State sets a tourism record
Spending tops $20 billion by Tennessee visitors for the first time ever
Tennessee reached another tourism milestone in 2017, topping $20 billion spent by visitors for the first time ever.
Gov. Bill Haslam announced the record tourism numbers in a press conference Tuesday at the Musicians Hall of Fame inside Municipal Auditorium in Nashville. Haslam emphasized that the record dollar figures — $20.7 billion to be exact — is direct visitor spending and not economic impact, an accounting tool that is sometimes viewed with skepticism in tourism circles.
Without a state income tax, Tennessee relies heavily on sales tax to fund its state and local governments. The booming tourism industry aided local governments across the state last year, Haslam said, with all 95 counties topping at least $1 million in direct visitor spending.
The music-fueled tourism industry in Davidson County led the way with a record $6.5 billion in direct visitor spending. Shelby County followed with $3.5 billion. Then came Sevier County with $2 billion, followed by both Hamilton and Knox counties with $1.1 billion each.
“It means a lot of people were introduced to our state all the way from the Saturday night race in Bristol to the Civil Rights Museum in Memphis and everything in between,” Haslam said. “But it also means real money for our governments.”
Working with tourism leaders from across the state, the Haslam administration has invested in marketing efforts to attract far-away tourists who tend to stay longer and spend more money.
“The numbers show Tennessee is a destination of choice for visitors around the world. However, we would not have these numbers if not for the capital investments, renovations and dedication made by tourism partners across the state to deliver great experiences that create wonderful memories,” Department of Tourist Development Commissioner Kevin Triplett said.
Nashville continues hot streak
Nashville’s leisure tourism market has been achieving record breaking numbers for several years. According to data from the Nashville Convention and Visitors Corp., the city has set monthly hotel room night records in 89 of the last 92 months.
The strong tourism business has attracted substantial capital investment in the form of new hotels. Nine new hotels with 1,380 rooms have opened in the last year.
“We could not be prouder of this city and this industry. Nashville is truly a top global destination,” said NCVC board chair Ronnie Smith, who is also head of corporate banking for Regions Bank. “Today’s numbers validate the years of hard work and collaboration by so many in our industry.”
Overall, tourism accounted for $1.8 billion in revenue collections for state and local governments, Haslam said.
Reach Nate Rau at 615-259-8094 and nrau@tennessean.com. Follow him on Twitter @tnnaterau.