Annual Expenditure on Sport
in North America More Than $20 billion
Snowmobiling is the most popular winter activity for more than 4 million enthusiasts worldwide. It also is the single most important revenue generator for a number of businesses and snowbelt communities in the United States and Canada.
Last year in North America, snowmobilers spent more than $20 billion on equipment, clothing, accessories and vacations. "Snowmobiling means jobs for tens of thousands of people," said Ed Klim, president of the International Snowmobile Manufacturers Association (ISMA) in Haslett, Mich. "These jobs which further stimulate the economy and reduce unemployment and welfare payments. Every year, millions of dollars in tax revenue are generated from snowmobile-related business and tourism spending. Snowmobiling by itself has rejuvenated the economies of many communities."
State Growth
Snowmobiling is an integral part of Michigan's winter recreation and overall economy. In the Upper Peninsula of Michigan, winter revenues from snowmobiling often equal or even exceed dollars spent on summer recreational activities.
According to a study conducted by the Michigan Department of Park, Recreation and Tourism Resources and Michigan State University, the state's economy generates more than $1 billion annually in economic activity with 390,000 registered snowmobiles. On average, Michigan snowmobilers spend $5,700 each year on snowmobile recreation, tourism and products.
More than 100,000 Michigan households use the state's 6,200-mile trail network. Snowmobiling alone sustains more than 6,455 full-time jobs throughout the state.
During the winter season, Michigan resident snowmobilers traveled an estimated 114.3 million miles. An estimated $321 million in sales and $187 million in income resulted from these snowmobile trips throughout the state.
Michigan has also become a winter tourist mecca for out-of-state snowmobilers. Approximately 37 percent of all snowmobile trip spending comes from out of state.
The Wyoming Recreation Commission, working with the University of Wyoming, researched the economic impact of snowmobiling in the state. Their research discovered that over $200 million annually is generated through snowmobile-related activity.
Research conducted by the State University of New York (SUNY) showed that snowmobiling generates an estimated $476.2 million in direct and indirect revenue for New York state.
The SUNY study revealed that there are more than 150,000 registered snowmobiles and 59,000 snowmobile households in New York state. These same households spent an estimated $118 million on the life-style activity during 1996-97.
"Snowmobiling has the potential to ultimately become one of the most successful recreational activities in New York state," said Dave Perkins, past president of the New York State Snowmobile Association (NYSSA).
Other colleges and universities in several other snowbelt states also conducted snowmobile economic impact studies. Here's what they found:
- New Hampshire: $1.2 billion generated annually (University of New Hampshire)
- Maine: $460 million generated annually (University of Maine)
- Vermont: $600 million generated annually (Johnson State College)
- Pennsylvania: $95 million generated annually (Lebanon Valley College of Pennsylvania)
Provincial Power
Research done by the Canadian Council of Snowmobile Organizations (CCSO) shows that during the 2003 season, over 300,000 permits were issued throughout Canada. Snowmobile clubs totaled 848, with combined membership of 486,247. Total expenditures by snowmobilers in Canada were estimated to be more than $6 billion.
In 1997, the Quebec Federation of Snowmobile Clubs completed a study showing $1.5 billion is generated annually by the snowmobile industry in Quebec. The province contains more than 33,000 kilometers of snowmobile trails - the distance from Paris to Marseilles and back 21 times. There are more kilometers of groomed and maintained trails in Quebec than paved road.
The 1997 study showed that more than 7,600 tourists from other provinces and the United States came to Quebec for snowmobiling. Another 23,400 snowmobile rentals every year are by tourists from Europe and elsewhere.
With a family membership of 200,000 representing 281 snowmobile clubs and associations, the Ontario Federation of Snowmobile Club (OFSC) is the largest snowmobiling organization in the world. OFSC clubs invest $20 million annually on trail operations and grooming of Ontario's 49,000 kilometers of trails.
In Alberta, the Crownset Pass Economic Development Board did research on the economic impact of snowmobiling on its community. Total expenditures were estimated to be $124,600 in the local community alone for a weekend event. Weekly expenditures during the entire snowmobiling season were estimated between $35,000 to $40,000.
In 1995, Alberta Economic Development and Tourism estimated the annual impact of expenditures directly related to snowmobiling to be $162.6 million, with more than 127,000 snowmobiling households throughout the province. Estimates show that amount has increased to nearly $400 million annually within the past three years.
Snowmobile Fever Spreads To Scandinavia
Scandinavia offers the most developed snowmobiling culture outside North America. The average snowmobiler rides 900 miles per year, and more than 90 percent of snowmobile sales outside Canada and the United States are made in Finland, Sweden and Norway.
Finland boasts more than 100,000 registered snowmobiles and hundreds of clubs. Rovaniemi, a town just north of the Arctic Circle, is known as "the snowmobiling capitol of Europe."
Snowmobile use has skyrocketed in Norway, jumping from 4,000 sleds in 1972 to more than 65,000 today. Norway's citizens rely on snowmobiles to meet many of their transportation and work needs.
Snowmobile associations are huge in Sweden -- some clubs have as many as 500 members. Similar to North America, the members volunteer their time and resources to grooming trails. "Snowmobiling is as much a culture as it is a sport," said Jan Engstom, editor of Snowmobile Scandinavia. "And it's illustrated through club participation."
Currently, there are approximately 370,000 registered snowmobiles in use in Scandinavia and 400 licensed snowmobile dealers selling complete product lines. Government figures show that approximately 2,000 people are employed annually directly by the snowmobile industry. Total tax dollars collected annually from snowmobiling in Scandinavia is more than 1.4 billion Swedish Crowns.
"Economic impact reports show the significance of the life-style activity of snowmobiling at all levels," said Klim. "The increased popularity of the life-style activity points to even brighter days ahead for those communities where snowmobiling is as great a source of revenue as it is a joy."
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