Governor Warner Announces Tourism Increase Results in 35.9 Million Visits and $15.3 Billion for Virginia's Economy

Press Release

Governor Mark R. Warner announced today that travelers' spending in the Commonwealth increased by 8.6 percent last year from 2003. In 2004, Virginia was the destination of nearly 36 million tourist visits, representing a $15.3 billion investment in the economy and signaling a positive economic outlook for Virginia's tourism industry.

According to two different studies, 304,834 overseas and 436,800 Canadian travelers' spending totaled more than $352.4 million, growing by 26 percent and 17.5 percent, respectively, during 2004. A third study showed spending by U. S. travelers to Virginia over the same period increased 8.3 percent.

"We've put a strong focus on developing and marketing tourism in Virginia and it's paying off on a statewide and local level," said Governor Warner. "Tourists are embracing Virginia's diverse vacation experiences and making a significant contribution to our economy. We will continue to work to maximize the benefits of Virginia's tourism assets, especially those in Southwest and Southside Virginia."

The tourism industry has a $15 billion impact on Virginia's economy, employing more than 280,000 people and providing more than $2 billion in state and local taxes annually.

Alisa Bailey, president and CEO of the Virginia Tourism Corporation (VTC), pointed out that the leveraging of dollars with private- and public-sector partners has been the key element in VTC's successful marketing efforts in branding Virginia as a premier travel destination.

"By partnering with the Commonwealth's tourism industry in our marketing campaigns we have been able to reach more potential visitors more effectively," Bailey said. "When we pool our funds we are able to advertise in venues we would otherwise not be able to afford, and those efforts are bringing us a favorable return-on-investment."

Governor Warner has made tourism a significant economic development resource, especially in the Commonwealth's distressed communities including those in Southwest and Southside Virginia. In his first weeks as Governor, he signed Executive Order 6, directing state agencies, boards, and commissions to recruit to Virginia regional and national conferences of organizations to which they pay dues. That effort has helped attract nearly 200 meetings to Virginia with an estimated economic impact of more than $35 million according to the VTC.

Tourism and asset-based development are key parts of Governor Warner's Virginia Works initiative. Launched in December of 2004, Virginia Works provides targeted investments to help distressed communities improve their economies. As part of Virginia Works, and building on the success of The Crooked Road: Virginia's Heritage Music Trail, Governor Warner has worked to increase tourism in Southwest and Southside Virginia by developing and promoting local and regional assets such as music, arts, crafts, history, and outdoor recreation. New tourism initiatives such as Virginian artisan centers, the Virginia Tobacco Heritage Trail, Round the Mountain, and rails to trails projects are already having a positive impact in Southwest and Southside Virginia.

Governor Warner has worked with the VTC and regional and local tourism leaders to promote the 400th anniversary of Jamestown, a major tourism opportunity for the Commonwealth. A Memorandum of Understanding with Kent County, England, has encouraged talks about direct flights from the county to Norfolk and Richmond.

Additional tourism statistics from 2004 point to a positive future for tourism in Virginia. Lodging spending increased 7.5 percent in 2004 over 2003, with spending on food service rising 6.5 percent during the same period. Travelers' spending on entertainment and recreation in Virginia was up 6.4 percent; and tourism employment increased by one percent during the same period, with a 13.5 percent decrease in travel-agency employment because of online booking.

Domestically, more than 42 percent of Virginia's nearly 36 million person-trips came from the eight markets where the VTC actively markets Virginia's tourism assets: New York City, Washington, D.C., Baltimore, Philadelphia, Pittsburgh, Raleigh, Charlotte, and Atlanta.

Visitation to the VTC's consumer Web site, www.Virginia.org, was up 58 percent in unique users during 2004 over 2003. Inquiries from each of Virginia's top five markets (New York City, Washington, D.C., Philadelphia, Atlanta, and Baltimore), as a percentage of total inquiries received, were as follows: New York City, 11.03%; Washington, D. C., 6.98%; Philadelphia, 5.48%, Atlanta, 3.11% and Baltimore, 2.65%.

Source