Published on
August 28, 2025
By: Tuhin Sarkar
Sevier and Blount County joins Hamilton, Davidson, Knox, and Shelby in supercharging the Tennessee Tourism industry as Labor Day weekend holiday nears. The new update is here, and it confirms that Tennessee’s tourism powerhouses are leading with growth, energy, and fresh records. Sevier and Blount County joins Hamilton, Davidson, Knox, and Shelby in driving billions in visitor spending.
These counties in Tennessee are showing how travel demand shapes the US tourism industry during one of the busiest times of the year. As the Labor Day weekend holiday nears, families prepare for trips to mountains, music cities, and cultural hubs.
This new update is here to show why Tennessee is now a national travel leader. From outdoor adventures in the Smokies to concerts in Nashville and Memphis, the stage is set for a supercharged tourism season.
Tennessee has reached new heights in tourism. Counties across the state recorded billions of dollars in visitor spending in 2024. The gains have lifted local economies, supported thousands of jobs, and reduced the tax burden for families. As the 2025 Labor Day holiday approaches, the state is preparing for another surge of visitors. National forecasts show record travel demand. Tennessee, with its mountains, music, and culture, is set to benefit again.
Sevier County Leads the Charge with Billions in Visitor Spending
Sevier County stood out as one of Tennessee’s strongest performers. In 2024, visitors spent nearly $3.93 billion in the county. That was a 2.03% rise compared to 2023. The impact on public finances was striking. Tourism generated $251 million in state taxes and $187 million in local taxes. Without this revenue, each household would face a tax bill of more than $11,000.
The figures prove how central tourism is to Sevier County’s prosperity. The county is home to popular gateways like Gatlinburg, Pigeon Forge, and Sevierville. Millions of families come for the Great Smoky Mountains National Park and for attractions such as Dollywood. The steady stream of visitors is a lifeline for hotels, restaurants, shops, and entertainment venues. Local leaders describe tourism as the county’s backbone.
Blount County Rises Fast with Six Percent Growth
Neighbouring Blount County also saw remarkable progress. Visitor spending in 2024 jumped by 6% to reach $610.9 million. This growth highlights the wider reach of Tennessee’s travel economy. Blount serves as a western gateway to the Smokies. Towns like Maryville and Townsend benefit from travellers who want less crowded access to the mountains.
Hotels and restaurants in Blount have reported strong bookings. The county has positioned itself as a family-friendly destination. Its charm lies in small communities, outdoor adventures, and easy proximity to Knoxville’s airport. The rise shows that Tennessee’s tourism boom is not only about its largest cities but also about smaller counties that know how to showcase natural assets.
Tennessee Statewide Tourism Breaks Records
The state as a whole had a banner year. In 2024, Tennessee welcomed 147 million visitors. Direct spending reached $31.66 billion, a 36.6% jump since 2018. For the fourth year in a row, the state set new tourism records.
Tourism produced $3.3 billion in tax revenue for state and local governments. This saved households around $1,170 each in avoided taxes. Nashville’s Davidson County ranked first in visitor spending. Memphis’s Shelby County ranked second, and Sevier held third place. The balance shows that Tennessee’s appeal is spread across urban centres and natural regions alike. Music, culture, and scenery combine to make the state one of the top destinations in the United States.
Employment and Economic Growth Linked to Tourism
Tourism does more than generate tax revenue. It creates jobs. A study by the Knoxville Regional Transportation Planning Organization projects that employment in Sevier County could increase by 61% over the next 25 years, thanks to tourism. The hospitality sector drives growth in hotels, restaurants, retail, and entertainment.
New attractions strengthen this trend. “Truth Traveler,” a recent addition, has already added energy to Sevier’s visitor mix. Dollywood plans further expansions in 2026. Each new attraction creates construction jobs first, then supports long-term tourism spending. For local families, tourism is not just about numbers. It is about stable work and opportunities for the next generation.
Hamilton and Rutherford Counties Post Solid Gains
Other Tennessee counties also made clear progress. In Hamilton County, home to Chattanooga, hotel room sales grew faster than in any other part of the state in 2024. The city’s aquarium, riverfront, and cultural events helped drive demand. Chattanooga also offers outdoor attractions like Lookout Mountain and Ruby Falls, which remain popular for holiday trips.
In Middle Tennessee, Rutherford County posted $787.6 million in visitor spending in 2024. That represented a 1.9% increase compared with 2023. Rutherford now ranks seventh among all Tennessee counties in visitor spending. The growth reflects the county’s strong sports tourism and family-friendly events, which draw visitors from nearby states.
Memphis and Nashville Hold Top Positions
Shelby County, home to Memphis, and Davidson County, home to Nashville, remain leaders in the tourism economy. Memphis reported more than 13 million visitors in 2023 and an economic impact of around $4.2 billion. Updated 2024 figures will likely confirm another strong year. Music, food, and heritage sites keep Memphis near the top of the state’s tourism rankings.
