NASHVILLE – Tourism in Davidson County generated a record $10.77 billion in direct visitor spending in 2023, an 8% increase from 2022, according to the 2023 Economic Impact of Travel on Tennessee report released this week. If it were not for state and local taxes generated by tourism, each Nashville household would pay $3,671 more in state and local taxes, the state report said.
Visitors spend an average of $29.5 million a day in Nashville, driving local business growth, boosting tax revenues, creating jobs and solidifying hospitality as one of the city’s largest industries. It takes the next four counties of Shelby, Sevier, Knox and Hamilton to exceed the $10.77 billion that visitors spent in Davidson County.
“With nearly $11 billion in visitor spending last year, Nashville stands as the top contributor to tourism spending in Tennessee, accounting for more than one-third of the state’s total visitor expenditures. This crucial revenue not only funds essential local and state government operations but also supports 73,000 leisure and hospitality jobs in Davidson County,” said Deana Ivey, President and CEO of the Nashville Convention & Visitors Corp. “Our success is rooted in Nashville’s authenticity, the abundance of outstanding attractions and hotels, and our reputation as a welcoming city. We remain committed to driving demand through the strength of our Music City brand.”
BY THE NUMBERS
- Visitor spending in Davidson County generated $1.11 billion in local and state tax revenue. Of that, $444.44 million was in local tax revenue and $666.64 million was in state tax revenue, both exceeding 2022 figures.
- Labor income in Davidson County was $2.84 billion in 2023.
- The daily and overnight visitors to Davidson County last year totaled 16.8 million.
- The U.S. Bureau of Labor Statistics reports there are 73,000 total leisure and hospitality jobs in Davidson County. Tourism Economics estimates county visitor spending generates 48,953 direct jobs as a result of tourism’s economic impact.
Statewide, Tennessee tourism generated a record $30.6 billion in direct visitor spending and saw 144 million visitors to the state in 2023. Statewide visitor spending generated $3.2 billion in direct state and local tax revenues in 2023. For this study, a visitor includes those who stayed overnight or traveled more than 50 miles to the destination. The report focuses specifically on spending in retail, recreation, accommodations, food & dining, and transportation services. When visitors spend money in these categories, it generates state and local taxes that help fund schools, roads, and other needed public services.
“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.”
“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.”
The Nashville Convention & Visitors Corp and Visit Music City
The mission of the Nashville Convention & Visitors Corp and Visit Music City is to maximize the economic contribution of the convention and tourism industry to the community by developing and marketing Nashville as a premier destination. Visit the NCVC’s website at www.visitmusiccity.com and follow us on social media @VisitMusicCity.
###