Measuring the economic impacts of parks and tourism

Natural areas and parks benefit public health, the community, and biodiversity. However, one benefit that often gets overlooked is economic impact.

The economic impact of a park refers to its financial effect on its surrounding area, region, or country. For instance, tourist spending at hotels, restaurants, local shops and supplier spending to support these local businesses.

Economic benefits are a major consideration for parks and tourism as they justify the financial return of a natural area. To get this key information, you need to quantify changing visitation throughout the year.

Studying usage of trails along rivers, lakes, and coastlines

The Brittany region in France has enjoyed the benefits of cycling tourism for years, and has received multiple awards. A recent project led them to review more than 1,500 miles of cycling routes across large regions, the country, and even internationally.

Remarkably, they have seen an increase of 28% in cycling over the past 5 years – that's 5% per year! And it's not just an increase in cycling. Walking on the trail has increased by 22% over the same time.

How do I measure my park's economic impact?

To measure your park's impact on the economy, use automatic counters, which count visitors 365 days a year. This gives you an unbiased, solid foundation for calculating economic indicators.

Adding depth to your visitation data with other data sources like survey or observational data (age, gender, origin, type of user, overnight stays) is another key component. Finally, you can use these data sources to create a mathematical model to measure the economic benefits of your park, which will be adapted specifically to your situation.

Financial data can help you paint a complete picture of what your park or trails contribute to your community. In addition to qualitative indicators like public health and social wellness, economic impact data adds a strong quantitative argument.

Do parks benefit the economy?

In their latest report on visitor spending effects, the National Park Service in the United States shared these key takeaways:

- 325.5 million recreational visits were recorded in 2023, up 4% from 2022.
- Visitors spent an estimated $26.4 billion in local gateway regions or counties. These areas had towns and cities where visitors typically stopped to make purchases and stay the night while visiting parks. This figure was up 10% from 2022.
- In 2023, the total effects of NPS visitor spending supported an estimated 415,400 jobs, $19.4 billion in labor income, $32 billion in value-added, and $55.6 billion in economic output in the national economy.

To conclude these numbers on their parks' benefits, NPS used three key data sources to inform their model. One of which was visitation data.

How many people visit national parks each year in North America?

In the United States, the National Park Service reported 325.5 million recreational visits to their parks in 2023, up 4% from 2022.

In Canada, Parks Canada reported 15.2 million visitors in 2022-23, an increase of 4% from 2021-2022.

Do park tourists spend a lot?

In the United States, the National Park Service reported that parks visitors spent around $26.4 billion in "local gateway regions." These regions were defined as counties with towns and cities where park tourists stopped to make purchases and stay the night. This spending figure was up 10% from 2022.

Do parks support the economy?

In their 2023 Visitor Spending Effects report, the National Park Service stated that park visitor spending supported an estimated 415,400 jobs, $19.4 billion in labor income, $32 billion in value-added, and $55.6 billion in economic output. Add this to other factors like public health, community, and preservation, and the value of parks quickly becomes apparent!

What data do I need to prove my park's economic benefits?

To measure how your park benefits your local economy, start with a park counter or trail counter.

Long-term counting gives you unbiased count data that serve as a basis for economic indicators. Of course, this data can also prove your park's benefit to public health, community building, etc.

Then, you need other data sources like surveys or observational data (age, gender, origin, type of user, overnight stays). Finally, you should combine these data sources to create a mathematical model to measure your park's economic benefits. A multi-step process, but well worth it for understanding your park's financial value!