The Eurovision Song Contest, often simply called Eurovision, is one of the longest running and most popular television music competitions in the world. First held in 1956, it has been broadcast annually every year since, bringing together musicians from across Europe and beyond to compete for the coveted title of Eurovision winner. But an event of this scale does not come without significant costs attached. From venue fees to production budgets, hosting Eurovision requires a hefty financial investment from the host country and broadcasters involved. This article will break down the key expenses associated with putting on the Eurovision Song Contest each year.
Host city and venue costs
One of the biggest costs associated with Eurovision is selecting and preparing a suitable host city and venue. As one of the most watched non-sporting TV events in the world, with close to 200 million viewers tuning in, the host arena needs appropriate capacity and facilities for an event of this magnitude. Most recent Eurovision venues have had capacities of around 10,000-18,000 spectators. Host cities typically choose a venue such as a concert hall or indoor arena. The selected host venue must have a substantial main stage and green room facilities for delegations from each country. There also needs to be space for offices, dressing rooms, press centres and hospitality zones.
Renting out an arena or venue of this size does not come cheaply. For example, renting the 18,000 capacity Expo Tel Aviv in Israel to host Eurovision 2019 cost around €1.5 million alone. On top of the base rental expenses, additional costs may be required to upgrade audiovisual systems, staging, lighting and other production facilities to meet Eurovision’s technical requirements. The venue may also need temporary modifications to accommodate the press centre and other additional infrastructure.
Host city costs
Aside from the venue expenses, host cities also take on substantial costs linked to hosting Eurovision as a high-profile international event. Host cities are responsible for providing accommodation for delegations from around 40 participating countries, numbering several hundred people in total. Many cities invest in boosting tourism infrastructure in preparation for the large influx of fans attending Eurovision week events. A significant police and security presence is required in the host city during Eurovision, which comes at a high cost. Transport upgrades may be needed to cope with increased demand during the week. Promotion and marketing campaigns are launched to advertise the host city to the global television audience. All of these associated costs for the host city government and local partners can amount to millions of euros.
Venue construction and modifications
In some cases, existing venues may not meet Eurovision’s specific staging and production requirements. Purpose-built temporary venues have been constructed to host Eurovision in the past, though this option is highly expensive. The construction cost of building an entirely new custom arena just for Eurovision could be upwards of €20 million.
More moderate venue construction budgets have been implemented by host cities like Lisbon and Rotterdam in recent years. In 2018, Lisbon renovated and expanded its existing Altice Arena at a cost of around €8 million ahead of Eurovision. Similarly, Rotterdam’s Ahoy Arena underwent an €8 million overhaul for Eurovision 2020 before the event’s cancellation. Upgrading existing venues still requires seven-figure construction and renovation budgets.
Set design and stage costs
A key part of the Eurovision experience is the intricate stage design that acts perform on. The set design typically ties into creative themes and visual concepts decided by the host broadcaster. Recent Eurovision stages have become increasingly complex, incorporating LED screens, dynamic lighting, pyrotechnics and moving elements.
The cost of designing and constructing the Eurovision stage set runs into the millions. For example, Ukraine’s public broadcaster UA:PBC spent around €2.7 million creating the stage and green room for their last time hosting Eurovision in 2017. Swedish broadcaster SVT had a budget of over €3 million to develop Stockholm’s 2016 Eurovision stage set and hall decorations featuring advanced projection mapping technology.
These amounts do not even cover the fees for stage designers and production crew. Additional set construction labor costs can add several hundred thousand euros more to the tally. Stage assembly and rehearsals take several weeks, further adding to costs through rental fees and crew wages during this period. In total, the stage set alone can amount to €5 million or more when all expenses are included.
Lighting and video
Modern Eurovision stages are filled with state-of-the-art lighting and LED screens to add visual spectacle and effects. Hundreds of moving lights and other fixtures may be installed, requiring huge lighting desks and control systems to operate them. Video mapping, 3D projections and other digital effects have also become common in recent years.
The technical cost of renting, installing, programming and operating all of this lighting, LED, video and projection equipment can run into the millions. Ukraine reportedly spent over €1 million on lighting alone for the 2017 contest in Kyiv. Hundreds of skilled professionals are required to run these systems for the live shows, earning wages that add substantially to the bottom line over the duration of Eurovision week events and rehearsals.
Broadcasting and production
Producing the Eurovision Song Contest TV broadcast itself incurs enormous production costs for the host broadcaster. A construction team must build a temporary control room facility within the venue to manage the multi-camera broadcast in high definition. This requires millions of euros worth of professional video and audio equipment to capture the performances, interviews and contest proceedings.
