Why This Matters
International Sports Organisations (ISOs) are more than just the administrators of global competitions; they are dynamic engines of economic growth. This report, commissioned by the IOC, the City of Lausanne, and the Canton of Vaud, reveals these organizations’ substantial impact on Switzerland’s economy.
From 2014 to 2019, ISOs generated an average annual economic impact of CHF 1.68 billion nationwide. Their activities stimulate direct spending and amplify effects across sectors like employment, tourism, and construction. For every CHF 1 spent by ISOs in Switzerland, CHF 1.52 of value was added to the economy.
Why It’s a Game-Changer:
- Employment Creation: Over 3,300 jobs were sustained by ISOs in 2019, a 48% increase since 2014, with most positions concentrated around the Lausanne region.
- Boosting Tourism: ISOs drove over 44,600 overnight business stays per year, attracting high-spending visitors who contributed significantly to the hospitality and services sectors.
- Investment in Infrastructure: With CHF 292 million spent in construction during the study period, ISOs fueled development projects like the new IOC headquarters and FIFA’s museum.
- Global Revenue, Local Benefit: An impressive 96% of ISO revenues came from outside Switzerland, meaning the value injected into the economy was largely imported, with minimal leakage.
This study confirms that hosting international sports organisations is not just a badge of honor, it’s an economic strategy with long-term, measurable returns
What You’ll Find Inside
The AISTS applied a rigorous and conservative methodology to measure the tangible economic impact of ISOs across three regions: Lausanne, the Canton of Vaud, and Switzerland as a whole.
Key Components of the Methodology:
1) Methodology: The Economic Impact Model
This section details the robust framework used to measure the economic footprint of International Sports Organisations (ISOs) in Switzerland. It outlines the data sources, geographical scope, revenue and expenditure categorization, and the step-by-step calculation model using “Keynesian multipliers” to estimate direct, indirect, and induced impacts.
2) The Overall Economic Impact
A comprehensive breakdown of how ISOs contribute financially to the Swiss economy. Over six years, ISOs injected an annual average of “CHF 1.68 billion”, with nearly 60% of that impact resulting from induced effects spending cycles triggered by salaries and purchases.
3) The Impact on Direct Employment
ISOs generated significant employment, with 3,343 employees in 2019, up from 2,249 in 2014. Most jobs are centered around Lausanne and the Canton of Vaud, and over CHF 57 million in income taxes were paid by ISO employees in 2019.
4) The Impact on Business Tourism
ISOs organized thousands of non-sporting events, leading to over 44,600 overnight business stays annually. Each visitor spent approximately CHF 282 per day, generating an additional CHF 29 million annually for the local economy.
5) The Impact on the Construction Sector
ISOs invested CHF 292 million in construction projects between 2014 and 2019, including major developments by the IOC and FIFA. These investments created a CHF 534 million impact, with a multiplier effect of CHF 1.83 for every CHF 1 spent.
6) The Impact on Perception
Through a national survey, the study captured the intangible value of ISOs. Results showed that 77% of French-speaking Swiss residents believe the IOC’s presence in Lausanne is economically important, and over 75% feel proud to host the Olympic headquarters.
7) Conclusion
The report reaffirms that ISOs bring substantial and sustainable economic benefits to Switzerland. It emphasizes both the tangible financial returns and the intangible pride and prestige associated with being a global hub for sport governance.
