"Evaluating the Economic Impact of the "Sounds Like Birmingham" Music Festival"

Abstract

Birmingham City Council commissioned Aston Business School to evaluate the economic impact of "Sounds Like Birmingham", a year long music festival celebrating Birmingham's status as UK City of Music in 1992. In order to measure the economic impact, the research needed to focus on tangible, intangible and long term economic effects. The tangible effects were measured by conducting venue surveys at thirty different music events. These surveys would ascertain the levels of expenditure spent by attendees before, during and after the event. A multiplier model was then applied to these expenditures. Visitor and business surveys were used to evaluate the intangible economic effects, the latter targeted London and Birmingham executives and middle managers who work in Birmingham. Qualitative interviews with cultural executives and organisational surveys were used to analyse any long term economic effects. The tangible economic benefits included the creation of 99 person years from the festival, at an average public sector cost of £21,622. The total amount of income generated was approximately £3,170,000, or £4,700,000 if the "Carmen" production is included in the calculation. For every £1 spent on admission prices, £5.8 was spent elsewhere in the local economy. In terms of intangible economic benefits, Birmingham executives saw culture as Birmingham's most distinctive strength, whilst London executives viewed Birmingham as having better cultural facilities than Manchester. However, "Sounds Like Birmingham" did not play a significant role in influencing these perceptions, nor in enticing more London executives to visit Birmingham more regularly. Middle managers did not rate culture highly as a quality of life factor, thus reflecting their apathetic view of "Sounds Like Birmingham". Weekend tourists had a favourable impression of cultural provision in Birmingham and the majority would return because of it. However, as with the results of the other surveys, "Sounds Like Birmingham" had, at best, a marginal impact on these perceptions. It appears that Birmingham did not develop a critical mass during 1992. The confidence of many music organisations indicate the recessionary effects of 1992 outweighed any beneficiary effects. "Sounds Like Birmingham" has vindicated Birmingham's Post-Myerscough approach to generating economic benefits from the arts. This approach believes that arts policies should be tailored for cultural needs in order to maximise the economic benefits.