Estimating the Economic Ripple Effect of an Urban Marathon Race: A Cost-benefit Analysis of the Nara Marathon

Abstract

This study examines the cost-benefit of holding a sporting event by estimating the economic ripple effect brought to the hosting region through an input-output analysis using the Nara Marathon 2018 as a case study. Data on personal consumption expenditure by the participants, visitors, and related parties of the event, and the cost of holding the event are required in order to estimate the economic ripple effect of a sporting event. A web survey was conducted to collect data on the personal consumption expenditures of runners and their companions, and 2,278 valid replies were obtained. Regarding the cost of the event, the Nara Marathon Organizing Committee Office provided the "Nara Marathon Income and Expenses 2018" document. Data on personal consumption expenditures and the cost of holding the marathon were entered into the input-output analysis, and the economic ripple effect was estimated to be 1,166 million JPY in Nara Prefecture and 2,370 million JPY in Japan. In the Nara Marathon 2018, about 314 million JPY was invested as a holding cost, but the cost-benefit was 3.9 times larger in Nara Prefecture and about 7.9 times nationwide. Accordingly, the impact on the local economy created by holding the Nara Marathon 2018 was verified.

Unveiling urban marathon development characteristics and urban growth strategies in China: Insights from time series analysis of Baidu Search Index

“…During the event, a large number of participants and accompanying tourists suddenly flood into the city, posing a significant challenge to the city's transportation, hotel, and catering industries. To maximize the participants' sensory experience during the event, higher infrastructure and surrounding service requirements are proposed, promoting the upgrading of urban supporting facilities and service improvement to meet the needs of higher standards for urban events [39]. Lay a certain foundation for the construction of smart cities [40].…”