Tourism booms, but report says impact could be bigger

Tue, Feb 6, 2007

Associated Press

SPARTANBURG — The impact of tourism in South Carolina continues to grow with tourists pouring $16 billion into the state's economy in 2005 and the industry accounting directly for more than 118,000 jobs.

But the industry could play an even bigger economic role in the state, according to a report released Monday during the Governor's Conference on Tourism and Travel.

"Now is the time to move toward making South Carolina a truly competitive player in that most sustainable of economic arenas tourism and hospitality," said the report from international consultant Michael MacNulty and his team from Ireland's Tourism Development International.

The report includes a detailed list of recommendations for expanding tourism. They include:

— Creating a state tourism organization operating as a private-public partnership;

— Sharply increasing the marketing budget for tourism;

— Developing joint marketing efforts between the state and tourism leaders and business owners;

— Providing incentives to private businesses to invest in accommodations and tourism attractions in interior areas of the state;

— Improving the training and retention of workers in the tourism industry;

— Developing a public awareness campaign to raise the profile of tourism in rural and inland areas.

The report noted that the industry could contribute $40 billion yearly to the state's economy by 2020 if the state were to spend more on marketing.

According the latest economic impact report from the Travel Industry Association, a trade group, and released by the Department of Parks, Recreation and Tourism on Monday, tourism meant $16 billion for the state economy during 2005.

Visitors from other states accounted for $7.2 billion of that. Tourism spending continued to grow, increasing by 8 percent in 2004 and another 7 percent in 2005, the report said.

Direct and indirect tourism employment was 208,000 workers, about 11 percent of the state work force in 2005.

That year tourism generated $1.1 billion in state and local taxes and an additional $1.2 billion in federal taxes, according to the Travel Industry Association report.

Gov. Mark Sanford was to address the gathering Tuesday.

Sanford has budget proposed spending $13 million more for tourism advertising — a 50 percent increase in PRT's marketing budget.

But Sanford also wants changes in the way some tourism dollars are spent. His budget, at the same time, would trim $1.3 million in state funding for a variety of festivals, such as Pelion's Peanut Festival.

Programs at the Riverbanks Zoo in Columbia and the state's Wildlife Expo would also see less state money under Sanford's proposed budget.

This week's conference also includes sessions on culinary tourism, how attractions can get free publicity and new trends in Internet marketing.