Hamartia Antidote
Elite Member
How Taylor Swift’s Eras Tour allowed Asia Pacific hotels to achieve their “wildest dreams”
Taylor Swift kicked off the second international leg of her wildly successful Eras Tour in early February, and Asia Pacific hoteliers were, in fact, “ready for it”. The seventeen-night leg gave a much-needed performance boost to Tokyo, Sydney, Melbourne, and Singapore hotels.
www.hospitalitynet.org
Taylor Swift kicked off the second international leg of her wildly successful Eras Tour in early February, and Asia Pacific hoteliers were, in fact, “ready for it”. The seventeen-night leg gave a much-needed performance boost to Tokyo, Sydney, Melbourne, and Singapore hotels.
The opening act
Swift announced the first set of Asia Pacific tour dates on 20 June 2023, but followed up one week later with additional nights across Sydney, Melbourne, and Singapore.
— Source: STR
Occupancy on the books for the concert nights started to climb almost immediately post-announcement, with optimistic fans “living for the hope of it all” and booking rooms a few weeks prior to ticket sales.
— Source: STR
Booking pace had a modest impact, if any, on actualized occupancy. Market size and total possible attendance played larger roles in determining actualized occupancy, although at seven percentage points, the variance between market occupancy wasn’t significant.
The main event
Year-over-year RevPAR growth spiked across all four markets on concert nights, driven primarily by ADR, as is common with large events.For these four high-demand markets, limited occupancy growth is an issue, caused by the 100% occupancy ceiling. Actualized occupancy over concert dates ranged from 83.8% over four nights in Tokyo to 90.8% across six nights in Singapore.
While Swift’s tour improved hotel performance across all markets, submarkets closest to the stadiums benefited most, with Marina Bay (+70%), Sydney West (+65%), and Tokyo East/Asakura/Ochanomizu/Ueno (+61%) reporting the strongest year-over-year RevPAR growth during the corresponding concert periods.
Melbourne varied slightly, in that Melbourne Centre, where the Melbourne Cricket Ground (MCG) is found, reported 118% RevPAR growth, just below Melbourne East’s 132% gain. In this case, price was a likely factor, as rooms in Melbourne East sold for 30% less than those in the city center.
Room cost was certainly a factor in concertgoer hotel selection: Tokyo East, the submarket closest to the Tokyo Dome, reported the highest occupancy (88.5%) and highest ADR growth (+55%) of all six submarkets, but the lowest actualized rate.
In their concert era
Global buzz surrounding the Eras Tour raised hoteliers’ hopes that Swift would fulfill their “wildest dreams”, as all four tour stops have contended with challenges to industry performance in recent months.Melbourne and Singapore reported both the largest year-over-year RevPAR growth for Eras Tour dates in APAC and the greatest variance between show nights and all other nights. Robust supply growth is the common denominator for these markets, as new openings have stifled KPI growth in recent months.
https://www.hospitalitynet.org/news/4121081.html#image_153167557
