The economic impact of Taylor Swift’s four-day concert series in Tokyo, which kicked off on Wednesday, is estimated to reach around ¥34.1 billion ($230 million), according to a report compiled by the Economic Impact Research Laboratory.
With tickets sold out for some 220,000 seats at the Tokyo Dome for her Asia run of The Eras Tour, the Grammy award-winning pop star is set to make a substantial impact on Japan’s economy. One key factor contributing to this impact is the ticket prices, with VIP lounge seats priced at ¥122,800, arena seats at ¥30,000, stage side seats at ¥14,800, and under-20 tickets at ¥8,800. Ticket sales alone are expected to generate ¥5.4 billion.
Comparing this to Swift’s last performance in Japan in 2018, non-VIP ticket prices ranged between ¥9,800 and ¥14,800, with arena seats priced at ¥12,800 — less than half of those for The Eras Tour.
Mitsumasa Etoh, the head of the Economic Impact Research Laboratory, notes that ¥30,000 for arena seats is quite expensive, even compared to other major acts. He explains that while concerts for foreign artists in Japan are usually arranged by domestic promoters who price tickets based on market averages, The Eras Tour is organized by an American company, which may not be restricted by local expectations.
Another factor contributing to the high economic impact is that the show is being held only in Tokyo, requiring fans to travel from around the nation. The report estimates that fans will spend around ¥800 million on transportation and ¥1 billion on accommodation.
The economic ripple effect of an average concertgoer is estimated to be ¥155,090, which is notably high for a solo artist’s music event in Japan.
Swift’s tour is estimated to have over 1.5 times the economic impact of major music festivals such as Fuji Rock in 2019. The research institution estimated an economic effect of around ¥23 billion for Fuji Rock, which took place over three days and involved over 100 artists.
However, the estimate for Swift’s tour only accounts for domestic concertgoers and does not include foreign tourists visiting Japan for the show. With significant international fan interest from neighboring countries, the actual economic impact could be even higher.
Swift’s recent win of her fourth Album of the Year accolade at the Grammy Awards is expected to further boost merchandise sales, which are currently estimated at around ¥3.4 billion. Etoh predicts that this figure will likely increase following her win.
The economic impact of Swift’s tour has also been significant in the United States, boosting the country’s gross domestic product in 2023 and leading to the term “Swiftonomics.”
(Source: Japan Times | Arab News)
