Black Hills tourism trends for 2022 and a look-ahead to 2023

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Deadwood Chamber Of Commerce

NORTHERN HILLS —Unexpectedly strong visitor numbers, a marked increase in in-state travelers, a focus on families, and a trend toward “out -of -the-way” spots the locals frequent reported in individual Black Hills locales combined to keep tourism traveling right along in 2022, leaving local tourism officials highly optimistic about 2023.

Spectacular In Spearfish

Visit Spearfish Executive Director Mistie Caldwell said a marked tourism trend she saw over the last year was people looking for an off-the-beaten path experience.

“They want to have a ‘local experience’ away from home,” she said. “There is a growing interest in agritourism, as well. It has been less about checking iconic attractions off the bucket list and more about experiential travel — enjoying the moment, if you will.”

In regard to the sites and offerings visitors are frequenting and demanding, Caldwell said they are varied.

“Spearfish is an eclectic community that offers something for everyone — the food, coffee and craft beer culture rivals that of communities far larger than Spearfish. The unique retail offerings and historic downtown serve not only as a shopping hub, but as a destination in itself with the events hosted throughout the year,” she said. “Spearfish Canyon is the crown jewel of the area because it caters to every type of visitor. One can appreciate it from the comfort of the car, take a leisurely hike or climb the rugged walls. The DC Booth Historic National Fish Hatchery, the High Plains Western Heritage Center, and Matthews Opera House present the trifecta of quality entertainment.”

Encouraging trends Caldwell is seeing deal with one highly positive Spearfish commodity.

The Deadwood Chamber of Commerce & Visitors Bureau promotes partnerships with businesses and professionals to create opportunities for economic growth and community improvement.

Membership includes many benefits such as a listing on Deadwood.com (which has over 1 million views annually) and in the Official Deadwood Visitor Guide and Membership Directory (these guides are distributed to over 100,000 people annually); monthly mixers, ribbon cuttings, newsletters, and citywide event participation. Energetic staff ensure that members get the most from their investment.

In addition, the Deadwood Chamber allocates 60% of its annual budget for advertising and generating visitation to Deadwood.

The Deadwood Chamber is located at 501 Main Street, Deadwood, SD. www.deadwood.com 605-578-1876; info@deadwood.org

In regard to estimating tourism numbers, Caldwell said answering that particular question is a challenge.

“2019 was a fabulous year for tourism; 2021 was a record-breaking year everywhere. Everyone who could wanted to get out and travel,”

Caldwell said. “As a fair comparison, 2022 was not as strong of a year as 2021, but I’m not sure we will see numbers like 2021 for the foreseeable future. Most people in the visitor industry are using 2019 as the measuring stick for 2022 comparisons. With that as the standard, 2022 was up from 2019 so, we see that as a positive trend.”

“The number one comment we hear from visitors is the people from South Dakota are the number one thing that keeps bringing them back, everyone is friendly, kind, courteous and welcoming,” she said. “Without those types of people offering their welcoming disposition, Spearfish would not be the popular destination that it is.”

Challenging trends in Spearfish’s tourism trade deal largely with the state of the economy.

“With the competitive nature of tourism marketing, inflation is creating a challenge,” Caldwell said. “It costs a lot more to do the same amount of marketing that it did prior to 2020.”

Lovely In Lead

Lead Area Chamber of Commerce

Executive Director Leigha Patterson said one marked tourism trend characterized Lead’s visitors over the last year.

“Lead is for families,” Patterson said. “A lot of people come to Deadwood because of the history, but then find that it’s not the greatest for long-term family stays, so they discover Lead and all we have to offer here.”

That said, tourism numbers are trending upward in Lead.

“This can be seen through Lead’s yearly tourism tax. People are coming into town and spending more money,” Patterson said. “Also, a lot of residents are keeping their money local.”

In regard to what area businesses can do to stay relevant with the visitor market, Patterson encouraged them to do these important things.

“Keep their digital advertising up to date. Post actively on social media. Keep consistent store front hours,” she said.

In regard to recent visitor trends, Patterson said she is seeing one big craze.

“People are wanting to get out and sight see more. They’re taking those road trips,” she said. “The Black Hills, Lead, and surrounding areas here in western South Dakota are great for that.”

In regard to what she feels drives the positive tourism numbers seen in Lead, Patterson attributes it to the town’s innately quiet nature.

“Lead is a hidden gem,” she said.

