3. ECONOMIC & TOURISM ROLES OF EVENT
3.1 Tourist Attraction
From the Chart 1 taken from the STB website link shows that the visitor arrivals for the month of September were the lowest. By bringing the Singapore GP event in September, it helps to attract tourists during this low season. Statistics from STB have shown that during the Singapore GP period, the growth in visitor arrivals was peaked at 30.3%. This benefits the service supplier sectors, such as airline, accommodation, transportation, food and beverages, and other tourism-related services.
With the setup of Singapore GP, it helps to overcome the low peak season during September and increase the tourism income in the long run. Events like this might become an additional benefit for tourists on top of what the destination can offer. Thus increase its capacity to attract and hold visitors to extend their stay in
3.2 Animator
Singapore GP provided fresh and new experience for the tourists as well as the locals, thus enhance
3.3 Catalysts
Besides gaining revenue, setting up of the Singapore GP event had also benefited our country’s development. One of them are the road works by Land Transport Authority (LTA) which includes the construction of a 1.2km road, widening a section of Raffles Boulevard, new vehicular/pedestrian underpass, widening a stretch of promenade between the floating platform in Marina Bay and the existing outdoor seating gallery, last but not least, the modifications to existing road kerbs and traffic islands. All the above works are made for the Singapore GP, however it does contribute to the infrastructure development that
Revenue incurred by Singapore GP includes the selling of tickets, merchandise, as well as F1 betting by Singapore Pools. However, this does not stop here, the visitors attracted by the festival and special event sector not only help to draw in income for the tourism industry, it also stimulate other businesses, such as the hotels, food and beverages, transportations as well as the airlines. For example, the food served by the various hotels to the guests results in further business for the companies that supply and transport food produce. It also creates opportunities for businesses, example the F1 pastries in Breadtalk.
This event helped to support other attractions in the vicinity, a good example will be the Singapore Flyer which they had partnership with. It gave the attraction a opportunity to earn more revenue and create more awareness to the public. Among all the service supplies, the hotel sector benefits most from the Singapore GP. The Average Room Rate (ARR) in September 2008 had an increase of 49.5% as compared to last year’s figures. Revenue Per Available Room (Revpar) also grew by 29.2% to reach $224, setting a new record for Revap. Therefore, the government imposed a special F1 cess on hotel room revenues during the Singapore GP period which gave a strong boost to our tourism sector, benefiting our economy.
3.4 Place Marketing
The worldwide broadcast of the event would help to create positive images of Singapore, especially the circuit is going through the heart of the city. It helps to build or reinforce the city island images of Singapore, that is still relatively unknown to many all around the world. The images would consists of contrasting landscape from colonial buildings to state-of-the-art performing arts centre with a city reservoir setting in the midst of lush greens.
With these positive images created, it would help to attract more investors to invest in our country and thus ensures a better economy.
3.5 Image Maker
Singapore GP would contribute to overcome the traditional negative imagery of Singapore being a sterile city. This allow people to see our Marina Bay from a different angle, as an exciting and happening place rather than just a place where people meet up for business, enhancing the image they have of us.
In comparison with the cost incurred and the economic benefits as well as the positive spill-overs from F1, it has clearly shown that the setup of Singapore GP is worthwhile. It helps to broaden our economy spin-offs and also bring our country’s awareness to a greater height.