In Uncategorised

The Economic Impacts of Cultural and Sport Tourism in Canada 2007

December 8, 20118 December 2011

Issue
Economic impact of culture

Article Link
http://www.pch.gc.ca/pc-ch/org/sectr/inter/pubs-eng.cfm

This brief report examines the economic impact of travellers who attended cultural events, attended sporting events or participated in team sports in 2007. The data, derived from the Travel Survey of Residents of Canada and the International Travel Survey, includes all Canadian travellers as well as overnight visitors from international locations. Two key statistics are measured: gross tourism receipts and net economic impact. Cultural activities include performances, Aboriginal events, festivals, fairs, historic sites, museums and art galleries. If travellers indicated that they participated in cultural and other activities during their visit, then their overall spending was apportioned based on the number of different types of activities in which they participated.

Regarding tourism receipts, the report indicates that tourists who attended cultural activities spent a total of $8.0 billion in 2007, while sports tourists spent $2.1 billion, about four times less than cultural tourists. The spending of cultural tourists “represents 15% of total tourist spending included in this study ($53.5 billion)”.

The areas where cultural tourists spent the most were on transportation ($2.4 billion), accommodations ($1.6 billion), and food and beverages (also $1.6 billion). Cultural tourists spent $721 million on recreation and entertainment in 2007, a figure that includes their expenditures on cultural activities. Examined differently, these figures show that cultural tourists spend at least $10 on other goods and services for every $1 that they spend on recreation and entertainment.

Spending by cultural tourists by province is shown in the following table. The data in the table also show that, on a provincial basis, cultural tourists’ spending patterns are similar to the spending of all tourists.

Cultural Tourism Receipts by Province, 2007

(with comparison to overall tourism receipts by province)

Jurisdiction

Cultural tourism receipts

($ millions)

Cultural tourism receipts as % of Canada

All tourism receipts as % of Canada

Canada

$8,034

100%

100%

Ontario

$2,963

37%

36%

Quebec

$1,743

22%

20%

British Columbia

$1,389

17%

18%

Alberta

$882

11%

13%

Nova Scotia

$288

4%

3%

Manitoba

$190

2%

3%

Saskatchewan

$174

2%

3%

New Brunswick

$144

2%

2%

Newfoundland and Labrador

$130

2%

1%

Prince Edward Island

$68

1%

1%

Canadian travellers accounted for almost two-thirds of spending by cultural tourists in 2007 ($5.2 billion, or 65%). Overseas cultural tourists spent $1.5 billion (18%), while American cultural tourists spent $1.4 billion (17%) in 2007.

Regarding net economic impact, cultural tourists generated $5.1 billion of economic activity, over 110,000 full-time jobs, and $419 million in government taxes (an estimate that does not include income taxes). Sports tourists generated $1.3 billion of economic activity, over 28,000 jobs, and $100 million in government taxes (also excluding income taxes).

The impacts on Gross Domestic Product were estimated by region, rather than for each province. In 2007, the economic impact of cultural tourists was:

  • $1.8 billion in Ontario.
  • $1.1 billion in Quebec.
  • $956 million in British Columbia.
  • $893 million in the Prairie Provinces.
  • $371 million in the Atlantic Provinces.

The report stresses that these figures should be considered “minimum impact values”, as the “very conservative model” used to estimate economic impacts excludes induced effects, which would capture the re-spending of wages earned by workers in the tourism sector. The model also excludes income taxes from the tax estimates.

Recent Resources
Categories
All archives by date