Tennessee’s tourism economy has surged to $32.5 billion in direct visitor spending in 2025, a 40% increase since 2018 — nearly double the national growth rate of 22% .

While leisure travel continues to dominate headlines, the state’s latest Economic Impact Report shows that business travel and meetings are becoming an increasingly important contributor to Tennessee’s growth story.

The state welcomed 150 million visits last year, with travellers spending $89 million per day across accommodation, dining, transport and experiences . Crucially for business travel, Tennessee’s tourism sector generated $2 billion in state revenue and $1.3 billion in local tax revenue, helping fund infrastructure, education and services that directly support corporate mobility and meetings demand .

Why Business Travel Matters in Tennessee’s Growth

Although the report does not break out business‑travel‑specific figures until the county‑level release in September, several indicators point to its rising influence:

1. Strong Hospitality Sector Performance

Leisure and hospitality businesses contributed $2 billion annually to state sales tax collections, with $874 million going directly to the state’s education fund — a sign of sustained hotel, dining and venue activity that includes corporate travellers, conferences and incentive groups .

2. Visitor Spending Patterns Favour Business‑Friendly Cities

Travellers “over‑indexed on shopping and dining,” particularly at locally owned businesses and unique dining establishments — a trend typically boosted by business travellers who spend more per trip and seek high‑quality, local experiences.

3. Infrastructure Strengthened by Tourism Revenue

The $3.3 billion in state and local tax revenue generated by tourism supports roads, airports, public transport, meeting venues and city services across all 95 counties — infrastructure that directly benefits business travel and event organisers.

4. The Great Smoky Mountains as a Meetings Magnet

The state’s decision to keep the Great Smoky Mountains National Park open during the federal shutdown — welcoming 2.4 million visitors in 40 days — protected not only leisure travel but also group travel, incentive trips and corporate retreats that rely on the region’s venues and outdoor experiences.

Looking Ahead: Business Travel’s Expanding Role

With Tennessee outperforming national tourism growth and strengthening its tax base, the state is well‑positioned to attract more corporate travel, meetings and events. Cities such as Nashville, Knoxville, Chattanooga and Memphis continue to invest in hotels, convention centres, music venues and air connectivity — all supported by the tourism‑driven revenue highlighted in the report.

The full county‑level breakdown, including business‑travel‑specific spending, will be released in September, offering deeper insight into how corporate travel is shaping Tennessee’s economic momentum .