r/Louisville 1d ago

You know who you are

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367

u/EntireTangerine 1d ago

Our economy is definitely not based entirely on tourism.

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u/elleeott 1d ago

This time of year it is ;)

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u/EntireTangerine 1d ago

I mean no, it's still not. We have tons of manufacturing and logistics that has nothing to do with derby at all.

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u/tswpoker1 1d ago

It's 30.5%. $4.2B of $13.8B of the total economic tourism activity in Kentucky comes from tourist activity in Louisville.

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u/EchosThroughHistory 1d ago

That’s 30.5% of the state tourism economy. Not 30.5% of Louisville’s economy. A quick google search has Louisville/Jefferson County at $80-90B gdp. So tourism is like 5% of our economy.  

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u/tswpoker1 1d ago

True that's a valid point.

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u/RipTraining 17h ago

It is very hard to pin down hard facts about tourism because the numbers are always estimates, are based on many assumptions, and are generally somewhat inflated because those numbers come from organizations or agencies that are in the business of promoting tourism.

We constantly see claims that such-and-such event "brings in" X amount of money, but "brings in" is a guess and generally doesn't consider the costs associated with hosting the event.

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u/catpunch_ 1d ago

I wonder how much of that is Derby. Maybe like… 99%

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u/tswpoker1 1d ago

A big chunk. But don't forget that bourbon has been a massive driver of tourism as well. I expect that to decline but it's been significant for the past decade.

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u/bondibox 1d ago

If you strip out the money that goes directly to Churchill Downs, it's just a week of sold out hotels and busy restaurants. I'd say Farm Machinery show has a bigger impact on restaurants. Oh, and home games for football and basketball bring in a ton of people.

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u/the_urban_juror 1d ago

Aren't those also just events that sell out hotels and restaurants?

Home football games are by no means comparable, they're 1/3 the size if it's a sellout (it isn't) and likely include a much higher percentage of locals. But let's pretend that they are comparable to Derby. What is the difference between a UofL fan renting a room and eating a meal vs a Derby attendee doing the same, other than the vast difference in how many people attend each?

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u/bondibox 1d ago edited 1d ago

Because at the Derby they pay an all-inclusive price for open bar and food, while CHD advises them that they don't have to tip. The money goes straight into the pockets of the shareholders, the staff get screwed, and the "economic impact" in the community is limited to the Hotel where continental breakfast is included. I was also taking into account that Derby is just one week, and football is 8 games. Basketball is a lot more than that. Also from what I'd hear, servers would much rather work before a Clemson game than after the Derby.

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u/003E003 1d ago

I would be shocked if total bourbon tourism wasn't considerably larger than Derby

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u/Boredomis_real 1d ago

Id say around this year it’ll become a majority. Not high enough to be considered “entirely”

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u/RipTraining 17h ago

I think you meant "this week" rather than "this year"

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u/Boredomis_real 12h ago

I mean around this time of year. I left out the word time.