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links between motivation and event attendee expenditure at a festival

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Presentation given at the 5th Biennial Advances in Tourism Economics conference, 15-16th May, Universidade Lusíada de Lisboa, Lisbon, Portugal

Presentation given at the 5th Biennial Advances in Tourism Economics conference, 15-16th May, Universidade Lusíada de Lisboa, Lisbon, Portugal

Published in: Education, Business, Technology

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  • 1. The impact of motivation factors on spending at a public sector festivals programme Denise Hawkes, James Kennell, Paul Booth & Emma Abson Institute of Education, University of London, UK & University of Greenwich, UK
  • 2. Public sector support for Tourism and Events in the UK • 1980s – 2000s LA develop ‘entrepreneurial orientation’ in a neoliberal context (Pugh & Wood 2009, Harvey 2010) • ‘Eventful Cities’ (Richards & Palmer 2010) • Post 2008 crisis- Austerity programme from UK coalition government • 2010 – commitment to reduce public sector spending by 13% in 5 years • Dramatic impacts on public sector support for tourism and cultural events (Kennell & Chaperon 2013)
  • 3. “Southborough Festivals” • Multiple event programme • LA decision – stop funding smaller, community events, concentrate on those with greatest economic impact • Commissioned study to ‘demonstrate’ assumed economic impact • Study showed £1.6m LEI • 6.6:1 ROI
  • 4. A six month programme of cultural events
  • 5. Methodology • Visitor surveys (579 completed – 1,310 people) – Demographic – Motivations (Beard & Ragheb 1983) – Spending • Organizational spending • Multipliers used to calculate impact
  • 6. Median spending at the events To Meet New People To Spend Time with Family To Learn more about the content Because it as a local event To see the acts General Entertainment All Total Spending £5.00 £2.50 £6.00 £2.50 £5.00 £2.50 £5.00 Travel £5.00 £1.67 £2.50 £1.25 £2.50 £2.50 £2.50 Food £5.00 £2.50 £5.00 £1.13 £1.67 £2.50 £2.50 Keepsakes £0 £0 £0 £0 £0 £0 £0 Accommodation £0 £0 £0 £0 £0 £0 £0 Totals £15.00 £6.67 £13.50 £4.88 £9.17 £7.50 £10.00
  • 7. Regression Analysis to Explore the Determinants of Spending at Local Authority Events * p<0.05; ** p<0.01
  • 8. Key results • If one of the attendee motivations was ‘to meet new people’ – this increases average spending by £20.71 per person • If one of the attendee motivations is ‘to spend time with family’ this reduces average spending by £6.31pp • If one of the attendee motivations is ‘because it is a local event’ this reduces average spending by £10.59pp • Repeat attending and key demographic factors were found to have little impact on expenditures
  • 9. Event motivations • The majority of events motivation studies focus on psychological factors and and link to marketing and satisfaction behaviours (Uysal et al 1991, Crompton & McKay 1997, Nicholson & Pearce 2001, Lee et al 2004, Bowen & Daniels 2005, Thompson & Schofield 2009, Kim et al 2010 ) • Most studies of determinants of expenditure only explore demographic and behavioural factors (Thrane 2002, Thomson & Schofield 2009, Kim et al 2008 & 2010, Kruger et al 2010, Chang & Yuan 2011) • Our findings link expenditure to motivation
  • 10. Implications • Public sector events priorities – Pre 2010: Inclusion, accountability, public policy goals – Post 2010: commercially viable and create local economic impacts • Understanding event motivations now central – research gap? • To increase £ - Public sector must design and market events with the needs of motivational segments in mind • New tension – designing and marketing public sector events to increase £, but without alienating citizens and other stakeholders
  • 11. Limitations and further research • Limited opportunities for spending – these events have a non-commercial orientation – Test at other public sector events with more developed commercial activity • Motivation was not the focus of the study – measurement of this was simplistic – Employ more sophisticated scales in future studies • Qualitative research needed to understand more about these groups, why they spend, what on and what they want from events
  • 12. References • Bowen, H. & Daniels, M. (2005) ‘Does the Music Matter? Motivations for Attending a Music Festival’ in Event Management, 9, 155-164 • Chang, W. & Yuan, J. (2011) ‘A Taste of Tourism: Visitors’ Motivations to Attend a Food Festival’ in Event Management, 15, 13-23 • Crompton, J. L., & McKay, S. L. (1997) ‘Motives of visitors attending festival events’ in Annals of Tourism Research, 24(2), 425–439. • Harvey, D. (2010) A Brief History of Neoliberalism, Oxford: Polity • Kennell, J. & Chaperon, S. (2013) Analysis of the UK Government’s 2011 tourism policy. Cultural Trends. 22 (3-4), 278-284 • Kim, S.S., Han, H. & Chon, K. (2008) ‘Estimation of the Determinants of Expenditures by Festival Visitors’ in Tourism Analysis, 13, 387-400 • Kim, S.S., Prideaux, B. & Chon, K. (2010) ‘A Comparison of Results of three Statistical Methods to Understand the Determinants of Festival Particpants’ Expenditures’ in International Journal of Hospitality Management, 29, 297- 307 • Lee, C., Lee, Y., & Wicks, B. E. (2004) ‘Segmentation of festival motivation by nationality and satisfaction’ in Tourism Management, 25(1), 61–70. • Nicholson, R., & Pearce, D. G. (2001) ‘Why do people attend events: A comparative analysis of visitor motivations at four south island events’ in Journal of Travel Research, 39, 449–460 • Pugh, C. & Wood, E (2009) The Strategic Use of Events within Local Government: A study of London Borough Councils, Event Management, 9: 61-71 • Richards, G. & Palmer, R. (2010) Eventful Cities, Abingdon: Routledge • Thompson, K. & Scholfield, P. (2009) ‘Segmenting and Profiling Visitors to the Ulanbaatar Naadam Festival by Motivation’ in Event Management, 13, 1-15 • Thrane, C. (2002) ‘Jazz Festival Visitors and Their Expenditures: Linking Spending Patterns to Music Interest’ in Journal of Travel Research, 40, 281-286 • Uysal, M., Backman, K., Backman, S., & Potts, T. (1991) ‘An examination of event tourism motivations and activities’ in Bratton, R.D., Go, F. M., & Richie, J. R. B. (Eds.), New horizons in tourism and hospitality education, training, and research (pp. 203–218). Calgary: University of Calgary.