The Federal Reserve says Taylor Swift's Eras Tour boosted the economy
BY CAITLIN O’KANE, CBS NEWS
Original Article Published by CBS News
The Federal Reserve Bank of Philadelphia announced this month that Taylor Swift's tour helped boost travel and tourism in the region, a claim also made by several other U.S. cities regarding the musician's widely popular concerts.
Market research firm QuestionPro estimated last month that her tour could help add $5 billion to the worldwide economy.
Following the pop star's Eras Tour stop in Philadelphia in May, the Federal Reserve Bank of Philadelphia, one of the reserve's 12 regional banks, said in its "Beige Book" that tourism in the area continued to show slight growth.
"Despite the slowing recovery in tourism in the region overall, one contact highlighted that May was the strongest month for hotel revenue in Philadelphia since the onset of the pandemic, in large part due to an influx of guests for the Taylor Swift concerts in the city," the reserve wrote in the Beige Book, which is published by the regional banks to share information about the state of the economy.
Chicago's tourism and conventions bureau announced last month the city set a record for occupied hotel rooms, thanks in part to Taylor Swift's three sold-out nights of concerts at Soldier Field. An annual American Society of Clinical Oncology meeting was also being held in the city, as well as the James Beard Awards and other events.
With the COVID-19 pandemic over, events appear to be attracting guests and raking in money at or above pre-pandemic levels. Illinois Gov. J.B. Pritzker said hotel revenue figures for 2023 have already reached $308 million, surpassing pre-pandemic levels.
Cincinatti saw a boost when Swift was in town.
"Taylor Swift is a force to be reckoned with," Julie Calvert, president and CEO of Visit Cincy, told WKRC. "The economic impact Swift creates is staggering, as fans travel from far and wide to attend her concerts, filling hotels, restaurants, and local attractions. Swift's influence on tourism is a testament to her ability to captivate audiences and drive economic growth."
The weekend Swift performed, downtown Cincinnati hotels grossed $2.6 million, according to the local CBS affiliate
Santiago Corrada, CEO of Visit Tampa Bay, told WTOG, a CBS affiliate, that Swift's concerts had a "huge impact."
"I would say on the hotel side of things, pretty similar to a Super Bowl," Corrada said.
The Eras Tour has grossed more than $300 million so far according to PollStar, a trade publication for the live music industry. More than 1.1 million tickets have been sold at an average price of $253.
In a survey of 596 people, QuestionPro found that Swift concertgoers spent an average of $1,300 per show on expenses like tickets, outfits, travel and food — which was an average of $720 higher than their intended budget.
Still, 71% said it was worth it, and 91% said they'd go again.
An influx of Beyoncé fans for two May shows in Stockholm, Sweden, also made an economic impact there. Hotel prices skyrocketed and inflation was bumped up 0.2% that month, Danske Bank Chief Economist Michael Grahn told the Financial Times, describing her impact on the economy as "very rare."
"Beyoncé is responsible for the extra upside surprise this month," Grahn told the Financial Times. "It's quite astonishing for a single event. We haven't seen this before."
Forbes projected that Beyonce's Renaissance Tour could gross $2 billion, while Swift's Eras Tour could gross $1.6 billion.
