Tourism Report To The Community 2023

Dear Currituck County Community:

It’s time for summer vacations to begin and many travelers from across the country are excited to visit our area and learn about what Currituck County has to offer. Like many of you, I face an upcoming summer season with some trepidation. In addition to the heat, there is the increased tourism traffic on our highways that necessitates adjustments to our usual weekend routines. There are longer lines and wait times at our favorite businesses. However, in spite of these issues and others, visitation to Currituck County is great for our economy by supporting our businesses, creating jobs and providing many of the amenities that we enjoy as Currituck residents. While the Corolla Outer Banks has always been a popular East Coast family destination, the COVID pandemic led to unprecedented visitation to our beaches and Mainland in 2020. The 2021 season was even better than 2020 as we saw our shoulder seasons grow. This was due, in part, to many of our visitors being able to work from anywhere in the country and children that could attend virtual classes at any location with broadband access. It is likely that we will continue a trajectory of shoulder season growth for those who can work from anywhere and for those who have discovered the different joys of visiting before or after the height of summer.

The Currituck County Department of Travel & Tourism and the Tourism Development Authority are committed to our mission of promoting Currituck County’s beaches and Mainland to encourage visitation and visitor spending. This, in turn, strengthens our local economy. We work hand in hand with our local businesses to grow our visitor economy so they, and our residents, can enjoy the economic benefits that come with tourism.

In this Report to the Community, we are laying out the benefits of tourism and how it affects our local economy. We show you a profile of our visitors and how we spend the occupancy tax that is generated to continue to grow tourism through promotion. If you have any questions regarding the information highlighted in this report, please contact me.

And most importantly, don’t forget to thank our visitors for choosing Corolla Outer Banks and the Mainland as their destination of choice.

What’s Inside

• Questions & Answers

• Importance of Tourism

• The Tourist

• Partnerships

• Recent Awards

• Upcoming Events

We’re located in the Currituck County Welcome Center at 106 Caratoke Highway at the North Carolina/ Virginia State Line. “ ”

How are we funded?

Currituck Travel & Tourism is totally funded by occupancy tax and does not draw upon the County’s general fund for any of its operational or promotional activities. But what is occupancy tax and what can it be used for?

Beginning in 1983, local occupancy taxes, enacted via legislation and passed by the North Carolina General Assembly, have been a popular and effective means of growing the visitor economy in North Carolina communities. These taxes are paid by lodging guests on the cost of their rooms and have subsequently generated billions of dollars in occupancy tax revenue across the state. Indirectly, many billions of dollars more have been generated by visitor spending in the form of sales taxes. Tourism is the backbone of the economy in Currituck County, employing people, supporting numerous tourism-related business, and generating revenue for small and large businesses alike in industries as diverse as banking, construction, and professional services.

The concept of occupancy tax is relatively uncomplicated: guests pay a small additional amount as a percentage of their lodging rate, and that tax is then paid monthly by the business owner to local government. Occupancy taxes are typically applied to any lodging property that also pays sales tax, including hotels, bed and breakfasts, cabins, condominiums, and rental homes for short-term stays (including Airbnb and VRBO in North Carolina).

Questions & Answers

What is the tourism department?

The Currituck County Department of Travel and Tourism (Currituck Travel & Tourism) was created to attract visitation to Currituck County through promotional and marketing activities and thus grow our visitor economy.

What is our mission?

The mission of Currituck Travel & Tourism is the promotion of the County to attract guests for the purpose of visitation spending.

What is our vision?

Having a vision gives us purpose and focuses our marketing and promotional decisions and activities:.

The Vision of Currituck Travel & Tourism is to encourage and inspire visitation to our beaches and Mainland for the pursuit of adventure, the love of history, the warmth of Southern hospitality and the making of family traditions.

In Currituck County, the occupancy tax rate is 6% and the revenue generated by the tax is administered by Currituck County’s Tourism Development Authority (TDA) which consists of the elected Board of Commissioners. The TDA has constituted a Tourism Advisory Board (TAB), consisting of seven appointed stakeholders in the County’s tourism industry, to advise the TDA on tourism policies and issues.

of the local tourism sector, the number and types of lodging properties in each community, and competitive destination marketplace considerations. Every community’s needs for developing their own visitor economy are different, which is one reason why every piece of North Carolina occupancy tax legislation is unique.

In North Carolina, consumers always pay sales tax on the cost of their lodging in addition to occupancy tax for those counties who have enacted legislation for this tax. The sales tax generated by accommodations amounts to many millions of additional dollars annually which goes to state and local governments. The economic impact of sales tax generated by Currituck’s visitors is what keeps our property taxes low and provides many of the amenities that are enjoyed by the County’s residents.

