United States

United States

Tourism in the economy The travel and tourism industries of the United States are major contributors to GDP,

accounting for 2.6% of value-added to the US economy in 2006. In a USD 14 trillion economy, travel and tourism are of paramount importance. Travel and tourism-related exports now account for 26% of all US services exports and 8% of total US exports of all goods and services.

According to the US Travel and Tourism Satellite Accounts (TTSA), the industry produced nearly USD 1.4 trillion in total economic output for the US economy (USD 767 billion of direct tourism output plus USD 585 billion of indirect tourism output by ancillary industries) in 2008.

The travel and tourism industry is one of America’s largest employers, supporting (either directly or indirectly) one out of every sixteen US jobs. In 2008, US travel and tourism industries supported 8.6 million American jobs, of which 1.2 million jobs were supported by travel and tourism-related exports.

The United States welcomed 58 million international visitors in 2008, an increase of 3.5% on 2007 and an appreciable 40% increase over the post-9/11 low registered in 2003. The largest origin markets are Canada and Mexico (accounting for 33% and 24% of total arrivals, respectively), followed by the United Kingdom, Japan and Germany.

International visitors collectively spent USD 141.7 billion on travel to, and tourism- related activities within, the United States in 2008, an increase of 16% on 2007. The top international markets for US travel and tourism-related exports are Canada, the United Kingdom, Japan, Mexico and Germany, respectively. In addition to international tourism, there were almost 2 billion domestic tourism nights spent in the country in 2008, a decline of 0.7% on 2007.

Tourism organisation The United States is highly decentralised with respect to travel and tourism. Public

authorities manage travel and tourism at the national, state and regional levels. These include the federal government, state governments, and Destination Marketing Organisations. At the federal level, The Office of Travel and Tourism Industries (OTTI) in the International Trade Administration of the US Department of Commerce, serves as the national tourism administration (Figure 4.31). The OTTI is the source for official tourism statistics and works to enhance the competitive position of the United States with respect to travel and tourism. It also serves as a central point of contact within the federal government and represents the United States in intergovernmental forums, including the OECD and APEC.

The federal government does not regulate travel and tourism as a distinct industry. However, some sectors such as transportation are regulated at the federal level. States and

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The Tourism Policy Council is an inter-agency committee established by law for the purpose of ensuring that the nation’s tourism interests are considered in federal decision making. Its major function is to co-ordinate national policies and programmes relating to international travel and tourism, recreation and national heritage resources that involve federal agencies. The TPC reviews and responds to TTAB recommendations and provides additional insight from the public sector perspective on issues affecting travel and tourism in the United States.

Publicly-funded marketing campaigns are generally undertaken by states and Destination Marketing Organisations. The federal government has undertaken pilot tourism marketing programmes in selected international markets, but does not generally engage in tourism marketing. The United States Commercial Service, also under the International Trade Administration of the US Department of Commerce, assists tourism service providers to export in international markets.

Figure 4.31. United States: Organisational chart of tourism bodies

US Department of Commerce

International Trade Administration

Office of Travel and Tourism Industries

Travel and Tourism

Tourism Policy Council

Advisory Board (TTAB)

US Commercial Service

Source: OECD, adapted from US Department of Commerce Office of Travel and Tourism Industries, 2009.

Tourism budget The OTTI obtains its funds from a congressional appropriation to the Department of

Commerce. In addition, OTTI sells research reports and data to generate additional operating revenues, along with inter-agency agreements that also generate funds. OTTI’s operational budget for FY2009, including salaries, was approximately USD 3.8 million from all sources, including appropriated funds and sales of research data.

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010

Tourism-related policies and programmes Policy emphasis has been devoted to the facilitation of travel while providing for the

safety and security of travellers and the nation. Two significant changes in policy in 2009 include the implementation of the Electronic System for Travel Authorisation (ESTA) and the Western Hemisphere Travel Initiative (WHTI) requirements for land and sea travel.

Electronic System for Travel Authorisation (ESTA) In order to improve border security while reducing border entry procedures for nations

that meet certain criteria, the US Department of Homeland Security created the Electronic System for Travel Authorisation (ESTA), which acts as a web-based pre-clearance mechanism for international travellers from Visa Waiver Programme (VWP) countries seeking to enter the United States. As of 12 January 2009, international travellers from VWP countries seeking to spend less than 90 days in the United States and holding a valid passport from their home country may be eligible, in certain circumstances, to use ESTA. At this time, the programme operates without charge. This may or may not change in the future.

Western Hemisphere Travel Initiative (WHTI) WHTI requires all citizens of the United States, Canada, Mexico and Bermuda to have

a passport or other accepted document that establishes the bearer’s identity and nationality to enter or depart the United States from within the Western Hemisphere. The goal of WHTI is to facilitate entry for US citizens and legitimate foreign visitors while strengthening US border security. Standard documents enable the Department of Homeland Security to identify a traveller quickly and reliably. As of 1 June 2009, these entry requirements were implemented for those travelling by land or sea. WHTI requirements went into effect for air travellers on 23 January 2007.

