Virginia’s tourism industry reaches record $33.3 billion in visitor spending for 2023
Richmond, Virginia – Virginia’s tourism industry has reached an unprecedented milestone, generating a record $33.3 billion in visitor spending in 2023, marking a nearly 10% increase from the previous year. Governor Glenn Youngkin and the Virginia Tourism Corporation (VTC) announced these figures, emphasizing the significant impact of tourism on the Commonwealth’s economy.
“Travel and tourism play an essential role in Virginia’s economy,” said Governor Youngkin. “The Commonwealth’s record-breaking visitor spending numbers are a testament to our abundance of attractions and unique destinations. As the top state for business, our tourism industry is a crucial part of driving economic prosperity, providing jobs, building vibrant communities, and enhancing the quality of life for all Virginians.”
The surge in visitor spending has directly supported over 224,000 jobs in the tourism sector, an increase of more than 13,000 jobs compared to 2022. This recovery in employment brings the sector to 93% of its pre-pandemic levels, reflecting the resilience and vitality of the industry as it rebounds from the challenges posed by the COVID-19 pandemic.
Growth Across All Categories of Visitor Spending
In 2023, travelers spent an average of $91 million per day in Virginia, up from $83 million in 2022. This increase in spending generated $2.4 billion in state and local tax revenue, a 9% rise from the previous year. The number of overnight visitors also increased, reaching 43.6 million in 2023, up from 42.2 million in 2022, nearly matching pre-pandemic levels.
All five major categories of visitor spending—recreation, transportation, lodging, food & beverage, and retail—have not only recovered but surpassed pre-pandemic levels. Recreation emerged as the fastest-growing category in 2023, with a 12% increase over 2022 and a 24% rise above pre-pandemic levels. This growth underscores the ongoing preference among travelers for unique and engaging experiences.
Transportation spending also saw significant growth, increasing by 11% in 2023 and surpassing pre-pandemic levels by the same percentage. This category represents the largest share of visitor spending at 30%, largely due to the presence of Virginia’s major gateway airports, Washington Dulles International and Reagan National. Lodging spending rose by 9%, exceeding 2019 levels by 13%, indicating a strong recovery in both business and leisure travel.
“The full recovery and growth of all five categories of visitor spending reflects the diverse and dynamic tourism assets that Virginia has to offer,” 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.”
Building on Success for the Future
The record-breaking performance of Virginia’s tourism industry in 2023 not only signals a full recovery but also sets a strong foundation for future growth. Rita McClenny, President and CEO of the Virginia Tourism Corporation, expressed pride in the industry’s achievements and optimism for the years ahead.
“We are incredibly proud that Virginia’s tourism industry reached unprecedented heights in 2023, with visitor spending hitting a record over $33 billion,” McClenny said. “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 Virginia looks forward, the VTC remains committed to promoting the state’s unique offerings and supporting the continued growth of the tourism industry. With the success of 2023 as a strong foundation, Virginia’s tourism sector is poised to build on this momentum, further enhancing the economic prosperity and quality of life for all Virginians.
