Feasibility Studies report for SGF1 - 26 Sep 2004

Temasek Polytechnic
Specialist Diploma In Arts and Event Management
Research Project
Project Supervisor: Albert Toh

OUR COMMUNITY WILL SUPPORT FORMULA ONE GRAND

PRIX TO BE HELD ON THE STREETS OF SINGAPORE

Cheng Khim Seng

0370121F

poleposition@pacific.net.sg

Cheng Khim Seng 0370121F

Contents

1. Introduction -3-

1.1 Statement of purpose -3-

1.2 Research objectives -3-

1.3 Hypothesis -3-

1.4 Study area -3-

1.5 Limitation of research -4-

2. Background -5-

2.1 Evolution of Formula One in Asia -7-

2.2 Local motor sports scene -8-

2.3 Vision for Formula One Singapore Grand Prix -8-

3. The proposed venue -9-

3.1 A lap around the temporary streets circuit - 10 -

3.2 Temporary streets circuit versus the permanent race track - 12 -

3.3 Other fringe events and the race calendar - 14 -

4. Findings from public survey - 16 -

4.1 The survey questionnaire - 16 -

4.2 Public awareness and support for Formula One - 16 -

4.3 National pride and raising the profile of Singapore - 19 -

4.4 Potential business opportunities and economic benefits - 21 -

5. Conclusion - 24 -

6. References And Relevant Literature - 25 -

Annex 1: Streets circuit venue map

Annex 2: Survey questionnaire

Annex 3: Breakdown of survey results

A&EM community support for F1 -2- 9/26/2004


1. Introduction:

1.1 Statement of purpose

The purpose of this research is to establish the support from our community

for Singapore to host Formula One Grand Prix race on a temporary street

circuit.

1.2 Research Objectives

From a proposed race venue, it is necessary to determine:

- Public support and acceptance

- National pride and raising the profile of Singapore

- Potential business opportunities and economic benefits

1.3 Hypothesis

Our community will support Formula One Grand Prix to be held on the streets

of Singapore

1.4 Study area

The research set out to identify a suitable venue to be converted into a

temporary streets circuit course. A quantitative research on the proposed

venue will be also conducted. Survey questionnaires were prepared and

covered the following issues:

- Acquire demographics and lifestyle information

- Determine the respondents’ support and attendance of the event



A target of 200 public survey questionnaires will be distributed in either printed

copies or carry out through an online survey posted onto the internet. The

data collected will be entered in to the SPSS data mining and database

analysis software to determine the frequencies and cross-tabulation analysis.

1.5 Limitation of research

In view of the limited timeline available and the many potential areas that

could be studied for this subject, the area of research will not be addressing

the economic impact studies and cost and benefit analysis. Nevertheless, this

paper will highlight any possible economic benefits and business opportunities

based on either primary or secondary data collected.

The proposed temporary streets circuit intended to use for this Formula One

Grand Prix will have to be consulted and modified by the professional race

circuit designers such as Tilke Engeering. The final design will be submitted to

meet the appropriate stringent criteria and safety standards by Federation

Internationale de I’Automobile (FIA).

Due to the sheer size of this event and the possible impact to physical

environment, before the event has to take place, an environmental impact

assessment will be required to address issues such as crowd movement and

control, noise levels and disruption to the local community. Relevant licences

and clearances will also have to be approved from both the sports governing

bodies and several local government agencies. Some examples includes

endorsement on temporary public road closure for the streets circuit from



Land Transport Authority, permit to use of Marina Promenade area for

temporary conversion into pit garages for the racing teams and parc ferme

from Singapore Land Authority and The Maritime and Port Authority of

Singapore for rescue boats to patrol the Marina Bay area. These will be some

of the considerations and issues to be captured and addressed by the event

organising committee during the initial planning process.

2. Background:

Since the first organised motor race was stage from Paris to Rouen in 1894

by a newspaper, Le Petite Journal, the thrill and excitement of motor racing

have been seen as significant events on both a global and local scale.

At the pinnacle of motor sports, Formula One (F1) Grand Prix has always

been associated with cutting edge technology, speed and symbol of global

capitalism and glamour. It is a major global event with massive world wide

followings. With power to reach 202 countries and the cumulative audience of

50.7 billion people for 1997 Championship, Hotten (1998: 200), Formula One

is currently the third most watched live sporting event, second only to the

Olympics and the World Cup Soccer.

The host venue not only takes centre stage in the international spotlight,

receiving enormous amount of media attention, it also provide a valuable

opportunity to showcase the unique nature of the host city to the international

audience enhancing the awareness, appeal and profitability of a tourist



destination attracting the large followings of fans and enthusiasts. In return,

the Grand Prix generate positive economic benefits to the local community by

increasing tourism both before and after the event. Formula One Grand Prix

races in European Union are economically distinctive that they create across

the board very large amount of wealth for the local economies that host the

events. This is a sports that makes its host communities rich.

Governments around the world have also realised the ability of hosting major

events to raise the profile of the politicians and the cities they govern as such

events attract visitors, they not only create economic benefits but also jobs.

Events also provide niche development opportunities and interests for the

host communities. With these in mind, it has prompted government agencies

such as the tourism board, to become major players in sponsoring, bidding

for, hosting and staging of major events including the Formula One Grand

Prix. As highlighted by Sawer (2004) and Garside (2004), Mayor, Ken

Livingstone has made a formal offer to Formula One Commercial rights

holder, Bernie Ecclestone to stage a Formula One Grand Prix on the streets

of London with a race course based around Hyde Park within four years to

boost tourism. Livingstone said: ”We are serious about this. Everyone

recognises this is a huge plus for London. Every hotel bed will be filled, every

restaurant. This is just what great cities do to sell themselves. New York is

looking at doing the same thing. If you can do it in Monaco, you can do it in

London.”



