Concert tourism could reshape Puerto Rico’s economy, expert says
Puerto Rico is reaching a turning point in the economic and cultural potential of concert tourism — a trend gaining traction amid Bad Bunny’s current residency on the island, said Javier Hernández-Acosta, dean of the School of Arts, Design and Creative Industries at Universidad del Sagrado Corazón (Sacred Heart University) in San Juan.
“This discussion is especially timely given the Bad Bunny residency,” Hernández-Acosta said in an interview with News is my Business. “While the creative sector’s economic impact is often difficult to quantify due to a lack of data, we do know that it contributes roughly 3% to 4% of Puerto Rico’s GDP — around $4 billion annually.”
He said the growing number of large-scale events is opening new opportunities for the island’s economy.
“One of the advantages of concert tourism, which we refer to as ‘designing experiences’ at the university, is that it redefines how we approach event tourism,” he said. “Our bachelor’s program in Design Experience aims to integrate tourism, event production and visitor engagement in a more holistic way.”
Concert tourism, he added, creates ripple effects beyond the music industry, benefiting sectors such as hospitality, gastronomy, nightlife and services.
“This is an economy that touches many others,” he said. “Globally, cities are now developing their ‘night economies,’ which require planning around infrastructure and sustainability to ensure they coexist with residential communities.”
Hernández-Acosta emphasized the need for a strategic approach to support these sectors and ensure their long-term sustainability.
Creative industries, as defined under UNESCO’s framework, include the arts, cultural heritage, media, audiovisual content and design. The film industry is one subcategory.
Hernández-Acosta said Bad Bunny’s residency has become a significant economic engine, drawing tourists and driving growth in hospitality, transportation and local commerce. He referred to a chapter he wrote five years ago describing Puerto Rico as a “musical country” — a concept he said is now coming to life.
“What we need to build is a ‘festival economy’ — consistent, large-scale events that bring in both local and international visitors,” he said. “Bad Bunny’s residency is unprecedented, and shows what’s possible. But we must strengthen this model to keep those visitors coming.”
Puerto Rico already has a solid foundation, he added, citing examples like the Día Nacional de la Salsa, which has the potential to attract thousands of attendees each year. The same is true of the island’s urban music scene, which could be further leveraged to expand concert tourism.
He praised efforts to promote live music in San Juan — led by Mayor Miguel Romero — as a positive step. Even businesses that do not typically host performances are now featuring live or instrumental renditions of Bad Bunny’s music to attract customers.
“People assume that tourists arriving in Puerto Rico will be surrounded by live music, but that’s not always the case,” he said. “Other cities — New York, Bogotá, Santiago — have thriving live music economies. We need to do the same.”
Puerto Rico, he said, has the infrastructure and talent to support a larger live music scene, but must invest in developing human capital. Sacred Heart University and others are offering programs in music, entertainment business and arts management to help meet this need.
Despite its fiscal challenges, Puerto Rico remains one of the regions with the most festivals year-round. The island’s 78 municipalities have traditionally hosted annual festivals and about 50 additional festivals, he said, meaning the cultural infrastructure is already in place.
“This isn’t about building something from scratch,” he said. “We’ve long talked about the value of cultural events and the power of music. There have been campaigns with figures like Daddy Yankee, and now Bad Bunny has elevated Puerto Rico’s visibility even more. But we also can’t forget our roots — Bomba and Plena are vital, too.”
Hernández-Acosta said the current moment presents an opportunity to rebrand Puerto Rico through culture, identity and celebration — an effort that will require collaboration among agencies such as Discover Puerto Rico, the Puerto Rico Tourism Co., the Institute of Culture, and the Department of Economic Development and Commerce.
He estimates that Bad Bunny’s residency could generate about $200 million, a figure consistent with a study by Advantage Business Consulting commissioned by the Municipality of San Juan. The report projects a total economic impact of $377 million, with $302 million concentrated in the capital.
The residency — titled “No me quiero ir de aquí” (“I Don’t Want to Leave Here”) — is also supporting about 3,640 jobs and generating an estimated $36 million in direct government revenue, including $2.3 million for the city’s treasury, the study found.
Discover Puerto Rico, the island’s destination marketing organization, projected that the event will result in demand for 40,000 hotel room nights and generate $25 million in media exposure. More than 500,000 visitors are expected during the three-month concert series, which is increasing foot traffic in areas such as La Placita, Río Piedras and the Trocadero zone near the Coliseum.
San Juan has allocated $1.3 million for public safety, emergency services, sanitation and logistical support during the residency, which runs through Sept. 14.
“We’re seeing the potential in real time,” Hernández-Acosta said. “Now it’s up to us to turn that momentum into lasting impact.”
