By Harrison Furman
Sunday’s Super Bowl is in Minnesota featuring the Philadelphia Eagles against the New England Patriots. This game is particularly notable because it will be the first time Minnesota will be hosting a Super Bowl. The business behind the Super Bowl is huge. From ticket prices, hotel rooms, flights, your favorite sports gear, and the disposal income at the home city, the economic effect greatly benefits the host city.
This year the economic effect for Minnesota will be about $343 million for the region and could possibly go as high as $400 million, generating at least an extra $29 million in taxes.
This one weekend will help the region more than two to three months of events going on. This is why many many cities want to host the Super Bowl, because the economic effect on the local community. Therefore, if you want to host the Super Bowl one requirement is to have 24,000 hotel rooms within a 60-minute drive, which will generate at least 240,000 nights of stay for the 10 day Super Bowl celebrations if the whole week were 100 percent occupied. If we take average room night is $200 a night for all 24,000 rooms for 10 nights (including Super Bowl and including the other 9 days), that will be at least $48 million in hotel revenue alone not including parking or any other fees.
The Super Bowl is known for crazy prices of the tickets which the money does not even go to the city, but to the National Football League. This year, ticket prices for the Super Bowl have been around about $1,000 per ticket. The tickets are bought from the NFL if you win the season ticket lottery at the local stadium. The others are purchased by corporate sponsorships for the NFL. The secondary ticket market now is huge on Stubhub, with the cheapest tickets sold at $3,200 for the nosebleed seats. That is a return of over 220% profit if you win the lottery to buy tickets.
People will always say that the Super Bowl is a rip-off, but only if you buy your tickets on the secondary market. The Super Bowl is a big economic push for the community and for the region. This Super Bowl will bring in over $340 Million for the region, with $48 million is hotel revenue and an extra $29 million in taxes.