Taylor Swift fans have left no room for doubt about their enthusiasm for the upcoming UK leg of her Eras tour next summer. Hotels operated by the budget hotel chain Travelodge have reported a complete sell-out of their rooms near several concert venues.
This remarkable surge in demand is expected to boost the hospitality industry significantly.
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Travelodge announced that all its hotels in Edinburgh, Liverpool, and Cardiff have been completely booked out for the days surrounding the June 2024 concerts.
A number of hotels near London’s Wembley Stadium, where Taylor Swift is scheduled to perform on six nights in June and August, have also reached full occupancy during those dates.
Eras tour poised to make music history
The excitement around Taylor Swift’s Eras tour has reached unprecedented levels, with fans from all corners of the UK willing to travel extensive distances to attend what is anticipated to be the highest-grossing concert series ever.
According to industry analysts cited by Time magazine, the Eras tour is projected to rake in $2.2bn in North American ticket sales alone, surpassing Elton John’s record of $939 million from his The Farewell Yellow Brick Road tour.
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By GlobalDataKate Nicholls, the CEO of UK Hospitality, noted that domestic tourism, particularly events like Swift’s concert, is proving to be a bright spot for an industry that has faced three challenging years.
The surge in demand for Taylor Swift’s UK tour is expected to translate into increased demand for hotels, as well as boost visits to pubs, bars, and restaurants in cities hosting the tour. Nicholls emphasised the significance of the music and nightlife scene for the UK’s tourism and hospitality industry.
This remarkable demand for hotel rooms near concert venues echoes similar situations seen with other global megastars, such as Beyoncé, whose world tour caused a surprising increase in inflation in Sweden.
Beyoncé’s tour sparks inflation and hotel sell-outs
Beyoncé’s Renaissance world tour began with a concert in Stockholm in May, contributing to an unexpected spike in inflation in Sweden.
Michael Grahn, chief economist for Sweden at Danske Bank, indicated that Beyoncé’s tour likely accounted for 0.2 of the 0.3 percentage points added to inflation, primarily due to increased hotel and restaurant prices.
Tens of thousands of fans descended on Stockholm in mid-May for the opening concerts of Beyoncé’s first solo tour in seven years. Estimates put the crowd at each concert at 46,000, with some fans unable to secure lodging in the capital due to fully booked hotels.
Travelodge, which operates extensively across the UK, experienced similar hotel sell outs during Beyoncé’s five performances at Tottenham Hotspur stadium.
However, this led to criticism when the company moved homeless families out of its Enfield hotel near the stadium to accommodate pre-booked Beyoncé fans.
Travelodge reports impressive financial results
Despite such controversies, Travelodge reported remarkable financial results. In the six months leading to the end of June, the company recorded a 48% increase in adjusted profits to £104.5m compared to the same period in 2022. Revenue also surged by 22% to £479m.
Revenue per available room, a key performance metric for hotel firms, increased by 21% to £54.92.
The success was attributed not only to high-demand events like the Six Nations rugby matches, the Grand National, and the London Marathon but also to leisure guests using Travelodge as a base for social gatherings and various sports and music events.
Looking ahead, Travelodge sees significant growth opportunities, with plans to expand its hotel operations both in the UK and Spain, identifying more than 300 potential new hotel sites across these regions.
