Taylor Swift’s Concerts to Boost Madrid’s Economy by Over 25 Million Euros

This event is not just a musical spectacle; it is expected to provide a significant economic boost for both Madrid and Spain.

At Hellotickets we made the calculations and estimates based on our extensive experience in traveller behaviour, complemented by research and statistics from official online sources.

Our methodology involved analysing average tourist spending patterns, reviewing historical data on concert tourism and consulting industry reports and local government statistics.

The new Santiago Bernabeu stadium has a capacity of ±65,000 for concert celebrations.

• Around 130,000 fans will attend the concerts over the two nights.
• 50-70% will be locals.
• Thus, between 52,000 and 65,000 people will visit the capital from other areas.

The average stay of visitors in the capital is 2 nights.

Here is how these concerts will impact on various industries, generating millions, helping the local and national economy.

The hospitality boom

The hospitality industry will be one of the big winners during the Taylor Swift concert weekend. With an influx of 52,000 to 65,000 tourists, hotels and other accommodations are expected to operate at full capacity.

On average, these visitors are likely to stay two nights, spending between €150 and €300 per night, depending on the type of accommodation. This translates into an estimated €15.6 million to €19.5 million in revenue for hotels alone.

A mid-range hotel with a €150 per night rate could see its usual occupancy rates double or triple, leading to a 200% to 300% increase in revenue compared to a typical weekend.

Airbnb hosts will also benefit, as many will be able to charge higher rates due to high demand.

Food and entertainment

Madrid's vibrant food and beverage industry will see a significant increase.

Tourists are expected to spend around €34 per day on food, which will generate additional revenues of €3.5 million to €4.4 million for restaurants and cafés during the concert weekend.

Trade and souvenirs: a shopper's paradise

Shops, especially those selling souvenirs, will see a significant increase in sales.

It is estimated that 20% of concert-goers, or 26,000 tourists, will spend an average of €75 each on souvenirs and gifts, injecting €1.95 million into the local economy.

This represents a massive increase compared to regular sales, with souvenir shops in central Madrid potentially earning 4-5 times more than on a normal weekend.

Transport: moving the masses

The transport sector will also benefit significantly.

Increased use of public transport, taxis and ridesharing services will be evident as tourists move around the city.

On average, visitors will spend around €19 per day on transport, generating additional revenue of €2 million to €2.5 million over the weekend.

Both local public transport authorities and private operators will see an increase in revenue, reflecting the overall economic boost.

Economic impact on local government

The financial benefit extends to local and national government coffers. Through VAT and income taxes, Madrid's local government and Spain's national government will benefit significantly.

With total estimated tourist spending ranging from €25 million to €31.3 million, VAT alone could generate between €5.25 million and €6.57 million.

In addition, corporate income taxes derived from the increased profits could add another €625,300 to €781,625, bringing the total increase in tax revenue to between €5.88 million and €7.35 million.

While the immediate beneficiaries of the concerts are clear, the ripple effect extends even further. Tourist attractions such as the Prado Museum and the Royal Palace will have more visitors, local tour operators will enjoy higher bookings, and even small businesses such as pharmacies and local shops will feel the positive impact.

Taylor Swift's concerts at the Bernabéu are set to be a monumental event for Madrid and Spain, not only culturally but also economically.

From hotels and restaurants to retail shops and transport services, almost every sector will feel the positive effects of this massive influx of tourists.

This weekend will highlight how large-scale events can serve as powerful economic catalysts, driving growth and prosperity across multiple industries.

The economic impact of the Taylor Swift concerts in Madrid can be summarised by the significant increase in spending across multiple sectors:

• Total tourist spending: €25 million to €31.3 million.
• Accommodation: €15.6 million to €19.5 million.
• Food and beverages: €3.5 million to €4.4 million.
• Trade and souvenirs: €1.95 million.
• Transport: €2 million to €2.5 million.
• Government tax revenue: €5.88 million to €7.35 million.

These figures highlight how a single event can inject tens of millions of euros into the local economy, benefiting businesses, workers and public services.