New Resort Data Shows Continued Growth in Sales through 2011, Fewer Resorts
Release Date: Apr 16, 2013
Newly-released data from the Minnesota Department of Revenue shows that resort sales and state sales tax revenue were up in 2011, even as the number of resorts continued to decline. Minnesota’s 854 resorts captured $251.5 million in gross sales and $15.3 million in state sales tax revenue in 2011. The 2011 annual increases (i.e., 3.1% for gross sales and 3.7% for state sales tax) marked a second consecutive year of fiscal growth, following declines in 2008 and 2009. The number of Minnesota resorts declined by 29 in 2011, after dropping by 27 in 2010 – the biggest declines since 2005.
The following two graphs show gross sales and state sales tax revenue for Minnesota resorts from 2004 through 2011, including regional and statewide totals. Resort data in the graphs can be found in a series of annual reports detailed to the county level here. The graphs depict growth through 2007, followed by recession-related declines in 2008 and 2009 before a return to growth in 2010 and 2011. The graphs show Minnesota's four tourism regions through 2006, and five regions starting in 2007. Since regional reconfiguration essentially split the North Central/West Region into the Northwest and Central Regions, resort activity has been very similar for the three resulting northern regions (i.e., Northwest, Central and Northeast Regions), as evidenced by the close proximity of their lines on the graphs.
Total sales activity at the relatively few Metro and Southern Region resorts are considerably lower than for northern regions, and are depicted as overlapping lines at the bottom of the graphs through 2010. Following a drop to fewer than four Metro resorts in 2011, Metro resort activity was distributed equitably among the other regions to avoid disclosing information on the few remaining individual businesses, while at the same time minimizing distortions in reporting.