2.1 Evolution of Formula One in Asia

Other parts of the world, particularly in Asia and the Gulf Region are

beginning to benefit from Formula One’s expansion into new regions. With the

rapid growing of interests in motor racing in Asian region, China who is

particularly keen in motor racing, has been trying to host a Formula One

Grand Prix for more than a decade, spending nine years developing a race

circuit near the southern city of Zhuhai. Although being listed provisionally in

the F1 1998 calendar, the circuit was never approved for use after falling to

meet international standards. Chellam (2004). Despite the setback, the

Chinese rebounded with a new 5.4 km circuit in the fast growing metropolis of

Shanghai, and will have their first taste of hosting China Grand Prix on 26

September 2004 with all the 150,000 tickets being snapped up by the Chinese

fans a month ago. As noted by Hotten (1998), an estimated cumulative

audience in China of 200 million people are watching Formula One each

season. It is a race where whoever Asian country gets the first Grand Prix, it

will stimulate further TV interest throughout the region. There are more

countries, including South Korea and possibly Thailand, wanting to host a

Formula Grand Prix than can be accommodated in the Formula One calendar

for each season. Malaysia being the sole country in South-East Asia to have

ever host Formula One Grand Prix since 1999 has signed a five year contract.

Being strategically situated in Asia, Singapore must poise to exploit the

growing interest of the sports.



2.2 Local motor sports scene

The Singapore Motor Sports Association (SMSA), the controlling body of

motor sports in Singapore, hosts various car racing events, including the

Autotest, Carpark Rally and the hugely popular Sprint/Super Sprint events

several times a year. It attracted many from all walks of life who have passion

for motor racing. However, motor sports in Singapore are still at its infancy

stage. Due to the limited space allowable to put aside for motor sports

activities, we lack of proper race facilities and these small scale amateur clubs

events are being held in car parks at Kallang. Similar events are also held on

several race circuits in our neighbouring country, Malaysia who has one of the

purposed built permanent race tracks for Formula One and other categories of

premier class motor racing at the state of Selangor, the Sepang International

Circuit.

2.3 Vision for Formula One Singapore Grand Prix

In Singapore, due to the fierce competition for injection of “new money” into

the economy by our neighbouring countries and with many of our existing

aging and ordinary so-so tourist attractions, we need to challenge the

imagination and explore new possibilities by involving man in the streets and

public to contribute new ideas to provide a fresh and different perspective to

stimulate our local tourism. Tan (2004).

While trying to regain our status in the major league and with a vision for

Singapore to be a recognised hub through creation and hosting of exciting

world-class sporting events, it will also reach out to various international



sports federations and governing bodies to propagate and expand the

influence of their sports and leisure activities in our region, this study will look

into the creation of a venue from our established facilities and infrastructure

as well as to determine the level of local community support to host Formula

One Grand Prix in Singapore.

3. The proposed venue:

The proposed venue to host the Formula One Singapore Grand Prix will be in

the heart of our city. Public roads around Suntec City and City Hall area will

be converted into an approximate 4.5km long, 13 corners temporary streets

circuit for the three days race event. The proposed race route will highlight our

modern metropolis with its sleek skyscrapers to the landmarks and memorials

sites with traces of our memorable past and its colonial heritage. It is ideally

situated at the central of our business, cultural and tourism districts where it

will be featuring some of Singapore’s best amenities and facilities, such as the

world-class hotels, shopping malls, food and beverages outlets, cultural and

entertainment centres, to capitalise on the many opportunities provided by this

major event as a unique lifestyle destination to provide that “hook” to draw

both local and foreign visitors. As noted in Allen (2002), events can provide

newness, freshness and change, which sustain local interest in a destination

and enhance its appeal to visitors. Furthermore, visitors want to do what the

local residents do and experience the things they enjoy about the destination.

A copy of the streets circuit map is attached in Annex 1.



3.1 A lap around the streets circuit

The starting line will be positioned at the long stretch of Raffles Avenue with

the temporary pit garages and parc ferme along the Marina Promenade, right

opposite is the elegant The Ritz-Carlton, Millenia Singapore where the guests

can catch the exhilarating start line action of the Formula One Grand Prix with

comfort from their luxuriously appointed rooms with unobstructed views of the

Singapore skyline and Marina Bay area. Likewise for those who are staying at

The Oriental Singapore who is inter-linked with Marina Square Shopping Mall

and to two other 5-star hotels, Marina Mandarin Singapore and Pan Pacific

Singapore.

As the circuit itself will come to life, the F1 cars powered onto the first bend

and the second tight left hand corner heading towards the Esplanade Bridge

along the Esplanade Drive. Imagine it is like attending a mega orchestra

concert with the magnificent superstructure of The Esplanade - Theatres on

the Bay located along the waterfront as the conductor, our CBD skyscrapers

as its main backdrop resembling the audiences surrounding the long

Esplanade Bridge as the performing stage with those mighty 3 litres V10

engines revving over 18,000 rpm in tunes, accelerating across at top speed

exceeding 200kmh, leading the race onto several distinctive historic sites of

our past. Braking hard at the tight right hairpin corner at the end of the long

Esplanade Bridge, where it could be a favourite overtaking spot, right in front

of The Fullerton Hotel which is one of our heritage buildings with a neo-

classical architecture standing tall at the forefront of Raffles Place,

Singapore’s financial and business district. At this hairpin, drivers will take aim

A&EM community support for F1 - 10 - 9/25/2004


at the apex to position their cars back onto the racing line to have a good run

as this could be the key to achieve a good lap time around this circuit before

entering the exquisite Anderson Bridge, spanning across the entry of

Singapore River, which comprises of steel arches with supporting steel ribs

extending across them with rusticated archways.

