Study: Bonnaroo has $50M impact
Bonnaroo released Monday the results of a recently completed economic impact study that shows that the festival and its avid patrons put more than $50 million into the local Manchester and statewide Tennessee economies last year.
The study reports that the festival generated $36 million in direct expenditures (monies injected into the economy by Bonnaroo attendees during their travel to and from the festival) and an additional $15 million in indirect and induced economic activity (includes monies generated by increases in sales and income and jobs associated with companies that benefit from spending by attendees and spending by individuals who experience increased earnings as a result of the festival).
The study, performed by Greyhill Advisors, also estimates that the economic impact on Coffee County, which becomes the 7th largest city in the state during the festival, was more than $37 million in 2012.
“Bonnaroo set out to be part of this community, and this study helps us verify what we’ve worked toward: Bonnaroo has a positive economic impact on the community and the state as a whole,” said festival partner Rick Farman.
Highlights from the study include:
• In addition to providing revenue for businesses and income for area residents, Bonnaroo also generates significant state and local tax revenues. In 2012, Bonnaroo organizers and attendees contributed more than $580,000 to Coffee County tax coffers. Of this total, nearly $314,000 was generated by taxes on sales, motor fuel and hotel occupancy.
• Bonnaroo produces generous tax revenues for the State of Tennessee as well. In 2012, Bonnaroo was responsible for $2.9 million in taxes that benefited the state. More than $2 million of this total was generated by sales tax on Bonnaroo tickets. An additional $900,000 was generated by the activity of Bonnaroo attendees during their time in Coffee County and their travels to and from the festival.
• On average, Bonnaroo attendees spend $86 per day during their Bonnaroo experience. Approximately $28 per day outside of Coffee County, while $35 per day is spent outside the festival grounds but within Coffee County, with gasoline and groceries representing the two largest spending categories.
“Bonnaroo plays a major role in our local community, both through an invigorated economy and through its charitable contributions,” said Coffee County Mayor David Pennington “But it goes much deeper than that. Bonnaroo means more to Coffee County than economic stimulus, media coverage and tourism; our entire community is very proud that we are a part of something with an international scope.” …
Continue reading this story in this week’s (May 22) print edition of the Manchester Times. Click here to subscribe to the print and/or full online version of the Manchester Times.