Ads
The end of an era: Taylor Swift concert tour has a significant impact on the US economy
Taylor Swift, the pop diva, is set to wrap up her massively successful “The Eras Tour” this weekend with a final performance at BC Place Stadium in Vancouver. This tour, which has seen Swift perform 152 shows in 51 locations, has officially made her a billionaire and has left a lasting impact on the global economy.
The success of the “Eras Tour” cannot be understated, as it has grossed a staggering $2.2 billion, making it the highest-grossing tour in history. This tour has not only solidified Swift’s status as a corporate giant but has also had a significant impact on various sectors of the economy.
According to the US Travel Association, concertgoers spent an average of $1,300 on travel, accommodation, meals, and merchandise during the tour, which is comparable to the spending of fans attending the Super Bowl. This level of spending is a testament to the immense popularity and influence of Taylor Swift.
Research conducted by Question Pro estimates that fans of Taylor Swift, also known as Swifties, spent a total of $5 billion in the US during the tour. The indirect expenditures and purchases by non-ticket holders are also estimated to be significant, with the US Travel Association suggesting that these expenditures could approach $10 billion.
The impact of what has been dubbed as “Swiftnomics” has been particularly notable in the post-pandemic recovery of various economies. Researchers have referred to the “Taylor Swift Effect” as a “hospitality phenomenon,” with tourist destinations experiencing a boost in traffic and increased occupancy rates due to Swift’s concerts.
Cities and towns that hosted multiple tour dates saw a significant increase in local revenue, with fans staying longer and spending more money in these areas. The California Center for Jobs & the Economy noted that Swift’s concerts had a major revitalizing effect on local tourism industries and downtown areas that were still struggling from the pandemic.
For example, hotels in Pittsburgh experienced their second-highest weekend occupancy in history after hosting two of Swift’s concerts. The average daily lodging rate soared to $309, and the city benefited from $46 million in direct spending from non-local residents.
In Los Angeles, the impact of Swift’s six-night concert run was even more pronounced. The California Center for Jobs & the Economy calculated that the concerts created 3,300 jobs and generated $160 million in revenue for the city. Before Swift’s tour arrived in LA, hotel jobs were down by 15% compared to pre-pandemic levels. The influx of concertgoers led to $20 million in sales and local taxes, as well as $9 million in hotel room taxes, with the US Travel Association estimating that Los Angeles County would benefit from a total of $320 million in economic impact.
Additionally, ride-hailing startups such as Lyft saw a significant increase in business in cities where Swift performed. Lyft reported an 8.2% increase in rides in concert locales and a 31% increase in New Orleans, showcasing the positive effects of Swift’s tour on local businesses.
The New Orleans Downtown Development District estimated that 80-90% of concert attendees in the city were tourists, highlighting the importance of events like Swift’s concerts in driving tourism. Greater New Orleans, Inc. projected that the economic impact of the concerts would reach $200 million, not including the additional revenue generated by restaurants, hotels, and other tourism-related businesses.
In conclusion, the “Eras Tour” by Taylor Swift has not only been a massive success in terms of revenue and fan engagement but has also had a tangible and positive impact on the economies of various cities and regions. The “Taylor Swift Effect” will undoubtedly be felt for years to come, as businesses and communities continue to benefit from the lasting legacy of this iconic tour.
