New research highlights how concert-led travel is reshaping India’s tourism economy, while capacity constraints drive young Indians to overseas destinations
MUMBAI, India , Feb. 2, 2026 /PRNewswire/ — India’s Gen Z is redefining travel priorities, with live music and cultural events emerging as primary trip drivers. However, data states that there are gaps in infrastructure, pricing, and capacity which is forcing a significant share of this demand overseas. This has been recently discovered in a new study by Dr Jateen Rajput, Dean and Executive Director of Bhavan’s College MSEED – Management School of Events and Experience Design.
According to the report , Rajput reveals that 62% of India’s Gen Z now plans travel around concerts and music festivals. But the lack of proper infrastructure with the likes of limited venue capacity, surge pricing, and logistical bottlenecks are resulting in what MSEED terms ‘ outbound arbitrage’, leading young Indians to opt for cities like Singapore and the UAE over Indian cities.
Key findings of the study
- Young Indians allocate 21–40% of monthly income toward concert-related travel, treating experiences as long-term social and personal capital
- 53% extend their stay beyond the event, generating spillover revenue across hotels, food & beverage, transport, and retail
- International destinations capture disproportionate gains due to smoother visa processes, predictable pricing, and purpose-built venues
- Major Indian events create economic upside but expose stress points in urban mobility, accommodation, and crowd management
Furthermore, the study states that hotel rates in international concerts (like at the UAE) have surged up to 300% . On the other hand, Indian cities struggle to manage last-mile transport, parking, and accommodation availability during peak event periods.
Dr Rajput’s study further reveals that concerts and festivals are no longer discretionary entertainment for the youth of India. Participation in these kinds of events seem to be identity markers, social currency, and planned financial investments for that lot of people.
Where does India stand amid all this
Sure, in the past there have been many events in India generating hundreds of crores in local economic impact. But things have been crippled by the lack of coordination leading to price volatility, overcrowding, and demand leakage to foreign destinations.
“Outbound concert travel has already resulted in over ₹136 crore in lost domestic opportunity,” added Rajput. “This calls for the need for urgent policy and infrastructure interventions.”
“With 62% of Gen Z planning music led trips in 2026 the phenomenon (of Gen Z’s inclination for concerts) is likely to intensify. India can either capture enormous economic and cultural value through proactive strategy, or watch opportunities flow to better-prepared competing destinations,” concluded Rajput.
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Source: PR Newswire
