BNP Paribas Open Economic Impact Tops $406 Million
Increase Of More Than $32 Million Seen From 2014 Study
The 2017 BNP Paribas Open, the largest ATP World Tour and WTA combined two-week event in the world, held at the Indian Wells Tennis Garden this past March, generated an estimated total gross economic impact on the Coachella Valley regional economy of $406,602,107.
This represents an increase of more than $32 million since 2014, when the last BNP Paribas Open economic impact study was conducted and the estimated total gross economic impact was $373 million. Since a 2006 study, there has been an increase of more than $187 million in economic impact.
“The positive impact of the BNP Paribas Open on the city of Indian Wells and the entire region continues to grow each year, bringing not only economic but also cultural and social benefits to our residents, visitors and guests,” said Richard Balocco, the mayor of the City of Indian Wells. “We look forward to working together with the tournament for years to come to continue showcasing all that Indian Wells has to offer and providing a top-notch experience for all tournament patrons.”
Total gross economic impact is derived by calculating the direct ($262,323,940) and indirect and induced ($144,278,167) economic impacts and then adding them together to show the incremental spending above and beyond what would have been expected had the BNP Paribas Open not been held in the area. Direct spending includes money spent by out-of-town visitors, vendors, sponsors, and the tournament organization to a business in the region. Indirect and induced impact is the re-spending of this money by the regional businesses in the regional economy.
The tournament also studied the impact that the renovations to the Indian Wells Tennis Garden had on the 2017 tournament, and when this is factored into the equation, the gross economic impact rose to $466,943,364. Based on the total direct economic impact, the full-time equivalents of those employed by the event is estimated at 5,015 and 5,759 when considering the facility construction as well.
A total of 439,261 fans attended the tournament over the two-week period earlier this year. On average each person attended the tournament 3.09 days. An impressive 87 percent of all unique spectators traveled from outside the region equating to 123,675 out-of-town visitors from which the economic impact is calculated.
The total fiscal impact of the BNP Paribas Open on the Coachella Valley was estimated at just over $19,000,000, generated through tax revenues for city and county governments in the form of sales tax, Transient Occupancy Tax and property tax.
"The BNP Paribas Open consistently attracts record-breaking numbers of visitors from all over the country and the world who come to the Indian Wells Tennis Garden to experience the best in not only tennis, but also dining and entertainment,” said Piero Pierattoni, the owner of Piero’s PizzaVino and Mamma Gina. “We’re thrilled to deliver on those expectations year-after-year, and look forward to the continued mutual growth and success.”
The study, conducted by The George Washington University, uses estimates for direct and indirect impact that are based on industry standard methodology, visitor survey results, and the data provided by the organizers and sponsors.