From the 19th century well into the 21st century, tourism has been the backbone of Scottsdale’s local economy. Though it has diversified with the expansion of construction, high technology, healthcare and other industries, Scottsdale’s first industry, tourism, remains one of its largest — in jobs, tax revenue and economic impact.
The industry’s beginnings were found at small inns and guest ranches and oiled-dirt golf courses tucked beneath Camelback Mountain. Over time, Scottsdale’s hospitality blossomed, becoming a hub for spring training baseball in the 1950s, attracting Hollywood celebrities in the 1960s and introducing luxury resorts in the 1980s and beyond.
Through it all, people traveled great distances to relax and rejuvenate in Scottsdale. Today, people come to the city to enjoy pristine hiking trails, lush golf courses, award-winning restaurants, arts and cultural attractions.
But unlike the visitors of yesteryear, today’s travelers total nearly 11 million in number and generate $3.3 billion in direct economic impact for the community. As a result, tourism is one of the most significant sources of revenue for the city, with visitors accounting for 23% of its total privilege tax collections.
That not only alleviates the tax burden on residents but elevates Scottsdale’s overall quality of life. Visitor-paid tax dollars are funneled into public services like police, fire and transportation, as well as special events and capital projects. These tax dollars are responsible, in part, for Scottsdale Stadium, the spring home of the San Francisco Giants; the Smithsonian-affiliated Western Spirit: Scottsdale’s Museum of the West; Canal Convergence, an annual celebration of international art; and more.
Travelers fund these amenities while generating demand for many others. Because of Scottsdale’s strong visitor economy, investors build new product in the market as well as update current product. In recent years, the community has benefited from Scottsdale Fashion Square’s expansion, Fairmont Scottsdale Princess’ upgraded spa, Nobu’s opening and others. Such additions make Scottsdale a vibrant and dynamic place to live, work and visit.
Though COVID-19 impacted tourism, the industry has proven its resiliency. People are longing to travel, and Scottsdale is ready to welcome those 11 million visitors once again with warm sunshine and hospitality.
Rachel Sacco is president and CEO of Experience Scottsdale
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