Yes, Virginia, Tourism Really is an Industry
Nanci Liles breaks down the business
of tourism in the Big Country.
Did You Know that travel and tourism generates $110 billion in tax revenue for local, state and federal governments? If you place 110 billion one dollar bills end-to-end, they would circle the world 419 times. Texas is one of the most visited states in the United States and Abilene remains one of the top ten destinations in Texas. We have an industry generating over 3,700 jobs in our area…it’s called tourism,” says Nanci Liles, Executive Director of the Abilene Convention and Visitors Bureau. Recent travel indicators show tourism creates 3,720 jobs in the Abilene MSA; diversifies the economy by $374.1 million and generates local tax revenue of $6.1 million. Higher room rates and gasoline prices accounted for a share of this increase in travel spending.
The multi-million dollar travel industry is a vital part of the economy. The industry is represented primarily by retail and service firms, including lodging establishments, restaurants, retail stores, gasoline service stations, and other types of businesses that sell their products and services to travelers.
“The state of the hotel industry is a good indicator of the travel business. Year after year hotel revenues have increased. Abilene is posting 10%+ in hotel revenue for 2008 and is experiencing overwhelming hotel growth, with 27% increase in rooms and counting,” says Liles. Overnight visitors spend three times more money than day visitors. Local and state tax revenues directly generated by travel spending were $29.5 million in 2007. Local tax revenues alone generate $6.1 million. (The estimates of local tax revenues do not include property taxes.)
The purpose of such travel can be for business, pleasure, shopping, to attend meetings, or for personal, medical, or educational purposes. Without this travel-generated tax revenue, each household in Texas would have had to pay $880 in additional local, state, and federal taxes to maintain current service levels. The Office of the Governor Economic Development and Tourism provides research for the travel industry. New reports are now available for City and Place Direct Travel Impacts for the City of Abilene. 2007 travel spending generated $345.4 million compared to $322.9 the previous year. The full report is found at:
http://www.travel.state.tx.us/DocumentStore/TXImpRpt07.pdf New demographics are also available; more visitors are from San Antonio, Tyler-Longview and Corpus; visitors are spending $13 more (from $100 to $113); and visitors have a higher household income of $78,600, up from $69,150. One piece of research that will surprise you! 81.9% of Abilene visitors have no children in the household!
Visit the www.abilenevisitors.com and take a virtual tour of Abilene.
