Written by: Logan Evers
The NFL draft is not only a large way for the host city to bring in revenue, but furthermore it positively impacts the economy. Nashville, Tennessee was chosen to host the draft among other finalists during the NFL Spring League Meeting in 2018. Nashville proved to be a great choice as the streets were filled and NFL found themselves with a record breaking attendance. 600,000 people showed up and this will prove beneficial to their economy. As people attend the demand for goods and services go up. This not only helps local businesses but it encourages business expansion, it may allow businesses the extra funds to invest in new products. This can lead to an increase in long run aggregate supply because when there is investment in goods and services like infrastructure it positively will impact the economy for long periods of time.
Another impact the draft can have on the city of Nashville is that overall 47.5 million people tuned in digitally. This means that the city was publicized to every one of the 47.5 million who watched. It may lead to more tourism and long term revenue for the city because people will see the benefits of traveling to Nashville. The Tennessee Titans are also likely to gain more support after the draft. People are able to see their state and what they stand for and will empathize with them and in turn lead to more game sales.Overall the state of Tennessee will benefit from the NFL draft in Nashville because it will drive up tourism and lead to more business growth. The economy will benefit from the increase in aggregate demand and in the long run the increase in investment will drive up economic growth.
Works Cited
“NFL Draft 2019: Nashville Crowds Break Event Record for Attendance.” NFL Draft: Nashville Crowds Break Attendance Record | Sporting News, (Getty Images), 29 Apr. 2019, www.sportingnews.com/us/nfl/news/nfl-draft-2019-nashville-crowds-break-event-record-for-attendance/152ssgmzgw4ic1mrybnnv67axz.Rau, Nate, et al. “How Nashville Got the 2019 NFL Draft: From NFL Afterthought to Host of Its Biggest Party.” The Tennessean, Nashville Tennessean, 19 Apr. 2019, www.tennessean.com/story/sports/nfl/draft2019/2019/04/16/how-2019-nfl-draft-got-to-nashville/3490406002/.
I found this article very interesting as I never really thought about the profit hosting the NFL draft could bring. Obviously opening a new stadium or starting a new franchise in a city will increase the buzz and popularity of the city, but the NFL draft is also a very good way. After this three day event I bet Nashville experienced a spike in tourism as many fans watching the draft probably took a visit after seeing the fun environment on TV.
ReplyDeleteI agree that Nashville overall will have a positive impact on the economy. With the large amounts of people spending money on merchandise, food, and hotels. Additionally there will be a demand for more people to work because stores will become so busy. Also this is a really good opportunity for companies to create advertisements on the channel that the draft is played on because thousands of people will be watching the draft. But after the NFL draft this could cause a negative impact on Nashville's economy. This is because once there is not as much of a demand for these goods and services people will start to be laid off and their earning may drop. Also goods will not be selling as quickly as they were when there were 600,000 people in Nashville. But overall Nashville hosting the NFL draft will have a positive impact on the economy.
ReplyDeleteI think this was a great move by the NFL to have the draft in Nashville. Nashville over the past couple of years has had a booming economic growth and the city is becoming a top tourist destination in the United States. It is a city that is able and willing to host that many people for the draft. I also think some people would not travel somewhere just for the draft, they want to experience the city surrounding the draft as well. But, I wonder if the city was able to handle all of those people, as well as the many tourists flowing in every day? The economic impact is huge I agree, and possibly this large event will lead to even more larger events like this to come to the town.
ReplyDeleteI liked this article because it is very true. The NFL draft is a really big deal depending on where it is held and because it was held in such a big place the possibility of more money was there. Every year thousands of people show up for the draft and this not only helps the actual venue but also helps all the shops and restaurants in the area. If the draft came to Milwaukee that would be incredible because all of our sports teams have been doing very well and this allows there to be a lot of sports fans here already. This would highly boost our economy and would make the city much more lively and nice. Overall I really liked the article and liked how you compared it to the supply and demand because that is exactly what is occurring.
