The impact of the COVID-19 outbreak on the Horse and Dog Racing industry has seen racing administrators nationwide come to grips with operating under restrictions set by the government. Race meetings were held with no spectators allowed on racetracks from the middle of March 2020, as per rules set by state governments on public gatherings. For the whole of 2020, when race meetings were held, only minimal staff were employed, with essential administrators available on hand to work. The impact of these restrictions had decreased revenue from associations involved in the racing administration, with ticket sales and hospitality revenues effectively cancelled at the beginning of the outbreak. Varying successes in managing the spread of COVID-19 on a state level saw Western Australian and Victorian-based Horse and Dog Racing administrators able to then welcome patrons back onto stands at different periods during the year, reclaiming lost revenue opportunities.
- COVID-related lockdowns in Australia have affected the industry on a state-by-state basis
- The industry is expected to bounce back to its pre-COVID trajectory after 2021
- Despite an expected recovery in revenue, long-term race day attendance is anticipated to continue to fall
Limited racing attendance in Victoria
Victoria Racing Club Limited (VRC) operates as one of three Victoria-based organisations, along with the Racing Victoria and Melbourne Racing Club, focused on the administration of thoroughbred horse racing in the state. With COVID-19 hitting Victoria significantly harder than other states, the VRC, which operates race meetings at Flemington Racecourse, meets from March 2020 onwards were run with only essential staff allowed by the track. Subsequently, the VRC’s signature Melbourne Cup Carnival week occurring in early November was held without crowds, compared with the 276,000 patrons taking part in the 2019 running of the Melbourne Cup. Changes to allow members of the public to return began from the Living Legends Race Day meeting in mid-December, with a capacity of 1,000 patrons allowed to visit the track, with priority given to VRC members and owners.
Quicker attendance recovery in Western Australia
Racing and Wagering Western Australia (RWWA) operates throughout Western Australia as a government-operated body dedicated to the state-wide administration of thoroughbred, harness and greyhound racing. With the state able to effectively contain the spread of COVID-19 from early 2020, a halt in public crowds lasted between March to early June, with up to 300 patrons originally allowed to participate in race meets, with numbers then expanding through easing phases of WA’s COVID-19 restrictions.
Slow recovery
The successful containment of COVID-19 throughout Australia is anticipated to improve the performance of the Horse and Dog Racing industry over the next five years. Industry revenue is forecast to grow at an annualised 2.8% over the five years through 2025-26, despite a strong dip of 9.8% in the current year. However, a projected revenue rebound in 2022 of 7.0% will likely help stabilise the industry. Similarly, employment in the industry is anticipated to follow a similar trajectory, with a rebound of 4.4% in 2022 following a fall of 4.5% in 2020-21. With increased employment numbers, associations involved within the industry will be expected to maintain COVID-19 safe access for members and the public to attend both regular and marquee events throughout the coming years.
Industry and company reports mentioned in this release:
Horse and Dog Racing industry in Australia
Melbourne Racing Club
Racing and Wagering Western Australia
Racing Victoria Limited
Victoria Racing Club Limited