Tourism Trends

“During the South Dakota tourism conference, one of the trending factors for visitors determining their vacation was finding those hidden gems that are not going to be crazy busy. Lead is just that. We have lots of convenient outdoor recreation, museums, attractions, wonderful small businesses. Lead is great for families and a lot of summer tourism is families.”

Because Lead is nicely situated for off-season adventure, visitor numbers are strong year-round.

“We have the trails close by for snowmobiling, snowshoeing, and cross country skiing,” Patterson said. “We also have Terry Peak right in our backyard for downhill skiing and snowboarding. Winter sports greatly impact our economy. The Lab helps more so with local business yearround. Overall, the off season is slow, but with the events that the chamber, Homestake Opera House, and businesses do attract crowds into Lead during that off season, Lead does well.”

Dear Old Deadwood

Deadwood Chamber & Visitors Bureau

Executive Director Lee Harstad said the most marked tourism trend of late across the state is being experienced locally, as well.

“Statewide, South Dakota is seeing a lot of instate travelers, around 40 percent. We see a lot of in-state guests in Deadwood too, and we have a big fanbase in our surrounding states who make multiple trips to Deadwood annually,” Harstad said. “Inflation is impacting young families most, but people are still traveling. They make changes to duration, distance traveled, food and beverage and entertainment expenses to make vacations work into their budget. As far as the time in which people book their trips, this window of time has started to lengthen towards pre-pandemic norms, rather than last-minute travel reservations.”

Taking into account hotel and restaurant numbers, Harstad said tourism numbers in Deadwood are definitely trending upward.

“In recent memory, 2021 was truly a banner year. In 2022, we nearly surpassed 2021 numbers. In fact, we did in some areas,” he said. “That said, we are trending up from pre-2021 and starting the year relatively flat over 2022. I don’t consider that a negative, considering some of the economic issues on a national level. However, as for those visiting our website to find out more about Deadwood, we’ve seen double-digit increases in web traffic, with travelers from Illinois, Colorado, Texas, Arizona and Montana showing double-digit increases in interest; and we actively market to four out of these five states. Our marketing works, and that will pay dividends as the year progresses.”

In order to stay relevant with customers, Harstad said it’s focusing on fundamentals.

“It seems like a broken record, but businesses must continue to provide terrific customer service, as well as be in multiple forms of communication with their visitors,” Harstad said. “Information is overwhelming, especially in the world of travel. Those relying on visitor traffic should have a strong communication stream to reach these visitors. Also, and it’s always been the case, but provide a good value for the dollar, especially in the coming years as we look at potential economic shifts.”

In terms of where visitors are frequenting and what they’re demanding, a uniquely local experience tops the list.

“Deadwood’s visitors continue to frequent our tried-and-true sites, of course, and they really want the ‘Deadwood experience,’” Harstad said. “That experience is different for everyone. It could be being part of the Trial of Jack McCall, playing poker with locals, having a whiskey at the Saloon 10, checking out the Brothel Museum, walking around Mt. Moriah Cemetery, taking in some free live entertainment, placing a sports bet, playing slots and table games, shopping our unique stores, dining in our restaurants, riding the Mickelson Trail or being part of one of our big citywide events,” Harstad said. “Deadwood continues to raise the bar on experiences, and there’s no sign of that slowing.”

Harstad said that continuing to be a popular destination for repeat visitors is very encouraging.

“Seeing a new era of visitors in town, who will soon become repeat travelers, is even more encouraging. Our increases in website traffic bodes well for upcoming peak seasons, and our marketing hits home for potential travelers.”

Incredible visitor numbers comes with challenges, as well, and Harstad pointed to a most troubling and persistent trend he is seeing.

“There’s been a shortage of workers in Deadwood for quite a while. Every year we hope that improves, and to a certain extent it does, but to a certain extent it requires businesses to make changes that affect their customers when they don’t have a proper workforce,” Harstad said. “There’s also the AirBNB and VRBO property discussion; such properties have increased more than 10 percent statewide in the last couple years. There’s a place for these properties, of course, and they need to be regulated like our existing lodging properties who pay our city taxes, including BID taxes. Those dollars are what allow us to continue to organize our major events in town, among other benefits that help the community. Those properties purchased and used for vacation properties also cut into our workforce housing. Having such

Tourism Trends

a high interest in owning a house in Deadwood and renting it out when you’re not there says something about our area’s interest, and we shouldn’t punish those wanting to be here for that reason. There’s a proper balance, we just need to work to find it.”

As far as what drives Deadwood’s tourism numbers, the trend is well-ingrained.

