The exterior of the Festival Country Visitor Center in Franklin.
File photo of the daily journal
Tourism added more than $341 million to Johnson County’s economy last year, according to a new study commissioned by the county’s tourism board.
Festival Country Indiana, the county’s convention, visitors and tourism commission, has had a proven track record since its inception in 2017, said Ken Kosky, executive director. His claim is supported by the results of a study on the economic impact of tourism conducted by Kentucky-based Certec, Inc. last year.
A notable finding from the study shows that tourism contributed $341.3 million to Johnson County’s economy in 2021, up from $255.7 million in 2017 when Festival Country was founded. The economic impact represents an annual increase in spending of 8.4% per year, the study said.
When Festival Country began operations in 2017, Johnson County was one of the last counties in Indiana to establish a tourism agency. An economic impact study conducted in 2013, prior to the existence of Festival Country, showed that the economic impact of tourism decreased by 0.5% year-on-year.
“It showed that unless you invest in tourism marketing and tourism product development, you will continue to lose market share,” Kosky said.
Festival Country has over the years increased the county’s efforts to promote its attractions, from festivals to attractions like the Historic Artcraft Theater to amenities like local shopping and dining. This study was commissioned to get an idea of how successful it was, and Kosky said the results prove their efforts are working.
The study examines data from throughout 2021. It was conducted primarily through researching county tax and spending data, as well as a series of face-to-face interviews with tourists at locations such as hotels and attractions.
Anyone from outside of Johnson County, whether from Indianapolis or another state, is considered a tourist or traveler in the study.
Purchases made by travelers while in the county accounted for $244.5 million of the $341 million total in the study. The county raised over $80 million in tax revenue from tourism.
According to the study, a majority of purchases were made with food and beverages. Broken down by sector, visitors to the attraction accounted for over 36% of purchases. The second largest share of this spending was accounted for by individuals transiting the county, around 24%, and accommodation guests accounted for 21%. Those visiting friends and relatives in the county followed with nearly 19% of total spending.
Guests visiting the county are mostly from Indiana, from Indianapolis to South Bend and Jeffersonville, Kosky said. Most overseas visitors come from neighboring states of Illinois, Kentucky and Ohio, he said.
The study showed that on average 40.3% of visitors stay one to three nights, while 30.6% go on a day trip. In addition, 46.8% said they were traveling to the county for the first time.
What brought most people to the county were attractions and activities, according to the interviews conducted as part of the study. Top attractions listed included the Mallow Run Winery, restaurants, shopping, the Artcraft, historic downtown Franklin, water centers and splash pools, the Johnson County Museum, Rascal’s Fun Zone and Apple Works. Visitors also said they were in town to visit Indianapolis attractions like the zoo and the Indianapolis Motor Speedway.
Kosky expects more visitors to be drawn to the newest attraction, the Gatling Gauntlet at Johnson County Park, which opened earlier this summer, which is why it wasn’t included in the study. The Gauntlet is an obstacle course featuring 20 different obstacles, all laid out on a 1.6 mile track. He said he’s already had positive feedback and messages from interested travelers asking about it.
Music and festivals are also of paramount interest, Kosky said. From live music festivals like WAMM Fest in Greenwood to Franklin’s regular summer festivals.
In addition to spending, tourism also contributes to employment growth in the county’s economy, according to the study. It showed that the number of jobs in tourism increased from 2,921 in 2017 to 3,365 in 2021.
According to the study, jobs created by tourism spending fall into a variety of sectors, not just the obvious service occupations like hotel workers, ticket takers or waiters. According to the study, more than a third of the jobs resulting from tourism spending were in high-paying occupations such as specialists and technicians, managers, salespeople, construction workers, craftsmen and laborers.
Tourism spending is also seeping down to contribute to other sectors of the economy. Tourist demand for restaurant meals, for example, “creates business not only for restaurants but also for fresh and frozen food manufacturers and packers, butchers and dairies,” the study says.
Tourism is necessary for a local economy to thrive, Kosky said. He cited a 2018 study by Radius Indiana in southern Indiana, which found that without a tourism industry bringing in tax revenue, households in the area would have to pay an additional $618 annually in taxes on average.
“Tourism is definitely one of the most important economic drivers in any community,” Kosky said.
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