Plunging down to the natural right and left chicane at the junction of Fullerton

Road and Connaught Drive, between Victoria Concert Hall and Singapore

Cricket Club, this could be a beloved spot for photographers to take pictures

of F1 drivers putting on their 100% concentration and driving skills to

negotiate the chicane by brushing their cars with the armco barriers to

achieve a perfect entry and gaining maximum speed into the right hand corner

heading towards the ultra wide St. Andrew’s Road straight where they could

potentially perform exciting overtaking manoeuvre on their opponents.

Adjacent to the straight are two of our renowned landmarks, the Supreme

Court, one of the finest buildings ever built with Corinthian columns and

spacious interiors featuring murals by Italian artist, Cavalieri Rodolfo Nolli in

1939 during the British Rule of Singapore. Beside the Supreme Court is City

Hall which was built in 1929 and was the site of the Japanese surrender in

1945 during World War II.

The next right and left chicane at the junction of Stamford Road and Beach

Road, reside the Asia's tallest hotel Swissôtel The Stamford, Singapore. This

72-storey hotel inter-linked with the Raffles City Shopping Complex as well

the sister hotel, Raffles The Plaza, Singapore is ideally situated at the



crossroads of Singapore's business, cultural and shopping districts. At turn 7,

a near 90 degree right hander at Bras Basah Road, next to it is one of the

world’s most beloved Grand Hotels, Raffles Hotel Singapore, a National

Monument and a jewel in the crown of Singapore's hospitality industry.

After the end of the short straight, the streets course will bring the race into

the futuristic Suntec City, the Times Square of Singapore, which integrate the

Singapore's largest shopping and entertainment centre with four 45-storey

high towers and one 18-story high building for offices plus the hi-tech,

purpose-built meeting venue, The Singapore International Convention &

Exhibition Centre (SICEC). Turn 9, right at the central of Suntec City featuring

the Fountain of Wealth, one of the World's Largest Fountain, the F1 cars will

have to negotiate the slow speed right hander around the fountain before

blasting their way down Temasek Avenue, where the new Millenia MRT will

be located, and Raffles Boulevard before heading towards the start – finish

straight. The pit lane entry and the paddock area, where the racing teams will

house their transporters and motor homes, will be situated before the

penultimate corner of the circuit.

3.2 Temporary streets circuit versus the permanent race track

The choice of the venue and the type of race circuits to use is a crucial

decision that will ultimately determine the elements of staging the event. From

the survey questionnaire received, there are some suggestions that a

permanent race track should be built instead of a temporary course to

emulate the Sepang International Circuit that our neighbour has. However, it



will make more economic sense when we can capitalise by modifying existing

venue and facilities available and bringing out the best of what we have now

as it will require a huge budget to stage the event. The savings gained from

not having to build a new race circuit could be passed down to the spectators

who could be paying less for the ticket price and still experience the charm of

this thrilling race.

Malaysia spent about RM286 million to built their 5.542 km long circuit on the

rural part of Selangor state around plantation and farming, hoping it to

become a major economic growth centre. There are some critics who felt that

it would not contribute to a healthier Malaysian economy instead it could

burdened the country if the circuit could not generate the expected revenues

to cover the cost of building the facility as they had signed a five-year contract

to host the Formula One Championship since 1999 and they have to pour out

US$8 million to host each Grand Prix Teh (1999). Also with the gradual

declining interest of local Malaysian, due to the overly priced tickets and the

situation has not been improving since its inception Khairul (2004). In the

worst case scenario, they might even be forced to operate at the loss now to

fulfil the obligation of that five year contract. Similarly for the new ultra modern

Shanghai circuit which the Chinese spent at least US$325 million which they

have forecasted that it will only be profitable by 2016 Chellam (2004).

Street circuit such as Monaco at Monte Carlo well known to both spectators

and drivers as one of the most satisfying and exciting tracks in the Formula

One Championship and it has been on the Formula One calendar since 1929.



It is brilliantly exciting for the spectators where they can get so close to the

race actions, with just a few metres away. The sound, the sight and the

adrenaline rush generated as the cars speeding by. Drivers like the challenge

of the street circuit as it differentiate the men among the boys! The armco

barrier-lined circuit leaves no margin for error, demanding more concentration

that any other Formula One track. Cars are running so close to these barriers

to achieve good lap times and the drivers must be able to maintain 100%

concentration throughout the entire race distance. These barriers are not

forgiving, drivers must put absolute premium on their skills and bravery. They

cannot afford to make any mistakes which could end their race prematurely at

the barriers. As quoted by Alain Prost, former F1 Champion, “This is

regarded as the classic Grand Prix circuit on the Championship and it is a

track where absolute precision and consistency reap dividends. If you are

impulsive at Monaco, you are likely to end up in the barrier. Overtaking is

extremely difficult and the opportunities to do so seldom present themselves.

It can be enormously frustrating, but, equally, very satisfying.” Mika Hakkinen,

1998 & 1999 F1 Champion, commented “The grip level changes and to keep

your concentrations is incredible difficult. It’s so easy to make a mistake.”

Henry (1997).

3.3 Other fringe events and the race calendar

The three days Grand Prix event will comprised more than just Formula One

race to provide additional entertainment for the spectators, an array of

interesting programme may include a tie-up with Motorsports Asia Limited as

host for their Asian Festival of Speed series that comprises of:



- Asian Formula 3 (AF3)

- Formula BMW Asia (FBMW)

- Porsche Carrera Cup Asia (PCCA)

- Asian Touring Car Series (ATCS)

In addition, motor sports themed festivities carnivals or EXPO could be held at

Marina Promenade and the Padang. Extravaganza or parties could be

launched by the visiting Grand Prix teams to gather support and sponsorships

from both local crowds and businesses respectively at our various night spots

nearby. There could also be a large scale automotive exhibition being held at

The Singapore International Convention & Exhibition Centre during this Grand

Prix week.

