Why Tourism Is the Most Underrated Economic Driver for Small Towns

A panoramic mountain landscape at sunrise with layers of green forested hills and a valley filled with low-lying clouds, illuminated by warm golden light breaking through a partly cloudy sky.

Part of a Series on Small Town Economic Development

This article is part of an ongoing series exploring tourism, downtown challenges, and economic development in small towns.


In my last post, I broke down the economic development flywheel—how awareness, access, activity, and revenue all work together to create growth.

But if you look closely at that system, one piece matters more than most people realize:

Awareness

Because nothing happens without it.


The Core Truth

If people don’t know about your town…
they don’t visit.

If they don’t visit…
they don’t spend.

If they don’t spend…
businesses struggle.

And when businesses struggle:

  • Revenue tightens

  • Investment slows

  • Growth stalls

It all starts at the top of the flywheel.


Why Tourism Gets Overlooked

When people think about economic development, they usually think about:

  • Industry

  • Manufacturing

  • Large employers

  • Infrastructure projects

And those things matter.

But they often overlook one of the fastest, most scalable ways to bring money into a community:

Tourism


Tourism Brings Outside Dollars In

This is what makes tourism different.

Most local spending:
just circulates money already in the community

Tourism:
brings new money in from outside

That means:

  • More customers for businesses

  • More revenue for the town

  • More economic activity overall


It’s Not Just Hotels and Restaurants

Tourism isn’t just:

  • Hotels

  • Restaurants

  • Gift shops

It impacts:

  • Retail

  • Coffee shops

  • Outdoor experiences

  • Local services

Even small increases in visitors can ripple across the entire local economy.


Why Most Towns Get Tourism Wrong

Here’s where things break down.

Most towns treat tourism like this:

❌ Build something
❌ Host an event
❌ Hope people show up

But that’s not a strategy.

That’s wishful thinking.


Tourism Is a Marketing Problem

If you want more visitors, you need:

  • Awareness

  • Visibility

  • Consistent messaging

  • Content people actually see

Because today, people don’t “discover” places by accident.

They discover them through:

  • Google

  • Social media

  • Content

  • Word of mouth


The Shift We Can’t Ignore

There’s another layer to this.

People are changing how they spend time and money.

They want:

  • Convenience

  • Experiences

  • Quick decisions

That means small towns can’t rely on:
“people will just come”

You have to:
give them a reason to come


Tourism Feeds the Flywheel

This is where it connects back.

Tourism fuels:
Awareness → Activity → Revenue

More visitors:

  • Create more activity

  • Support businesses

  • Increase revenue

  • Allow reinvestment

Which strengthens the entire system


What This Means for Small Towns

If a town wants to grow without relying entirely on:

  • Higher taxes

  • Constant development

  • Large-scale spending

Then it has to:

bring in outside demand

Tourism is one of the most effective ways to do that.


What Actually Works

Not theory. Not fluff.

In practice, this looks like:

  • Consistent online presence

  • Strong content (photos, stories, guides)

  • Clear positioning (“why visit here?”)

  • Supporting local businesses

  • Making it easy to explore


What This Looks Like in a Real Town

You can see this clearly in Front Royal, VA, where tourism isn’t just a seasonal boost — it’s one of the most consistent economic drivers available.

With thousands of visitors heading into Shenandoah National Park and traveling along Skyline Drive, the volume is already there. The missed opportunity is what happens next — whether those visitors continue on their way or stop, explore, and spend time in Downtown Front Royal.

Tourism on its own doesn’t guarantee growth. But when it’s connected to local businesses, experiences, and a reason to stay, it becomes one of the most powerful — and often overlooked — economic engines a small town can have.


The Bottom Line

Tourism isn’t the only solution.

But it’s one of the most underutilized and misunderstood tools small towns have.

Because at the end of the day:

You can’t grow without demand.

And tourism is one of the best ways to create it.


Closing

If you want to grow your town, support your businesses, and reduce pressure on residents…

You have to think beyond local.

You have to bring people in.


More from Scott Turnmeyer

I write about photography, business, mindset, bowling, and the bigger questions that don’t always have easy answers. You can explore more articles, photography, and projects here:

Blog Home
About Scott Turnmeyer
Fine Art Photography
Photography Workshops & Experiences
Digital Consulting


Previous
Previous

What Time Is Golden Hour? (Exact Times + How to Find It Anywhere)

Next
Next

The Small Town Economic Development Flywheel: Why Growth Stalls—and How to Fix It