Arizona Travel Impacts
1998-2013p

Photo courtesy of Arizona Office of Tourism

May 2014

Prepared for the

Arizona Office of Tourism
Phoenix, Arizona

ARIZONA TRAVEL IMPACTS
1998-2013P

Arizona Office of Tourism

Primary Research Conducted By:
Dean Runyan Associates
Portland, Oregon

May 2014

EXECUTIVE SUMMARY
This report describes the economic impacts of travel to and through Arizona and the
state’s fifteen counties. The estimates of the direct impacts associated with traveler
spending in Arizona were produced using the Regional Travel Impact Model (RTIM)
developed by Dean Runyan Associates. The estimates for Arizona are generally
comparable to the U.S. Travel and Tourism Satellite Accounts produced by the Bureau
of Economic Analysis. The estimates of spending, earnings, employment and tax
receipts are also used as input data to derive estimates of other economic measures,
including gross domestic product (GDP) and secondary effects of the travel industry.

ANOTHER YEAR OF MODERATE EXPANSION FOR THE ARIZONA TRAVEL INDUSTRY
Following the steep decline in travel to Arizona brought on by the 2008-2009 recession,
travel activity in the state is showing moderate, but sustained, improvement. Although
total travel employment is still below the 2006 peak due to job losses in air
transportation and travel arrangement services, employment in the leisure and
hospitality sector has recovered.


Spending. Total direct travel spending in Arizona was $19.8 billion in 2013.
This represents a 2.7 percent increase over the preceding year in current dollars.
Small increases in airfares and lower gasoline prices were the reason for the
relatively low increase in current dollar spending. In real dollars (adjusted for
inflation) Arizona travel spending increased by 2.3 percent – similar to the
increase for 2011-12.



Travel Activity. Visitor air travel on domestic flights to Arizona destinations
increased by 0.4 percent in 2013. Room demand, as reported by Smith Travel
Research, increased by 1.9 percent for the year.



Employment. Direct travel-generated employment was 163,500 in 2013. This
represents an addition of 2,200 jobs, an increase of 1.4 percent.



Secondary Impacts. The re-spending of travel-related revenues by businesses
and employees creates secondary impacts. In 2013, the secondary impacts were
141,000 jobs with $5.7 billion in earnings.



GDP. The Gross Domestic Product of the travel industry was $7.7 billion in
2013. The travel industry and the microelectronics industry have been the top
two export-oriented industries in the state in recent years.

DEAN RUNYAN ASSOCIATES

THE ARIZONA TRAVEL INDUSTRY IS A LEADING EXPORT-ORIENTED INDUSTRY
Travel and tourism is one of the most important “export-oriented” industries in Arizona.
Spending by visitors generates sales in lodging, food services, recreation, transportation
and retail businesses – the “travel industry.” These sales support jobs for Arizona
residents and contribute tax revenue to local and state governments. Travel is especially
important in the non-metropolitan areas of the state, where manufacturing and traded
services are less prevalent.
Selected Arizona Export-Oriented Industries, 2013
Travel

$5.4

Microelectronics

$4.5

Aerospace

$2.9

Agriculture

$1.4

Mining

$1.2
$0

$1

$2

$3

$4

$5

$6

Earnings in Billions
Note: Preliminary 2013 estimates by Dean Runyan Associates.
Agriculture includes food and beverage processing industries.

THE TRAVEL INDUSTRY GENERATES TAX BENEFITS FOR ARIZONA RESIDENTS
In 2013, the travel industry generated $1,100 in local, state and federal tax receipts for
each Arizona household.


In 2013, almost seven percent of all local and state tax revenues were generated
by the travel industry.



The tax revenue impacts of the Arizona travel industry are relatively more
important in non-urban counties (see graph).
State Transaction Privilege Taxes Generated
By Direct Travel Spending, 2013 FY

Maricopa & Pima

All Other Counties

0%

5%

10%

15%

20%

Percent Travel-Generated

DEAN RUNYAN ASSOCIATES

ARIZONA TRAVEL IMPACTS, 1998-2013P
I. U.S. Travel
II. Arizona Travel
Summary of Arizona Travel
Travel Trends
Seasonal and Regional Travel Impacts
Visitor Origin
Arizona Travel Industry Gross Domestic Product
Gross Domestic Product of Arizona Export-Oriented Industries
Direct, Secondary & Total Impacts

III. State and Local Government Revenue
IV. Regional Travel Impacts
V. County Travel Impacts
Appendices
A.
B.
C.
D.
E.
F

2013 Travel Impact Estimates
Key Terms and Definitions
Regional Travel Impact Model
Travel Industry Accounts
Arizona Earnings and Employment by Industry Sector
Secondary Impacts Industry Groups

DEAN RUNYAN ASSOCIATES

page
1
5
6
7
9
10
11
12
13
18
24
32
55
56
61
62
63
74
75

PAGE I

List of Tables and Figures
page

I. US Travel
Annual Direct Travel Spending in U.S., 2000-2013p
Annual U.S. Travel Spending, 2008Q1-2013Q4
International Direct Travel Spending in U.S.
Overseas Arrivals to the U.S.
U.S. Travel Industry Employment, 2008Q1-2013Q4
Components of U.S. Travel Industry Employment

2
2
3
3
4
4

II. Arizona Travel
Arizona Travel Trends, 1998-2013p
Arizona Direct Travel Spending, Real and Current Dollars
Air Passenger Visitor Arrivals to Arizona, US Air Carriers, 2000-2013
Arizona Lodging Sales, 2000-2013
Regional Shares of Arizona Taxable Lodging Sales, 2013
Taxable Lodging Sales by Region and Quarter, 2013
Arizona Taxable Lodging Sales by Quarter, 2007-2013
Arizona Visitor Spending by Origin of Visitor, 2013p
International Visitor Spending in Arizona, 2000-2013p
Arizona Travel Industry Gross Domestic Product, 2013p
Arizona Gross Domestic Product, 2012 (Selected Export-Oriented Industries)
Total Employment and Earnings Generated by Travel Spending in Arizona, 2013p
Direct & Secondary Employment Generated by Travel Spending, 2013p (graph)
Direct & Secondary Earnings Generated by Travel Spending, 2013p (graph)
Direct & Secondary Employment Generated by Travel Spending, 2013p (table)
Direct & Secondary Earnings Generated by Travel Spending, 2013p (table)
Arizona Travel Impacts, 2004-2013p (detail)

III. State and Local Government Revenue

18

Arizona State & Local Tax Revenue, 2012-13 FY
Arizona Travel Industry State & Local Tax Revenues, 2012-13 FY
Arizona State & Local Tax Revenues, 2012-13 FY (table)
GDP and Tax Payments of Selected Arizona Industries, 2012
Tax Payments as Percent of GDP for Selected Arizona Industries, 2012
State Transaction Privilege Taxes Generated by Travel Spending, 2013 FY
IV. Regional Travel Impacts
Regional Impact Summary Tables
Regional Impact Detail Tables, 2004-2013p

IV. County Travel Impacts

18
19
20
21
21
22
24
25-26
27

32

Travel-Generated Earnings Shares, 2013p
Travel-Generated Employment and Earnings Shares by County, 2013p
County Impact Summary Tables
County Impact Detail Tables, 2004-2013p

PAGE II

7
8
8
8
9
9
9
10
10
11
12
13
15
15
16
16
17

33
34
35-39
40-53

DEAN RUNYAN ASSOCIATES

PREFACE
The purpose of this study is to document the economic significance of the travel
industry in Arizona from 1998 to 2013. These findings show the level of travel
spending by visitors traveling to and within the state, and the impact this spending
had on the economy in terms of earnings, employment and tax revenue.
Dean Runyan Associates prepared this study for the Arizona Office of Tourism.
Dean Runyan Associates has specialized in research and planning services for the
travel, tourism and recreation industry since 1984. With respect to economic
impact analysis, the firm developed and currently maintains the Regional Travel
Impact Model (RTIM), a proprietary computer model for analyzing travel economic
impacts at the state, regional and local level. Dean Runyan Associates also has
extensive experience in project feasibility analysis, market evaluation, survey
research and travel and tourism planning.
Many individuals and organizations provided data and assistance for this report.
State agencies include the Department of Revenue, Department of Commerce,
Gaming Commission and State Parks. Information was also provided by the College
of Business and Public Administration at the University of Arizona and the School of
Hotel and Restaurant Management at Northern Arizona University. Federal
agencies that provided essential data for this report include the Bureau of Economic
Analysis, the Department of Labor, the Department of Transportation, the U.S.
Forest Service, and the National Park Service.
Special thanks are due to Melissa Elkins, Research Manager for the Arizona Office of
Tourism. Without her support and assistance, this report would not have been
possible.
Dean Runyan Associates
833 SW 11th Ave., Suite 920
Portland, OR 97205
(503) 226-2973
info@deanrunyan.com
www.deanrunyan.com

DEAN RUNYAN ASSOCIATES

PAGE III

This page intentionally blank

I. U.S. TRAVEL

DEAN RUNYAN ASSOCIATES

PAGE 1

The national level data in this section focuses on visitor spending trends in current and real
dollars, international visitation to the U.S., and trends in travel-generated employment.
The following two graphs are derived from the Bureau of Economic Analysis Travel and
Tourism Satellite Accounts.1 Both graphs show direct tourism output for the United States
– spending by domestic and international visitors.

Annual Direct Travel Spending in U.S., 2000-13p

Tourism Output (Billions)

$950
$900

Real

$850
$800
$750

Current

$700
$650
$600
$550

Spending by domestic
and international visitors
was $900 billion in 2013
in current dollars. This
represents a 4.0 percent
increase over 2012.
When adjusted for
changes in prices (real
dollars), spending
increased by 3.6 percent
– compared to a 2.8
percent increase from
2011 to 2012.

$500
00 01 02 03 04 05 06 07 08 09 10 11 12 13p

Direct Travel Spending in U.S.
2008-Q1 to 2013-Q4
Annualized Seasonally Adjusted in 2005 Dollars

Real Tourism Output
(Billions)

$780
$730
$680

$630
$580
06

07

08

09

10

11

12

13

On a seasonally adjusted
quarterly basis, real
travel spending in the
last quarter of 2013
almost attained the
previous high recorded
in the first quarter of
2007.
Real travel spending has
increased at a fairly
constant pace over the
past three years, with the
exception of the last two
quarters of 2012.

Year-Quarter

1

See http://www.bea.gov/industry/index.htm#satellite.

PAGE 2

DEAN RUNYAN ASSOCIATES

The following three graphs are concerned with international travel to the U.S. The first
graph is derived from the Bureau of Economic Analysis Travel and Tourism Satellite
Accounts and International Transactions.2 The following two graphs are derived from the
monthly international arrival data released by the Office of Travel and Tourism Industries. 3
International Direct Travel Spending in U.S.
Amounts in Real Dollars (Billions)
International Share of U.S. Internal Travel*
$145

International Share

Share

Spend

$135

15%

$125

$115

10%

$105
$95

5%

$85

0%

$75
01

03

05

07

09

11

*Airfares for international flights on
U.S. air carriers are not included.

International Spending (Billion)

20%

Spending by international
visitors in the U.S. increased by
10.0 percent from 2012 to 2013
in real dollars – the fourth
consecutive year of growth.
This compares to a 2.4 percent
rate of growth in real spending
by domestic visitors.
(Note: These estimates have been
calculated by Dean Runyan Associates.)

Overseas Arrivals (Millions)

13

35

Europe

30

Asia

Other

25
20
15

The growth and increased share of
in international travel spending in
the U.S. has been driven by an
increase in overseas arrivals over
the past four years -- an average
annual increase of more than 7.5
percent. The 2009-2013p average
annual increase for Asian
countries has been almost 13
percent.

10
5
0
01

03

05

07

09

11

13

60
50

09

10

11

12

13

40

30
20
10
0
Q1

Q2

Q3

Q4

2

See www.bea.gov/international/index.htm for quarterly international estimates of travel and tourism exports
(travel to the U.S. by international visitors). Estimates of inflation-adjusted real spending by Dean Runyan
Associates.
3

See http://tinet.ita.doc.gov/research/monthly/index.html. Annual and 4th quarter 2013 estimates by Dean
Runyan Associates.

DEAN RUNYAN ASSOCIATES

PAGE 3

The following two graphs show quarterly employment trends since 2008 for seasonally
adjusted data.* The first graph shows that travel-generated employment was at its lowest
level in the first quarter of 2010 and has not yet fully recovered. (Employment is typically a
lagging indicator of overall economic activity.) The second graph shows the employment
trends of different types of businesses within the travel industry. In general, the leisure and
hospitality sector has recovered more fully than transportation, retail and other business in
the travel industry. This is in part due to the cyclical patterns of these industry sectors and
in part due to structural changes. (For example, air transportation now uses fewer
employees to transport an equivalent number of passengers.)
U.S. Travel Industry Employment
Seasonally Adjusted at Annual Rates
2008-Q1 to 2013-Q4

6.2

Millions of Jobs

6.0
5.8

5.6
5.4
5.2

5.0
08

09

10

11

12

13

Components of U.S. Travel Industry Employment
Year-Quarter 2008-1 = 100

Travel industry employment
includes the leisure and
hospitality sector (arts,
entertainment, recreation,
accommodations and food
services). This represents
about two-thirds of all travel
industry employment.
Transportation includes all
air and ground
transportation goods and
services, including motor
fuel and travel arrangement.
This comprises about onefifth of all travel industry
employment. Slightly more
than one-tenth of travel
industry employment is in
retail and other businesses.

105

Leisure & Hospitality

Period 08-Q1 = 100

100

Transportation

95

90

Source: Bureau of Economic
Analysis Travel & Tourism
Satellite Accounts.

Retail & Other

85

*Seasonal adjustment permits
quarter to quarter trend analysis.

80
75

08

PAGE 4

09

10

11

12

13

DEAN RUNYAN ASSOCIATES

II. ARIZONA TRAVEL

DEAN RUNYAN ASSOCIATES

PAGE 5

The multi-billion dollar travel industry in Arizona is an important part of the state and local
economies. The industry is represented primarily by businesses in the leisure and
hospitality sector, transportation, and retail. The money that visitors spend on various
goods and services while in Arizona produces business receipts at these firms, which in
turn generate earnings and employment for Arizona residents. In addition, state and local
governments collect taxes that are generated from visitor spending. Most of these taxes are
imposed on the sale of goods and services to visitors, thus avoiding a tax burden on local
residents.
The economic impacts directly generated by visitor spending also contribute to significant
secondary impacts. A portion of the business receipts generated by visitor spending is
spent by businesses within Arizona for other goods and services (indirect impacts). Visitor
generated earnings are also spent by employees for goods and services produced in
Arizona (induced impacts).

SUMMARY OF ARIZONA TRAVEL


Total direct travel spending in Arizona was $19.8 billion in 2013. This represents a
2.7 percent increase over the preceding year in current dollars. Small increases in
airfares and lower gasoline prices were the reason for the relatively low increase in
current dollar spending. In real dollars (adjusted for inflation) Arizona travel
spending increased by 2.3 percent – similar to the increase for 2011-12.



Lodging sales, a primary component of visitor spending, increased by 4.1 percent
from 2012 to 2013 following a 3.8 percent increase the preceding year.



Visitor air travel on domestic flights to Arizona destinations increased by 0.4 percent
in 2013. Visitor air arrivals to the state are essentially unchanged since the large
declines in 2008 and 2009.



Direct travel-generated employment was 163,500 in 2013. This represents an
addition of 2,200, an increase of 1.4 percent. Job losses occurred in air
transportation, travel arrangement services and convention/trade show support.
More than three thousand jobs were added in the leisure and hospitality sector – an
increase of almost three percent. (See detailed employment estimates, page 17.)



The Gross Domestic Product of the travel industry was $7.7 billion in 2013. The
travel industry and the microelectronics industry have been the top two exportoriented industries in the state in recent years.



The re-spending of travel-related revenues by businesses and employees creates
secondary impacts. In 2013, the secondary impacts were 141,000 jobs with $5.7
billion in earnings.

PAGE 6

DEAN RUNYAN ASSOCIATES

TRAVEL TRENDS
Following the steep decline in travel to Arizona brought on by the 2008-2009 recession,
travel activity in the state is showing moderate, but sustained, improvement. Although
total travel employment is still below the 2006 peak due to job losses in air transportation
and travel arrangement services, employment in the leisure and hospitality sector has
recovered.
Total direct travel spending in Arizona was $19.8 billion in 2013. This represents a 2.7
percent increase over the preceding year in current dollars. Lodging sales, a primary
component of visitor spending, increased by 4.1 percent. (Arizona Department of Revenue).
Spending on motor fuel actually declined due to lower gas prices.
This travel spending resulted in 2,200 additional jobs in the travel industry, an increase of
1.4 percent. The leisure and hospitality sector added 3,200 jobs, an increase of 2.7
percent. (See detailed impact table, page 16.)

Arizona Travel Trends, 1998-2013p
Spending
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013p

Earnings Employment

($Billion)

($Billion)

(Thousand)

11.8
12.7
13.7
13.2
13.2
14.1
15.2
16.8
17.8
18.1
18.0
16.4
17.5
18.5
19.3
19.8

3.4
3.6
3.9
3.8
3.8
4.0
4.3
4.6
4.9
5.2
5.1
4.8
4.9
5.1
5.3
5.4

152.7
157.9
160.0
153.2
151.1
154.4
158.5
164.8
168.5
167.9
165.1
156.2
154.3
157.0
161.3
163.5

1.2
3.2

1.4
0.5

Tax Revenue ($Million)
Local
State Federal
503
463
750
546
497
804
586
533
853
550
526
788
564
545
800
598
575
843
637
615
917
693
669
982
728
698 1,049
749
713 1,095
748
704 1,074
717
671 1,032
727
706 1,063
774
770 1,011
790
799 1,048
786
791 1,153

Total
1,716
1,846
1,973
1,863
1,909
2,016
2,169
2,344
2,475
2,557
2,526
2,420
2,496
2,555
2,638
2,730

Annual Percentage Change
12-13p
98-13p

2.7
3.5

-0.5
3.0

-1.0
3.6

10.0
2.9

3.5
3.1

Note: Estimates for 2013p are preliminary. These direct travel impacts do not include secondary
(indirect and induced) impacts. One-way visitor airfares are included. Total earnings include
wage and salary disbursements, other earned income and proprietor income. Employment
includes full- and part-time payroll employees and self-employed.

The decrease in local and state tax revenue in 2013 was due to the expiration of the
temporary 1 percent tax on May 31, 2013. If there had not been a tax rate change, local
revenues would have increased by 2 percent and state revenues would have increased by
4 percent. The increase in federal taxes was due, in part, to the expiration of the temporary
payroll tax reduction on January 1, 2013.

DEAN RUNYAN ASSOCIATES

PAGE 7

Arizona Direct Travel Spending
Real and Current Dollars
2000-2013p

Travel Spending (Billions)

$22
Real

$20
$18

Current

$16
$14
$12
$10

00 01 02 03 04 05 06 07 08 09 10 11 12 13p

In real dollars (adjusted for
inflation) Arizona travel
spending increased by 2.3
percent over 2012 – close to
the 2.7 percent increase in
current dollars. Unlike
preceding years, there was
little change in transportation
prices.
Sources: Smith Travel Research, Energy
Information Administration, U.S.
Department of Transportation Origin
and Destination Survey, and Bureau of
Labor Statistics CPI-West Urban.

Air Passenger Visitor Arrivals to Arizona
U.S. Air Carriers, 2000-2013

Visitor air arrivals to Arizona
increased by 0.4 percent from
2012 to 2013. Visitor air
arrivals to the state are
essentially unchanged since
the large declines in 2008 and
2009.

