the economic dimension of sport for a national economy - germany | economic dimension of sport | 1...

The Economic Dimension of Sport for a National Economy - Germany

| Economic Dimension of Sport | 1© Prof. Dr. H. Preuß

Prof. Dr. Holger Preuß Johannes Gutenberg-Universität Mainz

Vilnius, 01.10.2013


Aim of this presentation

EU “White Paper on Sport” requests “satellite accounts sport” (SAS) in all member states.

1) How did Germany construct this SAS ? _____________________________

2) What is the importance of “private consumption” on the economy?

3) What is the importance of “sponsor / advertisements / media rights consumption” on the economy?

4) What is the importance of “construction” on the economy?______________________________

5) Which branches profit from sport ? a) in terms of “gross value added”b) in terms of “jobs created”


MethodsHow did Germany

construct this SAS ?


The Sport Sector – Overview

sport consumption

1. for participation2. for passive sport

sport consumption and its effect on …

1. Volunteering2. Happiness & well-being3. Education4. Integration5. …

monetarily

1. Sponsoring2. Media Rights3. Sports Venues4. Club Subsidies5. High-Performance Sports6. Sport-Related Injuries

1. National sport success - image2. International relations3. Crime prevention4. …

not monetarily

hous

ehol

dot

hers


sport consumption

1. for participation2. for passive sport

monetarily

1. Sponsoring2. Media Rights3. Sports Venues4. Club Subsidies5. High-Performance Sports6. Sport-Related Injuries

hous

ehol

dot

hers

Study 1

Study 2

Study 3

Private Consumption

of Sport

Advertisement, Sponsoring & Media Rights

Sport VenuesConstruction &

Operation

Secondary Analysis

The Sport Sector – Overview


The Sport Account Satellite– Overview

Source: Calculation of GWS Gmbh, G. Ahlert

Private Consumption

of Sport

Advertisement, Sponsoring & Media Rights


Operation


Data collectionStudies

2) What is the importance of “private consumption” on the economy?

3) What is the importance of “sponsor / advertisements / media rights consumption” on the economy?

4) What is the importance of “construction” on the economy?


Studies conducted …

Private Consumption

of Sport

Advertisement,Sponsoring & Media Rights


Operation

n = 7,031 CATI consumersn = 10,424 CAWI consumers in 3 waves

2009-2011

n = 1,500 CATI industry n = 508 CATI sport organisationsn = 74/59 CATI agencies/experts

2011

n = 455 CATI community leveln = 204 CATI expert interviews+ secondary data

2012

Study 1 Study 2 Study 3


Overall target of the 3 studies

What is the monetary primary impact of sport in our reference year (2008) for the German economy? • by consumers, companies and sport organizations as detailed as by

differentiating 88 industry branches.

…

• consider imports / exports


Overall method of the 3 studies

Methodological steps1. Categorization (definition of all sports / advertising / rights / sport

venues)

2. data collection “numbers” by a representative samples

3. data collection “monetary expenditures / investments” by “unit”

4. calculation of overall expenditures (input) in categories of the 88 branches to be used for the German Input-Output Model



Private Consumption

of Sport



Operation


2009-2011


2011


2012



Study 1: Consumption of households

Definitions

1) Sport = 71 types of sport (clustered by consumption)

2) Consumption = based on the broad Vilnius Definition, which includes all categories of consumption included in the statistical and narrow Vilnius definition plus all activities and consumption categories that need sport as an input (SpEA, 2006)• Active participation: 32 consumption categories

• Interest-related: 18 consumption categories


Study 1: Consumption of households

30%33,7 bn. €

19,9%22,4 bn. €13,6%

15,3 bn. €

13,3%15,0 bn. €

10%

4%3%

3%2%

2%1%

transportation

sport-related vacation

sport shoes & clothing

sport equipment

membership & entrance fees

media & information technology

body care

self-financed practices & performance diagnostics

sport food & supplements

sport-related insurance

medical services & preventive products

112.6 bn €(active participation)


Study 1: Consumption of householdsConsumption stimulates industry branches…

Industy

TradeTransportInform

ationFinance

Government Services

Source: Calculation of GWS GmbH, G. Ahlert



Private Consumption

of Sport



Operation


2009-2011


2011


2012



Study 2: Advertisement, Sponsoring and Media Rights project guidance

Definitions

1) Sport = 71 types of sport2) Sport-related = advertising, sponsoring and media rights defined

by criteria. 3) Sponsoring = contracted exchange (and not donations) 4) Advertising = real market communication (and not just information (internet))


