Taylor Swift’s Eras Tour Economic Impact: Toronto and Vancouver…Are You Ready for It?

Without a doubt, Taylor Swift’s Eras Tour has become the highest-grossing concert tour in history and the first tour to gross over USD 1.0 billion in revenue. By the end of 2024, the tour is expected to gross almost USD 2.2 billion worldwide and generate close to USD 5.0 billion in consumer spending in the United States, according to Pollstar.

A boost to local economy

The tour has been credited with boosting the local economies of cities where concerts have been held as fans spend outsized amounts on tickets, accommodations, food, travel, and merchandise. A typical live performance is estimated to generate USD 300 per person in ancillary local spending on food, transportation, and accommodations; however, “Swifties” have been estimated to spend between USD 1,300 and USD 1,500 per show.

Unprecedented value

Morningstar DBRS believes that the absolute value of the tour’s impact on Toronto and Vancouver will be unprecedented, but the overall impact will be very minimal relative to the size of these economies and will not result in any credit impact.

Key Highlights:

The Eras Tour is the highest-grossing concert tour in history, generating revenue for local economies.

• Tourism accounts for a small percentage of a municipality’s GDP, coming in around 1% in Toronto and 4% in Vancouver in 2023.

• The tour will likely provide only a modest short-term economic boost to Toronto and Vancouver.

SOURCE Morningstar DMRS

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