24-6-2023 (SINGAPORE) Singapore is experiencing a revival in its concert tourism industry, with international music acts such as Coldplay, Taylor Swift, and Blackpink drawing regional audiences to the city-state. The concerts are expected to generate revenue from accommodation, entertainment, and food and beverages. Coldplay’s January 2024 show is anticipated to sell out hotel rooms to accommodate overseas fans, according to digital travel platform Agoda, which reported an “8.7 times search increase for accommodations in Singapore during Coldplay’s concert series”.
Concert tourism refers to people travelling to attend a concert, music show, or festival and has become a lucrative industry over the years. While concert tourism is expected to bring revenue to Singapore, economists and marketing experts caution against overemphasizing its impact. Associate Professor in Practice Terence Ho from the National University of Singapore’s Lee Kuan Yew School of Public Policy says that the direct boost to Singapore’s gross domestic product might not be massive because of its diverse economy. However, concert tourism can play an important role in branding for local banks and businesses.
Dr Seshan Ramaswami, associate professor of marketing education at the Singapore Management University, says that the staging of concerts by Coldplay and Taylor Swift will expand the demographic reach of Singapore cultural tourism to young music fans from all over Asia and perhaps even the Middle East. Concert tourism will likely generate revenue for years to come, adds Professor Ho.
Singapore is an attractive destination for organisers of such events, with the financial and organisational success of these concerts spurring other worldwide concert tour organisers to consider Singapore in future tours, says Dr Ramaswami. Concert tourism can add vibrancy to Singapore as a global city, which plays a part in attracting and retaining global talent and reinforcing national marketing efforts, says Professor Ho.
Concert tourism can also benefit Singapore and its economy in other ways, such as through branding for local banks and businesses. Although such sponsorship provides a temporary boost in new accounts, it requires sustained effort to remain relevant and sustainable, Dr Ramaswami warns. Concert tourism differs from regular events such as Formula One, as the former has more mass appeal and draws a wider range of audiences, while the latter tends to attract an older and more affluent crowd.
While concerts are important to Singapore’s portfolio of events as they give people something to look forward to, variety is also essential, says Professor Ho. However, economists caution against overemphasizing the impact of the concert tourism phenomenon. In the grand scheme of things, it might be a mere blip, says OCBC Bank chief economist Selena Ling. Nonetheless, the excitement surrounding such events can benefit Singapore and its economy in other ways, such as attracting and retaining global talent and reinforcing national marketing efforts.