ReplyDeleteHaving a sports scene in a city or state is always highly beneficial for the area. Not only will people be spending money at the stadium or field that are visiting, but all local businesses, hotels, and restaurants will also gain revenue. In addition, Nashville is in a great location, as its climate is very mild, and the city's historic atmosphere is sure to leave a good impression on all visitors. There are critics to sports stadiums within a city, claiming that it only brings more of the extremely rich and does not develop the area, but this is false. The infrastructure, visitation, and exposure in the media all increase and have great benefits. Especially because sports is such a huge business, it also brings out sponsors like Red Bull, Nike, and others to a city and they also might consider investing in the city of Nashville. I believe Nashville will be getting a lot more attention and revenue in the coming months.
ReplyDeleteThis topic was really interesting to me, I had no idea that there were so many intense fans that came to watch the draft. The thought of having 600,000 people come to a city just to watch a daft, is mind boggling to say the least but most definitely going to create economic growth for the city itself, and promotion. When you think of the lotion of the event, I really enjoyed the perceptive that you put on the city exposure through television. That could then create future economic growth for the city. This correlates to where the Super Bowl is held and what country is hosting the olympics. I think that if the country or city is able to finically take the initial burned, and able to supply enough resources to host an event it will pay itself off quickly, and possible future growth for the location for 1-5 years to follow.
ReplyDeleteEvents like these have enormous impacts on the city and in some cases even the country. Every couple years there is a bid to determine which country gets to host the world cup, and each country is willing to go to huge lengths to get it, because like the NFL draft and for the same reasons, it can boost the economy. It will be interesting if we will see a small increase in the economy of Milwaukee during the 2020 DNC, to perhaps a smaller degree.
ReplyDeleteI totally agree that this is increases economic growth. Although in the long run the investment in capital goods with increase their business revenue, not an investment in just any goods and services. When a company puts the money into capital goods - like machinery and technology - they are able to produce more, thus further increasing their revenue in the long run. When they investment in just goods, they are simply adding onto their total fixed costs and not to the benefit of their company. I wonder how this event will truly impact economic growth in the long run?
ReplyDeleteSome people say that hosting an athletic event like this will hurt the city more than help, because of what you have to supply to the citizens; however I also believe that the NFL draft is different, because you don't need to supply much to the people. An event like this only helps, because it provides a space for people to spend their money. I'm not sure if you have to buy tickets to go to the draft, but we all know that everyone at that draft is either staying in a hotel, and/or going out to eat and spending all of their money on merchandise on local businesses. This type of event definitely benefits the economy, especially Tennessee.
ReplyDeleteBefore I heard the draft was going to be in Nashville, I didn't really think of Tennessee as a football state. But now after the draft, I see that many, many people went there to take part in the draft and to watch it as well. I do think that it is very beneficial to whatever city gets to hold the draft due to the big influx of people as you talked about, but also because it gets people talking about that city. Aside from the draft, this can lead more people into the city who aren't just drawn in by football which is a great help in growing the economy of Nashville.
ReplyDeleteNashville, Tennessee has already been known to be on an economic rise with their innovative city, and hosting the NFL draft only helped this growth that is occurring. Any event that the NBA, NFL, MLB, etc. holds is sure to bring in lots of revenue for the city it is held in, especially for restaurants and hotels in these locations. Not only does the economic growth rise during the week of the draft, but years to come as well. This is because if tourism spikes during the initial event, and the people attending have a positive experience, that can generate the want to return to the city in the future to further explore. When I was in Nashville over Spring Break, it was really interesting to see how much the city has and is changed/changing, with new construction of buildings, methods of transportation, and much more, and I'm sure when choosing the NFL draft location they looked for a city that was on the rise in these types of ways.
ReplyDeleteI agree with the basis of this article and am interested in it because it is true. Sports are huge in America and the NFL Draft is just one example of a city impacted by a sports related event. I wish you included a little bit more information on statistics, but overall I thought the article was pretty good. Even other sports outside of football provide this type of revenue for cities, including The Stanley Cup and March Madness. I'd do wonder how much it costs for a city like Nashville to host a draft though.
