How is summer tourism shaping up? We're here to tell you!

It's almost June, and our summer season has begun. The state of the economy, both at home and abroad, is crucial for our visitor numbers and business success. Factors including employment rates, disposable income, consumer confidence, and exchange rates can influence people's decisions to take summer vacations.

Overall, both the U.S. and Colorado economies are positioned for continued growth and resilience in the summer of 2024, supported by favorable economic conditions and ongoing efforts to address challenges such as inflationary pressures and election year uncertainty.

The U.S. economic growth in the first quarter was 1.6%, below the expected 2.2%. However, the underlying data suggests a stronger position than this. The growth fell short of expectations due to a surge in imports and businesses reducing their inventories. These factors are less indicative of the underlying fundamentals of our economy than spending and investment.

Consumer spending has increased by 2.5%, and business investment has increased by 5.3%, indicating the overall economic strength of the country. This strength is evident in the stable visitation numbers for the summer season, showing a trend of "normalization" in tourism traffic, with fewer extremes and more predictable vacation patterns.

Data from the latest Inntopia reports for May through September shows a 1% increase in occupancy compared to last summer. Gains are currently being reported in May, July, and September. Daily rates across the mountain region for the summer have increased by a modest 2.4%, with year-over-year gains in all five months ranging from 0.2% in September to a 5.8% increase for August. The slight increases in both occupancy and rates are resulting in a seasonal revenue increase of 3.5% for the summer.

In Eagle County, we are fortunate to see a significant increase in summer occupancy compared to the industry at large. Local lodging occupancy has risen by 6% compared to last year, demonstrating the strength of the Vail and Beaver Creek brands and the appeal of our signature events throughout the county. The new flights from Chicago and Houston to the Eagle County Regional Airport provide additional benefits to our tourism base and offer added convenience for locals traveling this summer.

We recognize the importance of events, festivals, and cultural attractions in attracting tourists and encouraging them to stay longer in the Vail Valley. Our valley hosts a wide range of events, from spring festivals like the recently concluded SpringFree Bluegrass Festival and Vail Comedy Festival to popular summer events such as Bravo! Vail, various sports tournaments (soccer, lacrosse), and the GoPro Mountain Games, as well as traditional fall events like Oktoberfest. We are fortunate to have such a diverse array of local events and attractions that enhance the experience for both visitors and locals.

The summer of 2024 is expected to see high demand for outdoor destinations nationwide as travelers seek open spaces and recreational activities. National parks, beach resorts, mountain retreats, and rural getaways are likely to attract visitors looking for opportunities for hiking, camping, and outdoor adventures. We stand to benefit from this multi-year trend toward outdoor recreation vacations.

The summer tourism season in the Vail Valley brings both opportunities and challenges. It's crucial to recognize that summer vacations are often considered a birthright. We are experiencing high lodging occupancy levels and strong summer demand, our brand positioning is strong, air travel to the Eagle County Regional Airport remains accessible from key markets, and special events and group business provide a solid foundation for the season.

What does all this mean for summer tourism? We're going to be just fine.

Chris Romer is president & CEO of Vail Valley Partnership, the regional chamber of commerce. Learn more at VailValleyPartnership.com