The Economic Impact of Tourism on Pigeon Forge

 By Jason Grant 

               

Photo by: Jason Grant 

Pigeon Forge, TN April 10, 2025 -     Nestled in the foothills of the Great Smoky Mountains, Pigeon Forge has long been a beloved destination for families, nature lover, and thrill-seekers alike. In recent years, the small Tennessee City has experienced a tourism boom that has significantly shaped its local economy transforming it from quiet mountain town into a thriving economic hub driven by hospitality, entertainment, and outdoor recreation.

According to the latest figures released by the Tennessee Department of Tourist Development, Tourism generated an estimated $2.4 Billion in direct spending in Sevier County 2024, with Pigeon Forge contributing a significant portion. This marks a steady increase from previous years, driven largely by expanded attractions, events and growing national attention.

The city is home to top-tier attractions like Dollywood, The Titanic Museum attraction, and The Island in Pigeon Forge, drawing millions of visitors annually. In 2024 alone, Dollywood reported a record-breaking 3.3 million guests, contributing heavily to job creation and business revenue throughout the area.

Tourism is the lifeblood of Pigeon Forge's job market. Nearly 60% of local employment is tied to the tourism sector, with thousands working in hospitality, foodservice, retail, and entertainment. The city's unemployment rate has remained consistently lower than the state average, Thanks to the consistent flow of visitors.

"The economic ripple effect of Tourism here is enormous," said Tracey Martin, Director of the Pigeon Forge Department of Tourism. "For every hotel that opens or attraction that expands, there's a chain reaction- more jobs, more customers for local stores and more, and more revenue for the city."

Local businesses, from pancake houses and moonshine distilleries to boutique shops and tour services, have also benefited. Many report that the off-season is becoming shorter and less impactful as year-round tourism increases.

To support the influx of visitors-over 10 million annually Pigeon Forge has invested heavily in infrastructure. Recent improvements include widened roadways, expanded trolley services, and updated pedestrian pathways. These upgrades are largely funded through tourism-related tax returns.

In 2024, the city collected over $130 million in sales and lodging taxes. This funding has not only supported infrastructure projects but also enhanced public services and community programs.

"We're reinvesting what we gain from tourism directly back into community," said Mayor David Wear. "It's a cycle that helps both residents and visitors enjoy the best of what Pigeon Forge has to offer. "

Howeve, rapid growth is not without challenges. Increased traffic congestion, rising housing costs, and environmental encounters concerns have emerged as pressing issues. City officials are now working with regional planners to develop a sustainable tourism strategy that balances economic benefits with quality of life and environmental preservation.

"Pigeon Forge must protect what makes it special," said environmental consultant Lisa Monroe, who's currently advising on city-wide green initiative. ' The natural beauty of the smokies is what draws people here. We need to ensure development doesn't come at the cost of that legacy. "

With continued investment, strategic planning, and a focus on sustainable growth, the outlook for tourism in Pigeon Forge remains strong. Upcoming developments, including a new roller coaster at Dollywood and expanded resort accommodation, are expected to drive even more economic growth in 2025.

As it stands, tourism is not just a part of Pigeon Forge's identity --- it is the backbone of its economy, proving jobs, fueling local enterprise, and funding City improvements, all while sharing a slice of Appalachian charm with millions of visitors every year.