How Miami’s music festivals are driving tourism and economic growth

November 2025 — Miami’s festival calendar has long been a global entertainment draw. And now, it’s an increasingly important contributor to the local economy. As the region’s tourism sector grows, large-scale events such as Ultra Music Festival prove to be valuable economic drivers.

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Miami‑Dade County set records in 2024 with more than 28 million visitors who spent roughly $22 billion, according to the county. Tourism activity generated an estimated $31 billion in total economic impact, creating a strong baseline from which major events can amplify spending.

Few events do so as consistently as Ultra. Over its 24-year run, the electronic music festival has generated more than $1 billion in economic activity for Miami, said the city’s mayor Francis Suarez in 2024. A recent study estimated that Ultra contributes about $79 million annually to Miami-Dade, including $32 million in labor income and $50 million in GDP. The beneficiaries vary from hotels and restaurants to retail businesses.

“Miami has evolved dramatically over the years,” said Sebastian Vallejo, managing director for Miami Beach at Brown Harris Stevens, in the latest edition of Invest: Miami. 

“Over time, the city has expanded its appeal beyond leisure to offer a more sophisticated and well-rounded lifestyle … that perception has shifted as Miami developed world-class dining, cultural institutions, and high-profile events like Formula 1 and Ultra Music Festival,” Vallejo said. 

Attendance trends help explain the scale. About 75% of Ultra attendees come from outside Miami, according to the Biscayne Times, injecting millions of dollars into lodging, food, transportation and nightlife. One analysis estimated festival-goers spend about $40 million at local bars and restaurants during the event. Ultra also hires more than 1,800 workers each year and generates substantial tax revenue for the county, further extending its economic footprint.

The impact of live music extends beyond Miami. Nationally, independent venues and festivals contributed $86.2 billion directly to U.S. GDP in 2024, and roughly $153 billion including indirect spending.

For Miami, music festivals help diversify the local visitor base and concentrate spending during key travel periods — Ultra, for instance, anchors spring tourism. They help lift hotel occupancy, attract international and domestic travelers and drive activity in sectors outside tourism.

The benefits aren’t without tensions. Large festivals strain public services, intensify traffic and noise, and can test the patience of residents in surrounding neighborhoods. And while major events thrive, some smaller venues across Florida report financial pressures despite broader sector growth.

Still, Miami’s experience shows that music festivals are more than large parties. They have become reliable economic catalysts, drawing visitors, generating jobs and supporting a wide range of local businesses.

Want more? Read the Invest: Miami report.