Study 2: Advertisement, Sponsoring and Media Rights

2,045

1,096

High performancesport

Grassroots Sports

Trade

Manufacturing

Construction

Hospitality industry

Scientific and technical service

Finance and Insurance

Information and Communication

Energy

Health and Social service

Other services

Input for SAS in mill. € by industry branch:

In million Euro



Private Consumption

of Sport



Operation


2009-2011


2011


2012



Definitions

1) Sport Venue = location where the 71 sports are performed• translates into 59 sport venues

2) Differentiation of costs to be considered• investments | operation/maintenance

3) Investor/carrier of costs• public | non-profit organisation | for-profit organisation

Study 3: Sport venues, construction and operation

project guidance


Central sport venues: 13.3 bill €

(59 %)

Sport tracks:1 bill €(4 %)

Particular venues (stadia…):1.5 bill €

(7 %)

Specific venues:6.9 bill €

(30 %)

Construction of sport venues, modernisation, maintenance and operation: 22,6 bn. €, 74% are paid by public authorities

For all together 231.441 sport venues and 366.795 km „tracks“



=> for SSA compilation transformation of the costs into 88 industry branches


Hochbau

Vorbereitende Baustellenarbeiten, Bauinstallation und sonstiges Ausbaugewerbe

Energieversorgung

Wasserversorgung

Maschinenbau

Vermietung von beweglichen Sachen

Einzelhandel (ohne Handel mit Kraftfahrzeugen)

Herstellung von Metallerzeugnissen

Versicherungen, Rückversicherungen und Pensionskassen (ohne Sozialversicherung)

0 1,000 2,000 3,000 4,000

3,144

31

956

2,380

278

32

167

19

167

152

2,832

1,684

86

1,902

891

421

291

242

230

16

163

129

115

111

Investitionen

Betrieboperation

investment

Building constructionBulding operation and Gardening

Preparations of constructionCivil engeneering

Energy………………


Overall Results

Which branches profit from sport ? a) in terms of “gross value added”b) in terms of “jobs created”


Overall Results SAS – European comparison


Overall Results SAS – Composition of the sport-related gross domestic products in Germany (2008) with regard to its demand side related components, in bill. EUR


households

clubs & associations

government

exports

imports


Overall Results SAS – Contribution of individual industries to the sport-related employment in Germany in 2008


Indu

stry

Cons

truc

tion

Trade

Transport /HotelIn

form

ation

Finan

ce

State service

Sport


Overall Results SAS – Contribution of individual industries to the sport-related gross value added in Germany in 2008


Indu

stry

Cons

tructi

on

TradeTransport

/ Hotel

Info

rmati

onFi

nanc

eState service

Sport


Conclusion In comparison to other European SAS the German SAS is based on primary data

collection because public statistics cannot be used. An overall new concept to evaluate these data was developed.

Despite limited research budgets the data were:

• calculated on sufficient samples of the most important categories

• validated by differentiating organisation (e.g. revenue of one entity must be expenditure of the other)

The 3 studies evaluated the primary economic impact of sport (reference year 2008) for Germany targeting a detailed base of 88 industry branches

Overall findings show: Sport related consumer consumption is a huge amount (6.6% of all private consumption)

Sponsorships and advertisements in grassroots sports contribute more than that of high performance sport

Most investments for sport venues and their operation is spent for central sport facilities and stems from public resources

Many different industries benefits from sport expenditures and create 4.4% of all jobs in GER

Sport related gross value added 2008 in GER was 3.3%

5

Thank you for your attention


Prof. Dr. Holger Preuß Johannes Gutenberg-Universität Mainz

Studies coordinators:

Household Consumption: Christian AlfsSponsoring and Media : Iris an der Heiden, Frank Meyrahn (2hm)Sport venues: Iris an der Heiden, Frank Meyrahn (2hm)Satellite Account Sport: Gerd Ahlert (GWS)

all projects in cooperation with Gerd Ahlert (GWS) financed by BMWi, BMI, BISp

Villnius, 01.10.2013

the economic dimension of sport for a national economy - germany | economic dimension of sport | 1...

Documents

cati sport organisations

sport organizations

preu sport consumption

cati consumers n

cati industry n

sport sector overview

cati community level

national sport success