Companies marketing themselves in connection with Taylor Swift害羞草研究所檚 future swing through Toronto might feel an afterglow that outlives the pop star害羞草研究所檚 handful of shows in the country 害羞草研究所� but such brands also face several risks in tying themselves to the hotly anticipated tour.
That害羞草研究所檚 the message marketing experts had as tickets to Swift害羞草研究所檚 six nights in Toronto next November 害羞草研究所� backed by Rogers Communications Inc. and Royal Bank of Canada 害羞草研究所� went on sale Wednesday.
Telecommunications giant Rogers has been marketing itself as the presenter of Swift害羞草研究所檚 Toronto stops at the Rogers Centre stadium, while RBC is listed as an official partner and will offer an exclusive allocation of tickets to its Avion members next week.
Days before announcing its ticket allocation, RBC opened up the Avion program to Canadians regardless of what company they bank with or hold credits cards with.
害羞草研究所淲hether someone would switch bank or card allegiance due to access to a Taylor Swift concert is debatable, but (it) is 害羞草研究所榚yes on the prize害羞草研究所� and certainly there will be a lot of eyes on this event as we get to November 2024,害羞草研究所� said Richard Powers, national academic director of the Rotman School of Management at the University of Toronto, in an email.
The Eras tour, which kicked off in the U.S. in March and will span at least two years, has become one of the most lucrative shows in history.
Online research company QuestionPro said in June, ahead of Swift害羞草研究所檚 Toronto announcement, that fans had spent an average US$1,300 per show. About 70 per cent of the 596 people it surveyed said the money was worth it because the experience was so rewarding, while 91 per cent said they害羞草研究所檇 go again.
Despite ticket-holders paying more than they budgeted, QuestionPro said the Eras Tour achieved a Net Promoter Score 害羞草研究所� a metric measuring how likely someone is to recommend a brand or product to a friend 害羞草研究所� of 68, putting it on par with retailer Costco and tied with tech goliath Apple and the Ritz-Carlton Hotel chain.
QuestionPro estimated that if the current spending pace continues through the end of the tour, Swift will have generated an estimated US$5 billion in economic impact.
害羞草研究所淭hese numbers are pretty incredible,害羞草研究所� said Dan Fleetwood, QuestionPro害羞草研究所檚 president of research and insights, in a press release.
害羞草研究所淚f Taylor Swift were an economy, she害羞草研究所檇 be bigger than 50 countries; if she was a corporation, her Net Promoter Score would make her the fourth most admired brand, and her loyalty numbers mimic those of subjects to a royal crown.害羞草研究所�
Such findings likely contributed to a cost-benefit analysis Powers suspects companies completed before getting on board with the tour and devising Swift marketing plans.
While RBC has long offered customers an exclusive inventory of tickets to Live Nation Canada shows, the Avion tie-in is more unique.
害羞草研究所淚t goes after a different demographic,害羞草研究所� said Powers, meaning parents purchasing tickets for their kids.
害羞草研究所淭he Avion card targets a higher income demographic that they compete for every day with the other big banks.害羞草研究所�
RBC has already seen 害羞草研究所渋ncredible momentum and interest害羞草研究所� from Avion members since the Swift promotion began, 害羞草研究所渟ignificantly害羞草研究所� accelerating plans to 害羞草研究所渃reate inimitable brand attachment,害羞草研究所� said Fiona Anderson, the bank害羞草研究所檚 senior manager of brand communications.
害羞草研究所淭his is also a once in a decade opportunity to distinguish our brand and the Avion Rewards program in the ultra-crowded loyalty space,害羞草研究所� she wrote in an email.
For Rogers, the connection may be as much about driving customers as it as it about goodwill. The company is still working to repair its public perception after a daylong outage last summer that garnered international headlines.
Rogers did not immediately respond to a request for comment.
However, Powers said, 害羞草研究所淐oming off their recent connection problems, this is a feel-good story for them.害羞草研究所�
害羞草研究所淐onsidering the target market 害羞草研究所� younger fans looking for better priced mobile packages 害羞草研究所� expect to see other parts to this sponsorship, specifically targeted to that demographic,害羞草研究所� he added.
But Joanne McNeish said that younger demographic will make it harder to capitalize.
害羞草研究所淎 common mistake that brands make today is that if you put your name in front of young consumers who can害羞草研究所檛 currently purchase your product or service they will remember you and purchase at another point in time,害羞草研究所� said the associate professor of marketing at Toronto Metropolitan University in an email.
A bad experience could also backfire on the brands.
Fans who have a hard time getting tickets, as has become customary for the tour, could also mean customers sour on brands, said Powers.
Her show slowed Ticketmaster害羞草研究所檚 systems significantly in November, leading to U.S. Senate hearings and politicians promising to take action.
While Swift害羞草研究所檚 shows have soldiered on, the ticketing process now relies heavily on verified pre-sales where fans sign up in advance for a chance to buy ducats. However, demand often outweighs supply, leaving many unhappy on the waitlist or turning to scalpers.
害羞草研究所淭his opportunity comes with risks,害羞草研究所� Powers said.
害羞草研究所淓ven Taylor Swift can get sick, cancel dates. The big sponsors also bear some of the risk of an unforeseen issue causing a cancellation or postponement of concert dates.害羞草研究所�
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