All local occupancy taxes in North Carolina must be enacted by the NC General Assembly, and every community is governed by its own distinct legislation. Unlike sales tax, no occupancy tax revenue is directed to state government in North Carolina—100% remains at the local level. Legislation is unique to each community; no two occupancy taxes are automatically the same. Every community’s situation is dependent upon a variety of considerations. These may include the strength

The North Carolina House of Representatives adopted uniform provisions in 1997 as guidelines for future occupancy tax legislation to create standards for this legislation. However, these guidelines did not retroactively affect legislation enacted prior to 1997, and the amount of money allocated for tourism promotion and other tourismrelated uses is still dictated by specific legislation.

We make this trip every year, for 30 years! Beautiful! - Thomas, NY

Currituck County Legislation

By NC Statute, occupancy tax must be deposited into the General Fund; however, that does not mean it can be used for general county purposes such as general operation of local government, school construction and school district operations or any project or program that does not service or improve tourism and/or business travel. There are three enabling pieces of the local legislation following along with restrictions on the expenditures of occupancy tax:

• the original 3% - which is restricted to tourism related expenditures;

• an additional 1% - 2/3 which is restricted to the promotion of travel and tourism and 1/3 which is restricted to tourism related expenditures; and

• an additional 2% - 2/3 which is restricted to the promotion of travel and tourism and 1/3 which is restricted to tourism related expenditures.

It is important to understand the following definitions that are also included within the legislation:

To promote travel and tourism

“to advertise or market an area or activity, publish and distribute pamphlets and other materials, conduct market research or engage in similar promotional activities that attract tourists or business travelers The term includes administrative expenses incurred in engaging in these activities.”

Tourism related expenditures

“expenditures that, in the judgment of the Currituck County Board of Commissioners, are designed to increase the use of lodging facilities, meeting facilities, recreational facilities and convention facilities in a County by attracting tourists or business travelers to the County. This term includes tourism-related capital expenditures and beach nourishment”.

Why is Tourism Important?

It creates and sustains jobs.

Tourism is Currituck County’s largest economic driver, and tourism creates jobs, helps support and grow existing businesses, and creates an environment for new tourism-related businesses and entrepreneurship. And tourism-related businesses are not just accommodations, restaurants, and retail establishments. The tourism industry also depends upon such businesses as banking institutions, constructions companies, utilities, financial services, etc., that do not directly deal with visitors but are necessary to support our tourism industry.

Tourism puts a destination “on the map.”

Tourism gives the locality a chance to show itself off and raise its profile in the world.

Tourism puts a focus on infrastructure.

It provides an incentive for investment in infrastructure such as roads, trails, rail networks, and local medical and education facilities.

Tourism shines a spotlight on the environment and the history of a locality.

It can provide economic incentives for a place to preserve, maintain, and regenerate the environment in both urban and rural settings and to preserve and restore historical regions and structures. Occupancy tax was used to restore the Whalehead, the Historic Jarvisburg Colored School and is being used to stabilize and restore the Historic Jail. Occupancy tax also built the Currituck Maritime Museum which educated over 88,000 people during the first year of operations (opening in July 2021).

Tourism provides economic benefits that provides amenities to residents and brings vibrancy to a community.

In 2021, the economic impact of visitation was at an all-time high and saw a spending increase of 26% over 2020. (Please note that the data provided below is reported by Visit NC which provides the data from the preceding season in August of the following year – for example, economic data from the 2020 season is provided in August of 2021. Data for 2022 will not be available until August of 2023):

• Generated $473,170,000 per year in direct tourist spending

• Produced $100,000,000 per year in worker income & paychecks

Businessesthat

Tourism Related Businesses

TourismIndustry

Accommodations, Catering & Restaurants, Recreational Activities, Retail, Equipment Rentals, etc.

Supportive Businesses

Construction, Utilities, Law Enforcement, EMS, Printing & Publishing, Marketing, Government Administration, Financial Services, Laundry and Cleaning Services, etc.

• Generated $36,800,000 per year in combined state & local taxes

• Created 2,379 jobs per year (5.87% increase over 2020)

To break it down, on an average day in 2021, tourist spending looks like this:

• Generated $100,822 in combined state and local tax revenues

• Generated $273,973 in worker paychecks

What does this mean for Currituck County tax relief?

Each resident* of Currituck County pays $1,257.58 less in local and state taxes ($1,083 in 2020 – an increase in tax relief of $174.58). Renters (who do not own property and are not paying property taxes), and out of state property owners (who might not be paying personal property taxes and motor vehicle taxes) might not see as much in savings.

Each household unit** pays $3,131.37 less in local & state taxes.