According to the current Formula One Championship calendar, the race

season will commence at Australia in middle of March, and with Malaysia

hosting the round 2 in late March or in the case of China hosting round 16 of

the Grand Prix series which take place in the middle of September where

these two periods are potentially low seasons in Singapore. So to have a

Grand Prix during either this time of the year would be a strong advantage to

attract visitors and inject some event excitement to our community during this

period.



4. Findings from public survey:

4.1 The survey questionnaire

Quantitative survey questionnaires were prepared and distributed. With the

support from public, friends, colleagues and fellow classmates, a total of 208

responses were received, exceeding the initial target of 200. Of all the

responses received, 20% are in printed copies and remaining 80% from email

response through an online survey posted onto the internet. A copy of the

survey questionnaire is attached in Annex 2 and a full breakdown of the

survey results are presented in Annex 3.

4.2 Public awareness and support for Formula One

- 65% of the respondents had ever watched a Formula One Grand

Prix race. From the cross-tabulation analysis with gender and age

group, 83% are Males and 44% Females. The age group of 25 to

34 has the highest percentage at 43% and 22% for Males and

Females respectively. (Q1)

- 73% would attend if given a chance for Singapore to host the Grand

Prix event. From the cross-tabulation analysis with gender and age

group, 81% are Males and 63% Females. Once again, the age

group with highest percentage for both genders fall between the

age group of 25 to 34 with 36% Males and 34% Females. (Q2)



- Out of those respondents who would be coming to the event, 60%

would bring their friends along, 19% would come with their family

members and 1% would attend alone. From the cross-tabulation

analysis with their age group and employment status, the highest

percentage among those who would attend with their friends and

family members with 41% and 39% respectively fall between the

age group of 25 to 34 and they are currently full time employed.

(Q3)

- Over 80% would be willing to pay for tickets at less than S$150

while only 5% would attend the 3 days events even if the tickets

priced above S$300. From the cross-tabulation analysis with their

age group and employment status, 46% will pay for tickets at less

than S$150 fall between the age group of 25 to 34 and they are

currently full time employed and likewise 30% and 57% for tickets

between S$150 to S$300 and above S$300 respectively. (Q4)

- 72% would watch the race on television. From cross-tabulation

analysis with (Q2), 42% of the respondents that indicated not going

for the event will actually watched the Grand Prix on television. (Q5)

- 49% of the respondent believed that “ticket price is too expensive

and no cable TV at home” would be the main contributing factor that

discourage them from attending or watching the event. (Q6)



From the encouraging results received from the respondents, it can be seen

that majority of our local community are aware about the sports and would

want to attend the Grand Prix with their friends and families if given a chance

for Singapore to host the event here. With advancement and expansion of

media into other delivery systems such as cable television and the internet,

those who could not attend the Grand Prix will not missed the actions through

live television broadcast. Ticket price and access to cable television are the

main factors that will discourage our community from supporting the event.

Therefore if our local TV station could purchase the TV rights to broadcast the

Grand Prix live like what they had done for the several important matches of

the Euro 2004, with the backing from business sponsors, there will surely be a

huge substantial increase in both viewership and support for this event. In

terms of tickets price, it should also be priced affordable for the local

community so that they could share the excitement, be entertained and

thrilled by the event. Allen (2002) argues that should the event being

produced solely for tourists, without meaning for their own community, it will

run the danger of being inauthentic and shallow. As recognised by Khairul

(2004), that there is substantial declining interest among local Malaysian and

a need to call for a serious review for ticket prices so as to make it realistic for

the average Malaysian at Sepang International Circuit (SIC) as other

remaining 16 rounds of the Formula One Championship where the

Grandstands are filled mainly by local enthusiasts and fans.

From the further cross-tabulation analysis on these results, there is a an

interesting trend whereby those who supported the event majority fall between



the age group of 25 to 34 and they are currently full time employed. From the

secondary data collected, as referenced to table 19 of Census of population

2000, Annex 3, age group between 25 to 34 currently employed has the

highest population with 750,771 compared to a total population of 3,197,311

in Singapore. They are the driving force of our economy and the majority of

them are either professionals, managers, executives and businessman

(PMEB) or married couples with double incomes and no kids (DINKS). With

these, we can proof the notion that Formula One fans tend to be young and

upwardly mobile, and have disposable income as noted by Hotten (1998:

204).

4.3 National pride and raising the profile of Singapore

- 91% believed that by hosting the Grand Prix race in Singapore, it

will enhance our international image that we care capable of hosting

world-class sporting events. (Q7)

- In given an opportunity, 59% would be willing to play a part in

making this Grand Prix event successful. (Q9)

The Formula One Grand Prix can provide our community with strong platform

to showcase our expertise, enhance our international image and promote new

business opportunities to attract the interest of entrepreneurs to Singapore.

The positive media exposure generated by the event can also illustrate the

capacity, innovation and achievements of both our country and our people.



It is heartening to know that our community will back this major event even if

they have to put up with temporary inconvenience and disruption because the

air of excitement generated, the “feel good” aspect that “the whole world is

watching us” and the provision of long term expectation for improvement of

facilities and economic benefits. As described by Allen (2002), Australian

Formula One Grand Prix in Adelaide was popular among residents. The

Grand Prix in 1985 set Adelaide alive… “The spirits infected all of us,

including large numbers of people in ‘normal’ times might be expected to be

against the notion of this garish, noisy, polluting advertising circus”.

