Tourism spending in Victoria reaches record high

Published: 29 June 2023

Exterior of Flinders street station lit up with lights on a dark nightVisitor spend in Victoria has hit a record high of $35 billion annually, reaching the Victorian Government’s 2024 tourism target outlined in the Visitor Economy Recovery and Reform Plan more than a year ahead of schedule.

The latest data – released by Tourism Research Australia – showed visitor spend in Victoria for the year ending March 2023 surpassed the 2019 peak of $32.5 billion.

In another big win, Victoria is leading the nation’s tourism recovery. The state attracted 22.1% of Australia’s total visitor spend over the 12-month period – the largest increase in the country – jumping by 2.9 percentage points.

Melbourne has kept its crown as the number one interstate overnight leisure destination in Australia. A total of 3.6 million visitors stayed 14.6 million nights, soaking up the city’s major events, stage productions and world-class restaurants. These visitors injected $5.1 billion to the state’s economy.

Regional Victoria continued to deliver outstanding results with all tourism regions hitting all-time highs, with total domestic visitor spend in Phillip Island increasing by 85%, High Country up by 74%, and the Grampians rising by 72% since 2019.

The number of Victorians enjoying a regional overnight stay increased by 6%, with 16.3 million travellers exploring our world-class wineries, inland towns, magnificent parks, high country, and our coastal villages and peninsulas. Victorians stayed a total of 41.8 million nights (up 8%), injecting $8.5 billion into the state’s economy.

International markets continued to recover reaching $4.2 billion in visitor expenditure in Victoria in the year ending March 2023 – approximately 50% of 2019 levels.

China has returned as the number one international market in terms of expenditure after only reopening borders in January. India continues to be a growing international market with visitor expenditure now 11% higher than in 2019.

In May, the Victorian Government released its vision to grow Victoria’s tourism industry and create jobs over the next 10 years with Experience Victoria 2033.

Supporting and growing experiences in 5 key pillars – First Peoples-led experiences, Wellness, Arts and Culture, Nature, and Food and Drink – will be central to enhancing Victoria’s reputation for delivering exceptional visitor experiences.