Newport Bermuda Race releases economic impact studyPosted on
The Bermuda Race Organizing Committee released the results of an economic impact study that shows the 2012 edition of the biennial Newport Bermuda Race generated an estimated $20.8 million in local expenditures for Newport and Bermuda.
The world-famous ocean race is run jointly by the Cruising Club of America and the Royal Bermuda Yacht Club, members of which comprise the organizing committee that oversees the event.
The committee commissioned the market research firm Bonnier Custom Insights to conduct an online survey among 2012 race participants to determine the economic impact of the race.
The race began on June 15, 2012 in Newport, R.I., with 164 sailing yachts racing 635 miles from Newport to the islands of Bermuda; 156 yachts completed the course and were scored as finishing in Bermuda. The survey asked race participants to estimate boat expenditures in both locations for race preparation, fuel, dockage, provisioning, repairs, equipment and supplies, as well as personal expenditures in both Newport and Bermuda for local travel costs, including accommodations, dining out, local transportation, activities, shopping, gifts and souvenirs. The survey was performed in February and March.
The average expenditure per boat in Newport before the race was $12,255, or an estimated total of slightly more than $2 million spent locally by the fleet to prepare for the race. Race preparation and boat expenditures included berthing in Newport, new gear and equipment, repairs and cleaning/hauling, if needed, fuel and provisions.
Crewmembers reported significant spending personally in Newport for lodging, food, shopping and local transport, which tallied an impressive $7.1 million overall when calculated using an average of 10 crewmembers per boat. The combined investment in Newports local economy added up to $9.1 million on boats, race preparation and local travel/hospitality.
Spending on boats in Bermuda was estimated at $6,515 a boat, or a total of slightly more than $1 million. Personal spending was higher at the races destination, adding up to $10.7 million in Bermuda for all race participants combined. Total expenditures in Bermuda on boats and personal travel/hospitality by the 2012 Newport Bermuda fleet came to an estimated $11.7 million.
This survey clearly demonstrates the significant economic benefit which the Newport Bermuda Race delivers to both Newport and Bermuda, race chairman Fred Deichmann said in a statement. It also confirms the popularity of these great destinations with Bermuda Race participants, their friends and families.