Nashville continues to dominate the charts. In 2023, visitor spending in Davidson County topped $10.7 billion, an 8% increase year over year. The city’s live music, festivals, and conference business maintain steady demand. Tourism has become one of the pillars of Nashville’s economy and identity.
Smaller Counties Show Broad-Based Growth
Growth was not limited to major destinations. Northwest Tennessee, covering nine counties, saw visitor spending of $317 million in 2024, a 5.3% rise from the year before. The region supported more than 2,400 jobs linked to travel and generated nearly $30 million in tax revenue.
In Lawrence County, spending increased by almost 8%, reaching $32.36 million in 2024. The gains show that smaller communities are also capturing the benefits of Tennessee’s travel boom. Outdoor recreation, festivals, and road-trip tourism all play a role.
Airlines and Connectivity Strengthen Visitor Flows
Air access is another driver of growth. McGhee Tyson Airport near Knoxville has become a critical hub for reaching the Smokies. Southwest Airlines has already added new flights and will expand service further in 2026. Direct routes reduce travel time and cost, which encourages more families to choose Tennessee for their holidays.
Better connectivity also spreads benefits across counties. Travellers who fly into Knoxville often extend their trips to Blount, Sevier, and Knox counties. Those who reach Nashville or Memphis use the cities as springboards to explore other regions. Strong air links are part of Tennessee’s strategy to secure future growth.
Outlook for 2025 Labor Day Travel
The coming Labor Day holiday is expected to be one of the busiest on record in the United States. The Transportation Security Administration projects that more than 17 million passengers will be screened nationwide between 28 August and 3 September 2025. Friday, 29 August, is set to be the busiest day with almost 2.9 million passengers.
AAA reports that travel costs for flights, hotels, and car rentals are lower than they were in 2024. This should encourage more families to take trips. Weather forecasts suggest cooler than average conditions in much of the South and East, which could make outdoor holidays in Tennessee more attractive. The Smokies are expected to see particularly heavy crowds.
Sevier and Blount Prepare for Holiday Crowds
Sevier and Blount Counties will again be at the centre of attention during Labor Day weekend. Events in Gatlinburg and Pigeon Forge, such as local festivals, are expected to attract thousands. The Great Smoky Mountains National Park has already issued congestion warnings for the holiday period. Visitors are advised to arrive early in the day, use less crowded entrances, and explore alternative trails.
Townsend in Blount County is likely to appeal to visitors seeking quieter experiences. Families wanting less traffic and more space may choose to base themselves there while still accessing the national park. Both counties are preparing with extra staffing and community support to handle the peak crowds.
Nashville and Chattanooga Ready for City Breaks
Nashville will host free music events and festivals over the Labor Day weekend. Centennial Park is one of the venues offering live shows. The city expects high hotel occupancy as tourists mix concerts with cultural attractions. Lower travel costs compared to 2024 will help boost demand.
Chattanooga has planned family-friendly activities, including food truck rallies and riverfront events. The city’s steady growth in hotel demand during 2024 points to another strong performance in 2025. Outdoor attractions like the Tennessee Aquarium and Lookout Mountain will remain major draws during the long weekend.
Memphis and Other Regions Expect Strong Drive Travel
Memphis continues to attract visitors with its music heritage, Beale Street nightlife, and culinary scene. While official 2024 data is pending, the city expects healthy travel over the Labor Day weekend. Families from neighbouring states often choose Memphis for short road trips.
Smaller counties across Tennessee are also preparing for drive tourism. In Northwest Tennessee, lakes and outdoor recreation areas provide appealing options for last-minute planners. Lawrence County and other rural regions rely on festivals and community events to attract holiday visitors.
Safety, Traffic, and Planning for Labor Day
The Tennessee Department of Transportation has announced that lane closures will be suspended across the state during the holiday. This should ease congestion on key interstates leading to the Smokies, Nashville, and Memphis. However, heavy traffic is still expected. Travellers are advised to plan extra time.
The Tennessee Wildlife Resources Agency has reminded the public that Labor Day is one of the busiest weekends for boating. Safety patrols will be active on lakes and rivers. Families heading to Norris Lake, Tellico Lake, or the Tennessee River should be prepared for crowded waters and follow all safety rules.
Tennessee’s Tourism Future Looks Bright
Tennessee’s counties delivered another year of record tourism in 2024. Sevier, Blount, Knox, Davidson, Shelby, Hamilton, Rutherford, and smaller regions all recorded growth. Visitor spending brought billions to the state and lifted local communities. Attractions, airlines, and festivals created reasons to travel and reasons to stay longer.
Looking ahead to the 2025 Labor Day holiday, Tennessee is poised for another surge. National travel is expected to break records, and Tennessee stands ready with its mix of mountains, music, and culture. From the Smokies to the cities, the state has proven that tourism is more than an industry. It is a way of life, a source of pride, and a promise of growth for the future.