Visitor Air Arrivals (Millions)

8.5
8.0
7.5
7.0
6.5
6.0

Sources: U.S. Department of
Transportation Origin and Destination
Survey and Dean Runyan Associates.

5.5
5.0
00 01 02 03 04 05 06 07 08 09 10 11 12 13

Arizona Taxable Lodging Sales
2000-2013

Taxable Lodging Sales (Billions)

$2.6

Taxable lodging sales
increased by 4.1 percent
annually from 2012 to 2013 –
following a 3.8 percent
increase the preceding year.

$2.4
$2.2

$2.0
$1.8
$1.6

Source: Arizona Department of
Revenue. Lodging sales for the second
quarter of 2013 were adjusted by Dean
Runyan Associates to correct an
anomaly in tax payments received.

$1.4
$1.2
$1.0
00 01 02 03 04 05 06 07 08 09 10 11 12 13

PAGE 8

DEAN RUNYAN ASSOCIATES

SEASONAL AND REGIONAL TRAVEL IMPACTS
The pie chart shows the annual
distribution of lodging sales by
region. The lodging sales of the
Phoenix and Central Arizona region
are greater than the four other regions
combined.
(The Northern Arizona region includes Apache,
Coconino and Navajo counties. The West Coast
region includes La Paz, Mohave and Yuma
counties. The North Central region includes Gila
and Yavapai counties. The Phoenix and Central
Arizona region includes Maricopa and Pinal
counties. The Tucson and Southern Arizona
region includes Cochise, Graham, Greenlee, Pima
and Santa Cruz counties.)

Regional Shares of Arizona Taxable
Lodging Sales, 2013
West Coast
4.2%
North
Central
5.5%

Phoenix &
Central
60.6%

Taxable Lodging Sales by Region
and Quarter, 2013

The next two graphs provide quarterly
breakouts for the regions and the
state.
Lodging sales are greatest in the first
quarter for three of Arizona’s tourism
regions – the West Coast, Phoenix
and Tucson. By contrast, spring and
summer quarters are most important
for the Northern and North Central
regions.

Northern Tucson &
Southern
14.4%
15.3%

Northern
West Coast
North Central
Phoenix & Central

Tucson & Southern
0%

20%

Jan-Mar

Apr-Jun

60%

80%

Jul-Sep

100%

Oct-Dec

Arizona Taxable Lodging Sales by
Quarter, 2007 -2013 (Millions)
$1,000
$800
Millions

The bottom column chart provides a
statewide quarterly breakout of
lodging sales in two year increments
beginning in 2007. (The peak year
for lodging sales in the state was
2007. See graph on preceding page.)
Lodging sales in 2013 was still below
2007 levels for all four quarters. The
deficit for the first quarter (-9.6
percent) was the greatest, while the
third quarter (-2.7 percent) was the
least.

40%

$600

$400
$200
$0
Jan-Mar

Apr-Jun

2007

2009

Jul-Sep

2001

Oct-Dec

2013

Source: Arizona Department of
Revenue taxable hotel/motel sales.

DEAN RUNYAN ASSOCIATES

PAGE 9

VISITOR ORIGIN
Out-of-state travelers generate more than three-fourths of the visitor impacts in Arizona.
Visitors from other states are the largest segment (more than 60 percent of spending), while
international travel, including day travel from Mexico, comprises approximately 17 percent
of visitor impacts.

Arizona Travel Impacts by Origin of Visitor, 2013p
Origin

Spending

Earnings Employment

Tax Receipts ($ Million)

($ Billion)

($ Billion)

(Thousand)

Local/State

Federal

3.8
10.8
2.8
17.4
2.4
19.8

0.8
3.1
0.6
4.5
0.9
5.4

30.3
98.8
21.0
150.1
13.5
163.5

327
997
231
1,555
21
1,576

181
717
106
1,005
148
1,153

Arizona
Other U.S.
International
All Visitors
Other Travel
Total Travel

Sources: Dean Runyan Associates, International Trade Administration and Bureau of Economic
Analysis (U.S. Dept. of Commerce), TNS TravelsAmerica visitor survey, Statistics Canada, Vera
Pavlakovich-Kochi and Alberta H. Charney, “Mexican Visitors to Arizona: Visitor Characteristics and
Economic Impacts, 2007-08” (Karl Eller College of Business and Public Administration, University of
Arizona) and Bureau of Transportation Statistics Border Crossing/Entry Data.

International Visitor Spending in Arizona, 2000-2013p

International Share

Spending in Real (2013) Dollars
20%
18%
16%
14%
12%
10%
8%
6%
4%
2%
0%

Share

$2.8

Spend

$2.7
$2.6

$2.5
$2.4
$2.3

$2.2
$2.1
$2.0
01

03

05

07

09

11

13p

Sources: See above chart for source of international estimates. See first
graph on preceding page for constant dollar estimates. Constant dollar
visitor spending does not include “Other Travel.”

PAGE 10

DEAN RUNYAN ASSOCIATES

ARIZONA TRAVEL INDUSTRY GROSS DOMESTIC PRODUCT
In concept, the Gross Domestic Product (GDP) of a particular industry is equal to gross
output (sales or receipts) minus intermediate inputs (the goods and services purchased from
other industries). GDP is always smaller than output or sales because GDP measures only
the “value added” of an industry and does not include the cost of the inputs that are also
necessary to produce a good or service. Alternatively, GDP can be thought of as the sum
of earnings, indirect business taxes (primarily excise and property taxes) and other
operating surplus (including profits). Estimates of travel spending and travel industry GDP
are shown in the chart below. Arizona travel industry GDP amounted to $7.7 billion in
2013. Arizona travel industry GDP represented 2.9 percent of the total Arizona GDP in
2013(preliminary).
About 60 percent of all travel spending in Arizona is attributed to intermediate inputs and
goods resold at retail. Intermediate inputs cover a range of goods and services that are
purchased by travel industry businesses for the purpose of creating a product or service for
the traveler. For example, lodging establishments purchase cable television services.
Restaurants purchase food and beverages from vendors. In both cases, these inputs are
classified as the GDP of other industries. In addition, travel spending occurs at many retail
establishments where the goods purchased from the retailer are purchased as finished
goods from suppliers. These resold goods are also counted as products of other industries.
This would include motor fuel, groceries and most of the commodities sold at retail
establishments.1
Arizona Travel Industry Gross Domestic Product, 2013p
$20

Billions

$15

12.2

$5.4 Earnings

$10

$5

$0

$12.2 Inputs
$2.3 Surplus & Taxes

5.4

5.4

2.3

2.3

Spending ($19.8)

GDP ($7.7)

Sources: Dean Runyan Associates, Bureau of Economic
Analysis, and Minnesota Implan Group. Details may
not add to totals due to rounding.

1

About 38 percent of the $12.2 billion of inputs and goods resold are purchased from other Arizona
businesses.

DEAN RUNYAN ASSOCIATES

PAGE 11

GROSS DOMESTIC PRODUCT OF ARIZONA EXPORT-ORIENTED INDUSTRIES
Export-oriented industries are those industries that primarily market their products and
services to other regions, states or nations. 2 Agriculture, mining, and manufacturing are
the best examples of export-oriented industries. Clearly, there are cases in each of these
three sectors where the products are sold within the local or regional market. Nonetheless,
in general most businesses within these industries depend on export markets. The travel
industry is also an export-oriented industry because goods and services are sold to visitors,
rather than residents. The travel industry injects money into the local economy, as do the
exports of other industries.
Exports are not necessarily more important than locally traded goods and services.
However, diverse export-oriented industries in any economy are a source of strength – in
part because they generate income that contributes to the development of other local
services and amenities. Such industries characterize the “comparative advantage” of the
local economy within larger regional, national and global markets. A comparison of the
GDP’s of the leading export-oriented industries in Arizona is shown below.

2013 GDP of Major Arizona Export
Industries
Agric./Food Proc.
Mining
Micro-Electronics
Aerospace
Travel
$0

$2

$4

$6

$8

$10

Gross Domestic Product (Billions)
Sources: Bureau of Economic Analysis, Bureau of Labor Statistics
and Dean Runyan Associates. 2013 estimates for non-travel
industries based on 2012 GDP and 2013 earnings and payroll.

2

See also pages 57 of Appendix A and page 70 of Appendix D.

PAGE 12

DEAN RUNYAN ASSOCIATES

DIRECT, SECONDARY AND TOTAL IMPACTS
Travel spending within Arizona brings money into many Arizona communities in the form
of business receipts. Portions of these receipts are spent within the state for labor and
supplies. Employees, in turn, spend a portion of their earnings on goods and services in
the state. This re-spending of travel-related revenues creates indirect and induced impacts.
To summarize:


Direct impacts represent the employment and earnings attributable to travel
expenditures made directly by travelers at businesses throughout the state.



Indirect impacts represent the employment and earnings associated with industries
that supply goods and services to the direct businesses (i.e., those that receive
money directly from travelers throughout the state).



Induced impacts represent the employment and earnings that result from purchases
for food, housing, transportation, recreation, and other goods and services made by
travel industry employees, and the employees of the indirectly affected industries.

Total Employment and Earnings Generated by
Travel Spending in Arizona, 2013p
Employment (Thousands)

Induced
103.2

Indirect
37.4

Earnings (Billions)

Induced
$4.1

Direct
163.5

Direct
$5.4

Indirect
$1.6

Note: Indirect and induced impacts estimated by Dean Runyan Associates
with Minnesota IMPLAN model. Total employment was 304,000. The
employment multiplier for 2013 is 1.85 (304/164). Total earnings were $11.1
billion. The earnings multiplier is 2.05 (($11.08/$5.39).

DEAN RUNYAN ASSOCIATES

PAGE 13

The impacts in this section are presented in terms of the employment and earnings of
eleven major industry groups. These industry groups are similar, but not identical to the
business service (or commodity) categories presented elsewhere in this report. (The
specific industries that comprise these major groups are listed in Appendix D.) Direct
travel impacts, such as those discussed in the first part of this section and the regional and
county impacts presented elsewhere in this report are found in the following industry
groups:


Accommodations & Food Services



Arts, Entertainment and Recreation



Retail Trade



Transportation

As is indicated in the following tables and graphs, the total direct employment and earnings
of these four industry groups is identical to the total direct employment and earnings
shown in the first part of this section. The only difference is that these industry groups
represent industry groupings (firms) rather than commodity or business service groupings.
The indirect and induced impacts of travel spending are found in all eleven-industry
groupings shown in the following tables and graphs. To summarize the primary secondary
impacts:


Professional Services (30,000 jobs and $1.8 billion earnings). Legal, medical,
educational and other professional services are utilized by travel businesses (indirect
effect) and by employees of these firms (induced effect).



Other Services (12,000 jobs and $387 million earnings). Employees of travelrelated businesses purchase services from various providers, such as dry cleaners
and repair shops. Similarly, travel businesses utilize a number of service providers,
such as laundry, maintenance and business services.



Government (23,000 jobs and $1.3 billion earnings). Employees of travel-related
businesses pay fees to attend public educational institutions and to operate motor
vehicles.



Finance, Insurance and Real Estate (10,000 jobs and $502 million earnings).
Employees and businesses use the services of financial institutions, insurers and real
estate businesses.

PAGE 14

DEAN RUNYAN ASSOCIATES

Direct and Secondary Employment
Generated by Travel Spending in Arizona, 2013p
Accomm. & Food Serv.
Arts, Entertain., Rec.
Retail Trade
Transportation
Prof. Services
Government
Other Services
Finance, Ins., & Real…
Construction
Mining & Manufacturing
Agric.& Food Processing

Direct

0

20

Secondary

40

60

80

100

Direct and Secondary Employment (Thousands)

Direct and Secondary Earnings
Generated by Travel Spending in Arizona, 2013p
Accomm. & Food Serv.
Transportation
Prof. Services
Government
Arts, Entertain., Rec.
Retail Trade
Construction
Finance, Ins., & Real Estate
Other Services
Mining & Manufacturing
Agric.& Food Processing

Direct

$0.0

$0.5

$1.0

Secondary

$1.5

$2.0

$2.5

$3.0

Direct and Secondary Earnings (Billions)
See notes at end of table on page 20.

Detailed estimates are reported in the following table. It should be emphasized that the
estimates of indirect and induced impacts reported here apply to the entire state of Arizona
and do not necessarily reflect economic patterns for individual counties, regions or subregions within the state. While total economic impacts can be calculated on a county or
regional level, such a detailed analysis is not included in this study. In general, geographic
areas with lower levels of aggregate economic activity will have smaller secondary impacts
within those same geographic boundaries.

DEAN RUNYAN ASSOCIATES

PAGE 15

Direct & Secondary Visitor-Generated Employment in Arizona, 2013p
(thousand jobs)

Industry Group
Accomm. & Food Serv.
Arts, Entertain., Rec.
Retail Trade
Transportation
Prof. Services
Government
Other Services
Finance, Ins., & Real Estate
Construction
Mining & Manufacturing
Agric.& Food Processing
All Industries

Direct
85
37
15
26
0
0
0
0
0
0
0
164

Secondary
Indirect Induced
4
8
5
2
3
17
5
4
8
23
1
22
5
8
4
7
1
10
1
2
1
1
37
103

Total
12
8
20
9
30
23
12
10
10
4
2
141

Grand
Total
98
45
35
35
30
23
12
10
10
4
2
304

Direct & Secondary Visitor-Generated Earnings in Arizona, 2013p
($ Million)

Industry Group
Accomm. & Food Serv.
Transportation
Prof. Services
Government
Arts, Entertain., Rec.
Retail Trade
Construction
Finance, Ins., & Real Estate
Other Services
Mining & Manufacturing
Agric.& Food Processing
All Industries

Direct
2,309
1,631
0
0
997
458
0
0
0
0
0
5,394

Secondary
Indirect Induced
73
165
123
36
520
1,244
85
1,180
196
56
13
140
48
562
175
326
186
201
109
179
32
35
1,560
4,125

Total
238
160
1,764
1,265
252
153
611
502
387
287
67
5,685

Grand
Total
2,546
1,791
1,764
1,265
1,249
611
611
502
387
287
67
11,079

Source: Dean Runyan Associates and Minnesota Implan Group.
Note: These industry groups are not equivalent to the categories used in the direct impact tables used in this
report. See Appendix D. Details may not add to totals due to rounding.

Detailed direct travel impacts for 2002 through 2013p are shown on the following page.

PAGE 16

DEAN RUNYAN ASSOCIATES

Arizona Direct Travel Impacts, 2004-2013p
2004 2006 2008 2010 2011 2012 2013p
Total Direct Travel Spending ($Billion)
Destination Spending
13.5 15.7 15.8 15.5 16.4 17.0
17.4
Other Travel*
1.7
2.1
2.1
2.0
2.1
2.3
2.4
Total Direct Spending
15.2 17.8 18.0 17.5 18.5 19.3
19.8
Visitor Spending by Type of Traveler Accommodation ($Billion)
Hotel, Motel
6.4
7.7
7.3
7.0
7.4
7.6
7.9
Private Home
3.0
3.5
3.8
3.9
4.1
4.2
4.3
Campground
0.5
0.5
0.6
0.5
0.5
0.7
0.7
Vacation Home
0.5
0.6
0.6
0.7
0.7
0.7
0.7
Day Travel
3.1
3.4
3.5
3.4
3.6
3.8
3.8
Destination Spending
13.5 15.7 15.8 15.5 16.4 17.0
17.4
Visitor Spending by Commodity Purchased ($Billion)
Accommodations
2.3
2.8
2.7
2.4
2.5
2.6
2.7
Food Service
2.8
3.1
3.2
3.3
3.5
3.6
3.7
Food Stores
0.8
0.8
0.9
0.8
0.9
0.9
0.9
Local Tran. & Gas
2.1
2.8
3.2
3.0
3.6
3.7
3.7
Arts, Ent. & Rec.
1.9
2.1
2.0
2.0
2.1
2.1
2.2
Retail Sales
2.4
2.5
2.3
2.4
2.4
2.5
2.5
Visitor Air Tran.
1.2
1.5
1.5
1.5
1.5
1.5
1.6
Destination Spending
13.5 15.7 15.8 15.5 16.4 17.0
17.4
Industry Earnings Generated by Travel Spending ($Billion)
Accom. & Food Serv.
1.7
2.0
2.1
2.1
2.1
2.2
2.3
Arts, Ent. & Rec.
0.8
0.9
0.9
0.9
0.9
1.0
1.0
Retail**
0.5
0.6
0.6
0.5
0.5
0.5
0.5
Ground Tran.
0.1
0.1
0.1
0.1
0.1
0.1
0.1
Visitor Air Tran.
0.5
0.6
0.6
0.6
0.6
0.6
0.6
Other Travel*
0.7
0.8
0.8
0.8
0.8
0.9
0.9
Total Direct Earnings
4.3
4.9
5.1
4.9
5.1
5.3
5.4
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
78.5 83.4 82.9 79.6 81.5 83.0
85.5
Arts, Ent. & Rec.
36.4 38.5 37.3 35.3 35.4 36.5
37.1
Retail**
18.3 19.6 19.9 16.6 16.6 16.6
16.7
Ground Tran.
3.5
3.6
3.3
3.3
3.4
3.5
3.5
Visitor Air Tran.
7.7
8.2
7.8
7.0
7.3
7.5
7.2
Other Travel*
14.2 15.1 14.0 12.4 12.7 14.3
13.5
Total Direct Employment
158.5 168.5 165.1 154.3 157.0 161.3 163.5
Government Revenue Generated by Travel Spending ($Million)***
Local Tax Receipts
637
728
748
727
774
790
786
State Tax Receipts
615
698
704
706
770
799
791
Federal Tax Receipts
917 1,049 1,074 1,063 1,011 1,048 1,153
Total Direct Gov't Revenue
2,169 2,475 2,526 2,496 2,555 2,638 2,730
Details may not add to totals due to rounding.
***Local and State tax revenues include property taxes and taxes attributable to travel industry employees. These
tax receipts are not included in the county breakouts.

DEAN RUNYAN ASSOCIATES

PAGE 17

III. STATE AND LOCAL GOVERNMENT REVENUE
This section of the report provides an analysis of the state and local government revenue
supported by the travel industry. Most major sources of government revenue, including
sales, property and income taxes are included.
The pie chart below, adapted from the Bureau of the Census’ State and Local Government
Finance and other data sources, shows the main categories of tax revenue in Arizona.
About one-half of all state and local tax revenue in Arizona is derived from sales or gross
receipts taxes.1 Three-fourths of all sales taxes are collected by the state. The next largest
category is property taxes -- paid primarily by homeowners and businesses to local
governments.2 All income taxes (80 percent paid by individuals) are collected by the state.
Arizona State and Local Government Tax Revenues
Property
$6.3
27.5%

Income
$4.5
19.7%

2012-13 Fiscal Year
(Billion)

License &
Other
$0.8
3.4%

Sales &
Gross
Receipts
$11.3
49.4%

Sources: The 2011-12 fiscal year estimates of state and local tax revenues in Arizona were
prepared by Dean Runyan Associates from various sources, including the Bureau of the Census
(State and Local Government Finance), the Arizona Department of Revenue, the Bureau of
Economic Analysis and a selection of annual financial reports for cities and counties. The state
transaction privilege tax is designated as a general sales tax. Over 90 percent of all property
taxes are local. About 80 percent of all income tax receipts are personal (vs. corporate).
Selective sales taxes include taxes on lodging, motor fuel, alcohol, tobacco and public utilities.
Other taxes include license taxes. State tax receipts comprise 60 percent of all state and local
tax receipts.

