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The return of Guns N’ Roses to India comes at a time when several international stars have been holding shows in the country. The concerts are anticipated to give a boost to India’s economy. But how?
Guns N’ Roses’ India Tour: The general ticket sale will open to all fans on March 19, 2025, at 4 PM IST. (File photo)
Guns N’ Roses, the legendary rock band known for iconic hits like Sweet Child O’ Mine, November Rain, and Welcome to the Jungle, is all set to return to India after more than 12 years. While reports suggest that they will perform in multiple cities, including Bengaluru and Delhi, the preps for the concert in Mumbai have begun. The highly anticipated concert will be held at Mahalaxmi Racecourse on May 17, 2025.
The return of Guns N’ Roses to India comes at a time when several international stars have been holding shows in the country, including Coldplay and Canadian singer-songwriter Shawn Mendes. The concerts are anticipated to give a boost to India’s economy. But how?
“In a country which has such a rich heritage of music-dance, storytelling, where there is such a large pool of youth who are a huge consumer of concerts, there are many possibilities for the concert economy,” the PM said on January 28, noting the success of Coldplay concerts. He added that states and private sector should tap into the trend and build necessary infrastructure for the concert economy.
The concept of ‘concert economy’ is relatively new in India when compared with the US and UK, where such gigs-related travel and other activities account for 1-2% of their GDP.
What Is Concert Economy?
The concert economy refers to the growing financial ecosystem surrounding live music events such as concerts and gigs that generate revenue for several industries, including hospitality, travel and tourism, food, beverages, merchandise and event management.
With a significant shift from physical album sales to live performances, the concert economy is projected to reach $31 billion globally by 2026, driven by increasing demand for live experiences and the rise of music festivals, according to Mint.
In India, this sector is emerging robustly, with estimates suggesting a potential market value of Rs 6,000-Rs 8,000 crore as concerts and events stimulate local economies through spending on accommodations, food, and transportation, according to Moneycontrol report.
How Concerts Boost Economy
A concert not just boost ticket sales, but it leads to increased bookings in hotels, flights, and trains, higher food and drink sales, merchandise purchases, and employment generation in event management and security services.
The term ‘Swiftonomics’ was coined to describe the economic effect of Taylor Swift’s record-breaking world tour. The pop star’s concerts provided a major boost to local economies in the US, Europe, Singapore, and the UK. Reports suggest her tour generated over $4.6 billion in North America alone and added nearly $1 billion to the British economy.
The impact of such concerts is so huge that countries are making exclusive deals.
For example, Taylor Swift’s exclusive deal to perform only in Singapore during her Eras Tour sparked outrage among neighbouring countries. Officials in Thailand, Indonesia, and the Philippines criticised Singapore for securing the concerts with financial incentives, arguing it deprived them of tourism revenue. Thailand’s Prime Minister claimed Singapore paid millions per show to block other Southeast Asian stops, as per media reports, while Filipino lawmakers called the deal unfair.
In 2023, outdoor events, including concerts and related travel and tourism opportunities, accounted for 1.6% of the GDP or $448 billion in the US, as per a Moneycontrol report.
In the UK, outdoor events, other than conferences, accounted for 28 billion pounds or 1% of the GDP market, as per the UK Events Industry report.
India’s industry is still nascent. Analysis shows that the 2023 World Cup would have only provided a 0.1 percentage point boost to the GDP.
How Concert Economy Can Be A Boon For India
Outdoor or recreation activities are already finding many takers, data shows. Recreational services include spending on events other than movie theatres and sports coaching.
Tickets for Coldplay concerts, Diljit Dosanjh tours could have been one of the factors driving inflation in recreational services in December.
Data indicates that recreation service inflation, at 13.8%, reached its highest level in four years in December. Recreation inflation was 13.6% in November.
The Coldplay concerts in Mumbai and Ahmedabad in January drew a staggering 223,000 fans across both cities, with the Ahmedabad shows alone attracting over 134,000 attendees, making it the largest stadium concert in India to date.
The total revenue generated from Coldplay’s performances is estimated to be around Rs 133.2 crore, according to a report by Aaditya Bhure on LinkedIn.
Diljit Dosanjh’s Dil-Luminati Tour reportedly amassed around Rs 234 crore across multiple shows worldwide, according to an Economic Times report.
Bryan Adams’ concert series reportedly generated approximately Rs 30 crore.
Dua Lipa’s recent concerts also generated revenues around Rs 50 crore, a Business Today report mentioned. Dua Lipa’s concert in India, held on November 30, 2024, as part of the Zomato Feeding India initiative, generated significant revenue, although specific figures have not been disclosed.
These figures indicate a robust growth trajectory for the live events sector, which is projected to reach Rs 143 billion by 2026, a Mint report said.
A report by Ernst & Young, quoted by India Today, predicts that the number of large concerts, those with over 5,000 attendees, will cross 300 by 2025, marking a 50% increase from 2018. The revenue from concerts is also expected to reach Rs 1,000 crore, up 25% from current levels.
Global popstars like Ed Sheeran, Cigarettes After Sex, and Shawn Mendes are expected to perform in India this year, giving a major boost to the concert economy.
How These Sectors Will Benefit
Hospitality: With more gigs taking place in the country, hotels of the concert cities experience near-full occupancy, with increased bookings at premium rates. Food delivery services also see a rise in orders.
Tour And Travel: Flight bookings to concert locations have jumped as much as 350% for major events. Train bookings have also risen significantly. People who book tickets for the concert sometimes are also open to travelling around the city, thus, boosting tourism.
Employment: Large-scale concerts like these create job opportunities in event management, security and logistics.