Box 4.37. Group leisure travel agreement with China The United States signed a Memorandum of Understanding (MOU) with the People’s

Republic of China (PRC) in December 2007 to facilitate group leisure travel from China to the United States. The MOU created new opportunities for qualified US operators to work with Chinese travel agencies to create and market US tour packages for Chinese group leisure travellers. In addition, the MOU communicated the clear message that the United States welcomes travellers from China. The United States has seen significant growth in travel from China since the MOU was signed. In 2008, the first phase of implementation began, which included eight provinces of the PRC. In 2008, travel to the United States from China increased by 24%, making it among the fastest growing inbound markets for the United States. Implementation of phase 2 of the MOU is expected to take place in the autumn of 2009, expanding the permitted sale of packaged travel to eighteen provinces of the PRC.

OTTI manages the Travel and Tourism Statistical System for the United States. The System provides national and local level data that tracks past performance, provides

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010

impact of travel and tourism industries on the US economy, providing industry comparability and job generation based on the government’s national system of accounts.

● An International Arrivals Database from the Department of Homeland Security, which measures overseas travellers to the United States (excluding Canada and Mexico) by

country, port, type of visa, and mode of transport.

A Survey of International Air Travellers (In-Flight Survey), a primary research programme that collects more than 30 key characteristics on international travellers to and from the United States. The programme provides the only comprehensive, comparable estimates of the states and cities visited by overseas travellers, as well as international destinations visited by US residents.

● International travel receipts and payments data, which provide the sole source of data for the Bureau of Economic Analysis to develop estimates of travel and passenger fare

exports and imports for the United States for more than 30 countries. ● The Travel Trade Barometer Programme, an Internet trade survey conducted quarterly for several of the top inbound markets to the country, providing the tourism industry with a short-term forecast of travel demand and market conditions, and identifying travel barriers to the country for each participating country.

Statistical profile Table 4.187. United States: Domestic overnight tourism

1 987 1. Person stays.

Number of overnight stays 1 Millions

Source: D.K. Shifflet and Associates/Global Insight, Inc., 2009. 12 http://dx.doi.org/10.1787/772187031600

Table 4.188. United States: Inbound tourism

2008 Total international arrivals

57 937 Top 5 markets Canada

13 686 United Kingdom

1 782 International travel receipts

75 82 86 97 110 International passenger fare receipts

Billion USD

19 21 22 26 32 Sources: US Department of Commerce, Office of Travel and Tourism Industries; Statistics Canada; Banco de Mexico;

Billion USD

US Department of Commerce, Bureau of Economic Analysis, 2009. 12 http://dx.doi.org/10.1787/772206653637

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010

Table 4.189. United States: Outbound tourism

2008 Total US departures

63 549 Total US travel and tourism imports

112 International travel payments

Billion USD

66 69 72 76 80 International passenger fare payments

Billion USD

25 26 28 28 33 Sources: US Department of Commerce, Office of Travel and Tourism Industries; Statistics Canada; Banco de Mexico;

Billion USD

US Department of Commerce, Bureau of Economic Analysis, 2009. 12 http://dx.doi.org/10.1787/772275478527

Table 4.190. United States: Enterprises in tourism

2008 Food services and drinking places

537 134 546 282 Traveller accommodations

54 634 55 586 Travel agencies

17 164 16 931 Air transportation services

6 316 6 372 Tour operators

3 046 3 049 Convention and visitors bureaus

990 1 014 Source: Bureau of Labor Statistics (BLS), Quarterly Census of Employment and Wages, 2009.

12 http://dx.doi.org/10.1787/772285016127

Table 4.191. United States: Employment in tourism

2008 Traveller accommodations

1 991 Air transportation services

805 All other transportation-related industries

1 186 Food services and drinking places

2 599 Recreation, entertainment, shopping

1 857 Recreation and entertainment

894 All other industries

444 All tourism industries

8 604 Source: US Department of Commerce, Bureau of Economic Analysis, US Travel and Tourism Satellite Accounts (TTSA).

12 http://dx.doi.org/10.1787/772307871123

Table 4.192. United States: Tourism in the national economy – Tourism Satellite Account

Units

Domestic tourism

Inbound tourism

consumption

consumption

Tourism GDP

25 88 Food and beverage serving services

Accommodation services

Billion USD

21 52 Passenger air transport services

Billion USD

29 47 Travel arrangement and reservation services

Billion USD

37 2 20 Total

Billion USD

370 Source: US Department of Commerce, Bureau of Economic Analysis, TTSA, 2009.

Billion USD

12 http://dx.doi.org/10.1787/772337461167

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010

Table 4.193. United States: Other economic indicators

2008 Internal domestic tourism consumption

.. Tourism share of GDP

Billion USD

2.6 2.6 2.6 2.6 2.6 Total US travel and tourism exports

Percentage

142 Source: US Department of Commerce, Bureau of Economic Analysis, US Travel and Tourism Satellite Accounts (TTSA).

Billion USD

12 http://dx.doi.org/10.1787/772411440732

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010

OECD Non-member Economies

OECD TOURISM TRENDS AND POLICIES 2010 © OECD 2010