New Fast Facts from Explore Minnesota

Did you know…?

  • Leisure and hospitality in Minnesota generate $10 billion in gross sales annually.
  • More than $600 million is generate in state sales tax.
  • Minnesota’s leisure and hospitality industry employs more than 235,000 workers.
  • Tourism is a key sector of Minnesota’s economy, comparable to agriculture in its contribution to the gross state product.
  • The annual number of travelers in Minnesota (28.6 million) is nearly five times the total population of the state.
  • Minnesota tourism generates more than $25 million in gross receipts/sales per day.

The Arts Draw Tourists to Minnesota

When the Children’s Theatre Company wins a Tony Award, the Minnesota Orchestra and Saint Paul Chamber Orchestra tour in Europe and Asia, the Guthrie Theater participates in the largest Shakespeare tour in American history, or the Minneapolis Institute of Arts hosts a major exhibition from an international museum they bring Minnesota visibility and prestige, and give our state national and international acclaim.

Travelers seeking exciting and educational encounters with the people, traditions, arts and history of the area have a tremendous impact on communities in Minnesota.

Travelers who come from other areas for arts-related activities also spend money in hotels, restaurants, parking ramps and stores. Communities throughout Minnesota are thriving on arts-related tourism – including Fergus Falls, Grand Marais, Grand Rapids, Lanesboro, New York Mills, Minneapolis, St. Paul and many others.

The Bureau of Economic Analysis reports that consumers spent $12.1 billion ($42 per person) on admissions to performing arts events in 2002. This amount was $2.5 billion more than spending on tickets to movie theaters.

Arts audiences spent $80.8 billion in event-related spending in 2002, reflecting an average of $22.87 per person in spending for hotels, restaurants, parking, souvenirs, and refreshments. Non-local attendees spent nearly twice as much as local attendees ($38.05 compared to $21.75). (Arts & Economic Prosperity: The Economic Impact of Nonprofit Arts Organization and Their Audiences, Americans for the Arts).

In fact, the Minnesota State Arts Board works in cooperation with the Minnesota Department of Tourism to promote our cultural institutions to travelers from outside the state. Cultural tourism translates into economic development for artists, institutions, neighborhoods and cities. The Minnesota Department of Tourism brings tourists to Minnesota using the arts as a draw with several initiatives. There is a special fund in their office to promote cultural/heritage tourism. The objective of this program is to generate revenue for Minnesota from cultural/heritage tourism non-resident spending and create exposure for Minnesota through cultural/heritage events. One of the themes of these grants is to promote Minnesota’s “Arts of a National Stature.” The Dept. of Tourism has also held a statewide conference promoting and focusing on arts and cultural tourism.

On a promotional tour to Canada on behalf of Minnesota, Gov. Jesse Ventura was asked what Minnesota has to offer to Canadian tourists. The first and only reply he had to make was, “Our theaters, our museums, our culture. We have everything New York has without the hassles.” (Gov. Jesse Venturea, NewsNight Minnesota, 7/9/2001)

Statistics on Cultural Tourism

Percentage of 143.3 million U.S. adult travelers that attended cultural events on trips of 50+ miles:

Any Cultural Event – 65% (92.7 million)
Historic Site - 43% (61 million)
Museum – 30% (42.6 million)
Live Theatre – 23% (32.8 million)
Art Gallery – 21% (30.2 million)
Heritage/Ethnic Festival – 20% (29.1 million)
Opera/Classical Concert – 10% (13.7 million)
Dance Performance – 9% (13.5 million)
Poetry/Literary Reading – 5% (7 million)
Film Festival – 3% (4.6 million)
Other Concert – 19% (27.3 million)
Other Cultural Activity – 14% (20.4 million)

“Arts, culture and heritage are key to marketing your community to domestic and international travelers” was the message to travel professionals from the Travel Industry Association of America’s 1998 and 2001 studies of cultural tourists.

“The sheer volume of travelers interested in arts and history, as well as spending habits, their travel patterns and demographics, leaves no doubt that history and culture continue to be a significant and growing part of the U.S. travel experience. This is a market to which the travel industry needs to pay close attention in the future,” said William S. Norman, president & CEO of the Travel Industry Association of America.

A new study from the Travel Industry Association of America (TIA) and Smithsonian Magazine shows a continued and growing trend in travelers’ desire to experience cultural, artistic, historic and heritage-related activities. Study results, as reported in The Historic/Cultural Traveler, 2003 Edition, show that a remarkable 81 percent of U.S. adults who traveled in the past year, or 118 million, are considered “historic/cultural travelers”. These travelers included historical or cultural activities on almost 217 million person-trips last year, up 13 percent from 192 million in 1996. (A person-trip is one person on one trip traveling 50 miles or more from home one way.) (Travel Industry Association of American – TIA, 2003)

Many historic/cultural travelers agree that trips that include cultural, artistic, historic, or heritage-related activities are more enjoyable to them (39%) and that they prefer to visit destinations that have some historical significance (38%). Three in ten (29%) agree that it is important that the trips they take for leisure provide cultural experiences. A select group feels that a leisure trip away from home is not complete without visiting a museum, historic site or landmark (26%) or attending a cultural event or arts performance (17%). (Travel Industry Association of America, 2003).

Cultural activities attract tourists and spur the creation of ancillary facilities needed to support them, such as restaurants and hotels. Cultural facilities and events enhance property values, tax resources, and overall profitability for communities. In doing so, the arts become a direct contributor to urban and rural revitalization. (The Role of the Arts in Economic Development, National Governors Association, 2001)

In the 2001 survey, the National Governors Association found that the majority of Americans who took trips of 50 miles or more in the past year say they included a cultural, arts, heritage or historic activity on their itineraries. In addition, 65 percent of American adult travelers, or 92.7 million people, planned at least one cultural activity for vacation time.

Travelers visit arts and cultural sites by the millions: (from the 2001 study)

  • 40 million travelers took time to visit a historic site;
  • 28 million visited a museum;
  • 21 million took in a live theater performance;
  • 20 million visited an art gallery;
  • 19 million partook of heritage or ethnic festivals; and
  • 18 million attended music concerts.

Other results from the 1998 survey:

  • 29% added extra time to their trip for culture.
    Tourism experts will tell you that increasing a visitor’s length of stay is key to increasing their economic impact on a community.

  • Of the 92.4 million travelers who included a cultural activity while on a trip during the past year, 29% (26.7 million adults) added extra time to their trip because of the cultural activity or event.

    61% added part of one day;
    30% added one night;
    5% added two extra nights; and
    4% added three or more extra nights.

  • Compared to the average trip in the U.S., historic or cultural trips are more likely to be seven nights or longer and include air travel, a rental car, and a hotel stay. Historic/cultural travelers are also more likely to extend their stay to experience history and culture at their destination. In fact, four in ten added extra time to their trip specifically because of a historic/cultural activity. (TIA, 2003)

    Travelers who include cultural events on their trips are more likely than other travelers to:

    Be married: 67% vs. 61%
    Have completed college: 41% vs. 32%
    Have managerial or professional occupations: 41% vs. 24%
    Have higher household incomes: $48,000 vs. $37,000

    They also share similarities with other travelers:

    Gender profile: 50% men, 50% women
    50% have children under the age of 18 living at home.

Economic Impact of Cultural Tourism at a Glance

Cultural tourists vs. the average traveler:

  • Spend more money per trip ($614 vs. $425)
  • Take longer trips (4.7 days vs. 3.3 days)
  • Shop more (45% vs. 33%)
  • Stay in hotels, motels and bed & breakfasts (56% vs. 42%)

Source: Travel Industry Association of America, 1998