The primary sources of travel industry tax revenue are:


Sales tax receipts generated by visitor spending. This includes local and state sales
taxes, lodging taxes, and motor fuel taxes. Other selective sales taxes (e.g.,
cigarettes, liquor) were not estimated separately from the general sales tax.

1

The state transaction privilege tax is considered a sales tax in this report.
Businesses pay 62 percent of all property taxes in Arizona based on calculations by Dean Runyan
Associates from data reported by the Bureau of the Census, State and Local Government Finance and
Property Taxes on Business Capital, Ernst and Young (March 2006).
2

PAGE 18

DEAN RUNYAN ASSOCIATES



Taxes paid by travel industry employees attributable to travel generated earnings
(sales, property and income taxes). The estimates for these taxes were based
primarily on the share of travel industry earnings in relation to total personal income
in the state.



Taxes paid by travel industry businesses attributable to travel generated business
receipts (property and income taxes). The estimates for these taxes were based
primarily on the share of travel industry earnings in relation to total earnings in the
state. Other business taxes, such as licenses and payroll taxes, were not included.

The distribution of taxes generated by the travel industry for the 2012-13 fiscal year is
shown in the following pie chart. The categories are the same as the preceding figure, with
the exception that sales tax receipts are also distinguished between those that are generated
by visitor spending and those that are generated by the spending of travel industry
employees.
Arizona Travel Industry State and Local Government Tax Revenues
2012-13 Fiscal Year
(Million)
Income
$110
7.1%
Employee
Sales
$220
14.1%

Property Other
$20
$150
1.3%
9.6%

Trav-Gen.
Sales
$1,060
67.9%

Source: Dean Runyan Associates. “Other” travel-generated tax revenue includes
gaming taxes.

Whereas slightly less than one-half of all state and local tax revenue in Arizona was
attributable to sales tax collections in the 2012-13 fiscal year, more than 80 percent of all
travel industry tax revenue was attributable to sales tax receipts from visitors (68.2 percent)
and the purchases of employees in the travel industry (14.4 percent). More than two-thirds
of all tax revenues supported by the travel industry were directly related to visitor
spending.
Travel industry state and local tax revenues are compared to total Arizona state and local
tax revenues in the following table. Because the travel industry generates a relatively high
proportion of sales tax revenues, it is associated with proportionately more tax revenues
than would be expected given the size of the industry, as measured by earnings or gross
domestic product. Whereas the earnings and GDP of the travel industry are in the range of

DEAN RUNYAN ASSOCIATES

PAGE 19

3 percent of the state totals, travel industry tax revenues represent almost 7 percent of all
state and local tax revenues in Arizona.
Arizona State and Local Tax Revenues
2012-13 Fiscal Year
($Million)

Sales & Gross Receipts
Income
Property
License & Other
Total Tax Receipts

Travel
Total Generated
11,330
1,280
4,520
110
6,310
150
780
20
22,940
15,560

Percent
Travel
11.3%
2.4%
2.3%
2.2%
6.8%

Source: Dean Runyan Associates and Bureau of the Census, State and Local
Government Finance.

The tax revenue benefits of the travel industry are also borne out in comparison with other
industries. This is illustrated in the table and figure below. The concept of Gross Domestic
Product was discussed earlier (page 11; see also appendix A). The tax payment categories
are defined as follows:


Indirect Business Taxes (IBT) include all property taxes, licenses, fees and sales
taxes paid by the firm to all levels of government. Business income taxes are not
included. Overall, sales taxes are the largest component. Even though consumers
normally paid these taxes at the point of sale, they are defined as indirect business
taxes in terms of GDP. Indirect Business Taxes are an official category of Gross
Domestic Product, as defined by the Bureau of Economic Analysis.



Employee Property and Income Taxes (EPIT) include the state and local property
and income taxes paid by employees. These personal tax payments are estimated
by Dean Runyan Associates on the basis of industry earnings and tax revenue data.
EPIT is not an official category.

The tax payments generated by the travel industry in relation to Gross Domestic Product
are greater than all industries except retail trade. Retail trade tax payments are especially
high, of course, because of sales tax payments. However, in contrast to the travel industry,
the sales taxes paid by retail establishments are primarily taxes on residents rather than
visitors.

PAGE 20

DEAN RUNYAN ASSOCIATES

GDP and Tax Payments of Selected Arizona Industries
2012 Calendar Year
($Million)

Construction
Health Care
Manufacturing
Retail
Travel
All Industries

Indirect
Bus. Taxes
300
461
652
3,739
1,301
16,833

GDP
12,857
20,620
21,934
19,911
7,569
266,891

Employee Inc.
Sum of Bus. &
& Prop. Taxes Employee Taxes
223
523
336
797
306
959
463
4,203
131
1,432
5,853
22,685

Tax Payments as Percent of GDP for Selected Arizona Industries
2012 Calendar Year

Construction

IBT

Health Care

EPIT

Manufacturing
Retail
Travel
All Industries
0%

5%

10%

15%

20%

25%

Percent of Gross Domestic Product

Table and graph sources: Bureau and Economic Analysis and Dean Runyan Associates.
Travel industry and employee income and property tax payments estimated by Dean Runyan
Associates. Other GDP and Indirect Business Taxes estimated by Bureau of Economic
Analysis. *Travel Industry Business & Employee tax payments of $1,432 million are lower
than the estimate on page 19 because business income taxes are not included and because
employee sales tax payments are included in the indirect business taxes of other industries
(especially retail trade). This is consistent with GDP accounting.

It is also important to recognize that the local and state tax revenues generated by travel
spending are proportionately more important for non-urban areas. There are two reasons
for this. First, the travel industry generally comprises a larger proportion of the economy in
non-urban areas. Second, counties and municipalities impose special excise taxes on
visitors (lodging, eating and drinking establishments, auto rentals) that are
disproportionately borne by visitors, rather than residents.

DEAN RUNYAN ASSOCIATES

PAGE 21

The first point is illustrated in the chart below, where the percentage of the state transaction
privilege tax generated by travel spending for two groups of counties is displayed.
Maricopa and Pima counties – the most urbanized counties in the state – generate
relatively lower tax impacts from visitor spending than do the less urbanized counties in
the state.
State Transaction Privilege Taxes Generated
By Direct Travel Spending, 2013 FY

Maricopa & Pima

All Other Counties

0%

5%

10%

15%

20%

Percent Travel-Generated

Source: Dean Runyan Associates and Arizona Department of Revenue.

Detailed estimates for each county are also shown. The visitor-related share of local excise
taxes would generally be somewhat higher, due to local taxes on lodging, eating and
drinking, and auto rentals, as noted above.
State Transaction Privilege Taxes Generated
by Direct Travel Spending, 2013 FY
Apache
Cochise
Coconino
Gila
Graham/Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
0%

5%

10% 15% 20% 25% 30% 35%
Percent Travel-Generated

Source: Dean Runyan Associates and Arizona Department of Revenue. These estimates
represent the total state transaction privilege tax receipts generated by travel spending.
Counties and municipalities generally are allocated a portion of these receipts based on
resident population. Other county and municipal excise taxes are also imposed on visitors.

PAGE 22

DEAN RUNYAN ASSOCIATES

To summarize this analysis of travel-generated state and local government revenue:


The travel industry accounted for almost seven percent of all state and local tax
revenues in Arizona in the 2012-13 fiscal year – more than twice the industry
proportion of statewide earnings and gross domestic product.



Most of the travel industry tax receipts are a result of visitor spending rather than
taxes on Arizona residents.



The proportion of tax receipts generated by the Arizona travel industry in relation to
industry GDP is twice as great as the statewide industry average.



The tax revenues generated by the travel industry are relatively more important for
the non-urban areas of the state as compared to the urbanized areas of greater
Phoenix and Tucson.

DEAN RUNYAN ASSOCIATES

PAGE 23

IV: REGIONAL TRAVEL IMPACTS
1998-2013P

NORTHERN
ARIZONA

WEST
COAST
ARIZONA
NORTH
CENTRAL
ARIZONA

PHOENIX & CENTRAL
ARIZONA

TICSON & SOUTHERN
ARIZONA

The Northern Arizona region includes Apache, Coconino and Navajo counties.
West Coast Arizona includes La Paz, Mohave and Yuma counties. North Central
Arizona includes Gila and Yavapai counties. Phoenix and Central Arizona includes
Maricopa and Pinal counties. Tucson and Southern Arizona includes Cochise,
Graham, Greenlee, Pima and Santa Cruz counties.

PAGE 24

DEAN RUNYAN ASSOCIATES

2013p Arizona Regional Travel Impacts
Travel Spending
Total
Visitor
Northern Arizona
West Coast Arizona
North Central Arizona
Phoenix & Central Arizona
Tucson & Southern Arizona
Arizona

Earnings

Related Travel-Generated Impacts
Employment Local Taxes State Taxes

Total Taxes

($Million)

($Million)

($Million)

(jobs)

($Million)

($Million)

($Million)

1,491
1,337
992
12,608
3,384
19,811

1,405
1,205
916
9,565
2,799
**

404
302
239
3,727
722
5,394

16,260
13,120
10,330
94,350
29,470
163,530

62
47
33
515
130
786

68
59
44
481
140
791

129
106
76
996
270
1,578

Details may not add to totals due to rounding.
**The sum of regional visitor spending is less than statewide visitor spending because a portion of ground transportation is allocated to “other
travel” at the regional level. See appendix, page 56.

Arizona Regional Total Travel Spending, 1998-2013p
($ Millions)
Annual Percent Chg.

Northern Arizona
West Coast Arizona
North Central Arizona
Phoenix & Central Arizona
Tucson & Southern Arizona
Arizona

1998 2000 2002 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013p
917 1,057
997 1,091 1,183 1,246 1,289 1,395 1,261 1,336 1,409 1,472 1,491
792
904
952 1,062 1,149 1,228 1,223 1,272 1,220 1,245 1,313 1,337 1,337
568
687
691
739
822
873
909
910
829
874
921
974
992
7,219 8,366 7,842 9,281 10,356 11,076 11,331 11,109 9,977 10,844 11,583 12,081 12,608
2,337 2,703 2,698 3,015 3,300 3,380 3,365 3,274 3,078 3,181 3,238 3,426 3,384
11,832 13,716 13,180 15,188 16,809 17,802 18,118 17,960 16,364 17,479 18,464 19,290 19,811

12-13p
1.3
0.0
1.8
4.4
-1.2
2.7

98-13p
3.3
3.6
3.8
3.8
2.5
3.5

Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

DEAN RUNYAN ASSOCIATES

PAGE 25

Arizona Regional Travel-Generated Earnings, 1998-2013p
($ Millions)
Annual Percent Chg.

Northern Arizona
West Coast Arizona
North Central Arizona
Phoenix & Central Arizona
Tucson & Southern Arizona
Arizona

1998
257
194
155
2,254
503
3,363

2000
289
215
184
2,610
577
3,874

2002
276
233
187
2,497
599
3,792

2004
300
254
195
2,887
647
4,283

2005
313
265
212
3,095
697
4,583

2006
333
291
230
3,375
717
4,945

2007
361
296
245
3,537
731
5,171

2008
390
309
246
3,420
708
5,073

2009
366
307
227
3,248
683
4,831

2010
375
293
221
3,352
677
4,917

2011
385
295
219
3,537
682
5,117

2012 2013p
398
404
297
302
232
239
3,664 3,727
740
722
5,331 5,394

12-13p
1.5
1.6
3.1
1.7
-2.4
1.2

98-13p
3.1
3.0
3.0
3.4
2.4
3.2

Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

Arizona Regional Travel-Generated Employment, 1998-2013p
(thousands)
Annual Percent Chg.

Northern Arizona
West Coast Arizona
North Central Arizona
Phoenix & Central Arizona
Tucson & Southern Arizona
Arizona

1998
16.2
11.8
9.5
87.2
28.0
152.7

2000
16.8
12.0
10.2
90.8
30.2
160.0

2002
15.2
12.9
11.3
81.6
30.1
151.1

2004
15.4
13.0
10.9
87.7
31.5
158.5

2005
15.8
13.4
11.2
91.7
32.7
164.8

2006
15.7
14.5
11.3
94.2
32.7
168.5

2007
16.0
13.8
11.4
95.0
31.8
167.9

2008
16.8
13.7
11.5
93.2
30.0
165.1

2009
15.7
13.5
10.6
87.2
29.1
156.2

2010
16.0
13.0
10.2
86.7
28.4
154.3

2011
16.1
13.1
10.1
89.3
28.3
157.0

2012 2013p
16.1
16.3
13.1
13.1
10.4
10.3
92.1
94.3
29.6
29.5
161.3 163.5

11-13p
1.1
0.2
-0.7
2.4
-0.4
1.4

98-13p
0.0
0.7
0.5
0.5
0.3
0.5

Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

Travel-Generated Employment and Earnings as Percent of Total, 2013p

Northern Arizona
West Coast Arizona
North Central Arizona
Phoenix & Central Arizona
Tucson & Southern Arizona
Arizona Total

PAGE 26

Employment (thousands)
Percent
Total
Travel
Travel
155.7
16.3
10.4%
153.1
13.1
8.6%
105.5
10.3
9.8%
2,394.3
94.3
3.9%
586.7
29.5
5.0%
3,395.4
163.5
4.8%

Earnings (Million)
Total
$6,112
$6,368
$3,756
$125,654
$27,101
$168,990

Travel
$404
$302
$239
$3,727
$722
$5,394

Percent
Travel
6.6%
4.7%
6.4%
3.0%
2.7%
3.2%

Source: Dean Runyan
Associates, U.S. Bureau of
Labor Statistics, and U.S.
Bureau of Economic Analysis.
Total and travel-generated
employment estimates by Dean
Runyan Associates. Details may
not add to totals due to
rounding. Percentages
calculated on unrounded
numbers.

DEAN RUNYAN ASSOCIATES

Northern Arizona
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
1,039
1,182
1,321
Other Travel*
52
64
74
Total Direct Spending
1,091
1,246
1,395
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
624
722
780
Private Home
111
131
141
Campground
40
43
86
Vacation Home
75
82
89
Day Travel
188
204
225
Destination Spending
1,039
1,182
1,321
Visitor Spending by Commodity Purchased ($Million)
Accommodations
271
316
362
Food Service
248
276
306
Food Stores
65
69
84
Local Tran. & Gas
95
130
176
Arts, Ent. & Rec.
166
173
182
Retail Sales
188
203
203
Visitor Air Tran.
6
15
8
Destination Spending
1,039
1,182
1,321
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
180
199
243
Arts, Ent. & Rec.
70
76
84
Retail**
37
42
47
Visitor Air Tran.
4
8
6
Other Travel*
9
8
11
Total Direct Earnings
300
333
390
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
9.5
9.4
10.2
Arts, Ent. & Rec.
3.8
4.1
4.2
Retail**
1.7
1.8
1.9
Visitor Air Tran.
0.1
0.1
0.1
Other Travel*
0.3
0.3
0.3
Total Direct Employment
15.4
15.7
16.8
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
46.1
51.5
60.8
State Tax Receipts
51.1
56.6
63.7
Total Direct Gov't Revenue
97.3
108.0
124.5

2010

2011

2012

2013p

1,266
70
1,336

1,327
82
1,409

1,385
87
1,472

1,405
86
1,491

764
145
48
89
220
1,266

795
157
50
93
230
1,327

840
161
50
96
239
1,385

858
158
51
96
241
1,405

344
309
76
150
176
198
13
1,266

361
315
80
181
177
198
14
1,327

381
331
83
190
181
205
14
1,385

396
341
84
183
184
204
13
1,405

231
91
39
6
7
375

231
99
40
6
8
385

244
100
40
5
8
398

251
100
40
5
8
404

9.8
4.2
1.6
0.1
0.2
16.0

9.9
4.2
1.6
0.1
0.2
16.1

10.0
4.1
1.6
0.1
0.2
16.1

10.1
4.3
1.5
0.1
0.3
16.3

58.0
61.8
119.9

61.7
67.6
129.4

64.0
70.5
134.5

61.7
67.7
129.4

Details may not add to totals due to rounding.
*Other Travel includes resident air travel, travel arrangement services, and convention and trade shows.
**Retail includes gasoline.
Northern Arizona includes Apache, Coconino and Navajo counties.

DEAN RUNYAN ASSOCIATES

PAGE 27

West Coast Arizona
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
994
1,133
1,150
Other Travel*
68
95
122
Total Direct Spending
1,062
1,228
1,272
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
226
289
259
Private Home
189
224
247
Campground
95
112
125
Vacation Home
81
91
99
Day Travel
404
418
420
Destination Spending
994
1,133
1,150
Visitor Spending by Commodity Purchased ($Million)
Accommodations
113
146
135
Food Service
208
240
245
Food Stores
119
120
128
Local Tran. & Gas
96
138
167
Arts, Ent. & Rec.
223
252
251
Retail Sales
226
227
212
Visitor Air Tran.
9
10
12
Destination Spending
994
1,133
1,150
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
103
123
130
Arts, Ent. & Rec.
87
103
106
Retail**
52
55
56
Visitor Air Tran.
3
0
0
Other Travel*
9
10
16
Total Direct Earnings
254
291
309
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
6.0
6.7
6.5
Arts, Ent. & Rec.
4.7
5.3
4.6
Retail**
1.9
2.1
2.0
Visitor Air Tran.
0.1
0.0
0.0
Other Travel*
0.3
0.4
0.6
Total Direct Employment
13.0
14.5
13.7
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
40.2
44.6
46.7
State Tax Receipts
47.7
54.5
55.4
Total Direct Gov't Revenue
87.9
99.1
102.1

2010

2011

2012

2013p

1,137
108
1,245

1,189
125
1,313

1,205
132
1,337

1,205
132
1,337

253
250
126
98
410
1,137

278
264
133
103
411
1,189

277
265
128
105
429
1,205

266
275
120
106
438
1,205

124
259
124
156
251
211
12
1,137

133
266
126
187
259
206
12
1,189

132
271
131
191
255
214
12
1,205

128
278
135
184
249
218
12
1,205

136
95
50
1
11
293

140
94
49
1
11
295

137
98
49
0
12
297

145
93
49
0
14
302

6.6
4.2
1.8
0.0
0.4
13.0

6.8
4.2
1.7
0.0
0.4
13.1

6.4
4.5
1.7
0.0
0.4
13.1

6.8
4.2
1.7
0.0
0.5
13.1

45.3
55.6
101.0

47.8
59.7
107.5

48.2
60.5
108.8

46.6
59.0
105.5

Details may not add to totals due to rounding.
*Other Travel includes resident air travel, travel arrangement services, and convention and trade shows.
**Retail includes gasoline.
West Coast Arizona includes La Paz, Mohave and Yuma counties.