Catherwood (1992) noted that International federations and other governing

bodies no longer concentrated on awarding events solely on the basis of a

community’s population. They are more interested in staging a smooth, well-

run event that participants enjoy themselves and were treated well. The key

will not be the population because the ticket buyers, for the most part, could

come from outside the community. For smaller cites such as us, we can easily

focus and work together as a team in a unified community. More than half of

the respondents would like to be part of making this major event successful.

They could contribute by volunteering to be the track marshals where they will

be trained on racing terminology, fire-fighting and first-aid in dealing with car

crash. Such specialise skills will be beneficial on only to individual but to our

community as a whole. There will also be other temporary jobs created during

the Grand Prix week by the race management. As proven by Lilley III (1999),

The 1999 Italian F1 Grand Prix at Monza recruited about 2,000 workers for

the race week which acts as an economic force to bring all the community



together – male and female, white and blue collar – to work in “extra jobs” that

strengthen both the local economy and the local community.

Although our current local motor sports scene may be still at its infancy now,

but with the exposure and propagation of Formula One and motor racing in

our community reaching out to potential followers and fans, perhaps there will

be possibility of local born drivers flying our national flag at the Formula One

arena in future.

4.4 Potential business opportunities and economic benefits

- 95% agreed that the Grand Prix event will attract more visitors and

provide more business opportunities to the amenities and facilities

nearby. (Q8)

- 74% of the respondents had ever purchased or owned products

and services with their brand names associated with Formula One.

(Q10)

From the cross-tabulation analysis with respondents’ age group, employment

status and had they ever purchased or owned products and services with their

brand names associated with Formula One, the highest percentage with 44%

fall between the age group of 25 to 34 and they are currently full time

employed. Since this group has both the disposal income and being the

highest population, they could be the biggest local market segment that

business will target their products and services for. This segment of



consumers will be likely be interested in high technology IT products and

gadgetry, entertainment and lifestyles services that could enhance their social

status.

The Grand Prix event will enable opportunities for businesses to increase their

brand awareness to the international audience and drive sales. In addition, it

also provides important opportunities for relationship building through hosting

partners and clients. Companies may invest in the sponsorship to achieve

corporate objectives and sales goals. Local successful home grown

businesses such Creative and Hyflux could associate themselves with

Singapore Grand Prix through one-race sponsorship programme with the

event, facility or with an existing Grand Prix team in return to strengthens their

links with the international business community and promote sales for their

products.

Giant multinational companies use Formula One as billboards for transporting

their products and slogans around the world. Racing teams are globally

recognised for being linked with global brand names such as Marlboro, Mobil,

Canon, Hewlett Packard, Shell, HSBC and Vodafone. As in the case in the

upcoming China Grand Prix, Chellam (2004) noted that Shoulo-Huayan Co.,

China’s largest property development company has signed a one race

sponsorship for the Jordan Grand Prix Team to promote their new upmarket

apartment, the Beijing Chateau which situated in Beijing’s Central Business

District, to market their apartment to both the 1.3 billion people in China and to

create international awareness.



Major events are catalysts for attracting non-local visitors by increasing their

average spending and the length of stay. Lilley III (1999) noted that Formula

One Grand Prix are among some of the major sporting events that have

unusual huge percentage of the event spectators that are non-locals. For

example in 1997 Austrian Grand Prix, out of the 234,500 spectators during the

race week, 96.5% are non-locals. The nature of the non-local spectators at a

Grand Prix is critical because these visitors typically come for more than one

day and they spend much of their money outside the racing facility and in the

host communities. The multiplier effects will channel the expenditures into

other local retail businesses and contributes to supporting the long term

benefits of the local economies.

In Lilley III (1999), the 1999 Italian Grand Prix not only attracted 41% of

visitors outside Italy, with the collaboration of the Grand Prix event with the

Milan “fashion week”, occupancy reaches 100% for majority of the hotels in

the region and the hotel management charge their high season peak rates.

Restaurants, food and beverages outlets receiving advance bookings and the

revenue increases more than 30% in certain outlets. As Milan area’s has a

world wide niche leadership in the appeal and fabrics, retail outlets of big

name clothing designers such as Armani and Prada reported boost in sales

for their fall and winter collections. Operation hours were extended, with staffs

working extra shifts and temporary staffs hired.



5. Conclusion:

Major event such as Formula One Grand Prix requires a host venue whereby

it could showcase its uniqueness to increase the profile of the destination and

can be designed to act as catalyst for attracting visitors and extend their

length of stay. Every event will produce impacts. In this study, social impact

involves shared experiences which give rise to local pride and potential

economic benefits.

The results shown from the above study has demonstrated that the

hypothesis, our community will support Formula One Grand Prix to be held on

the streets of Singapore has been accepted.

Ultimately, whether or not if the Grand Prix could be made possible will be

dependent on the relevant government agencies involved following a series of

detailed impact studies and economic assessment. Nevertheless, we will be

looking forward to this day when the F1 cars could spin their wheels on our

public roads.



6. References and relevant literature:

• Hotten, R (1998). Formula One – The Business of Winning

• Teh, E WC (1999). TED Case Studies – Formula 1 Racing, The Economy

and The Environment (31 August 1999) (website:

http//.www.american.edu/ted/formula1.htm)

• Bodeen, C (2004). Shanghai Inaugurates F1 Track. Associated Press

Newswires (6 June 2004)

• Lilley III, W and DeFranco, LJ (1999). The Economic Impact of the

European Grands Prix. Federation Internationale de I’Automobile (FIA).

