Melbourne Cup Carnival breaks new record with $1 billion boost to the nation

It was a year of growth on all measures, with more than half the adult population (11.5 million, an increase of 500,000) engaging with the race that stops a nation® by watching, listening or participating in an activity to celebrate the day, providing an uplift in spending across the country.

Closer to home the four-day major event returned a record $502.4 million in gross economic benefit to the state of Victoria, with 81 cents of every dollar spent on the Melbourne Cup Carnival flowing through to benefit the broader Victorian economy.

The annual Victorian economic impact study, conducted by market research company IER, found the total gross economic benefit to the Victorian economy courtesy of the Melbourne Cup Carnival over the past decade now stands at $3.9 billion.

The positive impact of the carnival extends to industries from retail, accommodation, entertainment and hospitality to more than 14,000 on-track jobs including broadcast, racing, building, food and beverage, security and live entertainment.

Growth was recorded across multiple categories, with increased spending on hotels and accommodation to $49.0 million (up $5.9 million on 2023) and $36.0 million on Victoria’s restaurant and hospitality scene (up $4.0 million).

The 2024 Melbourne Cup Carnival was directly responsible for bringing 68,898 international and interstate visitors to Victoria - the highest level of visitation since 2018, further reinforcing its role as a major tourism driver for both Australia and Victoria.

Fashion continues to be a key pillar of the Melbourne Cup Carnival with racegoers spending $52.7 million on retail (including fashion and grooming) in Victoria. To look their finest on track over the four days of racing, patrons purchased 46,000 hats and fascinators, 43,000 pairs of shoes, 46,000 dresses and 18,000 suits.

Victoria Racing Club (VRC) Chief Executive Officer Kylie Rogers said the Melbourne Cup Carnival reaffirmed its status as one of Australia’s most culturally and economically important major events.

“The Lexus Melbourne Cup is ingrained in Australian psyche, and we see that reflected in the fact that more than 11.5 million adults engaged with and celebrated the day, generating a record-breaking national uplift in spending,” Ms Rogers said.

“2024 saw increased crowds flock to Flemington, an increase in the television audience on Nine, and young racing fans on course with 45 per cent of general admission ticket buyers under the age of 35 which provides a strong platform for engagement now and into the future.

“Whether people come for racing, fashion, food or entertainment, Cup Week is the ultimate event to bring people together and have fun.

“We are proud that our homegrown event continues to be an economic powerhouse that benefits industries across the country and Victoria. From fashion, retail, hospitality, accommodation and entertainment, the carnival directly generates more than 14,000 jobs across the week.

“From milliners to make-up artists and retailers to restaurant owners, the event has a significant impact on revenue for Victorian businesses.

“Racing is the only sport with its own dedicated fashion category and its influence on the event is underpinned by the 63-year Fashions on the Field competition. The record prize pool of $370,000, and an expanding international footprint only serves to enhance the reputation of the Melbourne Cup Carnival as Australia’s most fashionable and prestigious major event. 

“Importantly, it also acts as a platform for significant fundraising with more than $910,000 raised for various charities as the community comes together in more ways than one for Australia’s original major event. Racegoers can be proud that they are directly contributing to our charity partners including Ronald McDonald House Charities Victoria and Tasmania, the Good Friday Appeal, the RSL’s Poppy Appeal and more.

“We could not deliver such strong results without the support of our partners, members, the racing industry and the Victorian Government.”

Minister for Racing Anthony Carbines said the Melbourne Cup Carnival was important to Victoria.

“We saw increased crowds race through the gates at Flemington and pack our hotels, retailers, cafes and restaurants across the city – pumping millions into the local economy and bringing Melbourne alive.

“The Carnival not only featured the best in thoroughbred racing, fashion and entertainment but confirms Melbourne as the premier events destination - no other state does it like we do.

“We will always back the racing industry which generates more than $4.7 billion for the Victorian economy and helps sustain nearly 35,000 full-time equivalent jobs across all the codes.”

Other key findings from the 2024 Melbourne Cup Carnival economic impact and national engagement study:

Tourism 

• 68,898 individual visitors from interstate and overseas.
• Nearly 20,000 attendees were international visitors, making up the highest proportion of that audience in the last decade.
• Engagement with the New Zealand is trending upward, with the highest attendance since 2016 at 11,170.
• Increases were also recorded in visitors from the United Kingdom (3,854) and Ireland (1,340).
• On the domestic front, New South Wales delivered 35,596 visitors while Queensland made ground in attendances, delivering 29,108 visitors and the highest number since pre-pandemic.
• 2024 Lexus Melbourne Cup Day saw more than 8,000 cruise ship passengers attend and spend a record $8 million while in Victoria, coming from Melbourne Cup Carnival themed cruises.

Retail

• $52.7 million was spent on retail, fashion and grooming including 292,822 fashion purchases.
• The retail spend covered more than 46,000 hats and fascinators, 43,000 shoes, 46,000 dresses and 18,000 suits.

Accommodation

• $49.0 million spent on accommodation.
• 224,164 bed nights with nearly 70 per cent staying in hotels.

Hospitality

• $36 million was spent on food and beverage as people embraced Victoria’s world-famous culinary scene.

National Engagement (study conducted by Quantum Market Research)

• 5 million people watched, listened or engaged in an activity to celebrate the Lexus Melbourne Cup.
• 77% of the uplift in expenditure on Lexus Melbourne Cup Day was driven by New South Wales, Victoria and Queensland.
• 3% of the national adult population participated in an activity to celebrate Lexus Melbourne Cup Day. This is up from 29.9% in 2023 and is now at its highest level ever recorded.
• Of those seven million, 2.1 million attended a restaurant, pub, club or RSL while 1.6 million attended a private house party.

Separately, the VRC’s waste partner Cirka reported 87.82% of waste was diverted from landfill and reused or recycled. More than 300,000 drink containers were recovered via the Container Deposit Scheme while more than five tonnes of timber waste was diverted for use in social enterprises in partnership with the VRC and Superyard.

The event supports the broader community not just economically, but through various fundraising programs. Substantial fundraising efforts generated more than $910,000 for various charities including a record $687,000 through the Pin & Win program, with the current partnership supporting Ronald McDonald House Charities Victoria and Tasmania (RMHC VIC & TAS).

Kylie Rogers also said the VRC is looking forward to this year’s event.

“While we are thrilled with the growth and economic contribution, we are already looking ahead to Cup Week 2025.

We can't wait to showcase world-class racing, while also elevating all the entertainment and hospitality offerings patrons from across Australia and around the world have come to expect when they walk through the gates at Flemington.”

Background:

• $1.02 billion is the expenditure uplift to the Australian economy by Lexus Melbourne Cup Day activity nationally, plus event organisers and attendee spend at the Melbourne Cup Carnival in 2024.