PAGE 28

DEAN RUNYAN ASSOCIATES

North Central Arizona
Travel Impacts, 2004-2012p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
694
813
843
Other Travel*
45
60
67
Total Direct Spending
739
873
910
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
218
289
277
Private Home
88
105
115
Campground
21
17
26
Vacation Home
31
35
38
Day Travel
336
368
388
Destination Spending
694
813
843
Visitor Spending by Commodity Purchased ($Million)
Accommodations
102
136
139
Food Service
130
152
157
Food Stores
52
55
62
Local Tran. & Gas
61
86
106
Arts, Ent. & Rec.
244
269
268
Retail Sales
105
114
110
Visitor Air Tran.
0
1
0
Destination Spending
694
813
843
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
79
96
107
Arts, Ent. & Rec.
86
98
102
Retail**
23
27
28
Visitor Air Tran.
0
0
0
Other Travel*
7
8
9
Total Direct Earnings
195
230
246
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
4.3
4.6
4.7
Arts, Ent. & Rec.
5.3
5.3
5.2
Retail**
1.0
1.1
1.2
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.4
0.4
0.3
Total Direct Employment
10.9
11.3
11.5
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
24.4
28.8
31.2
State Tax Receipts
31.8
38.5
40.0
Total Direct Gov't Revenue
56.2
67.4
71.2

2010

2011

2012

2013p

812
61
874

851
70
921

899
75
974

916
75
992

250
117
25
37
382
812

261
127
27
39
398
851

293
130
27
40
408
899

309
129
27
40
410
916

121
161
61
97
261
111
1
812

126
166
64
117
263
113
1
851

142
176
66
124
273
116
2
899

151
183
67
120
277
117
1
916

96
93
25
0
7
221

100
87
25
0
6
219

111
89
25
0
6
232

121
85
25
0
8
239

4.2
4.7
1.0
0.0
0.3
10.2

4.3
4.6
1.0
0.0
0.2
10.1

4.6
4.6
1.0
0.0
0.2
10.4

4.8
4.3
1.0
0.0
0.2
10.3

29.9
39.0
68.9

31.8
41.9
73.7

33.5
44.2
77.7

32.9
43.6
76.4

Details may not add to totals due to rounding.
*Other Travel includes resident air travel, travel arrangement services, and convention and trade shows.
**Retail includes gasoline.
North Central Arizona includes Gila and Yavapai counties.

DEAN RUNYAN ASSOCIATES

PAGE 29

Phoenix & Central Arizona
Travel Impacts, 2002-2013p
2004

2006

2008

2010

2011

2012

Total Direct Travel Spending ($Million)
Destination Spending
7,346
8,615
8,491
8,416 8,910 9,195
Other Travel*
1,935
2,460
2,619
2,428 2,672 2,886
Total Direct Spending
9,281 11,076 11,109 10,844 11,583 12,081
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
3,953
4,788
4,489
4,306 4,559 4,649
Private Home
1,924
2,227
2,339
2,453 2,573 2,585
Campground
252
210
198
154
177
297
Vacation Home
244
283
322
334
347
356
Day Travel
973
1,107
1,144
1,169 1,255 1,308
Destination Spending
7,346
8,615
8,491
8,416 8,910 9,195
Visitor Spending by Commodity Purchased ($Million)
Accommodations
1,376
1,742
1,673
1,399 1,507 1,559
Food Service
1,589
1,818
1,828
1,962 2,056 2,143
Food Stores
263
275
294
296
318
342
Local Tran. & Gas
810
1,012
1,081
1,078 1,226 1,289
Arts, Ent. & Rec.
1,081
1,178
1,126
1,139 1,173 1,198
Retail Sales
1,217
1,325
1,233
1,292 1,339 1,360
Visitor Air Tran.
1,011
1,266
1,257
1,250 1,290 1,305
Destination Spending
7,346
8,615
8,491
8,416 8,910 9,195
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
998
1,166
1,248
1,213 1,274 1,320
Arts, Ent. & Rec.
467
533
533
531
537
583
Retail**
204
231
228
212
225
226
Ground Tran.
88
101
95
102
109
111
Visitor Air Tran.
475
565
542
560
607
593
Other Travel*
655
779
774
735
786
831
Total Direct Earnings
2,887
3,375
3,420
3,352 3,537 3,664
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
41.0
44.1
44.6
42.6
44.0
44.8
Arts, Ent. & Rec.
16.9
17.9
17.8
16.6
16.9
17.8
Retail**
6.7
7.1
7.1
6.5
6.6
6.6
Ground Tran.
2.6
2.8
2.6
2.6
2.7
2.8
Visitor Air Tran.
7.4
7.8
7.4
6.7
7.0
7.2
Other Travel*
13.1
14.5
13.6
11.8
12.1
13.0
Total Direct Employment
87.7
94.2
93.2
86.7
89.3
92.1
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
406.3
467.1
474.5
465.1 501.6 510.4
State Tax Receipts
359.6
411.6
414.9
418.4 462.8 479.7
Total Direct Gov't Revenue
765.9
878.7
889.5
883.5 964.4 990.2

2013p
9,565
3,043
12,608
4,846
2,692
320
362
1,345
9,565
1,628
2,246
356
1,303
1,230
1,392
1,411
9,565
1,375
625
227
113
551
836
3,727
46.5
18.9
6.8
2.8
6.9
12.4
94.3
514.8
481.1
995.9

Details may not add to totals due to rounding.
*Other Travel includes resident air travel, travel arrangement services, and convention and trade shows.
**Retail includes gasoline.
Phoenix & Central Arizona includes Maricopa and Pinal counties.

PAGE 30

DEAN RUNYAN ASSOCIATES

Tucson & Southern Arizona
Travel Impacts, 2004-2013p
2004

2006

2008

Total Direct Travel Spending ($Million)
Destination Spending
2,609
2,883
2,719
Other Travel*
406
497
555
Total Direct Spending
3,015
3,380
3,274
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
1,075
1,262
1,114
Private Home
468
528
569
Campground
35
67
49
Vacation Home
46
51
56
Day Travel
986
975
932
Destination Spending
2,609
2,883
2,719
Visitor Spending by Commodity Purchased ($Million)
Accommodations
392
487
428
Food Service
592
658
616
Food Stores
299
287
290
Local Tran. & Gas
286
362
364
Arts, Ent. & Rec.
207
224
209
Retail Sales
663
656
590
Visitor Air Tran.
170
210
223
Destination Spending
2,609
2,883
2,719
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
341
385
383
Arts, Ent. & Rec.
87
98
95
Retail**
134
137
131
Ground Tran.
27
30
25
Visitor Air Tran.
5
10
12
Other Travel*
52
57
63
Total Direct Earnings
647
717
708
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
17.7
18.7
16.9
Arts, Ent. & Rec.
5.8
6.0
5.4
Retail**
5.2
5.1
4.8
Ground Tran.
0.8
0.8
0.7
Visitor Air Tran.
0.1
0.2
0.2
Other Travel*
1.9
1.9
2.0
Total Direct Employment
31.5
32.7
30.0
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
120.0
135.8
134.9
State Tax Receipts
124.5
136.9
130.1
Total Direct Gov't Revenue
244.6
272.7
265.0

2010

2011

2012

2013p

2,671
510
3,181

2,667
571
3,238

2,771
655
3,426

2,799
585
3,384

1,097
575
42
56
901
2,671

1,093
597
45
59
874
2,667

1,118
600
46
60
947
2,771

1,128
590
46
60
974
2,799

391
652
274
355
211
584
204
2,671

388
651
265
393
210
557
203
2,667

394
682
289
411
212
585
199
2,771

397
699
302
403
211
597
190
2,799

375
94
117
27
11
53
677

385
92
113
28
10
55
682

410
93
116
29
9
83
740

416
94
116
29
7
60
722

16.4
5.5
4.1
0.7
0.2
1.5
28.4

16.5
5.4
4.0
0.7
0.2
1.4
28.3

17.2
5.4
4.0
0.7
0.2
2.1
29.6

17.3
5.5
4.0
0.7
0.1
1.8
29.5

128.5
131.4
259.9

130.7
138.2
268.9

134.3
144.3
278.5

130.3
140.0
270.3

Details may not add to totals due to rounding.
*Other Travel includes resident air travel, travel arrangement services, and convention and trade shows.
**Retail includes gasoline.
Tucson & Southern Arizona includes Cochise, Graham, Greenlee, Pima and Santa Cruz counties.

DEAN RUNYAN ASSOCIATES

PAGE 31

V: COUNTY TRAVEL IMPACTS
1998-2013P

APACHE
COCONINO
MOHAVE

NAVAJO

YAVAPAI

LA PAZ

GILA
GREENLEE

MARICOPA

PINAL

GRAHAM

YUMA

PIMA

COCHISE
SANTA
CRUZ

PAGE 32

DEAN RUNYAN ASSOCIATES

The analysis of travel impacts at the county level provides a valuable overview of how the
economic benefits of travel and tourism are distributed throughout the state.
Urban areas, such as Maricopa County, tend to have highly developed travel industry
infrastructure consisting of large inventories of amusement and recreation opportunities,
commercial accommodations, and well-developed transportation links. Hotel/motel guests
are important to these areas and, hence, a large proportion of travel expenditures are spent
on overnight lodging.
In many of the less urbanized areas of Arizona, however, the economic significance of
travel and tourism is actually relatively more important. The infrastructure that serves
visitors to Maricopa County also serves local residents. Most of the spending on recreation
and food services in Maricopa county is by local residents. This is not the case in most
other less urbanized areas of the state – leisure and hospitality businesses are generally
much more dependent on visitor spending rather than local residents.
In the graph below, the two most populous counties in Arizona, Maricopa and Pima, are
compared with the thirteen other counties in the state with respect to their share of total
employment – two-thirds of all travel-generated jobs in the state are in the two most
populous counties.
Distribution of Travel-Generated Employment, 2013p
Percent of State Direct Travel-Generated Employment

All other
32%
Maricopa &
Pima
68%

Source: Dean Runyan Associates, U.S. Bureau of Labor Statistics, and U.S.
Bureau of Economic Analysis. Total and travel-generated employments
estimates by Dean Runyan Associates.

DEAN RUNYAN ASSOCIATES

PAGE 33

However, as a group the less urbanized counties in the state actually have a higher
proportion of travel-generated employment in relation to the total employment of the
county. This is shown graphically below. Four percent of all employment in Maricopa
and Pima counties is travel-generated. By contrast, the proportion is more than double in
for the other Arizona counties.
Percent of Total Area Employment
that is Travel-Generated, 2013p
Maricopa & Pima

All other

0%

2%

4%

6%

8%

10%

Source: Dean Runyan Associates, U.S. Bureau of Labor Statistics, and U.S.
Bureau of Economic Analysis. Total and travel-generated employment
estimates by Dean Runyan Associates. Travel-generate employment in
Maricopa and Pima counties constitutes 4.0 percent of all employment in
those counties. The comparable figure for other Arizona counties is 8.9
percent.

In general, the employment and earnings estimates provided in the preceding figures are
probably the best measure at the county level of the relative importance of travel and
tourism for local economies. The following table provides estimates for individual
counties. Total employment includes all full-time and part-time wage and salary
employment and self-employment. Because total employment includes all jobs, regardless
of the hours worked, the average annual earnings of the job or the number of individuals
employed, this indicator is in some respects less useful than earnings estimates.
Nonetheless, the distribution of counties is similar for earnings and employment.

PAGE 34

DEAN RUNYAN ASSOCIATES

Travel-Generated Employment and Earnings as Percent of Total, 2013p
Employment

Apache
Cochise
Coconino
Gila
Graham/Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
Arizona Total

Total
30,010
55,770
85,400
21,990
17,130
7,640
2,310,370
62,320
40,330
495,230
83,910
18,590
83,540
83,190
3,395,390

Travel
1,460
3,720
11,210
2,610
1,300
1,440
88,490
5,860
3,590
22,380
5,850
2,080
7,720
5,820
163,530

Earnings (Million)
Percent
Travel
4.9%
6.7%
13.1%
11.9%
7.6%
18.8%
3.8%
9.4%
8.9%
4.5%
7.0%
11.2%
9.2%
7.0%
4.8%

Total
$1,090
$2,710
$3,492
$820
$838
$341
$122,230
$2,435
$1,530
$22,588
$3,425
$965
$2,935
$3,592
$168,990

Travel
$28
$77
$292
$59
$18
$34
$3,594
$132
$84
$577
$133
$50
$180
$136
$5,394

Percent
Travel
2.6%
2.9%
8.4%
7.2%
2.2%
9.9%
2.9%
5.4%
5.5%
2.6%
3.9%
5.1%
6.1%
3.8%
3.2%

Source: Dean Runyan Associates, U.S. Bureau of Labor Statistics, and U.S. Bureau of Economic Analysis. Total
and travel-generated employment estimates by Dean Runyan Associates.
Note: Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

Detailed direct travel impact estimates for 1998 through 2013p can be found on the
following pages. As noted in the appendix to this report, county level estimates are
necessarily less reliable than the statewide estimates. Furthermore, estimates for the
smallest counties are less reliable than those for larger counties due to survey sample sizes
and other data limitations. For this reason, small changes in year-to-year estimates are less
important than longer-term trends.

DEAN RUNYAN ASSOCIATES

PAGE 35

2013p Arizona County Travel Impacts
Travel Spending
Total
Visitor
Apache
Cochise
Coconino
Gila
Graham/Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
Arizona

Earnings

Related Travel-Generated Impacts
Employment Local Taxes State Taxes

Total Taxes

($Million)

($Million)

($Million)

(jobs)

($Million)

($Million)

($Million)

116
342
1,068
281
87
144
11,984
563
306
2,667
624
287
711
629
19,811

100
311
1,022
269
76
140
9,030
495
282
2,135
535
277
647
570
**

28
77
292
59
18
34
3,594
132
84
577
133
50
180
136
5,394

1,460
3,720
11,210
2,610
1,300
1,440
88,490
5,860
3,590
22,380
5,850
2,080
7,720
5,820
163,530

4.6
15.2
44.6
8.3
3.5
4.9
492.3
19.3
12.4
100.2
22.5
11.4
24.5
22.4
786.2

5.6
16.1
47.5
12.3
4.2
6.4
451.4
24.7
14.6
107.8
29.7
11.9
31.3
27.8
791.3

10.2
31.4
92.1
20.6
7.6
11.3
943.7
44.0
27.1
207.9
52.2
23.4
55.8
50.2
1,577.5

Details may not add to totals due to rounding.
**The sum of county visitor spending is less than statewide visitor spending because a portion of county ground transportation is allocated to
“other travel” at the county level. See appendix, page 56.

PAGE 36

DEAN RUNYAN ASSOCIATES

Arizona County Total Travel Spending, 1998-2013p
($ Millions)
Annual Percent Chg.

1998 2000 2002 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013p
Apache
83
104
99
101
115
122
123
147
119
121
126
129
116
Cochise
226
269
271
311
331
340
367
375
352
369
360
350
342
Coconino
639
704
667
758
812
845
885
939
879
940
994 1,039 1,068
Gila
195
218
213
228
248
260
269
260
245
256
265
279
281
Graham/Greenlee
36
44
40
42
49
62
65
67
52
61
70
75
87
La Paz
105
114
117
122
134
127
130
133
130
128
139
143
144
Maricopa
6,997 8,114 7,570 8,960 9,993 10,659 10,851 10,584 9,480 10,257 10,946 11,450 11,984
Mohave
310
351
377
422
459
516
504
515
478
514
527
539
563
Navajo
195
249
231
232
256
280
281
308
262
275
288
305
306
Pima
1,832 2,110 2,098 2,362 2,618 2,697 2,649 2,550 2,380 2,489 2,570 2,730 2,667
Pinal
222
252
272
320
362
417
480
526
497
587
637
631
624
Santa Cruz
242
280
289
299
302
281
284
282
294
262
239
271
287
Yavapai
372
469
477
510
573
613
640
651
584
617
655
695
711
Yuma
377
439
458
518
556
585
590
624
611
604
647
655
629
Arizona
11,832 13,716 13,180 15,188 16,809 17,802 18,118 17,960 16,364 17,479 18,464 19,290 19,811

12-13p
-9.4
-2.1
2.8
0.6
15.3
1.1
4.7
4.5
0.5
-2.3
-1.2
6.1
2.3
-4.0
2.7

98-13p
2.3
2.8
3.5
2.4
6.0
2.1
3.7
4.1
3.1
2.5
7.1
1.2
4.4
3.5
3.5

Note: Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

DEAN RUNYAN ASSOCIATES

PAGE 37

Arizona County Travel-Generated Earnings, 1998-2013p
($ Millions)
Annual Percent Chg.

Apache
Cochise
Coconino
Gila
Graham/Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
Arizona

1998
20
50
189
50
8
23
2,200
85
48
401
54
44
105
86
3,363

2000
24
57
204
54
10
25
2,551
94
60
460
58
49
129
97
3,874

2002
24
59
195
54
9
26
2,431
104
57
479
65
52
133
103
3,792

2004
23
67
221
56
9
26
2,814
110
56
517
73
54
139
118
4,283

2005
25
70
228
61
11
28
3,014
116
59
563
81
54
152
120
4,583

2006
27
73
240
65
14
27
3,281
133
66
579
94
52
165
131
4,945

2007
29
82
265
68
15
28
3,425
133
68
580
112
54
177
135
5,171

2008
32
84
282
66
15
29
3,298
136
76
555
122
54
180
144
5,073

2009
31
81
266
63
12
29
3,128
133
69
536
121
54
164
145
4,831

2010
30
80
268
56
13
28
3,226
121
76
535
127
49
165
143
4,917

2011
30
78
277
55
14
31
3,407
120
77
547
130
44
164
144
5,117

2012 2013p
31
28
77
77
281
292
58
59
15
18
31
34
3,528 3,594
120
132
85
84
602
577
135
133
47
50
174
180
146
136
5,331 5,394

12-13p
-10.3
1.2
3.7
2.5
21.2
7.1
1.9
10.5
-1.4
-4.1
-1.9
5.8
3.3
-6.8
1.2

98-13p
2.3
3.0
2.9
1.1
5.2
2.5
3.3
3.0
3.8
2.5
6.2
0.8
3.7
3.1
3.2

Note: Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

PAGE 38

DEAN RUNYAN ASSOCIATES

Arizona County Travel-Generated Employment, 1998-2013p
Annual Percent Chg.

1998
2000
2002
2004
2005
2006
2007
2008
2009
2010
2011
2012 2013p
Apache
1,550
1,630
1,530
1,520
1,610
1,590
1,580
1,700
1,640
1,630
1,610
1,560
1,460
Cochise
3,690
3,930
3,800
3,930
4,030
4,110
4,380
4,340
4,120
4,050
3,890
3,740
3,720
Coconino
11,220 11,180 10,240 10,740 10,950 10,750 11,100 11,520 10,900 10,850 10,980 10,870 11,210
Gila
3,150
3,120
3,220
3,040
3,130
3,160
3,120
3,000
2,940
2,660
2,670
2,660
2,610
Graham/Greenlee
40
40
40
40
50
60
70
70
50
60
70
80
90
La Paz
1,500
1,420
1,350
1,290
1,350
1,200
1,220
1,220
1,230
1,200
1,320
1,310
1,440
Maricopa
84,020 87,700 77,850 83,780 87,470 89,530 90,130 87,910 82,280 81,590 83,880 86,520 88,490
Mohave
5,500
5,680
5,950
6,020
6,250
7,070
6,500
6,380
6,170
5,780
5,650
5,450
5,860
Navajo
3,430
3,940
3,420
3,140
3,200
3,360
3,300
3,570
3,190
3,500
3,500
3,650
3,590
Pima
21,230 23,030 22,900 24,140 25,200 25,040 23,810 22,160 21,760 21,360 21,560 22,860 22,380
Pinal
3,160
3,130
3,780
3,960
4,270
4,680
4,880
5,250
4,920
5,110
5,440
5,580
5,850
Santa Cruz
2,430
2,520
2,550
2,560
2,530
2,390
2,330
2,260
2,220
2,000
1,830
1,920
2,080
Yavapai
6,370
7,100
8,120
7,900
8,060
8,180
8,280
8,460
7,710
7,490
7,470
7,750
7,720
Yuma
4,800
4,950
5,590
5,700
5,840
6,200
6,040
6,110
6,130
6,070
6,160
6,330
5,820
Arizona
152,740 160,030 151,110 158,550 164,810 168,460 167,920 165,120 156,230 154,280 156,970 161,270 163,530
Note: Details may not add to totals due to rounding. Percentages calculated on unrounded numbers.

