Arts And Economic Prosperity

Arts & Economic Prosperity Plan AEP6 Results

“What is AEP6?” Arts & Economic Prosperity Plan

AEP6 is the sixth economic impact study of the nonprofit arts and culture industry in the U.S. This study is conducted approximately every five years to gauge the economic impact (on employment, government revenue, and household income) of spending by nonprofit arts and culture organizations and the event-related spending by their audiences.

Previous studies were published in 1994, 2002, 2007, 2012, and 2017. (Due to the unique nature of the realities of the global COVID-19 pandemic, the AEP6 study was postponed for 16 months.)

The AEP Series Demonstrates That An Investment In The Arts Provides Both Cultural And Economic Benefits

• Nonprofit arts and culture organizations are businesses.
  • They employ people locally, purchase goods and services from within the community, are members of their Chambers of Commerce, and attract tourists to their regions.

• The arts drive commerce to local businesses.
  • The arts, unlike most industries, leverage significant amounts of event-related spending by their audiences. In 2017, arts attendees spent $31.47 per person, per event, beyond the cost of admission on items such as meals, parking, and lodging—vital income for local businesses.

• Arts travelers are ideal tourists.
  • They stay longer and spend more to seek out authentic cultural experiences. One-third of attendees travel from outside the county in which the activity takes place and spend an average of  $48 per person.  (69% say they traveled specifically to attend the activity.)

• Small investments. Big returns.
  • In 2017, the combined $5 billion in direct arts funding by local, state, and federal governments yielded  $27.5 billion in government revenue. That’s a 5.5% ROI!

797 audience surveys and 20 organization surveys. 373 study regions. All 50 states and Puerto Rico.

$173 million industry spending in 2022

• Total spending by arts and culture organizations: $102,087,059
• Total spending by arts and culture audiences: $45,034,232
• Total spending by the nonprofit arts and culture industry: $147,121,291

Collier County Results:

• 1,948 job supported
• 1,526 volunteers
• 46,770 volunteer hours
  • $1.4 million value

Government Tax Revenue

• Total: $29.4 million
  1. Local: $3,928,255
  2. State: $2,912,787
  3. Federal: $22,544,725

Audiences

• Attendees spent $34.29 per person, per event
  1. 70% local
     • Spent $30.14 per person, per event
  2. 30% nonlocal
     • Spent $40.15 per person, per event
  3. Hotel costs $169.00 per person

Economic Impact Per $100,000 of Direct Spending by Nonprofit Arts and Culture Organizations in Collier County

• Employment = 1.43
  1. Resident Household Income = $85,405
  2. Local Government Revenue = $2,530
  3. State Government Revenue = $1,895
  4. Federal Tax Revenue: $18,325

Ratios of Economic Impact Per $100,000 of Direct Spending by Nonprofit Arts and Culture Audiences in Collier County

Employment = 1.08

Resident Household Income = $43,657

Local Government Revenue = $2,988

State Government Revenue = $ 2,174

 Federal Tax Revenue = $8,521

Arts Build Empathy and Understanding

72% agree that the arts and culture provide shared experiences with people of different races, ethnicities, beliefs, etc.

63% say that the arts and culture helps them better understand other cultures in their community

Arts And Culture Builds More Livable Communities

86% say arts and culture is “important to their community’s quality of life and livability

79% believe arts and culture is “important to their community’s businesses, economy, and local jobs

Social Impact Response By Attendees

This venue or facility is an important pillar for me within my community = 84.1%

1. “I would feel a great sense of loss if this activity or venue were no longer available” = 86.7%
2. “This activity or venue is inspiring a sense of pride in this neighborhood or community” = 88.1%
3. “My attendance is my way of ensuring that this activity or venue is preserved for future generations” = 83.8%

You Make The Difference!

• Learn more! Visit AEP6.AmericansForTheArts.org and use the online tools and resources to drive advocacy in your local community.
• Attend the arts! Try something new and learn about your community.
• Advocate! Tell your government leaders about the economic benefits of the arts—include your audience and organization spending story. Be relentless!
• Join the ArtsActionFund.org Make your voice heard. It’s free!