Racing Capital of the World Contributes $1 Billion of Economic Activity to Indiana
October 24, 2023 | By Amanda Stanley, Indianapolis Motor Speedway
New Study Showcases Significant Scale of IMS, Indy 500 Fiscal and Workforce Development Impact
A new study by the Indiana University Public Policy Institute provides a comprehensive and detailed look at the $1 billion in annual economic activity generated by events and operations at Indianapolis Motor Speedway.
Of this total, more than half – $566.4 million – is attributed to the Month of May and the world-famous Indianapolis 500-Mile Race.
SEE: Full Study
“The Racing Capital of the World is a marquee hub for economic development that directly benefits Central Indiana and the Hoosier State, triggering innovative activity and providing jobs and income for thousands of families,” IMS President J. Douglas Boles said. “The impact and value of IMS and its contributions to Indiana’s economy are invaluable and fuel us to further prioritize our role as a key driver of progress and impact moving forward.”
The 2023 study addressed the direct and indirect economic contributions made by IMS between June 1, 2022 and May 31, 2023. Included in the analysis were IMS operations; spending by visitors to IMS for events like the Indianapolis 500 presented by Gainbridge, Brickyard Weekend and other events and activities like the SVRA Invitational and Intercontinental GT Indianapolis 8 Hour, the Brickyard Crossing Golf Course and IMS Museum; and the continued presence and recent growth of INDYCAR race teams and the Dallara facility in the Indianapolis area, which call Indiana home due to the presence of IMS and Penske Entertainment’s headquarters.
Notable statistics from the extensive study include:
- A contribution of $1.058 billion to the Indiana economy
- Brickyard Weekend 2022 accounted for $117.2 million
- Month of May 2023 accounted for $566.4 million
- Visitors within 100 miles of the Speedway accounted for $86 million
- Other events and activities accounted for $375.1 million
- Generation of 8,440 direct and indirect full-time equivalent jobs, totaling an estimated $360 million in labor income
The impact of IMS supports local businesses through out-of-town visitor spending at area establishments, including lodging and food. In addition, the resulting tax revenue from employee wages benefits Indiana localities and the state.
The last economic impact study was conducted in 2013 and determined that IMS generated more than $510 million annually to the Indiana economy at that time. Over the last decade, the growth has been influenced by additional motorsports events and activities, as well as increased attendance at marquee events. The growth of race teams and motorsports-related businesses in the area also contributes to the increased impact.
“This study demonstrates the incredible reach of IMS races and entertainment that goes well beyond the Central Indiana region,” said Indiana Public Policy Institute Director Tom Guevara. “We are proud to once again partner with IMS to analyze the economic impact of their iconic events and facilities, which are the result of many more events, more race teams, and more attendance, especially at the world-famous Indianapolis 500.”
Delivering unbiased research and data-driven expert analysis, the IU Public Policy Institute is a collaborative research arm within the O’Neill School of Public and Environmental Affairs at Indiana University.