*2021: population estimated at 29,653, **2020: household units estimated at 10,868 (2.49 individuals per household)

See how we have grown in visitor spending over the years! (next page)*

The information in this graph was prepared for Visit NC by Tourism Economics in collaboration with the U.S. Travel Association (building on the historic Travel Economic Impact Model (TEIM) and there was a recalculation of historic data beginning in 2016 that included vacation rentals. US Travel also recalculated and included vacation rentals in 2015. This accounts for discrepancies between 2014/2015 & 2015/2016.  Historically, Currituck County has ranked #32 or #33 out of 100 counties having the largest dollar amount of visitation spending before this recalculation. It is now ranked #22.

What does the Currituck County Department of Travel & Tourism promote?

We promote all of Currituck County including Corolla, the 4x4 areas of our beaches, the Mainland and Knotts Island. Each of these areas of our County provides a unique visitor experience.

Direct Tourist Spending - $Millions

The Tourist

What is the definition of a tourist (visitor)?

In simple terms, a tourist is a person traveling to another location, away from their usual social environment, for business, pleasure, or social reasons.

Where do our visitors come from?

Visitors to Currituck County come primarily from the Virginia, North Carolina, and the northeast, with Ohio from the mid-west. Following are the top 12 states that visited Corolla during the past year (in order of revenue generated).

*This chart reflects sales tax and not occupancy tax.

What are the characteristics of our visitors?

Our visitors plan their trips in advance — 60% plan 5-12 months or more in advance.

Average total stay value for 2018 was $3,799. Average stay for 2022 is $5,252.

Average group size is 7.6 guests = average visitor (per person) spending is $691.

Nights per visit — 88% of guests stay 5+ nights during their visit.

Average group size (7.6 guests) is comprised of multi-generational families and multi-families. 33% traveled with children of different age groups.

Visitors spend most of their budget on lodging and only about 10% of their budget on entertainment, shopping or dining.

Home rentals dominate lodging type (over 70%).

How do we reach our visitors?

Strong repeat visitor vacation destination (82%). Over 60% have visited more than 5 times; 20% have visited 20+ times.

Household income (HHI) of $125K

Currituck Travel & Tourism uses many types of advertising and marketing tactics to reach potential visitors. The following receive the biggest share of the promotions budget each year:

• Digital Advertising – targeted paid digital ads, YouTube and Vimeo, social media (Facebook – 325,128 followers, Twitter – 6,837 followers, Instagram – 15,977 followers), VisitCurrituck.com

• Television and OTT (An over-the-top media service is a media service offered directly to viewers via the Internet – think Smart TV, Roku, Amazon Fire, etc.) – commercials are aired in target market states such as Virginia, North Carolina, Ohio, Pennsylvania, Washington DC Metro area, and the New York Metro

• Print Advertising – publications/magazines such as Southern Living, Our State, Southern Lady, Real Simple

Other advertising opportunities include radio and billboards. The billboards that we utilize, for the most part located on the Mainland, serve two purposes: to educate visitors going to Corolla on our attractions and to entice visitors going to Dare County to go and visit attractions in Corolla and on the Mainland and consequently eat and shop there. Travel shows in our target markets are an important component of our promotional activities. Generally, there are five travel shows a year and give Currituck Travel & Tourism the opportunity to showcase our region and generate leads for potential visitors.

Loved it! Beautiful beaches, great food! - Angela, AL

Following is a breakdown of how marketing dollars are spent:

Marketing Budget Allocation FY 2022-2023

budget of $2,853,000.

Currituck Travel & Tourism also annually produces and distributes the Visitors Guide and the Wedding Planner along with various niche publications supporting County-owned facilities, campgrounds, vineyards & breweries, Knotts Island, etc. The Visitors Guide and the Wedding Planner are available for download on the www.visitcurrituck.com website. The Visitors Guide is also distributed through our visitors’ centers and through other distribution sites such as DOT welcome centers and other privately owned distribution centers.

What do we do for our tourism-related businesses?

In addition to a listing in the Currituck Travel & Tourism guides, Currituck County tourism-related businesses may display their brochures and rack cards in the visitors’ centers. They may also have a presence on our website and on VisitNC.com through our partnership with Visit NC, North Carolina’s visitor bureau. If your business is not currently listed, contact Michele Ellis, our Public Relations Coordinator, at 252.435.2947 and she will assist you in adding your information to the website.

There are also display cases to highlight business offerings in the Moyock Welcome Center available to businesses on a rotating basis.

Currituck Travel & Tourism communicates regularly with Currituck County tourismrelated businesses through e-newsletters and e-blasts. Our partnership with our businesses is very important to the overall mission of the department. Our visitor economy depends upon the visitor dollars spent and the sales tax generated by spending in our businesses.

