Visitor spending on the Northern Neck was $289 million in 2023, $194.8 million in direct spending and $94 million in indirect and induced spending*. Direct spending in 2023 was 5% greater than in 2022 and surpassed the 2021 to 2022 difference of 3%. More is better, according to Northern Neck Planning District Commission Executive Director Jerry W. Davis, AICP; in the press release, he said, “tourism is a pillar of the Northern Neck’s economy, and continues to grow.”
The spending calculation is for the five counties in the Northern Neck National Heritage Area: King George, Lancaster, Northumberland, Richmond, and Westmoreland.
The data shown in the graph Direct Economic Impact and Spending Shares by Industries, 2023 should come as no suprise. Lancaster County and the independent towns of Kilmarnock, Irvington, and White Stone, along with business support and promotion organizations such as the Lancaster by the Bay Chamber of Commerce and Village Improvement Association, have invested heavily in tourism and small businesses and those investments are apparent in visitor spending.
Drivers of increased tourism spending
The dominance of outdoor activities and not-crowded spaces has meant that the Northern Neck weathered the past several years well. Outdoor recreation ― think paddling, boating, fishing, birding, hiking ― and visits to historical sites such as Stratford Hall and Historic Christ Church and Museum are popular with tourists, second home owners, and primary homeowners.
Broadbased marketing by Northern Neck Tourism and Virginia’s River Realm complement interest-specific information and promotion such as that done by Virginia Water Trails, Virginia Oyster Trail, Northern Neck Beer Trail (Facebook), and the Chesapeake Bay Wine Trail. These initiatives use social media, websites, word-of-mouth, and traditional advertising to promote and engage locals and others.
Looking to the future, it’s expected that the NNK National Heritage Area designation will boost name recognition, interest, and receipts. As Jerry Davis has said, “the Northern Neck’s designation as a National Heritage Area attracts visitors interested in the Northern Neck’s historical, cultural and environmental heritage.”
Increased interest is not supposition. Rather, NHA designations
[have] been shown to assist in improving local, regional, and state economic conditions. According to the Alliance of National Heritage Areas, some of the benefits include leveraging federal dollars with local support, increasing community partnerships, conservation of resources, improvement to quality of life, and sustainable economic strategies. Additional sales, jobs, payroll, and taxes paid to local governments may result from heritage area designation. In 2013, heritage areas contributed $12.9 billion to the national economy. This economic activity supported 148,000 jobs and $1.2 billion in tax revenue.1 Heritage areas have been able to award grants to local subrecipients for projects such as historic structure work, trails work, and educational programs. (Source: Northern Neck Natinal Heritage Area Feasibility Study)
The underlying data
- NNK_Direct_Visitor_Impacts_Virginia_Localities_2023-FINAL-1 provides a subset of the original file
- NNK_Indirect-Induced-Visitor-Impacts-for-Virginia-Localities_2023-FINAL-1 provides a subset of the original file
- 2023 Direct Visitor Impact for Virginia Localities
- 2023 Indirect & Induced Visitor Impact for Virginia Localities
* Indirect and induced spending
Indirect spending represents gains in industries within the regional economy where the direct spending occurred. For example, when demand for services at a nonprofit hospital grows, patient payments increase (direct spending), and the hospital must increase its spending on supplies and personnel resources (indirect spending) to keep pace. Induced spending represents increases in regional spending due to increased income associated with direct spending. If the hospital’s employees work overtime to keep up with the increased demand, for example, the money they spend in the regional economy with their extra earnings is induced spending. (Source: Economic Impact 101)
Press release
