Entertainment parties and events boost tourism and the economy globally

The global live music industry is undergoing a transformation in its economic model, as success is no longer measured solely by ticket sales, but by the value generated by events for the tourism, aviation, hospitality, retail, and entertainment sectors. In the Middle East, Saudi Arabia stands out as a model of this shift, having integrated concerts and entertainment events into a broader economic and tourism system aimed at boosting local spending, attracting international visitors, and enhancing the contribution of non-oil sectors, according to a report published by Bloomberg Qatalyst.

This trend is embodied by Riyadh Season, which has evolved in just a few years into one of the region’s largest entertainment events. Its latest edition attracted over 19 million visitors and saw more than 4,200 contracts signed with 2,100 companies, 95% of which were Saudi firms, reflecting the extension of economic benefits from events to local supply chains, services, and businesses.

Saudi expansion coincides with expected growth in the global live music market, projected to rise from $40.5 billion in 2026 to $52.6 billion in 2030, reaching $67.1 billion by 2035. In the United States, one of the world’s largest live music markets, revenues are forecast to grow from $10.19 billion in 2022 to $12.49 billion in 2026, and up to $14.54 billion in 2028, indicating continued market growth even as demand enters a more stable phase.

Conversely, global markets are transitioning to what can be described as a “selective economy,” as the exceptional demand surge following the coronavirus pandemic subsides. Audiences have become more discerning in choosing events worth spending on, prompting organizers to focus on distinctive experiences, hospitality packages, and ancillary services rather than relying on ticket price hikes.

This shift offers Saudi Arabia an opportunity to strengthen its position in the global entertainment economy by attracting major events and tours, developing infrastructure, and linking concerts with tourism seasons. This approach transforms events from mere entertainment occasions into economic engines that support tourism, hospitality, transport, and retail, while enhancing the contribution of the non-oil economy.