DEAN RUNYAN ASSOCIATES

11-13p
-6.2
-0.5
3.1
-1.8
20.4
9.6
2.3
7.5
-1.7
-2.1
4.9
8.1
-0.3
-8.1
1.4

98-13p
-0.4
0.0
0.0
-1.2
5.2
-0.3
0.3
0.4
0.3
0.4
4.2
-1.1
1.3
1.3
0.5

PAGE 39

Apache County
Travel Impacts, 2004-2013p
2004

2006

2008

Total Direct Travel Spending ($Million)
Destination Spending
91.5
109.1
132.6
Other Travel*
9.4
12.5
14.4
Total Direct Spending
100.9
121.6
147.0
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
43.9
55.6
36.9
Private Home
27.5
31.4
33.7
Campground
5.8
6.5
43.7
Vacation Home
10.4
11.2
12.0
Day Travel
3.8
4.4
6.2
Destination Spending
91.5
109.1
132.6
Visitor Spending by Commodity Purchased ($Million)
Accommodations
19.0
22.9
25.4
Food Service
23.4
27.5
31.4
Food Stores
8.0
8.6
15.5
Local Tran. & Gas
10.5
15.0
27.8
Arts, Ent. & Rec.
8.0
8.9
9.9
Retail Sales
22.6
26.2
22.5
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
91.5
109.1
132.6
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
14.5
17.0
19.7
Arts, Ent. & Rec.
3.5
4.0
4.7
Retail**
4.5
5.4
6.7
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.5
0.7
0.8
Total Direct Earnings
23.1
27.2
31.9
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
920
1,020
1,010
Arts, Ent. & Rec.
300
250
330
Retail**
260
280
320
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
40
40
50
Total Direct Employment
1,520
1,590
1,700
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
4.7
5.5
6.1
State Tax Receipts
5.2
6.0
6.9
Total Direct Gov't Revenue
9.9
11.5
13.1

2010

2011

2012

2013p

108.1
13.4
121.5

109.9
16.2
126.1

111.4
17.1
128.5

100.2
16.3
116.4

49.8
34.6
7.0
12.1
4.6
108.1

46.8
38.0
7.5
12.7
4.9
109.9

46.8
39.0
7.7
13.0
5.0
111.4

37.4
37.5
7.6
12.9
4.7
100.2

22.2
28.6
9.3
16.5
8.3
23.2
0.0
108.1

21.1
28.7
9.8
19.8
8.2
22.4
0.0
109.9

21.0
29.4
10.0
20.4
8.3
22.3
0.0
111.4

17.8
27.4
9.6
18.3
7.6
19.4
0.0
100.2

21.3
3.9
4.7
0.0
0.0
0.5
30.4

21.6
3.6
4.7
0.0
0.0
0.5
30.4

22.5
3.7
4.6
0.0
0.0
0.5
31.3

20.0
3.5
4.1
0.0
0.0
0.5
28.0

1,100
290
210
0
0
20
1,630

1,110
260
210
0
0
20
1,610

1,090
240
200
0
0
20
1,560

1,010
240
180
0
0
30
1,460

5.5
6.1
11.6

5.5
6.4
11.9

5.5
6.5
12.0

4.6
5.6
10.2

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

PAGE 40

DEAN RUNYAN ASSOCIATES

Cochise County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
291.9
314.7
345.5
Other Travel*
19.4
25.3
29.2
Total Direct Spending
311.3
340.0
374.7
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
105.2
124.3
144.1
Private Home
51.0
57.2
62.9
Campground
7.8
8.6
9.6
Vacation Home
5.6
6.1
6.6
Day Travel
122.3
118.5
122.3
Destination Spending
291.9
314.7
345.5
Visitor Spending by Commodity Purchased ($Million)
Accommodations
34.7
41.6
52.1
Food Service
71.8
77.8
84.1
Food Stores
62.0
57.0
59.5
Local Tran. & Gas
30.2
40.6
50.8
Arts, Ent. & Rec.
20.5
22.0
22.8
Retail Sales
72.8
75.7
76.1
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
291.9
314.7
345.5
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
35.8
39.5
48.8
Arts, Ent. & Rec.
9.5
10.7
11.6
Retail**
19.5
20.1
21.1
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
2.0
2.3
2.6
Total Direct Earnings
66.8
72.6
84.2
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
2,310
2,390
2,540
Arts, Ent. & Rec.
670
700
810
Retail**
860
890
870
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
100
120
120
Total Direct Employment
3,930
4,110
4,340
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
15.0
16.1
18.4
State Tax Receipts
15.0
16.0
17.7
Total Direct Gov't Revenue
30.1
32.1
36.1

2010

2011

2012

2013p

342.4
26.4
368.8

328.7
31.4
360.2

316.6
33.0
349.6

310.6
31.8
342.4

144.3
65.5
9.3
6.6
116.6
342.4

131.7
69.1
10.0
6.9
111.0
328.7

111.8
68.7
10.2
7.1
118.8
316.6

102.9
67.9
10.2
7.0
122.7
310.6

51.9
88.0
55.8
47.2
22.9
76.5
0.0
342.4

47.2
83.4
52.7
53.5
21.7
70.2
0.0
328.7

40.3
80.9
57.2
53.0
20.1
65.1
0.0
316.6

35.9
81.5
60.0
50.2
19.6
63.5
0.0
310.6

48.8
10.9
18.7
0.0
0.0
1.7
80.2

48.9
9.7
17.4
0.0
0.0
1.7
77.7

48.3
9.8
16.7
0.0
0.0
1.8
76.6

49.1
10.0
16.4
0.0
0.0
2.0
77.5

2,470
760
750
0
0
70
4,050

2,420
700
700
0
0
60
3,890

2,370
650
660
0
0
70
3,740

2,370
640
640
0
0
70
3,720

18.3
17.6
36.0

17.5
17.8
35.3

16.3
17.0
33.3

15.2
16.1
31.4

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 41

Coconino County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
730.4
813.2
902.8
Other Travel*
27.8
31.5
36.7
Total Direct Spending
758.2
844.6
939.4
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
477.6
537.9
602.3
Private Home
42.5
52.0
53.5
Campground
20.0
19.8
24.7
Vacation Home
27.0
29.3
31.6
Day Travel
163.2
174.1
190.6
Destination Spending
730.4
813.2
902.8
Visitor Spending by Commodity Purchased ($Million)
Accommodations
208.1
240.4
276.7
Food Service
171.7
185.3
205.6
Food Stores
41.0
42.0
48.4
Local Tran. & Gas
62.6
83.8
108.6
Arts, Ent. & Rec.
130.1
133.7
139.8
Retail Sales
110.8
113.4
116.0
Visitor Air Tran.
6.1
14.6
7.7
Destination Spending
730.4
813.2
902.8
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
131.1
141.9
174.4
Arts, Ent. & Rec.
55.8
59.9
65.8
Retail**
22.9
25.0
27.8
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
4.1
7.6
5.8
Other Travel*
7.4
5.4
8.7
Total Direct Earnings
221.3
239.8
282.4
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
6,560
6,280
6,910
Arts, Ent. & Rec.
2,940
3,140
3,170
Retail**
960
1,000
1,090
Ground Tran.
0
0
0
Visitor Air Tran.
80
150
120
Other Travel*
200
170
230
Total Direct Employment
10,740 10,750 11,520
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
31.5
34.2
41.0
State Tax Receipts
34.5
37.2
42.2
Total Direct Gov't Revenue
66.0
71.4
83.2

2010

2011

2012

2013p

903.7
36.1
939.8

952.3 993.7
42.0
45.2
994.3 1,038.9

1,022.5
45.9
1,068.4

600.0
58.1
23.9
31.7
189.9
903.7

633.4
62.2
25.2
33.2
198.3
952.3

664.9
63.2
26.4
34.0
205.3
993.7

690.4
62.9
26.3
34.3
208.5
1,022.5

271.3
214.8
48.1
100.1
138.0
118.0
13.4
903.7

289.1
219.9
50.5
120.4
139.0
119.6
13.7
952.3

304.5
230.8
52.1
126.9
142.9
122.8
13.7
993.7

320.7
240.6
53.5
123.7
145.9
125.0
13.2
1,022.5

162.2
69.5
24.4
0.0
5.8
5.7
267.6

162.0
77.3
25.1
0.0
6.4
6.4
277.2

169.9
74.5
25.1
0.0
5.4
6.4
281.4

177.2
77.1
25.1
0.0
5.2
7.1
291.7

6,510 6,530 6,620
3,140 3,170 3,000
940
970
960
0
0
0
110
120
100
160
190
190
10,850 10,980 10,870

6,740
3,220
950
0
100
210
11,210

40.8
42.4
83.2

43.9
46.9
90.7

45.4
48.8
94.2

44.6
47.5
92.1

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

PAGE 42

DEAN RUNYAN ASSOCIATES

Gila County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
221.4
250.5
248.6
Other Travel*
7.1
9.4
11.0
Total Direct Spending
228.5
260.0
259.6
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
41.7
55.5
42.6
Private Home
30.9
34.8
37.6
Campground
10.4
11.5
12.8
Vacation Home
11.8
12.7
13.6
Day Travel
126.5
136.0
142.0
Destination Spending
221.4
250.5
248.6
Visitor Spending by Commodity Purchased ($Million)
Accommodations
16.3
21.0
18.0
Food Service
38.4
43.3
43.2
Food Stores
17.9
18.6
20.2
Local Tran. & Gas
19.8
27.3
32.6
Arts, Ent. & Rec.
96.3
106.0
102.2
Retail Sales
32.7
34.4
32.4
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
221.4
250.5
248.6
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
19.4
22.6
23.3
Arts, Ent. & Rec.
28.8
32.8
32.8
Retail**
7.8
8.7
9.0
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.4
0.5
0.6
Total Direct Earnings
56.4
64.6
65.7
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
1,230
1,280
1,190
Arts, Ent. & Rec.
1,440
1,480
1,390
Retail**
350
370
380
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
20
30
30
Total Direct Employment
3,040
3,160
3,000
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
6.9
7.8
8.1
State Tax Receipts
9.5
11.6
11.5
Total Direct Gov't Revenue
16.4
19.4
19.6

2010

2011

2012

2013p

246.3
10.0
256.3

253.5
12.0
265.5

266.7
12.5
279.2

268.8
12.0
280.8

40.7
39.0
12.4
13.4
140.9
246.3

39.6
41.5
13.4
14.0
145.2
253.5

47.4
42.7
13.7
14.3
148.6
266.7

50.3
42.1
13.6
14.4
148.5
268.8

16.9
45.4
20.1
30.3
100.5
33.1
0.0
246.3

16.5
46.1
21.1
36.2
100.3
33.3
0.0
253.5

18.8
49.0
21.7
38.2
104.7
34.3
0.0
266.7

19.7
50.3
21.9
36.7
105.9
34.4
0.0
268.8

22.3
25.2
8.0
0.0
0.0
0.4
55.9

22.3
23.9
8.2
0.0
0.0
0.4
54.6

24.6
24.6
8.1
0.0
0.0
0.4
57.8

27.0
23.8
8.0
0.0
0.0
0.4
59.2

1,120
1,200
330
0
0
20
2,660

1,100
1,220
330
0
0
20
2,670

1,160
1,160
320
0
0
20
2,660

1,240
1,030
330
0
0
20
2,610

7.9
11.4
19.3

8.3
11.9
20.2

8.7
12.5
21.2

8.3
12.3
20.6

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 43

Graham & Greenlee Counties
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
36.7
54.0
57.7
Other Travel*
5.5
7.5
9.3
Total Direct Spending
42.3
61.5
67.0
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
14.1
27.1
27.1
Private Home
16.1
18.9
21.7
Campground
1.6
1.8
2.0
Vacation Home
0.7
0.7
0.8
Day Travel
4.3
5.5
6.0
Destination Spending
36.7
54.0
57.7
Visitor Spending by Commodity Purchased ($Million)
Accommodations
4.8
9.1
9.9
Food Service
10.6
14.5
15.4
Food Stores
3.9
4.6
5.2
Local Tran. & Gas
5.2
8.2
10.3
Arts, Ent. & Rec.
3.3
4.4
4.4
Retail Sales
8.9
13.3
12.5
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
36.7
54.0
57.7
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
5.2
7.9
9.2
Arts, Ent. & Rec.
1.8
2.4
2.5
Retail**
2.0
2.9
3.0
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.3
0.4
0.5
Total Direct Earnings
9.3
13.6
15.2
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
440
630
640
Arts, Ent. & Rec.
280
410
430
Retail**
90
130
120
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
20
20
30
Total Direct Employment
830 1,190 1,220
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
1.7
2.5
2.7
State Tax Receipts
2.3
3.1
3.2
Total Direct Gov't Revenue
3.9
5.5
6.0

2010

2011

2012

2013p

52.5
8.4
60.9

59.5
10.2
69.7

64.5
10.8
75.3

76.2
10.5
86.8

21.3
22.5
1.9
0.8
5.9
52.5

25.0
25.0
2.0
0.9
6.6
59.5

29.6
25.1
2.1
0.9
6.8
64.5

40.5
25.4
2.1
0.9
7.3
76.2

7.6
15.2
5.1
9.4
4.1
11.2
0.0
52.5

8.8
16.6
5.6
11.8
4.4
12.4
0.0
59.5

10.6
17.7
5.7
12.4
4.6
13.5
0.0
64.5

15.2
20.5
6.1
12.9
5.2
16.3
0.0
76.2

7.6
2.4
2.4
0.0
0.0
0.3
12.7

8.2
2.5
2.7
0.0
0.0
0.3
13.7

9.1
2.7
2.8
0.0
0.0
0.3
14.9

11.5
3.1
3.2
0.0
0.0
0.3
18.0

500
380
100
0
0
20
1,000

520
380
110
0
0
20
1,020

570
390
110
0
0
20
1,080

710
460
120
0
0
20
1,300

2.4
3.0
5.4

2.7
3.5
6.2

3.0
3.7
6.7

3.5
4.2
7.6

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail
includes gasoline.

PAGE 44

DEAN RUNYAN ASSOCIATES

La Paz County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
119.6
123.0
129.2
Other Travel*
2.8
3.7
4.2
Total Direct Spending
122.4
126.7
133.4
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
12.5
8.4
6.6
Private Home
11.7
13.2
14.5
Campground
26.2
28.6
31.2
Vacation Home
14.8
15.8
16.7
Day Travel
54.5
57.0
60.1
Destination Spending
119.6
123.0
129.2
Visitor Spending by Commodity Purchased ($Million)
Accommodations
11.1
10.4
10.1
Food Service
20.9
21.4
22.5
Food Stores
11.1
11.2
12.4
Local Tran. & Gas
11.7
15.3
18.9
Arts, Ent. & Rec.
46.5
46.6
47.7
Retail Sales
18.3
18.0
17.6
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
119.6
123.0
129.2
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
9.0
8.9
9.7
Arts, Ent. & Rec.
12.8
13.4
14.0
Retail**
4.3
4.5
4.8
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.1
0.2
0.2
Total Direct Earnings
26.2
27.0
28.9
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
560
520
520
Arts, Ent. & Rec.
520
470
480
Retail**
200
200
210
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
10
10
10
Total Direct Employment
1,290
1,200
1,220
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
4.1
4.1
4.6
State Tax Receipts
5.1
5.5
5.8
Total Direct Gov't Revenue
9.2
9.6
10.4

2010

2011

2012

2013p

123.9
3.8
127.7

134.7
4.6
139.3

138.0
4.8
142.8

139.8
4.6
144.4

3.9
14.3
30.4
16.3
59.0
123.9

6.9
16.4
31.9
17.0
62.4
134.7

8.3
16.3
32.5
17.5
63.4
138.0

9.9
16.3
32.4
17.6
63.6
139.8

8.5
22.8
12.1
17.1
45.9
17.5
0.0
123.9

9.6
24.6
13.1
21.3
47.8
18.4
0.0
134.7

10.2
25.4
13.3
22.0
48.5
18.6
0.0
138.0

10.9
26.3
13.4
21.3
49.1
18.8
0.0
139.8

10.5
13.6
4.2
0.0
0.0
0.1
28.5

12.6
14.2
4.4
0.0
0.0
0.1
31.3

12.5
14.4
4.3
0.0
0.0
0.1
31.4

14.3
14.9
4.3
0.0
0.0
0.1
33.6

560
450
180
0
0
10
1,200

650
470
190
0
0
10
1,320

650
480
180
0
0
10
1,310

750
510
170
0
0
10
1,440

4.4
5.7
10.1

4.8
6.3
11.1

4.9
6.5
11.4

4.9
6.4
11.3

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 45

Maricopa County
Travel Impacts, 2004-2013p
2004
2006
2008
2010
2011
2012
Total Direct Travel Spending ($Million)
Destination Spending
7,056
8,247
8,034
7,902 8,359 8,655
Other Travel*
1,904
2,412
2,550
2,355 2,586 2,795
Total Direct Spending
8,960 10,659 10,584 10,257 10,946 11,450
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
3,928
4,754
4,451
4,271 4,519 4,611
Private Home
1,803
2,071
2,139
2,212 2,317 2,339
Campground
213
167
150
108
127
245
Vacation Home
205
231
254
258
269
275
Day Travel
908
1,025
1,041
1,053 1,129 1,184
Destination Spending
7,056
8,247
8,034
7,902 8,359 8,655
Visitor Spending by Commodity Purchased ($Million)
Accommodations
1,347
1,705
1,630
1,359 1,464 1,516
Food Service
1,501
1,706
1,687
1,794 1,880 1,970
Food Stores
235
241
252
248
268
292
Local Tran. & Gas
776
960
1,007
1,001 1,133 1,196
Arts, Ent. & Rec.
1,035
1,123
1,059
1,064 1,097 1,124
Retail Sales
1,152
1,246
1,141
1,184 1,228 1,253
Visitor Air Tran.
1,011
1,266
1,257
1,250 1,290 1,305
Destination Spending
7,056
8,247
8,034
7,902 8,359 8,655
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
961
1,119
1,185
1,139 1,198 1,239
Arts, Ent. & Rec.
446
506
499
501
508
552
Retail**
191
214
207
190
202
205
Ground Tran.
88
101
95
102
109
111
Visitor Air Tran.
475
565
542
560
607
593
Other Travel*
653
776
770
733
783
829
Total Direct Earnings
2,814
3,281
3,298
3,226 3,407 3,528
Industry Employment Generated by Travel Spending (Thousand Jobs)
Accom. & Food Serv.
38.9 41,570 41,570
39.5
40.8
41.4
Arts, Ent. & Rec.
15.7 16,480 16,570
15.5
15.7
16.4
Retail**
6.1
6,460
6,300
5.7
5.8
5.9
Ground Tran.
2.6
2,770
2,590
2.6
2.7
2.8
Visitor Air Tran.
7.4
7,820
7,450
6.7
7.0
7.2
Other Travel*
13.0 14,430 13,430
11.6
12.0
12.9
Total Direct Employment
83.8 89,530 87,910
81.6
83.9
86.5
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
394.0
451.9
454.4
442.5 477.1 486.8
State Tax Receipts
343.6
391.7
390.2
389.9 431.7 449.0
Total Direct Gov't Revenue
737.6
843.6
844.6
832.3 908.8 935.8

2013p
9,030
2,954
11,984
4,813
2,445
269
281
1,222
9,030
1,586
2,071
306
1,215
1,156
1,286
1,411
9,030
1,301
590
207
113
551
833
3,594
43.0
17.4
6.1
2.8
6.9
12.3
88.5
492.3
451.4
943.7

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations, resident air travel, travel arrangement services, and
convention and trade shows. **Retail includes gasoline.

