For a city that runs on football, the Hawkeyes’ 8-0 record is golden.
Experts say the specific economic benefits of a highly ranked football program are unknown, but many say this year’s winning streak is catapulting the city and university into the national spotlight.
“It probably won’t visibly affect our economy, but it provides more visibility for the university,” said Iowa City Mayor Regenia Bailey. “People know where Iowa City is because they know the Hawkeyes.”
The Hawks are 18-4 in their last 22 games and lost those four games, last year, by a combined 12 points. Their current 12-game winning streak is the second longest active streak in Division I.
Few studies have explored the economic effects of athletics success, and it’s difficult to measure what a great football season can mean for both the university and Iowa City.
Many said Hawkeye fan loyalty results in economic stimulus during football season, even when the team is doing poorly.
The UI Foundation handles charitable giving for the university, including donations specified for athletics and football. Susan Shullaw, the senior vice president of strategic communication for the foundation, said giving to the athletics department is always steady.
Ever since former head coach Hayden Fry came to Iowa in the late 1970s, the community’s roughly 2,400 hotel rooms have sold out during nearly every home football game weekend, said Josh Schamberger, the president of the Iowa City/Coralville Area Convention and Visitors Bureau.
“It’s like religion to us,” he said. “Right now, we can’t measure how much we make.”
In an attempt to measure the benefits of a winning Hawkeye football team, UI Associate Professor Michael Lomax is working to study the spending habits of 700 out-of-town fans visiting Iowa City for the Northwestern game on Nov. 7. He said researchers will review the responses, make adjustments, and continue the study for up to four games next season.
“This study will provide a baseline for the future,” Lomax said. “We would eventually like to have the survey target businesses as well.”
While sales and hotel taxes are key revenues for the city, ticket sales are the athletics department’s main source of income, said Rick Klatt, an associate athletics director. The ticket sales account for 30 percent of the operating budget.
Officials set the ticket prices during the spring and do not increase the cost midseason, Klatt said. Tickets for 38 of the last 40 games have been sold out.
“UI athletics doesn’t have peaks and valleys in terms of support,” he said. “But Coach Fry used to say people get ‘a little hitch in their giddy-up’ when things are going well for the Hawks.”
A successful sports team could have a psychological effect on local residents, said Michael Davis, associate professor of economics at Missouri University of Science and Technology. He has been researching this phenomena, as well as the increase in the average income of residents in cities with successful NFL teams.
For the football team, the biggest part of having an undefeated record is the boost in interest from recruits, said Eric Johnson, a recruiting coordinator for Hawkeyes.
“A bad season can hurt you more than a good season can help you,” he said. “Having success doesn’t mean you don’t have to recruit.”
