DECATUR, Ala. — A new report shows that there is an increase in travelers in North Alabama. According to a report released by the Alabama Tourism Department (ATD), in 2023, travelers spent over $4.7 billion while visiting the 16 counties of the North Alabama region, marking a 10.1% increase over 2022. The report, titled "2023 Alabama Tourism Economic Report," was conducted for the ATD using a model by Dr. Keivan Deravi, an economist in the School of Business at Auburn University in Montgomery.
The North Alabama region includes counties such as Blount, Cherokee, Colbert, Cullman, DeKalb, Etowah, Franklin, Jackson, Lauderdale, Lawrence, Limestone, Madison, Marion, Marshall, Morgan, and Winston.
Travelers in the North Alabama region surpassed $4.7 billion in 2023, up from $4.3 billion in 2022. Travel-related earnings experienced a 7.1% growth, rising from $1,258,500,183 in 2022 to $1,348,381,321 in 2023. Additionally, 49,523 people were employed directly and indirectly in the North Alabama tourism industry, marking a 5.5% increase over 2022.
“In ten years, tourists’ expenditures in North Alabama have doubled, from $2.1 billion in 2013 to $4.7 billion in 2023,” said Alabama Mountain Lakes Tourist Association President and CEO Tami Reist. “We continue to see our tourism industry grow as new hotels, RV parks and tiny home developments are popping up all across the region. These new developments will allow us to welcome even more visitors and more spending in the region and in turn, create more jobs, boost revenue for local businesses and encourage local infrastructure developments. I am extremely proud of our 16 counties and the collective efforts of our tourism partners - tourism bureaus, economic development offices and chambers of commerce - who continue the efforts to make sure that tourism is a vital economic driver to their respective counties.”
According to recent data, Alabama experienced a increase of visitors in 2023, with over 28.8 million people exploring the state, spending a total of more than $23.5 billion. This marked a 4.8% increase in spending compared to the previous year. For every dollar spent on travel-related expenses in Alabama, the state retained 33 cents. Additionally, travel and tourism activities in 2023 generated $1.4 billion in state and local tax revenues.
"Alabama continued its streak of remarkable success in the tourism and travel industry. Across all corners of the state, there was a notable increase in tourism-related benefits, demonstrating the industry's capacity to thrive even amidst economic fluctuations," said Governor Kay Ivey.
The study looked at how much money travel and tourism brought to Alabama in 2023 and what it meant for things like jobs, spending, income, and where people visited. Dr. Keivan Deravi used a special method to figure this out, which looks at the money the state gets from taxes.
Dr. Deravi said that tourism has a big effect on Alabama's economy. State law requires that 75 percent of the 4 percent state lodging tax paid by all hotel guests goes directly into the state General Fund that the Alabama Legislature spends for services to all residents. The $86.4 million of the Legislature's portion of the lodgings tax benefits all residents of the state, the economist said. Without those funds from tourism, each household in Alabama would have had to pay an additional $707 in taxes just to maintain current service levels.
