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Taylor Swift is an economic phenomenon. And she’s about to hit Scotland – Alexandra Colalillo
If there is anyone who currently holds significant power over the global economy, it’s Taylor Swift. Since she embarked on the Eras Tour at the beginning of March last year, it’s become the highest grossing concert on record, generating more than $1 billion to date.
It’s unsurprising that the derivative term ‘Swiftonomics’ has been coined due to the icon’s ability to create major ripple effects across local and large-scale economies, promoting surges in demand for supporting hotel, retail, and hospitality industries.
If we take a look at the US, the tour has already contributed an estimated $5 billion to America’s economy and up to almost $10 billion when factoring in indirect spending by consumers who didn’t necessarily attend concerts, but joined in on parallel Swift festivities. A report by Barclays has estimated the Eras Tour will provide the UK economy with a £997 million boost. Scotland will undoubtedly witness its share of these positive ripple effects on growth with three sold-out concerts taking place at Murrayfield Stadium next month.
Edinburgh City Council recently approved an increased capacity of 72,990, from 67,144, so we are talking about almost 219,000 people descending from the UK and abroad who will be splashing cash around Edinburgh and the wider area. So if you’re a small business owner, there’s a chance to get a cut of Swift’s action.
We are already witnessing a surge in demand across Scotland’s accommodation industry from the ‘Swift Effect’, with hotels in Edinburgh pricing rooms at double the rate on the night of performances. Some hotels are even charging an exorbitant £600 a night or more. Not only will trade soar at surrounding pubs, restaurants and cafes, transport is also expected to receive an economic boost, with ScotRail adding additional services and carriages to accommodate demand across the concert period.
It’s not just Edinburgh that will receive these economic benefits. The tour is creating a second-hand boost to the short-term accommodation sector in neighbouring places, with many budget-conscious fans opting to stay in parts of the Lothians and Fife to avoid paying high city prices. More than 70 per cent of hotels in Glasgow are also booked during concert dates.
If Swift concert-goers are still willing to spend hundreds of pounds to attend the Eras Tour – on tickets, hotels,
hotels in Glasgow are also booked during concert dates.
If Swift concert-goers are still willing to spend hundreds of pounds to attend the Eras Tour – on tickets, hotels, merchandise and travel costs – it demonstrates the strength of the entertainment industry despite the cost-of-living crisis. According to the Office for National Statistics, 60 per cent of adults are spending less on non-essentials, yet many people are still happy to invest in tickets, accommodation and transport.
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