Canada getting ready for Taylor Swift and more ...

A recent study evaluated that the #ErasTour of Taylor Swift generated an astonishing $5.7 billion in economic impact for US last year. Out of this, Swift's fans contributed an estimated $208 million to US hotel revenues. Economists concluded that in Singapore the concerts added around US$225 million or 0.2 percentage points of GDP. These are big numbers and definitely considered as a great opportunity area by any country/market.

Good news for the hotels in Canada and Hotel Association of Canada as Taylor Swift annouced addition of dates for her Canada leg in 2024 and then extended #ErasTour through end of 2024 (Toronto and Vancouver).

And now we have EVANESCENCE announcing the dates for their October 2024 Canadian Tour With HALESTORM.

Here are some interesting and key facts about the importance of live events in Canada:

• Seven in ten Canadian (68%) a performing arts event or an artistic or cultural festival in 2016. This attendance rate is high across all demographic groups.

• Seven in ten (69%) Canadians consider arts and cultural events to be either very (27%) or moderately important (42%) to their own and their family’s quality of life.

• Three in four Canadians (75%) attended a performing arts performance by professional artists

• 79% of Canadians say they would miss it if there were no live, professional performing arts available in their community (21% to a moderate extent and 58% to a high extent).

These facts are data driven and extensively reserached and supported by CAPACOA so feel free to check out their website and get more insights.

The overall ecomonic impact of events in Canada is huge as well. The live performance domain contributed $3.6 billion to the Canadian GDP in 2023. And a big share of this number is actually attributed to the consumer spending in Accommodation and Restaurants.

But how do we ensure that as hotels, we are ready to make the most of these events. It requires extensive planning, research and sometimes risk taking ability as well. And most importantly the Art & Science of #RevenueManagement will play a decisive role in how the hotels are able to maximize the most from these big events in Q4 and are able to deliver the optimized net profitability for thier owners.

Here are some things to begin with as part of the check list

1. Start monitoring demand - if you are in the vicinity of the venue, you will get the direct demand. If you are on the outskirts, chances are that you will still get the demand spillover. Update your RM Software/Systems with the right information as part of Events and Impact. The system will monitor this and optimize rates based on the information provided.

2. Review your pricing - This is not the time to decide based on your competitive set. If you have taken the lead to crunch data, it's time to make some bold decisions.

3. Packages that connect - You might want to use the keywords as part of the package name to optimize on SEO. Make it attractive enough for people to buy. Discuss and think about adding tickets to the package if that is an option (sometimes you might not have the reseller rights so be careful). Also remember to update your hotel content to talk about the proximity to venue and concert name.

4. Flexibility - Should I or Should I not? You can always have flexibility but ensure that it does not leave your rooms empty. It's still early times, so if you get a cancellation a month before the concert, you still have opportunity to sell.

5. Campaigns and Social Media Marketing - The natural demand will come, but there is no harm in having some fun and showcasing your hotel as the best option for the fans to book. Understand the ideal age group of the fans and try to connect accordingly.

6. Segmentation - Fans are great and will bring in transient business. Think about connecting with organizers to see if any media/back end crew can be accommodated at your hotel. This will give you a better length of stay and revenue opportunity.

7. Ready for the after effects - Post the concert, you might have a big drop in demand. Work with your sales teams to see how we can incentivize groups to come a day after the event so that you don't have a valley between your busy periods.

8. F&B - Fans attending these events love to spend on Food and Beverage and have a good time. They are out for a memorable moment of their life and want to make the most of it with their family or friends. Think about how can you get that share of the business. You don't operate restaurant beyond breakfast, but would you want to change that for the concert dates? Is there any opportunity of catering? Can you seek sponsorship from any F&B partners to support in any efforts and campaigns?

9. What Else? - There are ways that hotels can capitalise on the total spend of their guests even when that spend is outside the property. Hotels can earn commission from selling third-party activities and take a more active role in shaping their guests’ itinerary.

These are just some of the thoughts that might help you prepare for this mega event of 2024. The sports events are equally big and will need a similar prep from hotels as well.

So let's get ready to make the most of it and deliver a great bottom line because thats what matters!!