Virginia Tourism Industry Soars To New Heights In 2023

Thursday, August 8, 2024

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Virginia’s tourism industry reached new heights in 2023, with visitors spending a record $33.3 billion, nearly 10% more than in 2022, according to the Virginia Tourism Corporation The industry supported over 224,000 jobs last year, marking an increase of more than 13,000 jobs compared to 2022.

Key highlights from the VTC report include:

• Direct travel employment reached 93% of pre-pandemic levels.
• Travelers spent an average of $91 million per day, up from $83 million in 2022.
• Visitors generated $2.4 billion in state and local tax revenue, an increase of $9 million from 2022.
• Overnight visitors totaled 43.6 million, up from 42.2 million in 2022.

Caren Merrick, Virginia’s Secretary of Commerce and Trade, noted that the full recovery and growth in all categories of visitor spending reflect the state’s diverse and dynamic tourism offerings.

Governor Glenn Youngkin praised the record-breaking visitor spending, emphasizing the essential role of travel and tourism in Virginia’s economy. He highlighted that the tourism industry is vital for economic prosperity, job creation, community building, and enhancing the quality of life for Virginians.

The report shows that all five categories of visitor spending—recreation, transportation, lodging, food & beverage, and retail—have fully recovered and exceeded pre-pandemic levels. Recreation saw the fastest growth, up 12% from 2022 and 24% beyond pre-pandemic levels, while transportation spending increased by 11%, surpassing pre-pandemic levels by the same percentage. Lodging spending grew by 9% in 2023, exceeding 2019 levels by 13%. The balanced performance of Virginia’s visitor economy, with strong recovery in business and group demand on weekdays and stable leisure demand during weekends, contributed to this growth.

“The full recovery and growth of all five categories of visitor spending reflects the diverse and dynamic tourism assets that Virginia has to offer. Recreation and transportation, in particular, have seen remarkable increases, driven by a strong preference for unique experiences and the Commonwealth’s strategic position as a major transportation hub,” said Secretary of Commerce and Trade Caren Merrick. “The attributes that make Virginia the best place to live, work, and raise a family are also some of the same qualities that attract visitors to vacation here. Accelerated tourism growth is a win for all Virginians – visitor spending saves every Virginia household $955 in state and local taxes, showcasing the tangible benefits of a robust tourism industry.”

“We are incredibly proud that Virginia’s tourism industry reached unprecedented heights in 2023, with visitor spending hitting a record over $33 billion,” said President and CEO of Virginia Tourism Corporation Rita McClenny. “This $3 billion increase from 2022 not only surpasses pre-pandemic levels by an impressive 14.7% but also underscores the resilience and appeal of our Commonwealth as a premier travel destination. As our current flagship campaign emphasizes, ‘Vacation starts with VA,’ and as Virginia looks ahead, VTC remains committed to promoting the Commonwealth’s unique offerings and supporting the growth of the tourism industry. The success of 2023 sets a strong foundation as we build on this momentum in the years to come.”

The VTC’s economic impact data is provided by Tourism Economics and is based on domestic visitor spending from U.S. travelers, including those who stayed overnight or traveled more than 50 miles to reach their destination.