Currituck Travel & Tourism maintains an alert system that utilizes our tourism-related business contact information in the event of a County emergency or information that needs to quickly be dispersed.

Want more?

The Currituck Travel & Tourism Department gives our businesses an opportunity every year to participate in our MORE card program. This card gives a discount to visitors when they visit a participating business. These cards are free and available at the Welcome Center in Moyock and the Visitor’s Center in Corolla.

The CorollaOBX app is a relatively new app for our visitors which can be downloaded to both iPhones and Androids. This app is intended for inmarket visitors to give them easy access to shopping, dining, attractions and events in Corolla and the Mainland. This app also lets them quickly locate beach access points and those that have parking and/or restroom facilities.

Coming soon to the VisitCurrituck website is the Explore and Plan tab which will provide the opportunity to download all the brochures and rack cards currently available in the physical visitors centers and also includes additional information for visitors to plan their trips. This is a value-added addition for our business partners as companies can get in front of those visitors who cannot visit a center in person.

Other Duties

In addition to tourism, the department manages and operates:

• Historic Corolla Park (including Whalehead and the Currituck Maritime Museum / Soon to add the Wildlife Resource Center)

• Historic Jarvisburg Colored School

• Assists with the marketing of the Currituck County tournament/ sports fields and the Currituck County Rural Center (CCRC)

Partnerships

Currituck Travel & Tourism partners with other organizations across North Carolina with the goal of further promoting our destination. These partnerships include:

• The African American Experience of Northeastern NC

• Historic Albemarle Tour

• Civil War Trails

• North Carolina Coast Host

• North Carolina Travel Industry Association

• Southeast Tourism Society

• National Trust for Historic Preservation

• Travel & Tourism Research Association

• North Carolina Maritime History Council

Recent Awards

While the tourism department does not do the work with the goal of winning awards, we are always honored when our efforts are recognized in the tourism industry as our destination competes in the same field as the bigger destinations such as Durham, Raleigh, Wilmington, Charlotte, and the Outer Banks. Most recently, Currituck Travel & Tourism was honored with the following:

North Carolina Travel Industry Association 2021-2022

• Best of Show

o Judges select one shining example which best exemplifies the complete package of innovation, creativity and results.

• Tourism Achievement Awards

o Platinum: Leisure Marketing (Large Bureau) - Simply Corolla, Find Yourself Here

o Gold: Group Visitor Marketing (Large Bureau) - African American Experience of Northeastern North Carolina (AAENENC)

Southeast Tourism Society 2022

• Shining Example Best Marketing Award (Budgets over $500,000) - Simply Corolla, Find Yourself Here

• Shining Example Partnership Award for cooperative tourism workAfrican American Experience of Northeast North Carolina (AAENENC)

106 Caratoke Highway

Moyock, North Carolina 27958

Local and Signature Events

June

Corolla Cork & Craft (Corolla)

Weekly Wednesday summer wine and beer event featuring art and craft vendors, live music and local food vendors.

Under the Oaks Arts Festival (Corolla)

This festival held in Historic Corolla Park features over 60 talented artists, live music, local food, an art auction and kids’ activities.

July

Currituck Outer Banks

Annual Independence Day Celebration (Corolla)

This annual July event features live music, food vendors, activities for kids and a stunning display of fireworks in Historic Corolla Park.

The Peach Festival (Knotts Island)

This fun family-friendly event invites attendees to sample local peaches and enjoy live music, craft and food vendors, entertainment and activities.

September

Outer Banks Bike Show (Grandy)

One of the oldest motorcycle events in Northeastern N.C., the Labor Day weekend event features live music, contests and food vendors.

Currituck Wildlife Festival (Barco)

The Currituck Wildlife Festival is a local tradition that features world-renowned carvers, painters and other talented artists.

Crabdaddy Seafood & Wine Festival (Jarvisburg)

Celebrating the crab with local wines & beer, fresh local seafood and live music.

November

Currituck Bulls & BBQ (Powells Point)

This festival hosted at the Currituck County Rural Center features a bull riding rodeo and barbecue competition and includes live music, exhibits, food vendors and family-friendly activities.

The Big Currishuck (Jarvisburg)

Start off oyster season at the Big Currishuck with steamed oysters, live music and sampling of local wine and beer.

Whalehead’s Candlelight Christmas in Corolla

Enjoy Whalehead’s special Candlelight Christmas Tour series, craft and Christmas village at Historic Corolla Park and Corolla Village, decorated for the season.

December

The Currituck Arts & Crafts Festival (Barco) A holiday tradition on the Currituck Mainland featuring local artisans and their crafts.

For more events and event information go to CorollaEvents.com