Economic impact of a race track to a community

Jonr · 3/30/19, 6:31 PM

In the Kansas City area, there is a lot of news around a promoters attempt to bring I-70 Speedway back to life. There are a lot of different tangets to this story but the one I would like to talk about is the concept of economic impact of a race track to a community.

The race track itself sits about 40 minutes east of Kansas City is a small rural county. At the permit hearings and on social media, many people are talking about the financial impact of having the track in the area would have. How it would be a boost for this county that does not have a lot going for it.

As I was listening to this, I started to question if this was true statement. For your average Friday/Saturday night track, does the track truly generate any income for the city/county in which it is located. I ask this because I routinely drive past I-70 to get to the Sweet Springs micro track. When I go to Sweet Springs, I almost always get off the freeway bypass the one restaurant and two convenience stores and go straight to the track. I will then do the same thing on the way home. On the few times that I did stop, did my $2.58 purchase at the convenience store move the needle on the local economy?

I started thinking about my other trips to race tracks in the area. It occurred to me that this is not a unique occurrence. I am far more likely to spend money on food on the way to the track than at the track. Whether I stop for food that I can eat on the way to the track, or a nice restaurant on the trip to the track, neither of those purchases help the actual local economy of the track.

As someone who has stayed at the booming vacation spots of Marion, In (USAC midget week) , Salina, Ks (Belleville Nationals) and Osceola, Ia (Knoxville Nationals), I realize that having a "Crown Jewel" attraction at the track completely turns the conversation. For now, I would like to limit the conversation to an average local race track that does not have a crown jewel event.

For more on the I-70 story, here is a local TV report. Facebook also has more on the topic.

https://fox4kc.com/2019/03/28/pit-st...ises-concerns/

Points · 3/30/19, 10:02 PM

Also in play would be sponsors at the track. backstretch billboards and car sponsors. These are maybe local bars, restaurants and other businesses that are looking to get your business at all times of year not just the night of the race. I really can't say what the return is on that though.

I am more of the traveling fan and I do my best to spend money in a tracks town when I travel far to a race. Gas, restaurant, convenience store, whatever it is I will try to do in the tracks town as support for the track.

My closest track which could fall in your average local track category is one town over and they probably will only get concession support from me as I have no need for the other things on the way on race day. Did call a business off one of the billboards once for some work at my house.

Nice to see a track maybe opening hope it proves impactful.

interpreter66 · 3/30/19, 11:35 PM

The track also adds to the community impact buying things to run the track
1-Fuel and maintenance for equipment .
2- concession supply’s / beer,soda food etc
3- employing staff
4-utility’s
5-advertising (I hope)
I’m sure I’m leaving other things out.

chop · 3/31/19, 8:41 AM

I would say that it would help the local area. Not the type of help that the track should get some type of pay no taxes for 20 years deal.

I live down the street from Berlin speedway, near Grand Rapids. On race day, I see race teams, fans getting gas, pop, ice at the local gas station. Also on weekends that you have traveling race series, arca type races. They stay at the local hotels.
I would think it would give the local population something to do on a Saturday night. Spend money there, not drive to the next city down the road and spend there.

ISF · 3/31/19, 11:20 AM

A track in Illinois within an hour of us is Fairbury American Legion Speedway, a 1/4 mile dirt bull ring that was built not long after the end of WWII. The town of Fairbury has a population of 4000 people. There has been investigative reporting done by a local newspaper on this very subject. The conclusion was that FALS has a significant beneficial effect on the economy of Fairbury, IL. The town is four square behind the track in every way they can be. The effect on the town would be relatively consequential if the track was shuttered.

I've not seen any data on Macon Speedway which is 8 miles south of Decatur, IL (pop. just over 1100) but it's fair to say the economic effect of Mighty Macon to the town would be similar to Fairbury.

i love dirt track racing · 3/31/19, 1:20 PM

I would think that all the little towns around the house that earl baltus built has had some impacts on the track being in that location. Lol.

revjimk · 3/31/19, 2:22 PM

Quote:

Originally Posted by Jonr

In the Kansas City area, there is a lot of news around a promoters attempt to bring I-70 Speedway back to life. There are a lot of different tangets to this story but the one I would like to talk about is the concept of economic impact of a race track to a community.

