LAKE TAHOE, Calif./Nev. – Declines are so far marking inbound travel and tourism spending in the U.S. this year and the story was been no different for regions of Lake Tahoe this summer.
“As of the latest quarter, our tourism sector has experienced significant revenue declines,” Andy Chapman said, president and CEO of Travel North Tahoe Nevada, which monitors tourism numbers for the Incline Village and Crystal Bay regions.
Within those regions, total room revenue is down by 30%, with total rooms occupied falling by 18% and average daily rates down 14.5% compared to 2024.
Travel North Tahoe Nevada attributes those numbers to a decrease in overall hotel room capacity due to several units going offline for a variety of reasons, including renovations. Ongoing global disruptions may have played a role as well, which have impacted international visitation to the U.S.
Industry leaders point to geopolitical and policy-related concerns as a driver. A report in August revealed Canadian visitation to the U.S. was down 25.2%. Overseas arrivals dropped down 3.1% in July.
Travel North Tahoe Nevada has also seen international tourism spending down 11%, though domestic visitor spending remains stable. More day trips and shorter visits have also characterized the summer, according to the organization.
Shorter visits are something the North Tahoe Community Alliance has also seen on the California side of North Tahoe with the average stay around 2.6 days. Of those who do stay overnight, nearly 40% of them are staying for 6-plus days. That number is averaged out by the number of people who do not stay overnight.
Although the NTCA data reveals on average shorter visits, the total amount of trips has increased (8.36%) as well as visitor days (3.12%).
Similar to national trends, the NTCA has also seen reduced tourism spending.
“People are still getting out and about,” NTCA marketing director, Kirstin Guinn says, “but they are tempering the impact on their budget.”
In the South Lake region, June and July saw a downturn in hotel occupancy compared to last year, while spending remained flat, according to monthly destination reports. In contrast, August brought a surge in occupancy as well as spending. Despite the initial decline in occupancy, the average daily rates continued to increase June through August.
Tourism dollars directly fuel taxes and other funds for the region. A downturn signals a concern for the industry that Tahoe heavily relies on.
“While we recognize the challenges these declines represent, we are prepared to respond,” Chapman says. Travel North Tahoe Nevada is implementing cost reductions to ensure continued local investment and stability amid the challenges.
It has recently launched a new consumer brand, called Lake Tahoe Travel, that prioritizes sustainability. The organization believes the value will resonate with both domestic and international audiences.
Despite the tourism slump, this year’s American Century Championship golf tournament in Stateline saw record attendance.
Carol Chaplin, president and CEO of the Lake Tahoe Visitors Authority, the destination marketing organization for the South Shore, says their “Awe and then Some” summer marketing campaign helped drive occupancy, especially midweek.
2026 travel forecasts predict a slight increase in tourism. The World Cup is expected to bring more international travelers to the U.S. with 11 of the 16 host cities in the U.S. The closest host city to Tahoe is San Francisco.
