Tourism in the United States is a massive industry, contributing over $2 trillion to total U.S. GDP per year. However, the tourism habits of individuals across various income brackets can vary greatly. Understanding these differences can help tourism hotspots throughout the country prepare for growth and success in the 21st century.
Straight Arrow News contributor Peter Zeihan reports from Nashville, Tennessee, which he says is well-positioned for such growth. Zeihan argues that two lower-middle income groups, millennials and blue-collar workers, will be driving the next big wave of U.S. domestic tourism and affordable destinations like Nashville and Louisville stand to gain significantly from that trend.
Below is an excerpt from Peter’s Feb. 28 “Zeihan on Geopolitics” newsletter:
Before I take the stage at the Country Music Hall of Fame here in Nashville, I figured we should talk about the future of tourism and where all the bachelorette parties are heading next.
There’s three demographic groups impacting tourism trends, and each of them is looking for something a little different. The baby boomers want specific experiences tailored to their preferences (less walking, but a bit spendy-er). The millennials are realizing kids are expensive and trips are going to have fit into tighter budgets. And the most interesting segment shaking up tourism are the blue-collar workers; they make up a large portion of the workforce and are leaning towards places like Nashville over traditional destinations.
Consumer preferences are changing, budgets are evolving, and international travel is just filled with too much uncertainty. So pack a duffel bag, ditch the passport, and go enjoy those domestic (or at least safe and stable) travel plans.