(Chapters 1, 2, 9 & 10)

• Sawer, P and Baracaia, A (2004). We want F1 Grand Prix every year in

London, Says Mayor. The Evening Standard (7 July 2004)

• Garside, K (2004). Livingstone revs up F1 bid. The Daily Telegraph (7 July

2004)

• Tan, EH (2004). Turning to people power to boost tourism. Today (16

August 2004)

• Allen J, Toole WO and McDonnell I (2002). Festival and special event

management

• Henry, A (1997). Grand Prix Circuits

• National Statistical Authority (2004) Census of population 2000. (website:

http://www.singstat.gov.sg/keystats/people.html)

• Catherwood, DW and Van Kirk, RL (1992). The Complete Guide to Special

Event Management - Business Insights, Financial Advice, and Successful

Strategies from Ernst & Young, Advisors to the Olympics, the Emmy

Awards and the PGS Tour



• Khairul, AM (2004). Think about price before thinking of support. The New

Straits Times Press

• Chellam, G (2004). Feature: motor racing – China embraces for Formula

One debut. Reuters News (16 September 2004)



Annex 1: Streets Circuit Venue Map

annex01 9/25/2004


Annex 2: Survey Questionnaire

annex02 9/25/2004

Questionnaire
Introduction

Hello! I am running a survey on the support for Formula One Grand Prix race to be held
on a temporary street circuit in Singapore. Could you please help me with a few
questions? (The results of this survey will be used for academic research purpose)

Will you support Formula One Grand Prix race in Singapore?

Q1. Have you ever watched a Formula One Grand Prix race?
(Either on Television or attended any of the events before)

(Please tick)
- YES
- NO

Q2. If given a chance for Singapore to host the Formula One Grand Prix race on the
streets around Suntec City and City Hall area, would you attend the event?

(Please tick)
- YES
- NO (Skip Q3 & Q4)

Q3. Who would you attend the race event with?

(Please tick all that apply)
- Alone
- Friends
- Family members
- Others
Please specify:

-----------------------------------------------

Q4. How much would you be willing to pay to attend the 3 days race event?

(Please tick)
- Less than S$150
- S$150 to S$300
- Above S$300

Page 1 of 3 (If you have any questions regarding this survey, please email: team_poleposition@yahoo.com.sg)

Q5. If you are not attending the race event, would you watch it on Television?

(Please tick)
- YES
- NO

Q6. What are the factors that would discourage you to attend or watch the race event?

(Please tick all that apply)
- Not interested at all
- Venue inconvenient with
road closure
- No time; busy with other
more important activities
- Ticket price is too
expensive and no cable TV
at home
- Others
Please specify:

-----------------------------------------------

Q7. By hosting Formula One Grand Prix race in Singapore, do you think it would
enhance our international image that we are capable of hosting world-class
sporting events here?

(Please tick)
- YES
- NO

Q8. By having the Grand Prix race event held in Suntec City and City Hall area, do
you think it would attract more visitors (both local and overseas) and provide more
business opportunities to the retail shops, hotels and restaurants nearby?

(Please tick)
- YES
- NO

Q9. If given a chance, would you like to play a part in making this event successful?
(Such as volunteers or temporary staffs etc.)

(Please tick)
- YES
- NO


Q10. So far, have you ever purchased and owned any products or services with their
brand names that sponsored and associated with Formula One?
(Example: Hewlett Packard, AMD, Intel, Panasonic, Shell, DHL & HSBC etc.)

(Please tick)
- YES
- NO

Demographic Information

Q1. What is your gender?

(Please tick)
- Male
- Female

Q2. Which age category do you fall under?

(Please tick)
- Less than 18
- 18 to 24
- 25 to 34
- 35 to 44
- 45 to 54
- 55 to 64
- 65 and above

Q3. What is your employment status?

(Please tick)
- Employed : Full time
- Employed : Part time
- Self-employed
- Unemployed
- Student
- Retired

Thank you for your time to take part in this survey. Enjoy your day!



Annex 3: Breakdown of survey results

annex03 9/25/2004

Q1. Have you ever watched a Formula One Grand
Prix race?

YES (65%)
NO (35%)

Frequency Table

Cumulative
Frequency Percent Valid Percent Percent
Valid YES 135 64.9 64.9 64.9
NO 73 35.1 35.1 100.0
Total 208 100.0 100.0

Cross-tabulation

Which age category do you fall under?
What is your gender? Less than 18 18 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 and above Total
Male Have you ever YES Count 8 23 49 12 2 0 94
watched a Formula % of Total 7.0% 20.2% 43.0% 10.5% 1.8% .0% 82.5%
One Grand Prix race? NO Count 1 7 9 2 0 1 20
% of Total .9% 6.1% 7.9% 1.8% .0% .9% 17.5%
Total Count 9 30 58 14 2 1 114
% of Total 7.9% 26.3% 50.9% 12.3% 1.8% .9% 100.0%
Female Have you ever YES Count 5 5 21 4 4 2 41
watched a Formula % of Total 5.3% 5.3% 22.3% 4.3% 4.3% 2.1% 43.6%
One Grand Prix race? NO Count 14 6 22 6 3 2 53
% of Total 14.9% 6.4% 23.4% 6.4% 3.2% 2.1% 56.4%
Total Count 19 11 43 10 7 4 94
% of Total 20.2% 11.7% 45.7% 10.6% 7.4% 4.3% 100.0%

Q2. If given a chance for Singapore to host the Formula One
Grand Prix race on the streets around Suntec City and City Hall
area, would you attend the event?