PAGE 46

DEAN RUNYAN ASSOCIATES

Mohave County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
387.0
468.4
450.5
Other Travel*
34.5
47.4
64.3
Total Direct Spending
421.5
515.8
514.7
All Overnight
Hotel, Motel
112.2
145.7
112.4
Private Home
118.2
142.0
153.7
Campground
17.2
19.1
21.2
Vacation Home
31.1
35.7
38.3
Day
108.2
126.0
124.8
Destination Spending
387.0
468.4
450.5
Visitor Spending by Commodity Purchased ($Million)
Accommodations
55.4
71.9
57.8
Food Service
102.1
121.7
118.5
Food Stores
36.0
40.2
42.5
Local Tran. & Gas
46.5
68.3
79.5
Arts, Ent. & Rec.
78.8
89.3
82.3
Retail Sales
68.3
77.0
69.8
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
387.0
468.4
450.5
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
52.1
63.3
62.6
Arts, Ent. & Rec.
35.7
42.3
41.0
Retail**
16.5
19.9
20.0
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
5.6
7.3
12.5
Total Direct Earnings
110.0
132.8
136.0
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
3,050
3,550
3,200
Arts, Ent. & Rec.
2,120
2,540
2,030
Retail**
610
710
680
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
240
270
470
Total Direct Employment
6,020
7,070
6,380
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
15.8
18.7
18.6
State Tax Receipts
19.7
23.1
22.4
Total Direct Gov't Revenue
35.5
41.8
41.1

2010

2011

2012

2013p

460.5
53.0
513.5

466.3
61.0
527.3

473.4
65.4
538.8

495.3
67.6
562.9

119.0
155.8
20.5
37.7
127.6
460.5

119.5
157.3
22.1
39.4
128.0
466.3

120.0
160.7
22.6
40.4
129.8
473.4

123.7
172.7
22.5
40.5
135.9
495.3

55.3
128.8
43.0
75.5
84.3
73.6
0.0
460.5

56.2
126.3
43.4
87.0
81.7
71.6
0.0
466.3

56.5
129.3
44.0
89.7
82.0
71.8
0.0
473.4

58.2
138.8
46.8
90.5
85.8
75.1
0.0
495.3

62.8
31.8
18.0
0.0
0.0
8.3
120.8

64.9
29.1
17.7
0.0
0.0
8.3
119.9

61.3
32.0
17.3
0.0
0.0
9.2
119.8

65.6
37.9
17.9
0.0
0.0
10.9
132.3

3,220
1,630
630
0
0
310
5,780

3,230
1,500
610
0
0
310
5,650

2,950
1,580
600
0
0
320
5,450

3,080
1,800
610
0
0
360
5,860

18.7
23.0
41.7

19.2
24.1
43.3

19.3
24.4
43.7

19.3
24.7
44.0

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 47

Navajo County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
217.1
260.0
285.6
Other Travel*
15.2
20.1
22.5
Total Direct Spending
232.3
280.0
308.1
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
102.7
128.5
141.3
Private Home
40.9
48.1
53.9
Campground
14.2
16.4
17.2
Vacation Home
38.0
41.7
45.6
Day Travel
21.4
25.2
27.7
Destination Spending
217.1
260.0
285.6
Visitor Spending by Commodity Purchased ($Million)
Accommodations
44.1
52.9
60.4
Food Service
53.2
63.4
69.3
Food Stores
16.3
18.0
20.2
Local Tran. & Gas
21.4
31.4
39.7
Arts, Ent. & Rec.
27.5
30.9
32.0
Retail Sales
54.6
63.4
64.0
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
217.1
260.0
285.6
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
34.1
40.1
48.6
Arts, Ent. & Rec.
10.5
12.3
13.3
Retail**
9.8
11.8
12.7
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
1.2
1.5
1.3
Total Direct Earnings
55.5
65.7
75.8
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
2,050
2,120
2,320
Arts, Ent. & Rec.
590
670
680
Retail**
430
490
510
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
70
80
70
Total Direct Employment
3,140
3,360
3,570
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
10.0
11.8
13.6
State Tax Receipts
11.4
13.3
14.6
Total Direct Gov't Revenue
21.4
25.1
28.2

2010

2011

2012

2013p

254.5
20.0
274.5

264.5
24.0
288.5

279.7
25.1
304.8

282.0
24.3
306.3

114.3
52.3
16.7
45.4
25.8
254.5

115.2
57.0
17.6
47.4
27.3
264.5

128.1
58.4
16.4
48.6
28.2
279.7

130.5
57.3
17.1
49.0
28.2
282.0

50.1
65.5
19.1
33.9
29.6
56.3
0.0
254.5

50.6
66.8
20.1
40.8
29.8
56.3
0.0
264.5

55.2
71.0
20.5
42.8
30.3
59.8
0.0
279.7

57.2
72.6
20.7
41.0
30.5
59.9
0.0
282.0

47.7
18.0
10.1
0.0
0.0
0.7
76.5

47.5
18.4
10.4
0.0
0.0
0.7
76.9

52.0
21.9
10.6
0.0
0.0
0.7
85.2

53.7
19.2
10.4
0.0
0.0
0.7
84.0

2,240
810
410
0
0
40
3,500

2,240
810
410
0
0
30
3,500

2,290
900
420
0
0
30
3,650

2,340
800
410
0
0
30
3,590

11.7
13.4
25.1

12.3
14.4
26.7

13.0
15.3
28.3

12.4
14.6
27.1

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

PAGE 48

DEAN RUNYAN ASSOCIATES

Pima County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
1,987
2,241
2,043
Other Travel*
375
456
506
Total Direct Spending
2,362
2,697
2,550
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
924
1,074
903
Private Home
375
423
451
Campground
25
56
36
Vacation Home
39
43
47
Day Travel
624
645
605
Destination Spending
1,987
2,241
2,043
Visitor Spending by Commodity Purchased ($Million)
Accommodations
339
420
349
Food Service
471
526
475
Food Stores
128
134
132
Local Tran. & Gas
236
294
279
Arts, Ent. & Rec.
175
188
173
Retail Sales
469
468
411
Visitor Air Tran.
170
210
223
Destination Spending
1,987
2,241
2,043
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
282
319
304
Arts, Ent. & Rec.
71
80
76
Retail**
81
86
79
Ground Tran.
27
30
25
Visitor Air Tran.
5
10
12
Other Travel*
50
54
59
Total Direct Earnings
517
579
555
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
13,790 14,590 12,700
Arts, Ent. & Rec.
4,550
4,550
3,860
Retail**
3,050
3,110
2,870
Ground Tran.
820
830
680
Visitor Air Tran.
130
220
250
Other Travel*
1,800
1,750
1,800
Total Direct Employment
24,140 25,040 22,160
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
91.3
105.7
101.5
State Tax Receipts
95.0
106.3
97.5
Total Direct Gov't Revenue
186.3
211.9
199.0

2010

2011

2012

2013p

2,022
467
2,489

2,051
519
2,570

2,131
600
2,730

2,135
532
2,667

895
452
29
47
598
2,022

908
467
31
49
595
2,051

946
468
33
51
633
2,131

950
459
32
51
643
2,135

316
508
129
278
174
413
204
2,022

320
514
131
306
175
401
203
2,051

330
542
138
321
178
423
199
2,131

332
552
140
315
177
428
190
2,135

297
77
72
27
11
51
535

309
75
72
28
10
53
547

334
76
73
29
9
81
602

336
76
73
29
7
57
577

12,410 12,710 13,320
4,090 4,070 4,080
2,560 2,540 2,520
690
700
730
210
200
180
1,400 1,350 2,030
21,360 21,560 22,860

13,280
4,030
2,500
720
130
1,710
22,380

96.8
99.8
196.6

100.4
106.5
206.9

103.7
111.8
215.5

100.2
107.8
207.9

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations, resident air travel, travel arrangement services, and
convention and trade shows. **Retail includes gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 49

Pinal County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
290.0
368.1
456.2
Other Travel*
30.2
48.8
69.3
Total Direct Spending
320.2
416.9
525.6
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
25.4
33.8
37.1
Private Home
120.9
156.2
199.9
Campground
39.1
43.3
48.2
Vacation Home
39.5
52.4
67.4
Day Travel
65.1
82.4
103.6
Destination Spending
290.0
368.1
456.2
Visitor Spending by Commodity Purchased ($Million)
Accommodations
29.1
36.7
42.3
Food Service
87.9
111.7
140.1
Food Stores
28.4
33.3
42.3
Local Tran. & Gas
33.9
51.8
73.7
Arts, Ent. & Rec.
46.1
55.9
66.2
Retail Sales
64.6
78.7
91.6
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
290.0
368.1
456.2
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
37.0
47.2
62.9
Arts, Ent. & Rec.
21.6
27.4
34.1
Retail**
13.3
16.9
21.0
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
1.6
2.6
3.8
Total Direct Earnings
73.4
94.2
121.8
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
2,170
2,500
2,990
Arts, Ent. & Rec.
1,170
1,390
1,270
Retail**
540
670
820
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
80
120
180
Total Direct Employment
3,960
4,680
5,250
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
12.3
15.2
20.1
State Tax Receipts
16.0
20.0
24.7
Total Direct Gov't Revenue
28.3
35.2
44.8

2010

2011

2012

2013p

514.6
72.3
586.8

551.0
86.2
637.1

540.1
91.3
631.4

535.0
88.7
623.6

34.7
241.3
46.6
75.3
116.7
514.6

40.0
256.1
50.2
78.7
126.1
551.0

37.8
246.2
51.4
80.6
124.0
540.1

32.5
246.9
51.2
81.4
123.0
535.0

40.4
168.1
47.4
76.4
74.6
107.6
0.0
514.6

43.4
175.8
50.5
93.4
76.5
111.4
0.0
551.0

43.2
173.0
49.5
93.1
74.2
107.1
0.0
540.1

41.6
175.0
49.8
88.7
73.8
106.0
0.0
535.0

73.4
29.3
21.3
0.0
0.0
2.6
126.7

76.4
28.7
22.4
0.0
0.0
2.6
130.0

80.2
31.4
21.0
0.0
0.0
2.7
135.3

74.4
35.0
20.5
0.0
0.0
2.8
132.7

3,060
1,140
780
0
0
130
5,110

3,250
1,230
830
0
0
130
5,440

3,350
1,330
770
0
0
130
5,580

3,480
1,470
760
0
0
140
5,850

22.7
28.5
51.2

24.5
31.1
55.6

23.7
30.7
54.4

22.5
29.7
52.2

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

PAGE 50

DEAN RUNYAN ASSOCIATES

Santa Cruz County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
293.7
273.5
272.9
Other Travel*
5.7
8.0
9.5
Total Direct Spending
299.4
281.5
282.4
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
31.0
36.3
39.0
Private Home
25.6
29.0
33.1
Campground
1.0
1.1
1.3
Vacation Home
1.0
1.2
1.3
Day Travel
235.1
206.0
198.2
Destination Spending
293.7
273.5
272.9
Visitor Spending by Commodity Purchased ($Million)
Accommodations
13.0
15.6
16.9
Food Service
39.3
39.6
41.1
Food Stores
105.1
91.8
92.9
Local Tran. & Gas
15.1
19.1
23.2
Arts, Ent. & Rec.
8.5
9.1
9.3
Retail Sales
112.6
98.5
89.5
Visitor Air Tran.
0.0
0.0
0.0
Destination Spending
293.7
273.5
272.9
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
17.8
18.5
21.1
Arts, Ent. & Rec.
4.2
4.7
5.1
Retail**
31.3
28.0
27.3
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.0
0.0
0.0
Other Travel*
0.3
0.5
0.6
Total Direct Earnings
53.6
51.7
54.0
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
1,110
1,070
1,000
Arts, Ent. & Rec.
260
330
340
Retail**
1,160
970
900
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
0
Other Travel*
20
30
30
Total Direct Employment
2,560
2,390
2,260
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
12.0
11.6
12.3
State Tax Receipts
12.2
11.6
11.7
Total Direct Gov't Revenue
24.3
23.1
23.9

2010

2011

2012

2013p

253.6
8.8
262.4

227.9
10.6
238.5

259.8
11.1
270.9

276.9
10.6
287.5

36.2
34.9
1.2
1.3
180.0
253.6

28.0
36.2
1.3
1.3
161.1
227.9

31.0
38.0
1.4
1.4
188.2
259.8

35.0
37.5
1.4
1.3
201.7
276.9

15.5
41.2
83.7
20.7
9.1
83.3
0.0
253.6

11.9
36.9
76.1
22.2
8.0
72.8
0.0
227.9

12.8
41.4
88.5
24.9
8.5
83.6
0.0
259.8

14.0
44.7
95.2
24.9
9.0
89.0
0.0
276.9

20.8
4.2
23.6
0.0
0.0
0.3
48.8

18.4
4.0
20.8
0.0
0.0
0.3
43.6

19.1
4.3
23.1
0.0
0.0
0.3
46.8

20.0
5.2
24.0
0.0
0.0
0.3
49.5

970
290
720
0
0
20
2,000

870
300
650
0
0
20
1,830

900
290
710
0
0
20
1,920

940
390
720
0
0
20
2,080

11.0
11.0
22.0

10.0
10.4
20.5

11.3
11.8
23.0

11.4
11.9
23.4

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

DEAN RUNYAN ASSOCIATES

PAGE 51

Yavapai County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
472.9
562.5
594.6
Other Travel*
37.5
50.1
56.1
Total Direct Spending
510.4
612.7
650.6
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
176.4
233.0
234.4
Private Home
56.9
69.8
77.0
Campground
10.8
5.4
13.0
Vacation Home
19.0
21.9
24.2
Day Travel
209.8
232.4
246.0
Destination Spending
472.9
562.5
594.6
Visitor Spending by Commodity Purchased ($Million)
Accommodations
85.8
115.0
121.3
Food Service
91.5
108.8
113.7
Food Stores
34.2
36.9
41.5
Local Tran. & Gas
41.0
58.9
73.6
Arts, Ent. & Rec.
147.7
162.6
166.3
Retail Sales
72.4
79.9
77.8
Visitor Air Tran.
0.2
0.5
0.4
Destination Spending
472.9
562.5
594.6
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
59.9
73.5
83.8
Arts, Ent. & Rec.
56.8
65.5
68.9
Retail**
15.3
17.8
19.1
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
0.1
0.2
0.3
Other Travel*
6.4
7.8
8.0
Total Direct Earnings
138.6
164.9
180.1
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
3,050
3,280
3,530
Arts, Ent. & Rec.
3,880
3,840
3,850
Retail**
630
740
780
Ground Tran.
0
0
0
Visitor Air Tran.
0
0
10
Other Travel*
340
320
300
Total Direct Employment
7,900
8,180
8,460
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
17.5
21.0
23.1
State Tax Receipts
22.3
26.9
28.6
Total Direct Gov't Revenue
39.8
47.9
51.6

2010

2011

2012

2013p

565.9
51.4
617.3

597.1
58.2
655.3

632.4
62.3
694.7

647.4
63.5
710.9

209.7
78.3
12.6
23.9
241.4
565.9

221.3
85.3
13.2
25.0
252.3
597.1

245.6
87.6
13.8
25.6
259.8
632.4

258.9
87.2
13.8
26.1
261.5
647.4

104.4
115.7
40.6
66.5
160.4
77.5
0.8
565.9

109.7
120.0
43.1
81.0
163.0
79.4
1.0
597.1

122.8
127.2
44.5
85.7
168.4
81.9
1.9
632.4

131.1
132.5
45.4
83.3
171.1
83.0
1.0
647.4

73.7
68.0
16.5
0.0
0.3
6.3
164.8

77.9
63.2
17.1
0.0
0.3
5.6
164.2

86.1
64.6
17.2
0.0
0.4
6.1
174.2

94.0
61.4
17.1
0.0
0.3
7.2
180.0

3,050
3,550
650
0
10
240
7,490

3,190
3,420
670
0
10
190
7,470

3,440
3,440
670
0
10
190
7,750

3,590
3,260
660
0
10
210
7,720

21.9
27.6
49.6

23.5
29.9
53.5

24.9
31.6
56.5

24.5
31.3
55.8

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

PAGE 52

DEAN RUNYAN ASSOCIATES

Yuma County
Travel Impacts, 2004-2013p
2004
2006
2008
Total Direct Travel Spending ($Million)
Destination Spending
487.4
541.8
569.9
Other Travel*
30.7
43.6
53.7
Total Direct Spending
518.0
585.4
623.6
Visitor Spending by Type of Accommodation ($Million)
Hotel, Motel
101.0
134.5
140.2
Private Home
58.8
68.4
78.6
Campground
51.6
64.5
72.5
Vacation Home
35.1
39.5
43.7
Day Travel
240.8
234.9
234.9
Destination Spending
487.4
541.8
569.9
Visitor Spending by Commodity Purchased ($Million)
Accommodations
46.9
63.2
66.8
Food Service
85.2
97.4
103.8
Food Stores
71.5
68.8
72.9
Local Tran. & Gas
38.1
54.7
68.4
Arts, Ent. & Rec.
97.3
115.8
121.1
Retail Sales
139.2
132.4
124.4
Visitor Air Tran.
9.2
9.6
12.4
Destination Spending
487.4
541.8
569.9
Industry Earnings Generated by Travel Spending ($Million)
Accom. & Food Serv.
42.1
50.4
58.1
Arts, Ent. & Rec.
38.3
47.2
50.7
Retail**
30.8
31.0
31.5
Ground Tran.
0.0
0.0
0.0
Visitor Air Tran.
2.9
0.2
0.3
Other Travel*
3.5
2.6
3.3
Total Direct Earnings
117.6
131.5
143.8
Industry Employment Generated by Travel Spending (Jobs)
Accom. & Food Serv.
2,380
2,650
2,800
Arts, Ent. & Rec.
2,040
2,280
2,060
Retail**
1,120
1,150
1,110
Ground Tran.
0
0
0
Visitor Air Tran.
60
10
10
Other Travel*
100
110
130
Total Direct Employment
5,700
6,200
6,110
Government Revenue Generated by Travel Spending ($Million)
Local Tax Receipts
20.3
21.8
23.4
State Tax Receipts
22.9
25.8
27.2
Total Direct Gov't Revenue
43.2
47.6
50.6

2010

2011

2012

2013p

552.8
51.1
603.8

587.7
59.1
646.8

593.3
62.0
655.3

569.9
59.3
629.2

130.3
79.8
74.8
44.5
223.5
552.8

151.2
90.3
79.2
46.5
220.6
587.7

149.2
87.5
72.9
47.6
236.0
593.3

132.3
85.9
65.5
47.7
238.6
569.9

60.1
107.3
69.1
63.1
120.9
120.1
12.3
552.8

67.3
114.7
69.1
79.0
129.2
116.1
12.3
587.7

65.1
116.2
73.4
79.2
124.1
123.5
11.8
593.3

58.5
113.3
74.7
72.1
114.4
124.5
12.5
569.9

62.4
50.0
27.5
0.0
0.7
2.7
143.2

62.9
50.3
27.1
0.0
0.8
2.9
144.0

63.6
51.9
27.7
0.0
0.2
2.4
145.9

65.6
40.3
27.2
0.0
0.3
2.6
136.0

2,860
2,140
960
0
10
90
6,070

2,910
2,190
930
0
20
100
6,160

2,840
2,480
920
0
10
90
6,330

2,950
1,870
890
0
10
90
5,820

22.2
26.9
49.1

23.7
29.3
53.1

24.0
29.7
53.7

22.4
27.8
50.2

Details may not add to totals due to rounding.
*Other Travel includes ground transportation to other Arizona destinations and travel arrangement services. **Retail includes
gasoline.

