Background

As America’s longest-running professional sport, Major League Baseball is woven into the nation’s cultural fabric and plays a vital role in the U.S. economy. With 30 franchises spread across metro areas ranging from 19.6 million in New York City to just 1.6 million in Milwaukee, Major League Baseball thrives in both large and small cities.

The league generates tens of billions in economic impact and powers a broad spectrum of jobs, from stadium workers and hospitality staff to media, marketing, and transportation professionals. A typical regular-season game can generate up to $3 million in local economic activity, supporting restaurants, hotels, and small businesses, but the impact is even greater during major events. When Seattle hosted the 2023 MLB All-Star Week, the city recorded over $50 million in economic activity, highlighting the significant spending power that baseball can bring to a region.

While major-market teams often dominate headlines, small-market clubs like the Pittsburgh Pirates and Milwaukee Brewers deliver an outsized economic surge to their regions. For example, the Pirates’ relative economic footprint is three times greater than that of the largest market teams in the country. Small-market teams act as community anchors by fueling year-round economic activity, drawing tourism, and sparking neighborhood revitalization. From job creation and infrastructure development to increased tax revenue and local brand visibility, small-market teams play a vital role in their local economies.

Case Studies

The critical nature of this economic engine is readily apparent in cities like Pittsburgh, Milwaukee, and Cincinnati, where the MLB franchise is much more than just a source of entertainment. The ballclub and its adjacent industries – from stadium vendors and team employees to nearby bars, restaurants, hotels, and sponsors – constitute a considerable share of regional business activity. In these and many other cities, they account for a notable share of their region’s GDP and employment, outperforming larger-market counterparts on a per-capita basis.

From seasonal employment and game-day spending to the strategic public-private partnerships between the government and regional businesses, these teams cultivate and power local economies in notable ways. These three case studies illustrate how and why small-market teams continue to serve as powerful engines of economic stability, and why supporting them is vital to sustaining momentum in smaller U.S. cities.

Pittsburgh Pirates: A Spark for Growth in the Steel City

The Pittsburgh Pirates serve as a central hub for tourism and economic activity in the city of Pittsburgh. Each year, the Pirates generate an estimated $540+ million in city and statewide economic footprint, supporting around 3,000 full-time equivalent jobs across multiple industries ranging from stadium operations to sports and hospitality.

The Pirates’ ability to draw visitors into the region has measurable downstream benefits. In the 2024 season alone, the Pirates drew over 1.7 million people into attendance at PNC Park. Over 50% of ticket holders traveled from outside the city of Pittsburgh, and around 30% came from out of state. Attendees contribute to the local economy through hotel stays, restaurant visits, and other retail activity. For example, the average out-of-town couple attending a game spent approximately $505 per trip, while a local family of four averaged around $385, driving consistent revenue for businesses across Pittsburgh’s hospitality and service sectors.

Beyond game days, PNC Park is an increasingly active non-sport venue year-round, with the Pirates hosting concerts and community events that further bolster local commerce. In 2023 & 2024, major concerts drew over 100,000 additional visitors to the area, many of whom extended their stays and patronized nearby establishments. The increasingly multifaceted use of the stadium contributes to a stream of economic activity that reaches well beyond baseball.

Additionally, the Pirates have spent and committed over $100 million in infrastructure spending on construction, renovations, and maintenance of the stadium and the surrounding North Shore neighborhood. Most recently, in late 2024, the team joined PA Governor Josh Shapiro and local leaders to announce a joint $62.6 million plan to invest in Downtown Pittsburgh, focused on improving public spaces, enhancing safety, and driving long-term economic growth.

Beyond a financial impact, the Pirates undertake numerous local community service initiatives through Pirates Charities. These initiatives include hosting Miracle League Athlete Camps, supporting youth baseball leagues, volunteering across the city, and donating food on Thanksgiving and toys on Christmas. Every September 15th, the Pirates celebrate Roberto Clemente Day in honor of the late Pirates legend, volunteering and donating across Pittsburgh in collaboration with partners like Fanatics and Sheetz.

Milwaukee Brewers: A Cornerstone of Milwaukee’s Economy

The Brewers’ home at American Family Field drew over 2.5 million fans in both 2023 and 2024, generating a significant boost for local businesses. The team operates in MLB’s smallest media market, yet the team’s economic imprint is strikingly large relative to the region.

Since 2001, the Milwaukee Brewers and American Family Field have generated an estimated $2.5 billion in net new economic output for Wisconsin from ticket sales, concessions, tourism, and game-day activity that wouldn’t have occurred without the team.

