San Francisco's Tourism Industry Struggles Amid Low Foreign Visitors

San Francisco's tourism industry, a vital component of the city's economy, experienced a significant decline in visitors over the July Fourth holiday weekend, traditionally one of the busiest times of the year. Despite favorable weather and the return of pre-pandemic activities, merchants reported a sharp decrease in tourists, particularly around major visitor hubs like Fisherman's Wharf and Union Square. Business owners attributed the decline to national politics, specifically immigration policies and shifting perceptions of the U.S. abroad.

Key Takeaways:

  • City Sightseeing San Francisco, which operates the iconic red hop-on, hop-off double-decker tour buses, reported a 50% drop in ridership in June and July compared to the same period last year.
  • Sam Sohal, CEO of City Sightseeing San Francisco, stated that his ridership has shifted mostly to domestic visitors, but even that group is shrinking, with a 35% decline in overall business this year.
  • Bob Partrite, Chief Operating Officer of Simco Restaurants, which runs five eateries and a coffee shop at Pier 39, echoed the concern, citing a dip in customers in June.
  • Many business owners point to national politics as a contributing factor to the decline in foreign visitors, citing immigration policies and shifting perceptions of the U.S. abroad.
  • A visiting couple from Germany, Kerem Akkaya and Rozemaryjn Van Der Veen, stated that people in Europe looked at them with hesitation when they said they would travel to the U.S. for a wedding.
  • Business owners had hoped that five years after the pandemic began, tourism levels would at least match – if not surpass – 2019 figures, but for some, the reality has fallen far short.
  • Sam Sohal said he may have to dip into personal savings if the downturn continues, and emphasized the need for state-level promotion to mitigate the international slowdown.

Statistics:

  • Ridership at City Sightseeing San Francisco has dropped 50% in June and July compared to the same period last year.
  • Domestic visitors make up the majority of ridership at City Sightseeing San Francisco, but have still declined by 35% this year.
  • July Fourth holiday weekend typically generates significant revenue for San Francisco's tourism industry, but this year business owners reported a sharp decline in visitors.

Sources:

  • Da Lin, "San Francisco's tourism industry struggles amid low foreign visitors," KPIX, July 2023.
  • Kerem Akkaya and Rozemaryjn Van Der Veen, interview by Da Lin, KPIX, July 2023.
  • Bob Partrite, interview by Da Lin, KPIX, July 2023.
  • Sam Sohal, interview by Da Lin, KPIX, July 2023.