Tourism ‘soaring’ in Tennessee with 2023 seeing $30.6 billion in travel spending

KNOXVILLE, Tenn. (WATE) — Tourism in Tennessee continues to rise with 2023 being another record year in visitor spending.

Newly released data from Tourism Economics and the Tennessee Department of Tourist Development (TDTD) shows that the state received $30.6 billion in direct visitor spending and saw 144 million visitors in 2023. This marks a 6.2% increase from 2022 and follows two consecutive years of double-digit growth . A release from the state said this has driven Tennessee to a 125% recovery over 2019 pre-pandemic levels.

TDTD shared that visitors spent an average of $84 million each day in 2023, with visitors’ spending generating $3.2 billion in direct state and local tax revenues. The state collected $1.9 billion in tax revenues, while city and county governments collected $1.25 billion. A release from TDTD added that without tourism, households in Tennessee would face an additional $1,160 in taxes each year.

“When tourism grows, Tennessee reaps the benefit with increased sales tax revenue,” said Gov. Bill Lee. “Tourism boosts local economies, supports businesses and jobs, funds public services and creates a better quality of life for all Tennesseans. We welcome visitors from around the world to experience Tennessee’s music, scenic outdoor beauty, culture and food from Mountain City to Memphis.”

When it comes to jobs, TDTD said that visitor spending sustained 191,522 direct jobs, which is one of every 24 jobs in the state. Employment supported by tourism also rebounded to 98% of pre-pandemic levels. Some other key highlights shared by TDTD include how the state has rebounded to pre-pandemic levels. With domestic visitor spending 127% recovered to 2019 levels and with international visitor spending 81.6% recovered to 2019 levels.

“Tennessee tourism is soaring, leading to benefits to Tennesseans,” said Mark Ezell, Commissioner of the Tennessee Department of Tourist Development. “Thanks to our destination marketing organizations across the state, in addition to our leisure and hospitality businesses in this amazing accomplishment. The record growth is a testament to the strength, resilience, determination and efforts of our people and the work of our industry in bringing visitors to enjoy why Tennessee Sounds Perfect.”

• 2022: Tennessee tourism boom continues after record year
• ‘Crushing it’: Tourism brings $24 billion in travel spending in 2021

The full 2023 Economic Impact on Travel Report will be released in August and include direct visitor spending data for all 95 counties. TDTD works with the Tennessee Tourism Committee, local convention and visitors’ bureaus, chambers of commerce, city and county leaders, tourism attractions and the hospitality industry across the state to encourage travel to Tennessee.

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