In order to understand how cities are coping with the current crisis, our sports unit here at Burson Cohn & Wolfe (BCW) conducted a survey at the end of March among 100 cities worldwide with a track record of hosting international sports events.

While it is obviously still too early to draw any firm conclusions, the survey provided some interesting insights about the current sentiment of the landscape among event host cities:

Financial repercussions will probably last beyond 2020 

The sports events industry has largely proven to be somewhat recession-proof. Most major sports organisations weathered major crisis in the past, however, the current global crisis is forcing the cancellation or postponement of sporting events in order to stop the spread of the coronavirus.

This extraordinary situation has serious financial consequences for host cities. Indeed, 78% of host cities surveyed admitted that they will suffer financial losses in 2020 due to the cancellation or postponement of sporting events in their city or region. 

When asked about the next two years, the results showed that there is a strong likelihood that the budget allocated to hosting sports events in their city will be negatively affected.

COVID-19 can influence the general public’s support for the hosting of international events 

The current crisis and the uncertainty and fear that accompany this pandemic, may lead to new behaviours and beliefs. 

Will people become more suspicious and more credulous about the hosting of international sports events? Or are people rather impatient to get back to their normal lives and will want to enjoy attending major sporting events?

When asked if the general public’s future support for hosting international sports events in their city, region or country will be negatively influenced by the COVID-19 outbreak, cities were quite divided on the matter, but a certain nervousness could be identified.

COVID-19 forces host cities to rethink their event hosting strategy

Sports events have always been great platforms for achieving the broader goals of the cities hosting them. 

The COVID-19 crisis can reinforce this catalytic effect – whether it be for sports, branding, social or economic development, host cities believed that sporting events will play an important role in overcoming the crisis. 

But the new coronavirus situation may also force host cities to review their hosting strategy. When asked about the impact that COVID-19 may have on the type of events to be hosted, cities said to plan fewer international sports events and more local or national sports events.

As mentioned earlier, it is too soon to say something more definitive about how host cities will react in the future, but there seems to be two - very different - scenarios lining up.

Either major sports events will be widely viewed as part of the problem with big crowds from around the world together in one place in a rather uncontrolled way with all the health related implications that might have - and with Governments spending money on a non-essential activity while at the same time having to spend huge sums stimulating local economies.

Or the same major events will be viewed as an element of the solution because they bring together huge crowds in a positive setting sending a strong signal of both resilience and hope – and with the financial support from Governments viewed as a well-spent, targeted stimulus when it is needed more than ever.

I would think it could go both ways and the current pandemic creates a serious challenge for the world of sports as it was sudden and unexpected, it will undeniably have a strong impact on cities’ hosting strategies going forward.

However, I am also confident that sports organisation will learn from this and understand that something has changed - both short term and longer term - and will emerge stronger than before with the necessary tools in hand to confront these future challenges.