament Support region 0.2m 0.4m Tournament attendance Tournament attendance by Unique visitors Bed nights residential origin Tournament attendance represents the aggregate Unique visitors are the number of unique match attendance (officially recorded attendees) and Tournament attendance can be analysed by residential people visiting a state or region as a direct Bed nights represent the number of Tournament support attendees (personnel involved origin (home-state/home-region, interstate/inter-region result of the Tournament, including those who nights stayed by unique visitors in in the delivery of venues, matches and pre- and international) attend matches within their home-state or host cities as a direct result of the Tournament events) to International Cricket Council home-region. Unique visitors represent a sub- Tournament. Cricket World Cup 2015 matches and related events. set of Tournament attendance. Source: PwC analysis based on PwC survey and ticketing data provided by Cricket World Cup 2015 Ltd 5 Executive summary (cont’d) Australia and New Zealand – Expenditure and Total Impacts AU$855m/ AU$1.10b/ AU$460m/ NZ$1.15b NZ$895m AU$865m/ NZ$480m Unique visitor spending NZ$910m direct and flow-on (home-state/home-region, GDP ($2015) across interstate/inter-region and Australia and New Zealand international) model inputs GDP AU$105m/ 8,320 NZ$110m direct and flow-on Tournament delivery additional full-time (foreign expenditure) equivalent (FTE) jobs Jobs CGE model AU$120m/ AU$330m/ NZ$130m NZ$350m Tournament delivery household consumption (local expenditure) Consumption Total direct Incremental expenditure expenditure Total direct expenditure represents the gross spending associated with the Tournament and is the total of visitor and Tournament spending. However, in order to estimate the total economic impact of hosting the Tournament, an understanding of the incremental expenditures are required. This is a subset of the total direct expenditures and represents the portion of spending that is induced by the Tournament, in our study approximately 90 per cent. In our analysis the incremental expenditures represent visitor and Tournament spending minus home-state/home-region spending as this can be argued would have been spent in the home-state/home-region anyway.
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