ReplyDeleteI agree that the draft will improve the economy in nashville but some of the things about support for the titans increasing I don’t agree with. I don’t believe that because people are going to that city or state, they will all of a sudden support the titans because they like the city. When I go to a new state I don’t support their team just because they have a cool city. I can see the tourism increasing but not support for their team.
ReplyDeleteI totally agree with you that hosting the draft in Nashville will bring a hugely beneficial economic impact to the city as well as all the businesses in it. Professional sports such as football have always been lucrative, so right away before reading the article I knew that the economic effects of the draft would be positive. The draft itself costs about $3,000,000 to host, but that number will quickly be surpassed by the revenue being brought in from the 600,000 people that will be in attendance. Like you mentioned, the economic benefits impact the businesses in the city too--not just the organizers. All the people coming in will have to stay in hotels, go to restaurants, as well as just spend money on touristy things as well which will provide the entire city with an economic and tourist boost.
ReplyDeleteI completely agree with the fact that this year’s Draft has greatly publicized the city of Nashville due to the great amounts of tourism involved and the digital involvement, as well. Not only does it allow people to recognize the city, yet it allows people to understand the history of the city, too. This history behind this city includes music, which is another reason for people to visit Nashville. Thus, not only small businesses and restaurants nearby benefit, but museums do too. Finally, this draft does cost great money, yet the overall benefit of the tourism is worth the original cost.
ReplyDeleteThe tourism and sports industries are some of the most economically powerful industries in the world. Big sporting events that are televised can promote a sharp influx in revenue for the city that is hosting it. This is due to the many ways that such a sporting event can make money; including money earned from advertisements, sponsorship, and direct money earned from the event. These big events can make a drastic difference in a city’s economy because of the amount of money that can be earned in such a short amount of time. A city’s citizens can benefit from the positive externalities that a flourishing economy can provide.
ReplyDeleteI never realized that the NFL draft pulled such a crowd that it was significant to a city's economy--similar to how events such as the Super Bowl can or the Olympics. It would be interesting to look at the cost of hosting this kind of event, and if the revenue of the event would qualify it as "worth it." After all, cities bid quite a bit to be even considered to host the Olympics--not to mention the infrastructure and preparation costs--and usually make out with little profit, as the 2016 Olympics in Rio showed us. Granted, the preparation for hosting the draft is not on the same large-scale production that the Olympics are, but still an important factor to consider. That being said, it seems as though it was an incredibly well-attended event, and therefore, Nashville likely made a good profit off of it.
ReplyDeleteI agree with your premise that the NFL Draft will allow for economic growth of some extent in the city. This can be attributed to lounging costs such as hotels for housing the 600,000 attendees, or the food costs that will feed people for three meals a day. The fact that the NFL Draft is comparable in size to an event like the Super Bowl, or the World Cup, or even the Olympics, just defines the amount of economic growth that will be attributed to this major sporting event.
ReplyDeleteI totally agree that the economy will be impacted significantly in Nashville because of this event. In fact, this seems to be a common trend for many professional sports leagues to boost the economy of certain states with smaller market teams. The NBA presented the 2019 NBA All-Star game in Charlotte and for having a small market NBA team like the Charlotte Hornets, this event impacted the economy in North Carolina significantly. Because the Tennessee Titans are a very small market team like the Hornets, it was a fantastic idea to host the draft in Nashville to boost their economy.
ReplyDeleteI totally agree and won't this also affect the gas prices too? In that area of Nashville, because if you think about it probably ½ of the people attending are out of state and want to come and see the NFL draft, but when they try to get out of Nashville there'll be on 1/4 or half a tank of gas which will mean the Gasoline consumption will skyrocket in Nashville and spread over the surrounding Gas stations in Nashville. So I do agree with the business growth and the economy will benefit from the increase in aggregate demand and it will also affect the Gasoline consumption in Nashville, which is a very good thing for producers because then they can raise the price in the Nashville area.
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