HANCOCK — The first detailed analysis of the economic impact of tourism in western Uttar Pradesh has been published.
The Western Upper Peninsula Planning and Development District has been considering the project for years, said Executive Director Jerry Uhlemmer.
“Travel Michigan, Pure Michigan have some data on local impacts related to tourism, but it’s not based on on-the-ground research or new data collection,” Uhlemmer said.
WUPPDR was able to receive a grant from the U.S. Economic Development Administration, which receives American Rescue Plan Act funding for travel, tourism and outdoor recreation items. The analysis was developed in collaboration with the University of Michigan’s Institute for Economic Growth, with whom WUPPDR recently collaborated on a small project.
“We proposed the idea to them and we thought it would be a good collaborative project,” Uhlemmer said.
According to the WUPPDR, collaborating partner Visit Keweenaw provided significant support and information throughout the project, and other local groups provided local insight and outreach.
WUPPDR undertook this project to obtain data on the economic impact on dollars and jobs and tax revenues in the six-county region, including direct spending by tourists, business-to-business spending and employee spending in jobs created by tourism.
The study found that tourism generated revenue that created more than 3,000 jobs in the region and generated an estimated $360 million in economic output.
Having concrete data on economic impacts could help with future tourism-related grant applications, said Uhrenmaa, who is currently working with a community exploring pedestrian and non-motorized impacts along a major highway to reduce safety crashes.
“This area has a lot of pedestrian traffic, vehicles and tourists, which causes congestion,” he said. “Given the size of the community, this project might not be as competitive as it would be otherwise, but we have a lot of tourists in this area, so this project is worth it.”
Releasing the report also serves as an educational tool for local leaders, Uhlemmer said: “You may have your own ideas about what tourism means to your community, but here are some numbers you may not be aware of.”
The study also collected extensive survey data on the activities and spending habits of people visiting the area, including a seasonal breakdown.
Hiking and waterfall viewing were particularly popular activities, according to Wollenmaa: 68% of summer tourists hiked during their stay, almost as many as 60% who went to see waterfalls, he said.
Northern Lights viewing is also a consistent tourism driver, bringing people to the area throughout all seasons.
“This is something we want other organizations to understand and it can be an opportunity for growth,” Uhlemmer said.
There’s a perception that tourism is associated with low-wage jobs, but the data shows it’s impacting other industries, Uhlenmaa said. He also said the data can help destination marketing organizations and chambers of commerce consider new aspects of promotion. They could combine already popular things like hiking and snowmobiling, but also less-advertised activities like dark sky watching and inland waterways for kayaking, Uhlenmaa said.
“It might impress upon them that this is something they can explore,” he said.
Other questions in the survey pointed to areas that could be improved. The percentage of tourists coming to the Keweenaw who drive all-electric vehicles was in the low single digits, but some respondents noted that the Keweenaw lacks enough chargers. Others had concerns about other amenities and infrastructure, with road quality being one of the biggest concerns.
“This is one of those cases where you can apply and say, ‘Well, all the visitors said they weren’t happy with the quality of the road’ and then we can make improvements,” he said.
Wollenmaa said the study is being funded through a COVID-era grant and will likely be a one-time effort.
“It’s really valuable and unique to capture the current state of this industry,” Uhlemmer said, which grew at the start of the COVID-19 pandemic and has maintained high levels since it subsided.
The full report can be found at wuppdr.org/tourism-industry.
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