San Francisco Economy Benefits from Travel Industry

The travel industry in one of the most beneficial industries for the city and county of San Francisco according to a new report by the San Francisco Convention & Visitors Bureau (SFCVB). The number of visitors to San Francisco in 2006 was 15.8 million, up 0.40 percent over 2005. In 2006, visitors spent $7.76 billion, an increase of 5.3 percent over the previous year and an all-time high.

“Tourism is the top generator of outside dollars into the City,” says Joe D’Alessandro, SFCVB president and CEO. “Visitor dollars fuel the local economy, pouring tax revenue into the City’s general fund, health services, public safety, arts and cultural organizations, recreational facilities and low-income housing.”

Specifically, the San Francisco visitor industry generates $473 million in taxes, supports 68,652 jobs and has an annual payroll of $1.83 billion based on research conducted by the SFCVB Foundation and Destination Analysts.

San Francisco’s visitor industry is rebounding from the difficult times faced in the wake of the dot com collapse and terrorist attacks of 9/11. The industry’s performance began to suffer in early 2001 when business travel related to the technology industry sharply declined.

This downturn was then greatly exacerbated in the wake of 9/11, SARS and the war in Iraq. Historical estimates show that both the number of visitors coming to San Francisco and their in-market spending have grown for the past four years.