The city of Toronto has reported record visitor spending in 2023, despite still remaining below pre-pandemic visitor levels.

According to the year-end Toronto’s Visitor Economy: 2023 Market Performance Highlights report, published by Destination Toronto, visitor spending for Toronto surpassed pre-pandemic levels for the first time, reaching a record $7 billion in 2023. However, the city remains at 93% of pre-pandemic arrivals, welcoming 8.95 million visitors in 2023.

Before the pandemic, Toronto welcome 9.56 million visitors in 2019, with $6.7 billion in visitor spending and over $10 billion in economic impact.

“Toronto has always benefited from a diversified visitor economy with strong visitation coming from within Canada as well as from the U.S. and overseas markets,” said Andrew Weir, Executive Vice President, Destination Toronto. “Up to this point some international markets have recovered more slowly, and business events and business travel are still lagging behind leisure travel. For our visitor economy to be the economic engine it has proven to be for jobs and growth, all of these vital markets and segments need to return to full steam.”

Domestic travellers, who have driven a disproportionate share of the growth, account for 71% of all visitors compared to 64%in 2019. International visitors to Toronto – including the vital U.S. market – have shown a slower recovery and both remain 25% below 2019 levels. While Mexico surpassed 2019 visitation, and Germany and the U.K. returned to roughly 75%, China – the city’s largest overseas market before the pandemic – remains at 24% of prior levels. Demand for accommodations also continues to recover but remains 19% below pre-pandemic levels. 

Major meetings and events (multi-day events with more than 1,000 attendees) continue to be a core driver of Toronto’s visitor economy. In 2023, major meetings brought 290,000 visitors to Toronto, however both the number of meetings and total attendees remain below pre-pandemic levels, as 2019 saw 444,000 attendees in the city. Some of the major meetings and events expected to drive visitation to Toronto in 2024 include the NHL All-Star Game in February, the American Association for Thoracic Surgery (2,600 attendees in April), the Pediatric Academic Societies (7,000, April), the Collision tech conference (35,000, June), the World Water Congress and Exhibition (3000, August) and the MedTech Conference (3,000, October). 

The pandemic highlighted the crucial role visitors play to the city’s economic well-being. Toronto residents recognize the key role of Toronto’s visitor economy, with 89% saying that the tourism industry is important to Toronto’s economy. Residents also see themselves as active participants in the visitor economy, with 62% saying they are likely to attend a live performance, 61% likely to host friends or family, 60% likely to attend a festival, and 59% likely to visit a local attraction in the next year. 

Source: Travelweek