YES (73%)
NO (27%)

Frequency Table

Cumulative
Valid YES 151 72.6 72.6 72.6
NO 57 27.4 27.4 100.0
Total 208 100.0 100.0

Cross-tabulation

Which age category do you fall under?
What is your gender? Less than 18 18 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 and above Total
Male If given a chance for YES Count 9 28 41 12 2 0 92
Singapore to host the
Formula One Grand % of Total 7.9% 24.6% 36.0% 10.5% 1.8% .0% 80.7%
Prix race on the streets
around Suntec City and NO Count 0 2 17 2 0 1 22
City Hall area, would
% of Total .0% 1.8% 14.9% 1.8% .0% .9% 19.3%
you attend the event?
Total Count 9 30 58 14 2 1 114
% of Total 7.9% 26.3% 50.9% 12.3% 1.8% .9% 100.0%
Female If given a chance for YES Count 12 5 32 5 4 1 59
Singapore to host the
Formula One Grand % of Total 12.8% 5.3% 34.0% 5.3% 4.3% 1.1% 62.8%
Prix race on the streets
around Suntec City and NO Count 7 6 11 5 3 3 35
City Hall area, would
% of Total 7.4% 6.4% 11.7% 5.3% 3.2% 3.2% 37.2%
you attend the event?
Total Count 19 11 43 10 7 4 94
% of Total 20.2% 11.7% 45.7% 10.6% 7.4% 4.3% 100.0%

Q3. Who would you attend the race event with?

Alone (1%)
Others Friends
(60%)
Others

Frequency Table - Alone

Cumulative
Valid Alone 3 1.4 100.0 100.0
Missing System 205 98.6
Family Total 208 100.0
members
(19%)
Others Frequency Table - Friends

Cumulative
Valid Friends 125 60.1 100.0 100.0
Total 208 100.0

Frequency Table - Family members

Cumulative
Valid Family members
39 18.8 100.0 100.0

Total 208 100.0

Cross-tabulation - Age category vs employment status vs who do you attend the race with?

What is your employment status?
Who would you attend Employed : Self-empl
the race event with? Full time oyed Unemployed Student Total
Friends Which age Less than 18 Count 0 0 0 20 20
category do % of Total .0% .0% .0% 16.0% 16.0%
you fall 18 to 24 Count 11 2 1 16 30
under?
% of Total 8.8% 1.6% .8% 12.8% 24.0%
25 to 34 Count 51 5 3 2 61
% of Total 40.8% 4.0% 2.4% 1.6% 48.8%
35 to 44 Count 8 0 1 0 9
% of Total 6.4% .0% .8% .0% 7.2%
45 to 54 Count 3 0 1 0 4
% of Total 2.4% .0% .8% .0% 3.2%
55 to 64 Count 1 0 0 0 1
% of Total .8% .0% .0% .0% .8%
Total Count 74 7 6 38 125
% of Total 59.2% 5.6% 4.8% 30.4% 100.0%

Cross-tabulation - Age category vs employment status vs who do you attend the race with?

What is your employment status?
Who would you attend Employed : Self-empl
the race event with? Full time oyed Unemployed Student Total
Family members Which age Less than 18 Count 0 0 0 10 10
category % of Total .0% .0% .0% 25.6% 25.6%
do you fall 18 to 24 Count 0 0 0 1 1
under?
% of Total .0% .0% .0% 2.6% 2.6%
25 to 34 Count 15 0 0 0 15
% of Total 38.5% .0% .0% .0% 38.5%
35 to 44 Count 9 0 1 0 10
% of Total 23.1% .0% 2.6% .0% 25.6%
45 to 54 Count 1 1 1 0 3
% of Total 2.6% 2.6% 2.6% .0% 7.7%
% of Total 64.1% 2.6% 5.1% 28.2% 100.0%

Q4. How much would you be willing to pay to
attend the 3 days race event?

Less than
S$150
S$150 to
S$300
Above
S$300
Not
attending

Frequency Table

Cumulative
Valid Less than S$150
121 58.2 80.1 80.1
S$150 to S$300 23 11.1 15.2 95.4
Above S$300 7 3.4 4.6 100.0
Total 151 72.6 100.0
Total 208 100.0

Cross-tabulation - Age category vs employment status vs How much would you be willing to pay to attend the 3 days race event?

How much would you be What is your employment status?
willing to pay to attend Employed : Self-empl
the 3 days race event? Full time oyed Unemployed Student Total
Less than S$150 Which age Less than 18 Count 0 0 0 18 18
category % of Total .0% .0% .0% 14.9% 14.9%
do you fall 18 to 24 Count 11 1 1 11 24
under?
% of Total 9.1% .8% .8% 9.1% 19.8%
25 to 34 Count 55 3 3 2 63
% of Total 45.5% 2.5% 2.5% 1.7% 52.1%
35 to 44 Count 11 0 1 0 12
% of Total 9.1% .0% .8% .0% 9.9%
45 to 54 Count 2 1 1 0 4
% of Total 1.7% .8% .8% .0% 3.3%
% of Total 65.3% 4.1% 5.0% 25.6% 100.0%
S$150 to S$300 Which age Less than 18 Count 0 0 2 2
category % of Total .0% .0% 8.7% 8.7%
do you fall 18 to 24 Count 1 1 5 7
under?
% of Total 4.3% 4.3% 21.7% 30.4%
25 to 34 Count 7 1 0 8
% of Total 30.4% 4.3% .0% 34.8%
35 to 44 Count 4 0 0 4
% of Total 17.4% .0% .0% 17.4%
45 to 54 Count 2 0 0 2
% of Total 8.7% .0% .0% 8.7%
Total Count 14 2 7 23
% of Total 60.9% 8.7% 30.4% 100.0%
Above S$300 Which age Less than 18 Count 0 0 1 1
category % of Total .0% .0% 14.3% 14.3%
do you fall 25 to 34 Count 4 1 0 5
under?
% of Total 57.1% 14.3% .0% 71.4%
35 to 44 Count 1 0 0 1
% of Total 14.3% .0% .0% 14.3%
Total Count 5 1 1 7
% of Total 71.4% 14.3% 14.3% 100.0%

Q5. If you are not attending the race event, would you watch it
on Television?

