The City of Philadelphia Department of Commerce engaged ESI to conduct a comprehensive study of Philadelphia’s nighttime economy, focusing on all industries operating between 6 p.m. and 6 a.m.—and not just limited to nightlife. The study aimed to quantify the economic impact of nighttime activities across arts & recreation, essential services, and beyond, while also analyzing visitation patterns across the city, identifying promising practices from other cities, and developing strategic recommendations to enhance Philadelphia’s nighttime economy. To support the client’s exploration of policy changes related to restaurant and bar closing times, the study estimates the tax revenue of keeping establishments open later.
- Development of “nighttime coefficients” to determine the percentage of industries’ economic activity occurring during nighttime hours
- Economic impact modeling using industry-standard methods to measure direct, indirect, and induced impacts
- Analysis of mobile data from Placer.ai covering 26 commercial corridors to identify spatial and temporal trends
- Extensive research into successful nighttime economy policies and programs from cities worldwide
- Fiscal impact modeling to evaluate potential revenue from extended nighttime operating hours.
In addition to the client’s in-house expertise, ESI engaged other local and national thought leaders on nighttime economy management, as well as Philadelphia’s groups of business owners and related city leaders.
Philadelphia’s nighttime economy is significant and represents approximately 13% of Philadelphia’s jobs (94,400 workers) and 11% of the city’s overall GDP. Night Shift Industries contribute the largest portion of nighttime economic activity (40%), followed by Essential Services (32%). The nighttime economy generates approximately $358.8 million annually in tax revenue for the City