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This page intentionally blank.

APPENDICES

APPENDIX A

2013 TRAVEL IMPACT ESTIMATES

APPENDIX B

KEY TERMS AND DEFINITIONS

APPENDIX C

REGIONAL TRAVEL IMPACT MODEL

APPENDIX D

TRAVEL INDUSTRY ACCOUNTS

APPENDIX E

ARIZONA EARNINGS AND EMPLOYMENT BY INDUSTRY
SECTOR

APPENDIX F

INDUSTRY GROUPS

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APPENDIX A

2013 TRAVEL IMPACT ESTIMATES
This appendix provides a brief overview of the methodology, terminology and
limitations of the travel impact and visitor volume estimates.

REVISIONS TO 2013 REPORT
There were no major methodological revisions in this year’s report. There
were some small revisions to the estimates for the years 2010 through 2012.
In addition:


There is a new section on regional travel impacts that are comparable to
the county and statewide estimates.



State and local taxes are now reported separately at the statewide level.
They are also comparable to the state and local taxes for the counties
and regions. In the past, estimates of local property taxes and the sales
tax payments of travel industry employees were reported only at the
state level. These tax revenues are now also allocated to counties and
regions.

DIRECT IMPACTS
The estimates of the direct impacts associated with traveler spending in Arizona
were produced using the Regional Travel Impact Model (RTIM) developed by Dean
Runyan Associates. The input data used to detail the economic impacts of the
Arizona travel industry were gathered from various local, state and federal sources.
Travel impacts consist of estimates of travel spending and the employment,
earnings, and state and local taxes generated by this spending. These estimates are
also broken out by type of traveler accommodation and by the type of business in
which the expenditures occur.

GROUND TRANSPORTATION ESTIMATES
County and regional level estimates of destination or visitor spending include only a
portion of the ground transportation expenditures for travel that occur in the county.
The remaining portion is included in “other travel” as it represents transportation
costs for travel to another destination within Arizona. State level estimates of visitor
spending include all of these expenditures for ground transportation.

SECONDARY (INDIRECT AND INDUCED) IMPACTS
Direct impacts are reported for all counties within Arizona. Secondary employment
and earnings impacts over and above direct impacts are reported at the state level
only for the year 2013. These indirect and induced impacts are generated from the
direct impacts produced by the RTIM, discussed above, and an input-output model

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of the Arizona economy prepared by the Minnesota IMPLAN Group, Inc. Indirect
impacts represent the purchases of goods and services from other firms by
businesses that directly receive expenditures from travelers. Hotels, for example,
purchase maintenance services from independent contractors. Induced impacts
represent the purchase of goods and services by employees whose earnings are in
part derived from travel expenditures. The sum of the direct, indirect and induced
impacts equals the total impact of all spending by visitors in the state. The
“multiplier” refers to the ratio of the total impacts to the direct impacts for
employment or earnings. A description of the methodology used to estimate
secondary impacts can be found in the Appendix.

PRELIMINARY ESTIMATES
Preliminary estimates for 2013 were prepared at the state, regional and county level.
These estimates take advantage of the most current available data. However,
because full-year data was not available in all cases, these estimates are subject to
subsequent revision as additional information relating to travel and its economic
impact in 2013 becomes available.

GROSS DOMESTIC PRODUCT
An estimate of the Gross Domestic Product (GDP) of the Arizona travel
industry based on the RTIM direct travel impacts is also provided in this report.
The GDP of an industry is equal to gross output (sales or receipts) minus
intermediate inputs (the goods and services purchased from other industries).
GDP is always less than output or sales because GDP measures only the
“value added” of an industry and does not include the cost of the inputs that
are also necessary to produce a good or service. GDP is a useful concept
because it permits comparisons of the economic contributions of different
industries.
The relationship between spending and gross domestic product is illustrated in
the figure below. Examples of inputs are the food or accounting services that
restaurants purchase from suppliers. “Goods resold” are the commodities that
retail establishments purchase from manufacturers or wholesale trade
businesses and resell with a markup. These inputs or goods are not counted as
the GDP of the restaurant or retail industry because their value was created in
other industries (agriculture, accounting, manufacturing).

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Relationship Between Spending and Gross Domestic Product

Inputs/Goods Resold
Operating Surplus
Indirect Taxes
Labor Income

Spending

GDP

It is for this reason that “travel spending” – as measured from surveys of visitors
– is not the best measure of the travel industry’s real economic contribution.
This is because some visitor spending is actually counted as the GDP of other
industries (e.g., agriculture, accounting, manufacturing). Furthermore, these
other industries may or may not be located within the geographic area of
interest. If the farm were located within the region of interest, then the GDP of
the local farm would be included as an indirect or secondary effect. If not
(e.g., a manufacturing firm in another state or country), then that portion of
GDP is not counted.
The preceding graph also shows the three main components of GDP. For most
industries, labor income (essentially equivalent to earnings in this report) is the
primary component of GDP. This is true of the travel industry. A second
component is the tax payments that businesses make to government, such as
sales, excise and property taxes. In the case of excise taxes, businesses are
essentially a collection agency for the government. The final component,
operating surplus, represents the income and payments (e.g., dividends,
interest) to other stakeholders of the firm.
The concept of GDP also illustrates that with small geographic units of analysis
(e.g., counties), earnings, employment, and tax revenues are the best measures
of the economic value of the travel industry to the local economy. Small area
measures of GDP are less reliable and much of the operating surplus may leak
out of the local economy anyway. Indirect effects are also generally less in
smaller economies.

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COMPARISON WITH OTHER EXPORT-ORIENTED INDUSTRIES
Export-oriented industries are those industries that primarily market their
products and services to other regions, states or nations. Agriculture,
extractive industries, and manufacturing are the best examples of goods
producing export-oriented industries. Many professional services (e.g.,
engineering, architecture, law) are also traded in export markets. The travel
industry is also an export-oriented industry because goods and services are
sold to visitors, rather than residents. The travel industry injects money into
the local economy, as do the exports of other industries.
Exports are not necessarily more important than locally traded goods and
services. However, diverse export-oriented industries in any economy are a
source of strength – in part because they generate income that contributes to
the development of other local services and amenities. Such industries
characterize the “comparative advantage” of the local economy within larger
regional, national and global markets.
For the purposes of this report, we have defined five major export-oriented
industries in Arizona.


Aerospace. This industry comprises establishments engaged in aerospace
product and parts manufacturing.



Microelectronics. This industry includes establishments that manufacture
computers, communications equipment and similar products and
components that utilize integrated circuits. This is the largest manufacturing
subsector (NAICS 334).



Food. The food group encompasses parts of two major industry categories:
agriculture, and food manufacturing or processing.



Mining. This industry is comprised primarily of copper mining companies.



Travel. A portion of the transportation, retail, leisure, and hospitality
industries as estimated in this report.

Comparisons with these industries are more meaningful for the travel industry
than comparisons with non-export oriented industries (e.g., health care, retail
trade, government) where industry growth is largely a function of population
and demographic factors. See Appendix C for a list of Arizona industries.

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INTERPRETATION OF IMPACT ESTIMATES
Users of this report should be aware of several issues regarding the interpretation of
the impact estimates contained herein:


The estimates contained in this report are based on the most current data
available and supersede all previous estimates of travel impacts.



The estimates in this report are expressed in current dollars unless otherwise
noted.



The employment estimates in this report are estimates of the total number of
full and part-time jobs directly generated by travel spending, rather than the
number of individuals employed. Both payroll and self-employment are
included in these estimates. Caution should therefore be used in comparing
these estimates with other employment data series.



In general, estimates of small geographic areas (e.g., rural counties) are less
reliable than estimates for regions or metropolitan counties. Trend analysis
and comparisons of counties with relatively low levels of travel related
economic activity should therefore be interpreted cautiously.



The estimates of travel impacts published in this report will necessarily differ
somewhat from estimates generated from different models, methodologies
and data sources. Nonetheless, it should be emphasized that all credible
estimates of direct travel impacts at the state level, including those of Dean
Runyan Associates, are of similar magnitude.

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APPENDIX B
KEY TERMS AND DEFINITIONS
Commodity: A classification of a product or service, such as lodging or food service.
An establishment or industry may produce more than one commodity.
Direct Impacts: Employment, earnings and tax receipts directly generated by travel
spending, as distinguished from secondary and total impacts.
Earnings: Earnings include wage and salary disbursements, other earned income or
benefits, and proprietor income. Only the earnings attributable to travel expenditures
are included.
Employment: Industry employment (jobs) associated with travel-generated earnings.
Includes both full-time and part-time positions, and salaried or self-employed
individuals. Employment is reported as an average for a time period, typically annual.
(Unless otherwise noted, the employment estimates refer to establishment or industry
employment at place of work, not the employment status or residence of the
individual.)
Federal Taxes: Federal taxes include the motor fuel excise tax, airline ticket taxes,
and personal income and payroll taxes.
Industry: A classification of business or government establishments based on their
primary technological process. (See NAICS Appendix table.)
Local Taxes: Lodging, sales and auto rental taxes imposed by cities, counties and
other regional tax jurisdictions in Arizona. These taxes are levied on sales to visitors
and the spending of employees attributable to travel industry earnings. Passenger
Facility Charges attributable to visitors (a fee imposed on airline tickets) are included
in counties with airports. Property tax payments attributable to travel industry
businesses and employees are also included.
Other spending: Other spending includes spending by residents on ground and air
transportation for travel to other destinations, spending on travel arrangement
services, and convention/ trade shows.
Private Home: Unpaid overnight accommodations of friends and relatives.
Receipts: Travel expenditures less the sales and excise taxes paid by the consumer.
State Taxes: Lodging, sales, motor fuel, and business and personal income taxes
imposed by the state of Arizona. These taxes are levied on sales to visitors and the
spending of employees attributable to travel industry earnings.
Total Impacts: The sum of Direct and Secondary impacts.
Travel spending: The sum of visitor and other spending related to travel.
Visitor spending: All spending on goods & services by visitors at the destination.
Also referred to as destination spending.

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PAGE 61

APPENDIX C
REGIONAL TRAVEL IMPACT MODEL
PRIMARY DATA SOURCES
Room Demand,
Visitor Surveys,
Population,
Inventory/Use
of Campsites &
Second Homes,
Visitor air
arrivals

Visitor Volume
(Travel Party Days by
Type of
Accommodation)

ECONOMIC IMPACTS OF TRAVEL

Accommodation
Sales,
Visitor Surveys,
Airfares

Note: Receipts equals
Spending less
POS Taxes

Ratio of
Earnings to
Receipts for
relevant
Industry

Average
Annual
Earnings per
job for
relevant
industry

PAGE 62

Visitor Spending

Point of Sale Taxes

(Type of
Accommodation and
Type of Commodity)

(Sales and Excise Taxes
associated with Visitor
Spending)

Business Receipts
(not reported)

Business Taxes
(Taxes on business
income or receipts)

Earnings
(By Industry)

Employment
(By Industry)

Personal Taxes
(Local, state and
federal income and
payroll taxes)
Note: Most estimates of taxes
are based on implicit tax rates
applied to visitor spending,
business receipts, and
employee earnings. Lodging
tax receipts reflect actual tax
collections.

DEAN RUNYAN ASSOCIATES

APPENDIX D
TRAVEL INDUSTRY ACCOUNTS: A COMPARISON OF THE
REGIONAL TRAVEL IMPACT MODEL AND
TRAVEL & TOURISM SATELLITE ACCOUNTS
An economic account is a method for displaying inter-related information about a
set of economic activities. A travel industry account is a method to report different
types of related information about the purchase of goods and services by visitors.
The Bureau of Economic Analysis (BEA), which now provides annual and quarterly
estimates of travel and tourism at the national level, describes a Travel and Tourism
Satellite Account (TTSA) as “present(ing) a rearrangement of information from the
National Income and Product Accounts, from the industry accounts, and from other
sources so that travel and tourism activities can be analyzed more completely than
is possible in the structure of the traditional national economic accounts.”1
Similarly, the RTIM has been developed by Dean Runyan Associates to estimate
travel spending, earnings, employment, and tax receipts at the state, county, and
regional levels. These initial findings can, in turn, be used as input data for deriving
estimates of other economic measures, such as value-added and indirect effects.
This appendix provides an overview of the Regional Travel Impact Model (RTIM)
and travel and tourism satellite accounts (TTSAs). Although there is no single or
absolute form of a TTSA, the one developed by the Bureau of Economic Analysis
(BEA) will be the basis of the analysis here. The definitions, framework, and
estimating methods used for the U.S. BEA TTSA follow, as closely as is practicable,
the guidelines for similar travel satellite accounts that were developed by the World
Tourism Organization (WTO) and the Organization for Economic Co-operation and
Development (OECD).
The primary focus is on the direct impacts of visitor spending. Visitors are defined
as persons that stay overnight away from home, or travel more than fifty miles oneway on a non-routine trip. Only the expenditures related to specific trips are
counted as visitor spending. Other travel related expenditures such as the
consumption of durable goods (e.g., recreational vehicles or sporting equipment) or
the purchase of vacation homes are not considered.
While such a definition of the travel industry (i.e., the trip related expenditures of
visitors) is conservative, it is also in keeping with the notion of the travel industry as
being an export-oriented industry for specific local communities. That is, visitors
are important to regions because they inject money into the local economy. This
focus on the export-oriented nature of the travel industry for local communities
becomes blurred if the industry is defined so as to include non-trip related
expenditures.
1

Peter D. Kuhbach, Mark A. Planting, and Erich H. Strassner, “U.S. Travel and Tourism Satellite
Accounts for 1998-2003,” Survey of Current Business 84 (September 2004): 43-59.

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PRIMARY CONCEPTS, CATEGORIES & DATA REQUIREMENTS
There are three primary types of information that are measured and/or estimated in a
travel industry account. The first is a measure of the travel industry in terms of both
the characteristics of the business firms that sell travel goods and services and the
characteristics of consumers that purchase travel industry goods and services. The
second is a measure of the demand segments that consume travel industry goods
and services. For example, the distinction between business and leisure travel is a
measure of demand segments. The third is a measure of the components of
economic output associated with the travel industry. The employee earnings
generated by visitor spending is one such component. Travel-generated tax receipts
are another. These three categories of information represent different aspects of the
accounting ledger – they represent different ways of viewing or analyzing the travel
industry.
The bulk of this paper will discuss these three types of information in terms of their
conceptual foundations, the data requirements, and some of the more salient issues
that users of this information should be aware of. There will also be some
discussion of indirect and induced effects in that these effects can be reasonably
estimated from the direct travel industry accounts. These secondary (versus direct)
effects describe the relationship of the travel industry to other sectors of the larger
economy.
The intent of this discussion will be to provide a general overview of the process of
constructing travel industry accounts and the underlying similarity between the
RTIM and a TTSA. More technical issues are generally placed in footnotes.

TRAVEL INDUSTRY
Defining the travel industry is probably the most critical and data intensive effort
involved in developing a travel industry account. It is an exercise in matching
supply (sellers of goods and services) with demand (the travelers that purchase those
particular goods and services). It is complicated by the fact that no single industrial
classification scheme provides a valid measure of the travel industry.2 There are
only three significant industrial classifications (Accommodations [NAICS 721],
Scheduled Passenger Air Transportation [NAICS 481111] and Travel Arrangement and
Reservation Services [NAICS 5615]) that primarily sell travel industry goods and
services.3 Firms in other industries (retail, recreation, transportation) provide goods
and services to both travelers and other types of consumers.
Because of this, most satellite accounts, as well as the RTIM, incorporate at least
some information about the expenditures of visitors in order to define the supply of
2

The North American Industrial Classification System (NAICS) is the current standard in the United
States.
3
Even these industries are not purely travel. For example, the accommodations industry provides
services to local residents (food service and meeting rooms). Passenger airlines also ship cargo on
the same planes that carry passengers. Fortunately, it is usually possible to make adjustments for
these non-travel components through the use of additional data.

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DEAN RUNYAN ASSOCIATES

visitor industry firms. For example, if there is an estimate of visitor-days and an
estimate of how much the average visitor spends on food services per day, then an
estimate of visitor spending on food services can be calculated. In most cases, this
will be only a fraction of all food service sales in that residents are a larger market
for most restaurants.4
The industry sectors that are usually matched to visitor spending in this way are:
accommodations (NAICS 721), food service (722), arts, entertainment and
recreation (71), and retail trade (44-45). A portion of transportation business is also
part of the travel industry for obvious reasons.
In the case of the transportation sector, the definition and measurement of the travel
industry component is more complicated because most transportation spending by
visitors involves travel to and from the destination, rather than travel at or within the
destination market. This is not an issue if the geographic scope of the travel industry
market includes the origin and destination of travel. National travel industry
accounts thus include all domestic passenger air transportation in the travel
industry. The issue is more complicated at the state or regional level, however.
Suppose, for example, that the focus of a travel industry account is the state of
Arizona. How should the purchase of a round trip airline ticket by a Chicago
resident traveling to Phoenix be treated in that only some of the economic impact of
this spending will occur in Arizona? A reasonable approach would be to allocate
only a portion of this spending (and related payroll, taxes, etc.) to Arizona and
ignore the remainder for the purpose of creating a travel industry account for
Arizona. However, if this procedure were followed for every state, the sum of the
state accounts would be less than the national travel account. The state accounts
would be additive if outbound air travel from each state were included. However,
this is methodologically inconsistent with the construction of a national account,
which does not include outbound travel as a component of domestic tourism
demand. The approach used in the RTIM is to make a distinction between the
visitor industry, that includes only visitor demand, and the travel industry, which
includes visitor demand and that portion of outbound travel that can be attributed to
the resident economy. For example, the passenger air transportation employment in
Arizona can be divided between three groups of travelers: inbound, outbound, and
pass-through. Only that employment attributable to inbound travel is part of the
Arizona visitor industry. Employment attributable to outbound and pass-through
travelers is included with the larger travel industry.5

4

The proportion can vary enormously among regions and localities, however. In many popular
visitor destinations, the primary market for food service will be visitors. It should also be noted that
even with reliable visitor survey data, there is still the issue of how to translate spending on food
service commodities to the supply of food service by industry. As indicated in the footnote above,
food service is also supplied by the accommodation industry.
5
The same issue arises with travel agencies and reservation services (NAICS 5615). Most of these
services are probably related to outbound travel and are treated as such in the RTIM.

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PAGE 65

The following two tables display the specific industries that are included in the
travel industry for the BEA’s national TTSA and the RTIM. Although not identical,
the industries are equivalent with only a few exceptions.6
Bureau of Economic Analysis Tourism Industries
Distribution of Travel-Generated Compensation
in United States, 2007
Accommodation & Food Services
Traveler accommodations
Food services and drinking places

38.1%
21.5%
16.6%

Transportation
Air transportation
Rail transportation
Water transportation
Interurban bus transportation
Interurban charter bus transportation
Urban transit systems & other tran.
Taxi service
Automotive equipment rental & leasing
Automotive repair services
Parking lots and garages
Toll highways

23.3%
15.4%
0.4%
1.2%
0.3%
0.2%
1.7%
1.0%
2.0%
0.8%
0.2%
0.1%

Recreation
Scenic and sightseeing transportation
Motion pictures and performing arts
Spectator sports
Participant sports
Gambling
All other recreation and entertainment

11.2%
0.4%
1.1%
2.3%
2.4%
3.0%
2.0%

Retail & Nondurable Goods Production
Petroleum refineries
Industries producing nondurable PCE
commodities, excluding petroleum refineries
Wholesale trade & tran. services
Gasoline service stations
Retail trade services, excluding
gasoline service stations

16.2%
0.6%
4.4%
4.2%
1.3%
5.8%

Travel Arrangement

7.3%

All other industries

2.2%

Total Tourism Compensation

100.0%

Source: Adapted from Eric S. Griffith and Steven L. Zemanek, “U.S. Travel and
Tourism Satellite Accounts for 2005-2008,” Survey of Current Business (June
2009): 37, table 6.
6

The major exception is that the BEA includes the production of consumer non-durables that are
sold through retail outlets. This is not a major component and would be even less so at the level of
the state.

