The Tourism And Hospitality Industry Of Texas


The hospitality industry is a broad category within the fields of service industry including tourism, travel, theme parks, event planning, catering, and accommodation. Hospitality includes restaurants, hotels, tourist agencies, and bars. Furthermore, hospitality is the relationship between a host and a guest in which the host receives the guest with certain benevolence such as receiving and entertaining guests, strangers, or visitors. In terms of hospitality and tourism, it is a fundamental role in increasing or decreasing the sales volume of an organization.

In ancient times, hospitality was to welcome a stranger and offer them food, shelter, and security. When it comes to hospitality and tourism in Texas, it stands second-largest state in the United States for adventure and fun. It is a culturally and geographically diverse state that offers a wealth of unique attractions and activities to do. From the cities to the coastal beaches, desert, mountains, you can keep yourself entertained in multiple ways.

Hospitality and Tourism Industry in Texas

Hospitality and Tourism Industry in Texas

Texas is not only home to great culture, food, and music but also to one of the biggest generators of revenue in the country. The Lone Star State is a big draw whether you are a longtime fan of the Texas atmosphere or a first-time visitor.

Currently, the hospitality and tourism industry of Texas is doing very well in terms of creating hundreds and thousands of jobs and revenue. Furthermore, the tourism travel industry helps to support the industry in both retail and services.

Tourism Numbers

Tourism Numbers

The state’s tourism industry has seen a large number of inbound visitors from the United States and the rest of the world. In 2012, Texas had more than 220 million domestic visitors. Hence, Texas had the third-largest share of domestic visitors in the United States. Out of the stated number, 70% of the visitors come to Texas for leisure and 30% for business.

With more than 60 million international tourists visiting the United States each year, the number of visitors to Texas from foreign countries totaled 8.2 million in 2012. Their direct travel expenditures were approximately $5.3 billion. However, the main source markets were Canada, Mexico, Germany, the United Kingdom, Australia, Brazil, China, and Japan.

In 2012, tourism revenue accounts for 13% of Texas’s annual income or GDP and Texas earned $65 billion from its tourism industry in direct travel spending.

Jobs And Taxes

Jobs And Taxes

Tourism is one of the important industries in Texas which accounts for a large portion of the revenue of the state. Due to the number of visitors to Texas from all over the country and also from the rest of the world, the local economy is boosted by the extra benefits and money from the tourism industry.

In 2012, the Lone Star State directly supported 568,000 jobs due to tourism and hospitality which was an increase of 16,000 jobs. In the same year, tourists visiting Texas helped generate $4.4 billion in local and state taxes.

Unique Attractions

Unique Attractions

The tourism and hospitality industry has been doing better than other states. Due to a wide range of both natural and entertaining things to do, Texas was able to draw a large number of tourists to the state. Apart from the best locations in Texas, the sweet and spicy local cuisine along with traditional water holes was a source of attracting tourists to the state.

Tourism and Hospitality By Numbers

Average Type 2 Multipliers For Tourism And Hospitality

Sector/Subsector Sales Jobs Earnings
Tourism and Hospitality 2.33 1.8 2.31
Arts, Entertainment and Recreation  2.38 1.91 2.43
Accommodation and Food Services 2.25 1.6 2.12

Average regional multipliers for tourism and hospitality were used to estimate an initial introduction of economic inputs into the industry in terms of earnings, jobs, and sales or profits of the economy of Texas. The multipliers capture the indirect effects on the industries providing the goods and services. Also, it induced an effect on the local sellers of goods and services such as entertainment, food, housing, or workers in the tourism and hospitality industry.

The general multiplier effects are as follows:

  • Jobs

In Texas, if 100 jobs are created, an additional 80 jobs are supported across all the other industries.

  • Sales

In Texas, for every million dollars in sales, other industries generate an additional $1.33 million in sales.

  • Benefits

In the economy of Texas, for every $1 million generated in profits, other industries generate an additional profit of $1.13 million.

Accommodation And Catering

The accommodation and food service sector produced the majority of jobs in the tourism and hospitality industry of Texas. There are skilled personnel that also work in the entertainment industry of Texas by providing accommodation and preparing meals along with beverages and snacks.

In 2017, women held about 52% of the total jobs in the industry such as 605,333 jobs. Furthermore, women held more jobs in every department of the industry such as 535,922 in food services, 51% in accounting, and 57% in the accommodation sub-sector.

Top Occupations In Food Services And Accommodation, 2017

Description  Jobs in Sector Total Jobs (All Sectors) Women’s Share of Total Jobs
Combined Food Preparation And Serving Workers Including Fast Food  294,531 335,375 61%
Waters and Waitresses  207,770 220,309 67%
Cooks, Restaurant 98,087 102,743 32%

Earnings and Growth

Within the tourism and hospitality industry, women earn the least per month. However, it is important to know that many employees in the tourism and hospitality industry generate most of their income from tips.

From 2010 to 2016, the average monthly earnings of women increased in the tourism and hospitality industry. On the other hand, women working in food services and accommodation had an increase of about 18% in their earnings. However, the growth in earnings for women in the entertainment industry of Texas was only 16%.

Best Places To Visit In Texas

Best Places To Visit In Texas

Everything is considered bigger in Texas. It is the reason why the Lone Star State has a powerful impact on travelers. Texas is full of stunning scenery, diverse museums, important historical places, pristine city parks, delicious barbecues, suburban shopping hotspots, etc. All these reasons make Texans so proud of Texas.  

The best places to visit while traveling to Texas are as follows:

  • San Antonio
  • Big Bend National Park
  • Austin 
  • Houston 
  • South Padre Island 
  • Galveston 
  • Mustang Island 
  • Port Aransas
  • The Woodlands
  • Boca Chica
  • San Jose Island
  • Fredericksburg, TX
  • Corpus Christi
  • Waco 
  • Guadalupe Mountains National Park

Texas – Tourism and Hospitality Industry

Tourism and hospitality are one of the leading industries in almost every country. Texas is the second-largest state in the United States in land area and population. It has a lot to offer tourists ranging from beaches in Texas to mountains, deserts, pine forests, etc. All the scenic locations attract tourists from both the United States and the rest of the world. As a result, tourism and hospitality contribute to the real GDP of the United States.

In 2018, the tourism and hospitality industry made a $164 billion impact on the economy of the state. Tourism and hospitality create jobs for people. Also, there are skilled personnel that can be used for both the tourism and entertainment industry. However, over the years there has been significant growth in earnings and profits of individuals and businesses in the tourism industry. The tourism industry is the reason why Texans are proud of Texas with the top 10 industries contributing to revenue generation of the state. 

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