The race track itself sits about 40 minutes east of Kansas City is a small rural county. At the permit hearings and on social media, many people are talking about the financial impact of having the track in the area would have. How it would be a boost for this county that does not have a lot going for it.

As I was listening to this, I started to question if this was true statement. For your average Friday/Saturday night track, does the track truly generate any income for the city/county in which it is located. I ask this because I routinely drive past I-70 to get to the Sweet Springs micro track. When I go to Sweet Springs, I almost always get off the freeway bypass the one restaurant and two convenience stores and go straight to the track. I will then do the same thing on the way home. On the few times that I did stop, did my $2.58 purchase at the convenience store move the needle on the local economy?

I started thinking about my other trips to race tracks in the area. It occurred to me that this is not a unique occurrence. I am far more likely to spend money on food on the way to the track than at the track. Whether I stop for food that I can eat on the way to the track, or a nice restaurant on the trip to the track, neither of those purchases help the actual local economy of the track.

As someone who has stayed at the booming vacation spots of Marion, In (USAC midget week) , Salina, Ks (Belleville Nationals) and Osceola, Ia (Knoxville Nationals), I realize that having a "Crown Jewel" attraction at the track completely turns the conversation. For now, I would like to limit the conversation to an average local race track that does not have a crown jewel event.

For more on the I-70 story, here is a local TV report. Facebook also has more on the topic.

https://fox4kc.com/2019/03/28/pit-st...ises-concerns/

Wanna have an economic impact on Sweet Springs? Go about 1/4 mile West of convenience stores & buy a vintage car from the old guy with half a 1950s Buick mounted on his building. I drive by there twice every summer, always stop to look, but can never afford anything. Interesting to check out, even if you're cheap/poor like me...

billw · 3/31/19, 3:52 PM

yuma arizona did a study on cocopah speedway a few years ago https://www.yumasun.com/business/cha...580761c8d.html

Nate · 3/31/19, 7:39 PM

Quote:

Originally Posted by Points

Also in play would be sponsors at the track. backstretch billboards and car sponsors. These are maybe local bars, restaurants and other businesses that are looking to get your business at all times of year not just the night of the race. I really can't say what the return is on that though.

Perfect example: Josh Spencer and the Half Moon Brewery in Kokomo.

How many of you on here ate there for the first time over the years because of hearing how they support Kokomo Speedway and Josh while he raced? I know the first time I ever went there was because of what Josh had to say about them and now it’s more of a tradition anytime I’m in Kokomo.

Jonr · 3/31/19, 8:16 PM

Quote:

Originally Posted by ISF

A track in Illinois within an hour of us is Fairbury American Legion Speedway, a 1/4 mile dirt bull ring that was built not long after the end of WWII. The town of Fairbury has a population of 4000 people. There has been investigative reporting done by a local newspaper on this very subject. The conclusion was that FALS has a significant beneficial effect on the economy of Fairbury, IL. The town is four square behind the track in every way they can be. The effect on the town would be relatively consequential if the track was shuttered.

I've not seen any data on Macon Speedway which is 8 miles south of Decatur, IL (pop. just over 1100) but it's fair to say the economic effect of Mighty Macon to the town would be similar to Fairbury.

Interesting that you used this as your reference because when I lived in Wisconsin, I made a trip to FALS for the Summer Hell Tour and spent a night in the local hotel. I would say that FALS does a good job of setting an aggressive schedule with many Regional/National shows. I looked at their schedule and they have 10 weekends that are listed as weekly shows and 12 shows that are regional/national shows. It is agreed that a track that will book regional/national shows will bring in more out of town fans which will have an impact. The original question is how much does a normal weekly show have on the community.