When pop icon Enrique Iglesias takes the stage in Mumbai this October, the excitement will ripple far beyond the venue.

Concerts are emerging as catalysts for citywide spending as audience members pack local restaurants and hotels before and after the show.

Mastercard Economics Institute (MEI) sought to capture what spending in Mumbai might look like the day Enrique performs. Drawing on Mastercard’s aggregated and anonymized transaction data, we zeroed in on where the action usually unfolds on the day of the concert.

Here’s what the numbers reveal:

• Spending on food and drinks increases the most near the concert venue, while hotel bookings cover a wider footprint.
• Concerts that feature both domestic and international artists drive the highest transaction volumes in restaurants, but shows by domestic artists inspire the strongest growth in overall spending, especially at fine dining establishments.
• Domestic attendees spend the most, but cross-border fans also account for a substantial share.

Moving to the rhythm

To anticipate how the city may come alive to the rhythm of Enrique’s concert, MEI examined spending before and after past shows at Mumbai Metropolitan Region Development Authority (MMRDA) grounds, where Enrique will perform. We then compared those figures to our synthetic controls¹ — statistical models that estimate the baseline spending levels if each concert had not occurred.

On the day of Enrique’s performance, MEI expects that there may be a boost in daily average consumer spending of 30% to 65% in restaurants, driven by pre- and post-show dining activity. And as fans flock in from across the country and beyond, our analysis suggests hotel spending may rise by 40% to 100%.

The city’s spending heartbeat

Mumbai’s spending heartbeat is likely to be the strongest close to the venue. MEI expects that restaurants within 5 km of the concert may witness the biggest increase in spending, as concertgoers enjoy a meal or stop for a post-show drink. In contrast, spending may rise at hotels as far as 10 km away.

This indicates a trade-off between price and proximity — some guests may pay more to stay nearby and avoid traffic, while others choose hotels further away to sidestep elevated prices (or because other concertgoers have already booked the rooms closest to the venue).

Uplift in consumer spending activity during concerts held in MMRDA grounds

Hotels:

Restaurants:

Did you know

To explore the impact of performers’ and fans’ nationalities on spending, we compared the daily average spending and transaction volumes in restaurants on regular days² and during fifteen different concerts across four venues³ in the city.

• Mixed lineups strike a chord: When domestic and international artists share the stage, transaction volumes spike — daily averages at restaurants climb 24% higher than they do when only Indian artists perform. Similarly, transaction volumes during shows by purely international acts exceed the averages during concerts of Indian artists by 20%. Spending may increase because international artists tend to concentrate the Indian legs of their tours among high-capacity venues in a few key cities, so their shows draw bigger crowds and feel like particularly special occasions to consumers.

• Gourmet treats follow domestic beats: Indian artists stimulate the highest growth — 21% — in spending in restaurants on concert days, compared to 13% during shows by international artists alone or with Indian performers. Additionally, fine dining restaurants outperform other food outlets during concerts of Indian artists. Dining decisions may hinge on ticket pricing — audience members can better afford to splurge on a meal if their seats cost less. The availability of food options at the venue might also influence visits to outside restaurants.

• Local fans headline the local impact: These transaction surges are primarily driven by domestic attendees, whose average spending increases eight percentage points more than that of cross-border attendees between regular and concert days.

Global icons are announcing tours in cities across India, highlighting the country’s rising stature as a host for live events. In addition to entertainment, these concerts offer cities vibrant opportunities to boost consumer spending and to fuel economic momentum.

Notes:

1. Using synthetic controls, we create a counterfactual universe that eliminates the impact of the event i.e. concerts. This enables us to isolate the incremental spending boost that can be directly attributed to the concerts.
2. Spending during regular days consists of daily average spending during the quarter in which the event was held excluding all concerts and major Indian festivals.
3. The venues are — MMRDA grounds, Mahalakshmi Racecourse, DY Patil Stadium and Jio World Garden.

To learn more about economic insights from the Mastercard Economics Institute, contact your Mastercard representative or request a demo.

The Mastercard Economics Institute provides insights into global and local economic trends using advanced analytics and Mastercard's proprietary data assets. Established in 2020, MEI supports businesses, governments, and policymakers with economic monitoring services and timely analysis on economic themes including consumer spending, retail and travel trends, and other local and global barometers of economic performance. MEI offers valuable perspectives to inform decision-making and promote sustainable growth worldwide through our thought leadership series, and through Mastercard's specialized product offerings.