A healthy tourism economy is built and supported by Destination Marketing Organizations (DMOs) such as VISIT DENVER, The Convention & Visitors Bureau, that use a portion of the local Lodger's Tax and private membership dollars to market Denver as a visitors' destination.
Denver visitors stimulate the local economy and benefit hotels, meeting facilities, attractions, restaurants, art and cultural institutions, tour companies, transportation providers, local farmers and countless other businesses. Tourism also offers many benefits for Denver residents and improves quality of life for the community.
According to Longwoods International, in 2023, Denver welcomed a record 37.4 million visitors, generating $10.3 billion in tourism revenue, far beyond the previous record of $9.4 billion spent in 2022.
Key numbers for 2023 include:
- Denver welcomed 37.4 million total visitors in 2023, including 20.5 million overnight visitors and 16.9 million day visitors.
- There were 7.6 million "marketable" leisure visitors in 2023. This segment has the most discretion on where to vacation and responds to tourism marketing. This audience is the primary focus of much of VISIT DENVER's marketing efforts and spends more time and money in-market than any other leisure visitor type.
- Denver visitors spent $10.3 billion in 2023, including $8.8 billion from overnight visitors and an additional $1.6 billion in spending from day visitors.
- Denver overnight visitors spent nearly $2.5 billion on accommodations, and nearly $1.5 billion on food and beverages.
- Expenditures by overnight visitors on transportation reached nearly $3 billion. Retail purchases were $1 billion, while overnight visitors spent nearly $750 million on paid attractions and other recreational and sightseeing activities.
- On average in 2023, the biggest spenders were leisure travelers, who spent $428 per day, while business visitors spent $433 per day. Day visitors spent $88 per day.
- Out-of-state overnight leisure travelers comprised 69 percent of visitors.
2023 Tax Saving​s:
- The average Denver City and County resident saved $858.25 in state and local taxes
- The average Denver City and County household saved $1904.24 in state and local taxes
- The average Denver Metro resident saved $295.87 in state and local taxes
- The average Denver Metro household saved $753.70 in state and local taxes
- The average Colorado resident saved $306.25 in state and local taxes
- The average Colorado household saved $790.15 in state and local taxes
Industry Employment:
The tourism industry is a major source of employment in Denver and the surrounding metro area. In 2023:
- The tourism industry employed 44,750 people in Denver City & County
- The tourism industry employed 73,600 people in the Denver metro area
Cost-Benefit Analysis
In 2019, VISIT DENVER commissioned Oxford Economics to create a cost-benefit analysis to quantitatively assess the net effect of tourism on the local community. Findings from the Economic Impact of Tourism in Denver 2019 were used to measure the positive impacts of tourism on the City of Denver's finances. The report findings indicated that local governments accrued $589 million as the result of visitor activity in Denver.
The cost-benefit analysis involves the following two components:
- Examination of the social impacts, which gauges the resident's viewpoint on tourism
- Quantitative analysis that considers the costs and benefits of tourism from the viewpoint of residents and the City of Denver
Results:
- Denver residents received $2.767 billion of income supported by tourism and suffered $19.7 million in losses due to congestion (i.e. lost fuel or time). Residents therefore received a net benefit of $2.747 billion or $9,333 per household.
- Denver residents received $140.48 of benefit for every dollar of cost.
- The City of Denver received $589 million in local taxes supported by tourism and dedicated $130 million to the tourism sector. The City of Denver therefore received a net benefit of $459 million or a benefit of $1,559 per household.
- For every dollar spent directly on the tourism industry, the City of Denver gained $4.52 in revenue.
Sources: Dean Runyan Associates, Colorado Travel Impacts 2023; Longwoods International, Travel Year 2023; census.gov; Oxford Economics 2019 Economic Impact of Tourism
