This year’s NASCAR Chicago Street Race drew more unique visitors, filled more hotel rooms and generated $128 million in economic impact
This year’s NASCAR Chicago Street Race drew more unique visitors, filled more hotel rooms and generated $128 million in economic impact Chicago Tribune
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The Second NASCAR Chicago Street Race Generates $128 Million in Economic Impact
The second NASCAR Chicago Street Race, held July Fourth weekend, generated $128 million in total economic impact, a 17% increase over the inaugural event, according to a study commissioned by Choose Chicago, the city’s tourism arm.
Increase in Media Value
In an even more dramatic gain, the nationally televised Cup Series race also generated $43.6 million in media value for Chicago, up 85% over last year, according to a companion report.
Positive Growth in Economic Measures
From hotel bookings to the number of out-of-town visitors, most economic measures showed an upward trajectory in Year 2 of the street race, fueling optimism for next summer’s event, which has already been renewed by the city.
Declines in Rainfall, TV Ratings, and Attendance
Rainfall, TV ratings, and total two-day attendance were the three most notable declines, however.
Significance of NASCAR in Chicago
“These reports show positive year-over-year growth across key impact metrics that we expect will be the beginning of a trend we will continue to observe next year,” Rich Gamble, interim president and CEO of Choose Chicago, said in a news release. “They also show that, in addition to significant direct economic impact, NASCAR is bringing incredibly valuable national and international media exposure to our city through the televised broadcasts of race days.”
Study Conducted by Temple University
The study, released Sunday, was conducted by Temple University’s Sport Industry Research Center, which issued a similar report following the inaugural event last year.
About the Chicago Street Race
Launched as a fan-base-expanding departure from the traditional NASCAR oval track, the Chicago Street Race features a 12-turn, 2.2-mile pop-up course through Grant Park, down DuSable Lake Shore Drive and up Michigan Avenue, which are closed off and lined with temporary fences, grandstands, and hospitality suites.
Attendance and Economic Impact
The 2024 street race weekend drew 53,063 unique visitors, up 12% over last year, with more than half of attendees traveling to Chicago for the event. Total attendance, however, fell 5.5% to about 75,000 racegoers, the study found.
Impact on Local Economy
The out-of-town attendees spent about $568 per day in Chicago and booked 33,268 hotel room nights, according to the study. Overall, the event accounted for more than 38,000 hotel room nights, including NASCAR employees and vendors, up 29% from last year.
Job Creation and Tax Revenue
The race weekend supported 865 jobs and generated $9.6 million in local and state taxes, both numbers topping last year, the study found.
Overall Economic Impact
The event generated $75.5 million in direct impact for Chicago, which expanded to include indirect and induced effects brought the total economic impact to $128 million. Last year, the street race generated $108.9 million in total economic impact.
Media Impact and International Coverage
Despite lower TV ratings, the Temple study found a huge year-over-year gain in the overall media impact, which jumped from $23.6 million to $43.6 million, due in large part to an increase in international coverage — from news stories to blogs — of the event.
Positive Outlook for Future Events
“Chicago could never buy this sort of media activity,” Calkins said. “In some ways, the NASCAR coverage is better than advertising because it is authentic. The event features Chicago at its best.”
Renewal of the Event
Under the terms of a three-year deal struck during former Mayor Lori Lightfoot’s administration, NASCAR agreed to pay the Chicago Park District a $500,000 permit fee in 2023, $550,000 this year and $605,000 in 2025, with an option to renew for two years. In addition, NASCAR agreed to pay a $2 fee per admission ticket, and an escalating commission for food, beverage, and merchandise sold at the event.
In October 2023, Mayor Brandon Johnson committed to the second Chicago Street Race weekend, with NASCAR agreeing to pony up an additional $2 million for city expenses, but only after publication of the first economic impact study. This time around, Johnson gave the green light to a third year in August — before seeing the 2024 numbers.
On Sunday, he took a victory lap in the wake of the latest report.
“This is a race without parallel in the world and I am pleased that the event has generated positive economic impact and supported hundreds of jobs over the last two years,” Johnson said in the news release. “I look forward to working collaboratively with my leadership team and the community to leverage this event to drive even greater impact next year.”
rchannick@chicagotribune.com
Originally Published:
SDGs, Targets, and Indicators Analysis
1. Which SDGs are addressed or connected to the issues highlighted in the article?
- SDG 8: Decent Work and Economic Growth
- SDG 9: Industry, Innovation, and Infrastructure
- SDG 11: Sustainable Cities and Communities
- SDG 17: Partnerships for the Goals
The article discusses the economic impact and media value generated by the NASCAR Chicago Street Race, which is connected to SDG 8 as it contributes to decent work and economic growth. The event also involves infrastructure development and innovation, aligning with SDG 9. The race takes place in Chicago, highlighting the importance of sustainable cities and communities (SDG 11). Lastly, the partnership between NASCAR, the city of Chicago, and other stakeholders reflects SDG 17, which emphasizes partnerships for achieving sustainable development.
2. What specific targets under those SDGs can be identified based on the article’s content?
- SDG 8.9: By 2030, devise and implement policies to promote sustainable tourism that creates jobs and promotes local culture and products.
- SDG 9.1: Develop quality, reliable, sustainable, and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being.
- SDG 11.4: Strengthen efforts to protect and safeguard the world’s cultural and natural heritage.
- SDG 17.17: Encourage and promote effective public, public-private, and civil society partnerships, building on the experience and resourcing strategies of partnerships.
The targets identified are relevant to the issues discussed in the article. The promotion of sustainable tourism and job creation aligns with SDG 8.9. The development of infrastructure for the street race supports SDG 9.1. The protection of cultural heritage, such as Grant Park, relates to SDG 11.4. Lastly, the partnerships between NASCAR, Choose Chicago, and other stakeholders reflect SDG 17.17.
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
- Number of out-of-town visitors
- Total economic impact
- Media value generated
- Hotel bookings
- Number of unique attendees
- Total attendance
- Number of international outlets covering the event
- Jobs supported
- Local and state taxes generated
The article mentions several indicators that can be used to measure progress towards the identified targets. These indicators include the number of out-of-town visitors, total economic impact, media value generated, hotel bookings, number of unique attendees, total attendance, number of international outlets covering the event, jobs supported, and local and state taxes generated. These indicators provide quantitative data to assess the success and impact of the NASCAR Chicago Street Race.
Table: SDGs, Targets, and Indicators
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 8: Decent Work and Economic Growth | 8.9: By 2030, devise and implement policies to promote sustainable tourism that creates jobs and promotes local culture and products. | – Number of out-of-town visitors – Total economic impact – Jobs supported |
| SDG 9: Industry, Innovation, and Infrastructure | 9.1: Develop quality, reliable, sustainable, and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being. | – Hotel bookings – Number of unique attendees – Total attendance |
| SDG 11: Sustainable Cities and Communities | 11.4: Strengthen efforts to protect and safeguard the world’s cultural and natural heritage. | – Number of international outlets covering the event |
| SDG 17: Partnerships for the Goals | 17.17: Encourage and promote effective public, public-private, and civil society partnerships, building on the experience and resourcing strategies of partnerships. | – Total economic impact – Media value generated – Local and state taxes generated |
Source: chicagotribune.com