“This town has always been pretty good at entertaining guests in one way or another for the last 147 years,” Harstad said. “So long as Deadwood keeps being Deadwood, the visitors will keep coming to see the Wild West alive and well.”

Beautiful In Belle Fourche

Belle Fourche Chamber of Commerce Executive Director Miranda

Gallagher said that plainly put, the most marked tourism trend she saw over the last year is an increase.

“And I feel we will see the same this year as more and more people are traveling,” Gallagher said. “I would say our tourism numbers continue to increase here in Belle Fourche over the past few years.”

Gallagher said she feels area businesses need to retain quality employees, housing options, and continue offering a variety of services to stay relevant with the visitor market.

She added, Belle Fourche events during the summer continue to grow and visitors continue to frequent the multiple campgrounds and hotels available in town, as well as the TriState Museum and Visitor Center, the Center of the Nation Monument, quick access to the Warrior Trail on Highway 212, and numerous outdoor recreational opportunities.

What are the sites and offerings visitors are frequenting and demanding?

Belle Fourche events during the summer continue to grow.

In regard to local trends, Gallagher said the Belle Fourche community is growing.

“So we can offer more things to not just our local residents but also visitors,” she said. “Once people come to visit Belle Fourche they decide they want to relocate to our community.”

Gallagher said she feels a desire people feel to come to the Black Hills drives local tourism numbers, as well as Belle Fourche being a gateway to the Northern Black Hills.

During the off-season, Belle Fourche tourism numbers decrease and local officials are looking at ways to address the decline.

“We have noticed our off-season that is affected the most is January through March,” Gallagher said. “The chamber is partnering with multiple organizations to do more marketing to encourage more people to visit our community all year around. We will also be doing more advertising ourselves.”

Stellar In Sturgis

Sturgis Area Chamber of Commerce Executive Director Veronica Grosek said in Sturgis, tourism has been excellent over the past year.

“During 2021, we saw a large surge in visitor traffic that we anticipated would taper back off to normal levels moving into 2022. Instead, that high number of visitors continued into 2022,” Grosek said. “All indicators so far suggest that our local tourism numbers will remain constant (or even grow) moving into 2023. It seems that visitors and prospective visitors are more familiar with our area and are prioritizing travel to places like Sturgis and the Black Hills in recent years.”

In order to remain relevant with visitors, Grosek said businesses need to keep in mind that visitors are looking for local experiences that they can’t get just anywhere.

“Sturgis fits that interest well by offering unique outdoor recreation, incredible history, a thriving local foods culture, and one-of-a-kind products for shopping,” Grosek said.

“Visitors are often surprised by how many gems there are in Sturgis, and catering to that appeal can keep a business relevant. Businesses might ask themselves: ‘What sets this community apart from others? How can my business add to that uniqueness and appeal by offering local products that in turn support other local businesses?’ Developing that business network and focusing on local appeal is a huge help for any business.”

High on the list for visitors, in terms of what they’re demanding?

“I’d say one of our yearround biggest draws is our outdoor recreation, including over 50 miles of Sturgis Trail System for mountain bikers, equestrians, and more,” Grosek said. “Our community is unique in that you can access our trails from several points within city limits. We also have a thriving local shopping scene, a prominent community of local foods producers and chefs, and an incredible community history including Native American culture, the Cavalry and Fort Meade history, and of course the Sturgis Motorcycle Rally.”

In terms of trends in Sturgis Grosek is seeing that are encouraging is continued interest in small businesses.

“Visitors love getting that “local” perspective and supporting the mainstay businesses of Sturgis. Our Welcome Center has noticed more and more visitors honing in on the ‘ma —and —pop’ shops and activities rather than the big flashy attractions,” Grosek said. “Our visitors have been incredibly supportive of our community over the last couple years. Our businesses recognize that support and strive to offer better and better hospitality to our guests to keep them coming back, and sharing their experiences with others.

Grosek feels that tourism numbers in Sturgis are being driven by personal choices and a desire to unwind off the beaten path.

“I feel that tourists in the last couple of years have really taken a close look at their own quality of life and are prioritizing living in the moment,” she said. “Sturgis is an ideal location to explore the outdoors, enjoy rich culture and history, and seek unique finds without the hustle and bustle of more urban areas.”

In regard to the off-season, a challenging time period for many business, Grosek said off-season visitor traffic in Sturgis has grown substantially over the last couple of years.

“And that trend appears to be continuing into 2023. I believe it’s a combination of factors – our welcoming businesses, unique experiences and shops, and the idea of the ‘road less traveled’ destination with hidden gems and friendly faces,” she said.

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