Economic Impact Report For 2021 Golf Event
The 2021 Butterfield Bermuda Championship “has been hailed as a success after attracting significant media exposure worth over $13 million plus driving $11.9 million into Bermuda’s recovering tourism industry,” the BTA said today.
A BTA spokesperson said, “With only one day to go before the 2022 Butterfield Bermuda Championship begins, KPMG has released the economic impact report for the 2021 tournament. The 2021 Butterfield Bermuda Championship ‘PGA TOUR’ has been hailed as a success after attracting significant media exposure worth over $13 million plus driving $11.9 million into Bermuda’s recovering tourism industry.”
Tracy Berkeley, interim Chief Executive Officer at the Bermuda Tourism Authority said, “As part of our mission to ensure that Bermuda extracts optimal return on our sponsor investment, we have engaged an independent third party to assess the impact of the event. We are pleased that the tournament has demonstrated an uplift to our economy, contributed to the third sector, and elevated our visibility as a golf destination on the world stage.”
“From KPMG’s newly released economic impact report, one of the highlights of the latest PGA TOUR, according to Nielsen’s media evaluation, is a substantial boost in total media value generated during the four-day event. Due to the cancellation of the World Golf Championships, originally set to take place in Shanghai, China, the Bermuda-based Championship became the sole event on the 2021 PGA Tour calendar for that weekend, leading to more publicity for our shores.
“Media exposure for the 2021 event was valued at $13.2 million,” Jamari Douglas, VP of Marketing, PR & Communications, said. “The event was televised for a total of 50 hours of coverage on the Golf Channel, with just under two million viewers tuning in from around the United States. Globally, the event was broadcast in 215 countries and territories, with over 420 hours of live broadcast coverage showcasing Bermuda as a prime destination for sports tourism.”
Danielle Baiunco, Tournament Director for the Butterfield Bermuda Championship, “Our aim since inception has been to boost Bermuda’s economy, support locals in every sense of the meaning and bring attention to Bermuda as an idyllic vacation destination and a golfing paradise. We are pleased to continue to achieve this through our efforts to use local labour, vendors, and talent wherever possible. As the event grows each year, we thoroughly enjoy watching the overall impact following suit.”
“Additionally, there were high levels of engagement on social media with multiple posts trending on Facebook, Instagram, and Twitter from a series of high-profile media influencers. Golfers including Champion Lucas Herbert, David Skinns, and Bermuda’s Brian Morris were also featured in several interviews and media engagements during the week of the event.
“According to KPMG’s study, the event had an estimated direct impact of $5.1 million. In addition, there was a $6.8 million impact on the economy through indirect and induced effects. The total benefit from the 2021 Butterfield Bermuda Championship [including the value of media exposure] was estimated to be $25.1 million in 2021 – a decline from the $28.8 million generated in 2020 – but an increase of $2.5 million from 2019 [$22.6 million].
“The 2021 Butterfield Bermuda Championship also directly benefitted local businesses – with the event organiser, Bruno Event Team, partnering with over 40 Bermuda businesses to ensure the tournament was a success. This resulted in direct expenditure of $3.0 million, up from $2.7 million in 2020.
“Additionally, the event supported more than 50 Bermuda-based charities and not-for-profit organisations, with the Butterfield Birdies for Charity Programme generating $646,729 in donations in 2021. Over the last three years, a total of $1.1 million has been donated to local charities thanks to the Bermuda-held Championships.
“Challenges notwithstanding, the 2021 event was negatively impacted by the global pandemic, with travel and social distancing restrictions limiting the number of permitted spectators allowed at the Port Royal Golf Course. This resulted in spectator day numbers falling from an estimated 10,660 [2019] to 3,800 [2020] to just 1,850 in 2021.”
The BTA’s Jamari Douglas further explained: “Our strategy continues to target increased annual tourism visitors, particularly through the non-summer months, by attracting top sporting events, athletes, and spectators to the Island. The PGA TOUR Butterfield Bermuda Championship successfully attracted media coverage and aided in raising Bermuda’s profile as a premier tourism destination.”
The BTA added, “Other highlights of the KPMG study include:
- 129 golfers participated in the event
- 391 caddies, crew, media personnel, vendors, and corporate supporters
- 616 volunteers assisting in running the event
- A total of $3.0 million was spent in Bermuda by event organisers, Bruno Event Team
- An additional $1.3 million was spent by golfers and supporting crew
- 12% of the spectators were overseas visitors, 88% were Bermuda residents.
“KPMG Advisory Limited was engaged by the BTA to assess the economic impact of the 2021 Butterfield Bermuda Championship. To complete their assessment, they first considered the actual spending that occurred in Bermuda as a direct result of the Island hosting the event. In addition to Gross Domestic Product [GDP], KPMG also considered other qualitative effects such as sustainability, legacy impacts, and brand value where practicable.
“The 2022 Butterfield Bermuda Championship is scheduled to take place this week October 27 – 30 at the award-winning public course, Port Royal Golf Course. For more information, visit www.butterfieldbdachampionship.com or the tournament’s Facebook, Twitter, and Instagram pages.”
The Economic Impact report follows below [PDF here]:
What is the economic impact of potential visitors turned off by the TA form? What was the economic impact of the cruise ships that cancelled solely due to the TA form!
It must be costing Bermuda tens of millions of dollars, just like the Americas Cup did
Now we have some extra cash to pay zane
These numbers mean very little, except to show how the BTA is failing to get air arrivals. In 2021 12% of spectators were visitors. There were 1,850 spectators, so Bermuda benefitted by 222 visitors, but the BTA thinks this is a great achievement, no doubt the reason for so many announcements of promotions to VP level. Glaringly left out of the benefit is the cost to host this event, and media exposure of $13 million is not cash. hen will the BTA actually produce something to cover their $25 million cost to Bermuda? Reads like just another loss making Government entity.