Taylor Swift’s six shows estimated to boost Singapore’s economy by up to S$500 million

POP star Taylor Swift’s six concerts in March could boost Singapore’s economy by up to S$500 million in tourism receipts, according to economists’ estimates.

“Assuming that the majority of concertgoers are flying in from other parts of Asia, the tourism receipts related to Taylor Swift’s tour can come in at S$350 million to S$500 million,” said Erica Tay, director of macroeconomic research at Maybank.

DBS economist Chua Han Teng had a similar estimate of S$300 million to S$400 million in revenue, or an estimated 0.2 per cent of Singapore’s first-quarter gross domestic product.

“We expect Taylor Swift’s six-night concerts in March 2024 to benefit Singapore’s hospitality, food and beverage, and retail activities.

“These would be mainly supported by higher foreign tourist spending, with a large number of overseas fans attending the Singapore concerts,” said Chua.

The Singapore leg of Swift’s The Eras Tour kicks off at the National Stadium on Mar 2, with a total of six sold-out shows amounting to over 300,000 tickets sold.

Singapore is Swift’s only stop in South-east Asia – not necessarily just because the Republic was the lucky one. Last week, Thailand’s Prime Minister Srettha Thavisin said Swift had been offered US$2 million to US$3 million per show to make Singapore her only regional stop.

On Feb 20, the Singapore Tourism Board (STB) and the Ministry of Community, Culture and Youth (MCCY) confirmed that a grant was provided to help bring the tour here. 

Asked about the value of the grant and whether it had the condition of regional exclusivity, STB and MCCY declined to comment, citing business confidentiality.

“(The tour) is likely to generate significant benefits to the Singapore economy, especially to tourism activities such as hospitality, retail, travel and dining, as has happened in other cities in which Taylor Swift has performed,” the two authorities said.

The singer’s 53 concerts may have added US$4.3 billion to US GDP last year, according to a Bloomberg report. In Japan – her only other stop in Asia – The Eras Tour contributed an estimated 34 billion yen (S$309 million) to GDP.

Higher hotel demand

Last July, activity-booking platform Klook and the tour’s official presenting partner Marina Bay Sands (MBS) launched ticket and accommodation packages. Klook’s offerings, which ranged from S$542 to S$4,977 with over 40 participating hotels, sold out within six hours.

The MBS packages – with three pricing tiers of S$10,000, S$15,000 and S$50,000 – received a “tremendously strong” response and have also sold out, said an MBS spokesperson.

Overseas visitors accounted for 90 per cent of those who bought the MBS packages, which include VIP tickets, accommodation, transportation and dining.

Separately, banking on demand from overseas fans, The Fullerton Hotel Singapore is offering “Swift Sojourn” packages including accommodation, transportation and dining – but not tickets.

For the concert period, the hotel has seen more bookings from guests from the Asia-Pacific region, particularly from Hong Kong and the Philippines, said country general manager of The Fullerton Hotels and Resorts Gino Tan.

The Philippines was also the top country of origin for buyers of Klook’s ticket packages.

Though the Swift Sojourn packages have yet to sell out, room rates are more than 10 per cent higher at both The Fullerton Hotel Singapore and The Fullerton Bay Hotel Singapore for The Eras Tour concert dates, compared to the same dates in 2023.

The Fullerton Bay Hotel Singapore is also offering a “TS We Love You” dining menu in March, with dishes and cocktails inspired by her songs, as well as a S$1,989++ “1989” table package – named after one of her albums – for groups of up to six, including bottles of champagne, vodka, cocktails and food.

Sofitel Singapore City Centre, a 10-minute drive from the National Stadium, has seen a slight increase in occupancy in the first two weeks of March compared to last year, said general manager Jacqueline Poey.

While the full effects of Swift’s concerts are yet to be seen, the hotel remains “optimistic” as its branches overseas have benefited from Swift’s performances there, she added.

Alvin Liew, senior economist at UOB, said: “Beyond hospitality, the industries that may stand to benefit include air travel, transport and logistics, and food and beverage. There is also the intangible benefit of showcasing Singapore as a premier location for music tourism.”

Boosting Singapore’s reputation

Beyond the direct one-off impact of these six shows, Swift’s tour could provide a longer-lasting boost to Singapore’s reputation, said Maybank’s Tay.

Citing instances of celebrities enjoying themselves offstage on tour, from Ed Sheeran making teh tarik at Arab Street in Singapore to Taylor Swift going to the Sydney Zoo, Tay said: “This will generate more sustained and widespread economic value for the host countries. It outweighs the one-off boost from the actual concerts.”

“The real prize is the value of Taylor Swift’s endorsement of Singapore as the place to visit,” she added.

“Given her outsized cultural influence, if she is seen taking in the sights and pronouncing Singapore ‘cool’, this will benefit the economy for years to come. If she takes a bite of chicken rice and says it’s good, chances are, that stall is made for life.”