The World Cup brought excitement and celebrations to the city of Toronto for the past four weeks, but new data shows it may not have delivered the economic goal some were hoping for.
A total of $380 million was spent by the municipality, province and federal government to host six matches during its stint in Toronto, the city says. It was also projected that more than 300,000 international travellers would visit the city.
For some businesses like Cafe Diplomatico in Little Italy, it’s been about both the atmosphere and the income.
“We’ve seen, obviously, an influx of business, the games have been very busy, selling a lot of beer,” said co-owner Rocco Mastrangelo.
He told Global News it’s difficult to gauge how much of an increase he’s seen, as he said the restaurant is known as the place to watch soccer even when the World Cup isn’t in town.
With the games being hosted in North American time zones, he said the benefit is they are able to host games at times that otherwise might be a void for business.
“It’s hard to tell of an increase in sales, but definitely we’ve seen where we have a void to fill, like on a… today at 3 p.m. on a Monday afternoon it definitely fills the void and we’re going to maximize our revenue,” Mastrangelo said.
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Though he added outside of those voids the World Cup has helped fill, it’s “pretty much the same” as other big soccer tournaments like Copa America or the Euro Cup.
Data on credit card spending, provided by payment processing company Moneris, showed spending in the city saw a modest boost from June 12 to 26, though not at the same level as the 2024 Taylor Swift Eras Tour.
Total spending increased by 18 per cent in the first two weeks for hotels compared to last year, but restaurants and bars saw just a three per cent increase. Sales at big box and grocery stores went up four and six per cent respectively, while spending on apparel declined by five per cent.
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Purchases made by foreign-issued credit cards were much higher, with those visiting from outside of Canada spending up to 34 per cent at restaurants and bars, and 19 per cent on groceries. The only category that saw a lower amount was a seven per cent increase at hotels.
“That shows the tourists are here, they’re going out, they’re dining out, they’re going out for drinks whether it’s before or after the game, they’re excited to celebrate,” said Emily Abrahams, Moneris’ external communications manager.
By comparison, the Eras tour brought a 12 per cent boost to restaurants and 49 per cent increase on apparel. The average spending across all categories was 45 per cent.
“It was a huge cultural phenomenon and that was something that echoed, reverberated across the world,” Abrahams said. “It’s really hard to make any kind of comparison to the Taylor Swift event because it was just lightning in a bottle.”
A study prepared for FIFA by Deloitte Canada found hosting the World Cup could contribute $940 million in positive economic output in the Greater Toronto Area, including $520 million to the GDP of the GTA.
Those in the city’s tourism industry, like Destination Toronto, said the benefits of the tournament could last long after the World Cup is over. The organization conducted a survey of international visitors at Toronto Stadium, where the World Cup games were held, and Fan Fest and found nine in 10 said they would return to Toronto in the next two years.
“It’s that combination of those return visitors and inspiring other people to come and visit,” said Kelly Jackson, vice-president of Destination Toronto destination development.
—With files from Global News’ Nicole Di Donato and The Canadian Press
Another billion tax dollars flushed down the drain.