YES
NO
Others

Frequency Table

Cumulative
Valid YES 147 70.7 72.1 72.1
NO 57 27.4 27.9 100.0
Total 204 98.1 100.0
Total 208 100.0

Cross-tabulation

If given a chance for What is your gender?
Singapore to host the Male Female Total
F
YES l O G d If you are not attending the YES Count 79 44 123
race event, would you % of Total 53.7% 29.9% 83.7%
watch it on Television? NO Count 11 13 24
% of Total 7.5% 8.8% 16.3%
Total Count 90 57 147
% of Total 61.2% 38.8% 100.0%
NO If you are not attending the YES Count 14 10 24
race event, would you % of Total 24.6% 17.5% 42.1%
watch it on Television? NO Count 8 25 33
% of Total 14.0% 43.9% 57.9%
Total Count 22 35 57
% of Total 38.6% 61.4% 100.0%

Q6. What are the factors that would discourage you to attend or watch the race
event?

Frequency table - Not interested at all

Cumulative
Valid Not interested at
47 22.6 100.0 100.0
all
Total 208 100.0

Frequency table - Venue inconvenient with road closure

Cumulative
Valid Venue
inconvenient with 29 13.9 100.0 100.0
road closure
Total 208 100.0

Frequency table - No time; busy with other more important activities

Cumulative
Valid No time; busy with other
more important 46 22.1 100.0 100.0
activities
Total 208 100.0

Q6. What are the factors that would discourage you to attend or watch the race
event?

Frequency table - Ticket price too expensive and no cable TV at home

Cumulative
Valid Ticket price is
too expensive
102 49.0 100.0 100.0
and no cable TV
at home
Total 208 100.0

Frequency table - Others

Frequenc Cumulative
y Percent Valid Percent Percent
Valid None. Will sure be
5 2.4 41.7 41.7
there!
Safety concern 2 1.0 16.7 58.3
Too old for such event 1 .5 8.3 66.7
Too crowded and limited
3 1.4 25.0 91.7
space
Limited audience 1 .5 8.3 100.0
Total 12 5.8 100.0
Total 208 100.0

Q7. By hosting Formula One Grand Prix race in Singapore, do
you think it would enhance our international image that we are
capable of hosting world-class sporting events here?

YES (91%)
NO (9%)

Frequency table

Cumulative
Valid YES 190 91.3 91.3 91.3
NO 18 8.7 8.7 100.0
Total 208 100.0 100.0

Q8. By having the Grand Prix race event held in Suntec City and
City Hall area, do you think it would attract more visitors (both local
and overseas) and provide more business opportunities to the retail
shops, hotels and restaurants nearby?

YES (95%)
NO (5%)

Frequency table

Cumulative
Valid YES 198 95.2 95.2 95.2
NO 10 4.8 4.8 100.0
Total 208 100.0 100.0

Q9. If given a chance, would you like to play a part in making
this event successful?

YES (59%)
NO (40%)
Others (1%)

Frequency table

Cumulative
Valid YES 123 59.1 59.4 59.4
NO 84 40.4 40.6 100.0
Total 207 99.5 100.0
Missing System 1 .5
Total 208 100.0

Q10. So far, have you ever purchased and owned any
products or services with their brand names that sponsored
and associated with Formula One?

YES (74%)
NO (25%)
Others (1%)

Frequency table

Cumulative
Valid YES 154 74.0 74.4 74.4
NO 53 25.5 25.6 100.0
Total 207 99.5 100.0
Missing System 1 .5
Total 208 100.0

oss- tabulation - Age category vs employment status vs have you ever purchased and owned any products or services with their brand names that sponsored an
associated with Formula One?

So far, have you ever What is your employment status?
purchased and owned Employed : Employed : Self-empl
any products or services Full time Part time oyed Unemployed Student Retired Total
ith
YES th i b d Which age Less than 18 Count 0 0 0 0 18 0 18
category do % of Total .0% .0% .0% .0% 11.7% .0% 11.7%
you fall 18 to 24 Count 16 1 1 1 14 0 33
under?
% of Total 10.4% .6% .6% .6% 9.1% .0% 21.4%
25 to 34 Count 68 0 5 1 3 0 77
% of Total 44.2% .0% 3.2% .6% 1.9% .0% 50.0%
35 to 44 Count 15 1 2 1 0 0 19
% of Total 9.7% .6% 1.3% .6% .0% .0% 12.3%
45 to 54 Count 4 0 0 1 0 1 6
% of Total 2.6% .0% .0% .6% .0% .6% 3.9%
55 to 64 Count 0 0 0 0 0 1 1
% of Total .0% .0% .0% .0% .0% .6% .6%
Total Count 103 2 8 4 35 2 154
% of Total 66.9% 1.3% 5.2% 2.6% 22.7% 1.3% 100.0%
NO Which age Less than 18 Count 0 0 0 10 0 10
category do % of Total .0% .0% .0% 18.9% .0% 18.9%
you fall 18 to 24 Count 2 2 0 4 0 8
under?
% of Total 3.8% 3.8% .0% 7.5% .0% 15.1%
25 to 34 Count 20 2 2 0 0 24
% of Total 37.7% 3.8% 3.8% .0% .0% 45.3%
35 to 44 Count 5 0 0 0 0 5
% of Total 9.4% .0% .0% .0% .0% 9.4%
45 to 54 Count 2 1 0 0 0 3
% of Total 3.8% 1.9% .0% .0% .0% 5.7%
55 to 64 Count 1 0 0 0 1 2
% of Total 1.9% .0% .0% .0% 1.9% 3.8%
65 and above Count 0 0 0 0 1 1
% of Total .0% .0% .0% .0% 1.9% 1.9%
Total Count 30 5 2 14 2 53
% of Total 56.6% 9.4% 3.8% 26.4% 3.8% 100.0%

Feasibility Studies report for SGF1 - 26 Sep 2004

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