There are 5 main reasons why it is important to measure the value of local and regional sport events:
- to determine the return on investment – every organisation involved with an event makes an investment of money, time to other resource investment may be made by the organisations funding the event, such as small companies, individuals, clubs and sporting associations or government organisations.
- share results with stakeholders – once these people know the results it is then important to share the information with other event stakeholders (or people who have a vested interest in the success of the event), such as sponsors and the local community who have helped to host the event.
- seek sponsorship/funding – the economic impact report can also be used when the event organisation seeks further funding from government or corporate sponsors.
- funding acquittal – Once an organisation has secured government funding – it is often necessary to undertake a written “acquittal” of the funding – which may include demonstrating the economic value of the event. This may also include assessing the number of event tourists drawn to a region as a result of the event.
- To develop community buy-in, or community support for the event. Providing feedback about the success of an event can assist in securing the future of an event. Once the value of an event is known, it is more likely that the community will support it and provide more volunteers or other services.
