The cost of the Paris Olympics
As the 2024 Paris Olympic Games are currently underway, the Cost and Finance Team at Parbery, along with getting into the patriotic Olympic spirit, have put their heads together to do a deep dive into some of the costs and finances behind the major global sporting event!
Note: Prices are escalated to 2024 dollar value and are in AUD
What is the profitability of hosting the Olympic Games?
The Paris Olympic Games are budgeted to cost 9 billion euros (14 billion AUD) and are set to mark a return to the Olympic Games being cost neutral or profitable for the hosts. According to a paper from the University of Oxford published in 2021, every single Olympics since 1960 has run over budget and by 172% on average. On top of this, there is only one Olympic Games in the past 70 years which have returned a profit on hosting the Games: the 1984 Summer Olympic Games in Los Angeles.
How does the cost of hosting the Olympic Games compare to other global sporting events?
The Paris Olympic Games are set to be an expensive endeavour with 9 billion euros (14 billion AUD) budgeted to hosting the Games. The Parbery costies asked the question: How does that compare against other global sporting endeavours? Well, quite expensive it turns out! When compared against some of the other global sporting endeavours, the Paris Olympics come 2nd at approximately 14.49 billion AUD in terms of budget to the mammoth FIFA World Cup in 2022, which cost Qatar a staggering 330 billion AUD. If you’d like to learn more about the costings behind this event, you can do so here.
How much can an Australian athlete expect if they win gold?
The quest for gold is an expensive one not only in terms financial cost but also in time and sacrifice. The Olympic Games notoriously have been one for ‘amateurs’ who do it for the pure love of the Games, but that rhetoric has changed over the years and now many athletes are financially supported and compensated for their efforts to bring national glory on the world sporting stage. Australian athletes, as part of the medal incentive scheme, are financially compensated for any podium places. However, other countries go even further, with Singapore offering over 1 million AUD if one of their athletes win gold!
The cost for the Olympic Torch to tour
The Olympic flame is a famous symbol of the Olympic Games. The tour relay, which begins in Olympia, Greece and travels to the host city for the opening ceremony, is a well-recognised tradition and this 2024 Olympics is no different!
The Parbery costing team were curious about the cost to keep one of the Olympic Torches alight for the duration of the tour. Well, accounting for any inclement weather or activities which may affect the burn time, they found it would cost approximately $2,273 to burn a torch for the entire duration. The torch would consume 603kg of biopropane, which is a renewable gas that is to be used for this year’s Olympics.
The cost of travel for the Aussie superfan
While many of us will watch the Olympic Games from the comfort of home, those extra dedicated will make the venture to France to watch some of the events in person! Those Aussie fans won’t be alone, with the Paris Tourism Office expecting up to 3.1 million unique visitors, roughly 36 per cent of whom are expected to be foreign tourists.
There are a range of tickets available for those wanting to attend the Games. While budget conscious travellers will appreciate that tickets for some sessions start at €24 ($39), those wishing to splurge can pay up to €980 ($1,574) for blue-ribbon events or €2,700 ($4,337) for the best seats at the opening ceremony.
For an Australian superfan travelling to the Games to cheer on our Aussie sporting heroes, there are a range of flights, accommodation and food options to suit different budgets.
In total, Parbery’s costing team have calculated that the cost for an Australian superfan travelling to the Games with a full itinerary can expect to spend from $10,000 to upwards of $56,000.
How much does it cost to produce the Olympic medals?
The 2024 Paris Olympic and Paralympic Games are set to distribute approximately 5,084 medals to the various podium placing contestants. With nearly each medal weighing close to half a kilo, this year’s Olympic Games have required a cool 2.7 tonnes worth of material to produce all the medals, including 10kg worth of gold and 1.7 tonnes worth of silver! Each medal winner will also take a piece of Paris away with them as each medal, whether gold, silver, or bronze, has a piece of iron from the Eiffel Tower embedded.
