Report: Arkansas tourism industry impact more than $17 billion in 2024

Arkansas welcomed 52 million visitors in 2024, a 2.6% increase over 2023, according to the Arkansas Department of Parks Heritage and Tourism (ADPHT). The agency on Friday (July 18) posted the economic impact study produced by Tourism Economics.

The report also included the inaugural release of outdoor recreation.

According to the economic impact study released by Tourism Economics, these visitors spent $10.3 billion, marking a 4.0% increase from the previous year.

Factoring in an additional $7.1 billion from supply chain (indirect) and income (induced) effects, visitor activity generated a total economic impact of $17.4 billion, boosting businesses, creating jobs, and easing the tax burden for Arkansans, according to the press release.

“From beautiful rivers and lakes to world-class hiking and mountain biking trails, Arkansas is a fantastic place to visit – and the whole world is starting to find out,” said Gov. Sarah Sanders. “Thanks to the Natural State Initiative – led by my husband Bryan — we are investing in our strengths, growing our outdoor economy, and establishing ourselves as the leading destination for year-round outdoor adventure. Today’s record-high tourism figures show that our strategy is working.”

Tourism Economics developed an analysis of visitor spending and its total economic impact on businesses, employment, personal income and taxes. The ADPHT utilizes the visitor economy measurements to make decisions that promote the industry’s development.

“Arkansas captivates travelers with stunning landscapes, wide range of outdoor recreation activities and genuine hospitality,” said ADPHT Secretary Shea Lewis. “The Natural State’s year-round offerings not only drive visitation but also play a vital role in strengthening Arkansas’ economy.”

The study reveals a daily influx of $28.2 million in visitor spending, which sustains 71,633 direct jobs or 3.9% of all jobs in Arkansas. With an additional 31,034 jobs supported indirectly, the visitor economy was responsible for one in every 18 jobs statewide.

Food and beverage led all year-over-year spending categories at $3 billion, representing a 6.5% increase. Retail and recreation spending rose 5.8% and 4%, respectively. The short-term rental market contributed to a 3.3% increase in lodging spending. As gas prices eased, transportation spending managed a modest 0.6% increase in 2024.

OUTDOOR IMPACT
The 2023 statewide economic impact data, compiled by ARData and the Bureau of Economic Analysis (BEA), show that outdoor recreation contributed $7.3 billion to the state’s economy and supported 68,000 jobs. At 2.5% of Arkansas’ total GDP, surpassing farming, outdoor recreation has grown 33% since 2019. That outpaces the national average of 27%. In 2023 alone, the industry grew by 8.2%, driven by a mix of legacy activities and innovations across the state.

While many states rely heavily on tourism and retail, 36% of Arkansas’ outdoor value comes from manufacturing, transportation, and warehousing. Arkansas ranks 4th nationally in GDP share from outdoor product manufacturing.

From 2019 to 2023, outdoor amenity construction grew by 52.7%, the fastest in the nation, according to the agency. Arkansas also recorded the third-largest growth in GDP from hunting, shooting, and trapping, and ranked 8th in growth from fishing-related activities.

A new dataset developed with ARData allows the state to track outdoor employment by region in near real time. In 2024, Arkansas added more than 2,300 new outdoor jobs, bringing the total to 32,839, or 2.5% of all employment statewide.

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