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  • Second-opinion HollandBelgium bid for World Cup (2010)

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    The Netherlands and Belgium together made a bid for the organisation of the FIFA World Cup in 2018. In the end, Russia got the honour the organise them, but the preparations included a cost-benefit analysis that was reviewed by Hypercube. 

    Case

    The organisation of the second largest event in the world, after the Olympic Games, requires a huge effort from the hosting country. This was brought to the fore in a cost-benefit analysis. Hypercube was commissioned to carry out a second-opinion by the organisation of ‘The HollandBelgium Bid’.

    Approach

    We investigated the impact that the World Cup would have on several dimensions. The most imporant ones are:

    • the development of stadiums and infrastructure
    • the numbers of tourists coming for football and their expenditures
    • and the numbers of regular tourists that would shy away from a visit to the Netherlands or Belgium because of the event, and of course their expenditures.

    Result

    Hypercube noted that stadium development that was initially considered costs on account of the World Cup, will also carry through when the World Cup is not organised here. On the whole, the second-opinion on the social cost-benefit analysis showed that the organisation will most likely have a positive impact on society, although there are considerable uncertainties.

    Net present values, x million
    Bad case Base case Best case
    Costs  €       -727  €       -340  €         -147
    Benefits  €         276  €         569  €       1.445
    Net benefits  €       -451  €         229  €       1.298