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RTIM Travel Impact Industries Matched to NAICS
Travel Impact Industry

NAICS Industry (code)

Accommodation & Food Services
Accommodation (721)
Food Services and Drinking Places (722)
Arts, Entertainment & Recreation
Performing Arts, Spectator Sports (711)
Museums (712)
Amusement, Gambling (713)
Scenic and Sightseeing Transportation (487)
Retail
Food & Beverage Stores (445)
Gasoline Stations (447)
Clothing and Clothing Accessories Stores (448)
Sporting Goods, Hobby, Book, and Music Stores (451)
General Merchandise Stores (452)
Miscellaneous Store Retailers (453)
Ground Transportation
Interurban and rural bus transportation (4852)
Taxi and Limousine Service (4853)
Charter Bus Industry (4855)
Passenger Car Rental (532111)
Parking Lots and Garages (812930)
Air Transportation
Scheduled Air Passenger Transportation (481111)
Support Activities for Air Transportation (4881)
Administrative/Support Services
Travel Arrangement and Reservation Services (5615)
Convention and Trade Show Organizers (56192)
Source: Dean Runyan Associates

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PAGE 67

DEMAND SEGMENTS
The distinction between inbound and outbound travel has already been discussed in
the previous section and in terms of the concepts of the visitor industry and the
travel industry. Three other types of demand segments that are related exclusively
to the visitor industry will be discussed here. The first two demand categories are
reported by the BEA in their national TTSA. They are: leisure versus business
travel, and resident versus non-resident travel. The third demand category is
typically reported in the RTIM: type of traveler accommodation. These three
demand categories will be discussed in turn.
The distinction between leisure versus business travel is useful for several reasons.
Economists like to distinguish between personal consumption expenditures on the
one hand and business expenditures on the other. Indeed, this distinction is central
for the National Income and Product Accounts (NIPAs). Those in the travel industry
are more likely to be interested in this distinction because leisure travelers represent
a more “marketable” segment because their travel choices are less determined by
economic and business factors. Futhermore, business and leisure travelers tend to
have different spending profiles. The availability of this information in either a state
or regional TTSA or RTIM is essentially dependent on the availability of survey data
(as it is at the national level). It should be noted, however, that such estimates are
considerably less reliable for smaller geographic areas because of the limitations of
survey data. Even at the state level, year-to-year changes in the composition of this
demand segment should be interpreted in conjunction with other data.
The distinction between resident versus non-resident travel is fundamental to a
national TTSA because it mirrors the distinction between the domestic economy and
international transactions. Non-resident travel in the United States is considered an
export in the official international transaction accounts.7 The distinction is
obviously also important because it is based on different political, legal, and
currency regimes – factors that in themselves influence travel behavior. At the level
of the state or region, the distinction between resident and nonresident travel is less
important, although it is often reported.8 There are at least two reasons why this
distinction is less useful at state and regional levels.
First, there is considerably less of an economic rationale for distinguishing resident
and non-resident travel at the level of the state, or any other political jurisdiction
within the United States, than there is at the national level. States do not maintain
interstate trade balance sheets that chart the flow of goods and services across state
boundaries. From an economic point of view, the administration of the tax system
is the primary, if only, reason for this distinction. In the case of travel and tourism,

7

Conversely, the spending of U.S. visitors in other countries is treated as an import in the
international transaction accounts.
8
The issues discussed with regard to the reliability of survey data for leisure versus business travel
also applies to this category

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DEAN RUNYAN ASSOCIATES

the evaluation of the tax impacts of resident versus nonresident travel might also be
important.9
Second, travel is behaviorally defined by length of distance from home (usually at
least 50 miles one-way), trip purpose (non-routine), and/or the use of an overnight
accommodation away from home. Rarely is domestic travel defined by virtue of
crossing a geographic boundary.10 The operators of tourist attractions in local
communities are generally less interested in the origin of visitors than in the revenue
that they generate for their businesses. In terms of the economic impacts at the
local level, the distinction between in-state residents, out-of-state residents and
international visitors may not be relevant other than for the purpose of marketing.
However, other geographic characteristics of the visitor (e.g., distance traveled, the
specific area of origin) are generally more useful measures of the visitor market than
whether the visitor is a resident or nonresident.
Finally, the distinction among different types of traveler accommodations is
generally reported in the RTIM. Typically, these categories are:


Visitors who stay in hotels, motels, B&Bs., and similar lodging facilities



Visitors who stay at campsites



Visitors who stay in the private homes of friends or relatives



Visitors who stay in vacation or second homes



Visitors who do not stay in overnight accommodations on their trip away
from home (day visitors).

These distinctions can be useful because estimates of economic impacts are often
used for different purposes. The total of all accommodation types, of course, is an
estimate of the total magnitude of the visitor industry. Visitors who stay in
commercial lodging such as hotels and motels are most likely to have the greatest
economic impact on a person-day basis. These visitors are also more likely to be
influenced by marketing efforts. In urban areas, a large proportion will represent
business travel. In other words, the type of accommodation category can be used in
conjunction with other types of data to analyze the market characteristics of visitors.

9

Nonresident visitors who pay taxes in their destination state represent an unambiguous gain for the
state. This effect is less clear for resident travelers within the state.
10
In essence, state level travel impact estimates really represent an aggregation of smaller geographic
units, such as counties or regions. Populous states with large landmasses (e.g., California or Texas)
will have a higher proportion of resident travel than small states (e.g., Rhode Island or Delaware).

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COMPONENTS OF INDUSTRY OUTPUT
Because both the RTIM and the TTSA are empirically linked to NAICS industry
accounts, it is possible to provide estimates of different components of economic
output. The major economic components most often estimated are:11


Travel spending (Gross Output)



Value-added (Gross Product)



Earnings (labor income)



Indirect business taxes (sales, excise, property taxes & fees).

The relationship of these components is shown below. As indicated, the valueadded of a particular industry (the bar on the right) is equal to gross output (travel
spending) minus the intermediate inputs used by travel industry businesses to
produce the good or service. Restaurants, for example, prepare and serve the food
products that are purchased from suppliers. Airlines purchase or lease airplanes
from other firms. These intermediate inputs are not counted as part of the valueadded of the travel industry. They are counted as value-added in other industries
(e.g., agriculture, aerospace manufacturing).
Components of Industry Output

Inputs/Goods Resold
Operating Surplus
Indirect Taxes
Labor Income

Output (Spending)

Value-Added

The distinction between gross output and value-added is probably even more
important at the state or regional level. This is because the intermediate inputs that
are purchased from other industries are even more likely to be purchased from
businesses located in different regions or states. For example, the economic impact
11

There are some small differences between the BEA TTSA and the RTIM in what these components
include. The BEA allocates proprietor income to Operating Surplus, the RTIM allocates it to Labor
Income. The RTIM does not have an estimate of property taxes in indirect taxes. Overall, property
taxes on businesses are a relatively small proportion of indirect taxes.

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of air passenger travel in the state of Hawaii should not include the purchase of
airplanes manufactured in other parts of the world. Travel industry value-added is a
more meaningful measure of the true economic impact of visitor spending in
Hawaii because a portion of the economic impact of visitor spending in the state
will actually occur elsewhere.12
Value-added can also be viewed in terms of the distribution or payout of industry
receipts, exclusive of those paid to other firms for intermediate inputs. Some of the
receipts are distributed to labor as wages, benefits, and proprietor income. Some
receipts are paid to government as indirect taxes. These taxes are called “indirect”
because most of them are actually paid by consumers in the form of sales or excise
taxes.13 The remainder leaves gross operating surplus. Out of gross operating
surplus various payments are made in the form of dividends, interest, and other
payments, or retained by the firm. The sum of these three broad categories of
payments is equal to travel industry value-added. To summarize:
Value-added = Spending less intermediate goods & services, or
Value-added = Labor Income plus indirect business taxes plus gross
operating surplus.
The RTIM is similar to the TTSA in that it also provides estimates of these
components of economic output. Travel spending, earnings, and tax impacts are
generally provided at the state or regional level. Value-added is generally reported
at the state-level only (sometimes referred to as Travel Industry Gross State Product).
At the level of the state, travel industry value-added or GSP is an important measure
– more economically meaningful than travel spending.14 For smaller geographic
areas, however, the rationale for reporting value-added is less clear. First, there are
real data limitations and data costs in deriving these estimates. Second, the most
important components of value added for the travel industry are earnings and tax
receipts. Because the travel industry is relatively labor intensive and because a
large proportion of travel industry goods and services are subject to excise and sales
taxes, these two components of value-added (labor income and indirect taxes) are
relatively high for the travel industry. The local effects of gross operating surplus are
generally less important and certainly much more difficult to assess than are
earnings and tax impacts. The relevance of earnings and tax receipts is also in
keeping the export-oriented emphasis of the travel industry: earnings and tax
receipts are more likely to stay in the local economy than is operating surplus.

12

It should also be noted the value of the intermediate inputs used by travel industry firms will not
necessarily disappear if the travel industry stops buying them. Aerospace firms will shift their
production to other users (e.g., military). Agriculture will seek new markets for their products.
13
Other taxes included here are property taxes, business franchise taxes, and other fees. Income
taxes are not included, because they are paid out of operating surplus.
14
It is also possible to compare different industries with respect to their value-added. It is more
difficult and less useful to compare industries on the basis of sales.

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INDIRECT, INDUCED AND SECONDARY EFFECTS
To this point, the discussion of travel industry accounts has referred only to the
direct output components. That is, the ripple effects of the re-spending of
travel industry receipts throughout the larger economy have not been
analyzed. The structure of both the TTSA and the RTIM permit such analysis.


Indirect effects refer to the intermediate inputs used to produce the final
product or service, providing that those inputs are themselves produced
within the designated geographic area.



Induced effects refer to the purchase of goods and services by
employees that are attributable to direct and indirect impacts. These
induced impacts are derived from economic data that describe the
purchasing patterns of households. For example, employees of all the
designated export-oriented industries will spend their income on food,
household durables, health care, and so on.



The sum of indirect and induced impacts is sometimes referred to as the
secondary effect. These secondary impacts may be as great or greater
than the direct impact alone.



The ratio of the total effects (direct plus either indirect, induced, or
secondary) to the direct effects is the multiplier.

The BEA reports the indirect components of economic output. This is
equivalent to domestic travel spending less the goods and services imported
from abroad to meet domestic demand. For travel, these imports would
include souvenirs manufactured in China and petroleum extracted in Saudi
Arabia. The indirect output multiplier for 2002 was 1.76. The ratio of
domestic travel spending to travel industry value-added was 1.88. The
difference reflects the intermediate inputs for travel imported from abroad.
At the state level, these indirect output multipliers are typically lower because
relatively more of the intermediate inputs are purchased from outside of the
state. At the county or metropolitan level, the multipliers are generally even
lower for the same reason. Furthermore, the estimates are usually less reliable
because of the data limitations of the regional input-output model used to
estimate the indirect effects.
The BEA does not report induced effects – the effect of household spending of
the direct and indirect labor income. Typically, these induced effects will be
larger than the indirect effects at the state or regional level, in part because
they are based on both the direct and indirect components.15 As with indirect
effects, the induced effects will also tend to be lower for smaller economic
areas and the reliability of the estimates will be less.
15

The induced effects can be estimated with the Implan model maintained by the Minnesota Implan
Group.

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Secondary effects should be interpreted cautiously. These effects describe the
relationship of economic transactions at a point in time. These relationships
will not necessarily remain constant with a change in direct economic output.
This is because all economic resources have alternative uses. Because of this,
it is often difficult to determine the effect of an increase or decrease in visitor
spending on the larger economic system over time.

THE REGIONAL TRAVEL IMPACT MODEL AND TRAVEL & TOURISM SATELLITE
ACCOUNTS COMPARED
This appendix has provided an overview of Dean Runyan Associates RTIM and
the Bureau of Economic Analysis’ domestic TTSA. These travel industry
accounts are similar in terms of how they define the travel industry and the
measures of the industry that are reported. The differences stem largely from
their different levels of analysis – the BEA provides estimates at the national
level only, while the RTIM’s are typically constructed on a state or regional
level. Because of this geographic focus, the RTIM provides a distinction
between the visitor industry and the travel industry. The RTIM also provides
measures of all of the components of economic output and secondary effects at
the state or large region level. At smaller units of analysis, however, the
emphasis is on earnings and tax receipts generated by travel spending as these
are the most reliable and meaningful measures of the economic impact of
travel at the local level.

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APPENDIX E
Arizona Earnings and Employment by Industry Sector, 2012
Earnings
Industry Sector
Primarily Export-Oriented
Agriculture, Forestry, Fishing and related
Mining
Manufacturing

**Travel
Primarily Non Export-Oriented
Construction
Utilities
Wholesale trade
Retail trade
Real estate and rental and leasing
Management of companies and enterprises
Administrative and waste services
Other services, except public administration
Government and government enterprises
Mixed
Transportation and warehousing
Information
Finance and insurance
Professional and technical services
Educational services
Health care and social assistance
Leisure and Hospitality
Arizona Total**

($Billion)

16.2
1.2
1.4
13.6
5.3

Percent Employment
of Total
(Thousand)
9.9%
0.7%
0.8%
8.3%

Percent
of Total

3.3%

229
42
19
167
161

6.8%
1.3%
0.6%
5.0%

4.8%

83.4
9.1
1.6
8.7
12.4
4.5
2.6
9.3
5.9
29.3

51.1%
5.5%
1.0%
5.4%
7.6%
2.8%
1.6%
5.7%
3.6%
18.0%

1,796
165
13
111
361
232
31
266
175
442

53.7%
4.9%
0.4%
3.3%
10.8%
7.0%
0.9%
7.9%
5.2%
13.2%

63.8
5.2
3.3
11.2
13.1
2.9
20.2
8.0
163.4

39.1%
3.2%
2.0%
6.8%
8.0%
1.8%
12.4%
4.9%
100.0%

1,318
96
49
212
208
71
361
321
3,343

39.4%
2.9%
1.5%
6.3%
6.2%
2.1%
10.8%
9.6%
100.0%

**Travel is not included in the sub and grand totals because it is also represented in other sectors (primarily leisure and
hospitality, transporation, and retail trade).

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APPENDIX F
Industry Groups
Accomm. & Food Serv.
Eating & Drinking
Hotels and Lodging Places
Agric. & Food Proc.
Agricultural- Forestry- Fishery Services
Animal and Marine Fats and Oils
Blended and Prepared Flour
Bottled and Canned Soft Drinks & Water
Bread- Cake- and Related Products
Canned and Cured Sea Foods
Canned Fruits and Vegetables
Canned Specialties
Cattle Feedlots
Cereal Preparations
Cheese- Natural and Processed
Chewing and Smoking Tobacco
Chewing Gum
Chocolate and Cocoa Products
Cigarettes
Cigars
Commercial Fishing
Condensed and Evaporated Milk
Confectionery Products
Cookies and Crackers
Cotton
Cottonseed Oil Mills
Creamery Butter
Dairy Farm Products
Dehydrated Food Products
Distilled Liquor- Except Brandy
Dog- Cat- and Other Pet Food
Feed Grains
Flavoring Extracts and Syrups- N.E.C.
Flour and Other Grain Mill Products
Fluid Milk
Food Grains
Food Preparations- N.E.C
Forest Products
Forestry Products
Frozen Fruits- Juices and Vegetables
Frozen Specialties
Fruits
Grass Seeds

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Agric. & Food Proc.
Greenhouse and Nursery Products
Hay and Pasture
Hogs- Pigs and Swine
Ice Cream and Frozen Desserts
Landscape and Horticultural Services
Macaroni and Spaghetti
Malt
Malt Beverages
Manufactured Ice
Meat Packing Plants
Miscellaneous Crops
Miscellaneous Livestock
Oil Bearing Crops
Other Meat Animal Products
Pickles- Sauces- and Salad Dressings
Potato Chips & Similar Snacks
Poultry and Eggs
Poultry Processing
Prepared Feeds- N.E.C
Prepared Fresh Or Frozen Fish Or Seafood
Ranch Fed Cattle
Range Fed Cattle
Rice Milling
Roasted Coffee
Salted and Roasted Nuts & Seeds
Sausages and Other Prepared Meats
Sheep- Lambs and Goats
Shortening and Cooking Oils
Soybean Oil Mills
Sugar
Sugar Crops
Tobacco
Tobacco Stemming and Redrying
Tree Nuts
Vegetable Oil Mills- N.E.C
Vegetables
Wet Corn Milling
Wines- Brandy- and Brandy Spirits
Arts, Entertain., Rec.
Amusement and Recreation Services- N.E.C.
Bowling Alleys and Pool Halls
Commercial Sports Except Racing
Membership Sports and Recreation Clubs
Motion Pictures
Other Nonprofit Organizations
Racing and Track Operation
Theatrical Producers- Bands Etc.
Water Transportation

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Construction
Maintenance and Repair Oil and Gas Wells
Maintenance and Repair Other Facilities
Maintenance and Repair- Residential
New Farm Structures
New Government Facilities
New Highways and Streets
New Industrial and Commercial Buildings
New Mineral Extraction Facilities
New Residential Structures
New Utility Structures
Finance, Real Estate
Banking
Credit Agencies
Insurance Agents and Brokers
Insurance Carriers
Owner-occupied Dwellings
Real Estate
Security and Commodity Brokers
Government
Commodity Credit Corporation
Federal Electric Utilities
Federal Government - Military
Federal Government - Non-Military
Local Government Passenger Transit
Other Federal Government Enterprises
Other State and Local Govt Enterprises
State & Local Government - Education
State & Local Government - Non-Education
State and Local Electric Utilities
U.S. Postal Service
Misc. Manf.
Includes all utilities, mining and manfacturing industries
not elsewhere classified

Misc. Services
Advertising
Beauty and Barber Shops
Computer and Data Processing Services
Detective and Protective Services
Domestic Services
Electrical Repair Service
Equipment Rental and Leasing
Funeral Service and Crematories
Laundry- Cleaning and Shoe Repair
Miscellaneous Personal Services
Miscellaneous Repair Shops
Other Business Services
Personnel Supply Services
Photofinishing- Commercial Photography
Portrait and Photographic Studios
Services To Buildings
Watch- Clock- Jewelry and Furniture Repair

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Prof. Services
Accounting- Auditing and Bookkeeping
Business Associations
Child Day Care Services
Colleges- Universities- Schools
Doctors and Dentists
Elementary and Secondary Schools
Engineering- Architectural Services
Hospitals
Job Trainings & Related Services
Labor and Civic Organizations
Legal Services
Management and Consulting Services
Nursing and Protective Care
Other Educational Services
Other Medical and Health Services
Religious Organizations
Research- Development & Testing Services
Residential Care
Social Services- N.E.C.
Retail Trade
Apparel & Accessory Stores
Building Materials & Gardening
Food Stores
Furniture & Home Furnishings Stores
General Merchandise Stores
Miscellaneous Retail
Wholesale Trade
Transportation
Air Transportation
Arrangement Of Passenger Transportation
Automobile Parking and Car Wash
Automobile Rental and Leasing
Automobile Repair and Services
Automotive Dealers & Service Stations
Local- Interurban Passenger Transit
Motor Freight Transport and Warehousing
Railroads and Related Services
Transportation Services

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