Each season, more than 344,000 fans stay overnight in Milwaukee for Brewers games, driving roughly half a million hotel room nights annually. Out-of-town fans spend up to 20x more per visit than locals, creating a powerful tourism engine for local hotels, restaurants, and bars, particularly during big matchups and weekend series.

The Brewers’ economic activity delivers meaningful returns to the public sector. Brewers-related activity supported about 3,000 jobs and generated $24 million in tax revenue for Wisconsin. Over 19 years, the state collected more than $263 million in taxes tied to the team. In 2022 alone, American Family Field supported over 1,100 union jobs spanning team employees, vendors, and other services​, a meaningful slice of the local workforce.

In America’s smallest baseball market, the Brewers deliver a big economic payoff, year after year.

Cincinnati Reds: Drawing Consumers to the City

A study by the University of Cincinnati’s Economics Center found that each season, the Reds generate about $253 million in economic activity in Greater Cincinnati, coming from direct spending by the team and fans. One striking aspect of the Reds’ economic impact is their ability to draw fans from well beyond the Cincinnati metro area. This study also found that between 55% and 60% of Reds attendees come from outside the city, drawing from across Ohio, Kentucky, and Indiana. In practical terms, this means well over 1 million out-of-town visitors attend Reds home games each year.

In 2024, the week of the Reds’ Opening day saw downtown hotel occupancy spike to 89%, a huge increase compared to the roughly 43% occupancy typical earlier that month. High-demand game weekends translate into packed hotels (and higher room revenues) as fans stay overnight.

During the five days around Opening Day 2024:

• Visitor spending overall jumped 9.2% above usual levels.​
• Restaurants near the ballpark saw a 24.3% increase in sales from visitors.
• Dining accounted for the largest share of visitors’ spending.
• Bars and nightlife venues enjoyed a 19.7% rise in revenue with the baseball crowds.
• Retail shops downtown saw business climb about 22% thanks to fan foot traffic before and after the game.

In short, Reds home games reliably funnel thousands of customers to local hotels, eateries, and stores, increasing revenue for the hospitality and retail sectors on those days.

A Home Run for Small Market Economies

It’s well-documented that MLB teams energize their local economy through substantial spending, job creation, and community engagement, and nowhere is that impact more concentrated than in small-market cities, where clubs account for a far higher share of local economic activity and jobs than their big-city counterparts.

Small-market clubs account for a far higher share of local economic activity and jobs than clubs in large cities. These baseball franchises are often among their city’s top tourism draws and downtown employers during the summer months. For example, the Pirates’ activities generate roughly 0.36% of their region’s GDP, while the Reds and Brewers constitute 0.1–0.2% of their metro areas. The share of local employment tied to these teams is roughly 0.3–0.5% of the workforce, much higher than in big markets. This contrast underscores that economic dependence on baseball is higher in smaller cities.

Small-market teams are not just sports franchises but economic drivers for their cities. Whether in Pittsburgh, Milwaukee, Cincinnati, or elsewhere, the local MLB club and its ecosystem of adjacent businesses power a meaningful portion of the region’s economic output and employment. They boost tax revenues, create thousands of seasonal and full-time jobs, and draw in tourism that benefits numerous sectors. This impact is measured in hundreds of millions of dollars and thousands of jobs. It’s vital to support these clubs because they in turn support the prosperity of entire regions, all across the U.S.. Keeping MLB in these cities is not just about tradition or fandom; it’s an investment in the economic and social prosperity of their communities.

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Sources

• SM Mirror: Economic Impact of a Major League Game
• The Record Online – Pirates, Phillies Economic Impact Reports: therecord-online.com
• MLB.com – Pirates Back Shapiro’s Plan to Revitalize Downtown: www.mlb.com
• ESPN – MLB Attendance: 2023, 2024
• Metropolitan Milwaukee Assoc. of Commerce – Economic Value of Miller Park (2020):​ mmac.org
• Wisconsin Public Radio – Miller Park $2.5B Impact Over 20 Years​: wpr.org
• WDIO ABC – Brewers staying in Milwaukee through 2043: wdio.com
• Cincinnati Business Courier – Reds’ $253M Annual Economic Impact, 3,900 Jobs:​ bizjournals.com
• Opening Day is a hallowed tradition in Cincinnati: bizjournals.com
• Economic & Fiscal Impact – Texas Rangers: pewtrusts.org 
• NYCEDC Projections – NY Yankees/Mets: edc.nyc 
• Economic Impact – Philadelphia Phillies: Ifo.state.pa.us