In 2021, host broadcaster Dutch public media invested €17.5 million in hardware, facilities and other expenses to produce Eurovision from Rotterdam. Hundreds of skilled technical staff are employed to operate cameras, lighting, microphones, editing systems and other broadcasting equipment over the weeks of rehearsals and live shows. Technical failures can cause major problems for live broadcast, so redundancy and contingencies add to the costs.
The cost of broadcasting rights and satellite distribution to transmit Eurovision to over 40 participating countries and beyond also runs into the millions for the production company. Altogether, the cost of producing the contest’s television broadcast reaches €20-25 million each year and accounts for the largest portion of the overall budget.
Creative, visual design and branding
The Eurovision Song Contest has detailed creative direction and branding put together each year by the host broadcaster. Creative teams designing video content, idents, titles and graphics require substantial work and investment. Developing the overall visual identity and look involves logo design, art direction, photo shoots and more.
Recent years have seen extensive use of augmented reality graphics and virtual set extensions that augment the on-stage performance. Creating these virtual effects involves specialized teams and software tools that do not come cheaply.
In total, the creative aspects of branding, graphic design, visuals and special effects can amount to several million in expenses annually. This ensures Eurovision maintains its reputation for innovative and captivating production design year after year.
Participant costs
Participating countries also face substantial costs related to Eurovision entry, though these are not covered by the host broadcaster’s budget. Each country’s artist and delegation has to finance their own travel and accommodation in the host city for several weeks of rehearsals and events leading up to the live shows. Delegations typically consist of over a dozen team members when including stylists, backup performers, press officers and more. With dozens of delegations in attendance, accommodating them is no small expense.
Artists also face expenses related to producing their song entry and performance. Hiring songwriters, choreographers, costume designers and production support can cost tens of thousands to fund a competitive Eurovision act and stage show. Countries take their Eurovision entry seriously, with some spending hundreds of thousands on their bid for victory.
Entry fees
Countries must pay a participation fee to enter Eurovision each year. As of 2022, this entry fee was set at €120,000 per country. On top of that, countries must pay an additional €48,000 broadcast fee toward the transmission costs of the live broadcast. With around 40 participating countries, entry fees alone amount to over €5 million in revenue for the European Broadcasting Union. This helps offset some of the substantial production costs undertaken by the host broadcaster.
Security and personell
Running Eurovision requires huge operational teams covering everything from security to catering. Thousands of staff members work throughout Eurovision week across positions such as venue crew, technicians, logistics, media, hospitality, and more. Venue security is particularly extensive, with recent contests deploying police and private security teams of over 1,000 personnel due to the high terrorism risk of public events in Europe. Catering for thousands of crew, participants, press and spectators through Eurovision week also incurs significant expense.
Between security, hospitality, operations, production and technical crew, overall staffing and personnel costs can run over €10 million given the massive scale of the production. Nearly all staff must be accommodated with meals, transport and in some cases housing for the full duration of their work, further increasing costs. Strict security vetting and training is required for all workers given the risks and visibility of the event.
Transportation
Transport logistics for Eurovision are complex, with daily transfers required for dozens of delegations between their hotels, the venue and other event facilities. Shuttles, coaches and cars must be rented or contracted to provide participant transport each day. Host cities often provide complimentary public transport access for all accredited Eurovision attendees.
Shipping in vast quantities of equipment and stage materials is another major cost. Host cities located far from transport hubs typically incur greater logistics expenses for Eurovision. All things considered, transportation budgets can readily exceed €1 million based on past contests.
Conclusion
In summary, hosting the Eurovision Song Contest comes with an enormous price tag. Between venue costs, stage and production expenses, personnel, security and other operational needs, budgets routinely run over €30 million annually. The table below summarizes the key costs involved.
Cost item | Estimated cost |
---|---|
Venue rental and upgrades | €5-10 million |
Set design and construction | €5+ million |
Lighting, video, tech | €3-5 million |
TV production | €20-25 million |
Creative design | €2-3 million |
Security and personnel | €10+ million |
Host city costs | €5+ million |
Transportation | €1+ million |
Total cost | €50+ million |
Cities and countries see hosting Eurovision as a valuable opportunity for publicity on the global stage, despite the massive costs involved. With viewing figures in the hundreds of millions, many consider Eurovision’s substantial budget a worthwhile investment. The costs are shared between local organising partners, bringing the price down for any single stakeholder.
Ultimately the high price tag ensures each Eurovision maintains extremely high production standards. It allows state-of-the-art staging, spectacular visuals and professional operations across a week-long intense live event schedule. The result is an immersive spectacle of music and entertainment enjoyed both by the live audience and viewers at home. Given Eurovision’s strong cultural impact and viewership over 65 years, organisers seem happy to foot the bill for these mounting expenses each year.