San Diego tourism sees growth despite inflation and rising costs, showcasing resilience and contributing $22 billion in economic impact.

San Diego

According to data released by the San Diego Tourism Authority (SDTA) this week, San Diego’s tourism industry has shown remarkable growth, attracting more visitors this year despite inflation and increased travel costs.

This growth underscores San Diego’s resilience and enduring appeal as a travel destination, even in challenging economic times.

Kerri Kapich, the SDTA’s Chief Operating Officer, emphasized the critical pillars of San Diego’s tourism economy: “San Diego’s tourism economy is built on the meetings market, the conventions market, and leisure travel.”

This blend of business and leisure visitors has been instrumental in the city’s recovery from the significant impact of the COVID-19 pandemic.

Kapich noted that the SDTA is celebrating its 70th anniversary, marking the city’s ongoing recovery from the pandemic.

“San Diego has been very fortunate. During the pandemic, we experienced devastating losses. Fifty percent of our employees were out of work, setting our tourism economy back 20 years,” she said.

Despite these setbacks, San Diego has significantly recovered, re-establishing itself as a vibrant visitor hub.

Before the pandemic, San Diego welcomed approximately 35 million annual visitors.

In fiscal year 2024, the city hosted about 32 million visitors — an increase of two million compared to the previous year.

This steady growth highlights the strong comeback of the local tourism sector and showcases the allure of San Diego’s beaches, attractions, and hospitality.

The influx of visitors has also brought substantial economic benefits.

Tourism activity contributed approximately $22 billion in economic impact.

Kapich explained that a portion of this revenue benefits the city through public investments.

“A hotel tax is charged, which goes into city coffers. The city uses it for police, fire services, essential services, parks, and recreation,” she said.

This means that every tourist staying in a San Diego hotel contributes to the quality of life for residents by supporting public safety and community services.

The SDTA aims to boost growth further as it moves into 2025, focusing on attracting more international visitors.

Kapich and her team believe San Diego is well-positioned to attract travelers worldwide, thanks to its diverse offerings and ongoing investments in tourism infrastructure.

Efforts to increase international tourism are crucial to expanding the city’s economic footprint.

By attracting more international visitors, San Diego can continue building on the growth achieved in recent years.

The city’s rich cultural attractions, world-class events, and stunning coastlines make it an appealing destination for domestic and international tourists.

Despite the challenges of inflation and rising travel costs, San Diego’s tourism industry has demonstrated its resilience and ability to grow.

By focusing on meetings, conventions, and leisure travel, the city attracts millions of visitors and ensures these visits have a meaningful economic impact that benefits residents and contributes to the community’s overall development.

San Diego’s continued efforts to strengthen its position as a leading destination reflect its commitment to growth and resilience in the face of economic challenges.

With plans to attract more international travelers and support the community through tourism-generated revenue, the future of San Diego’s tourism industry looks promising.