Sacramento's Tourism Boom: Why the Capital City Outpaced the Nation

Here’s something that might surprise you: while travel spending tanked across the United States last year, Sacramento bucked the trend. The capital city posted a 1.7% increase in visitor spending in 2025, defying the national slowdown and signaling something bigger about what travelers actually want these days.

The numbers tell the story. Sacramento welcomed more than 15 million visitors annually and pulled in over $4 billion into the local economy—a figure that tends to get overshadowed when people hear“tourism”and immediately think Las Vegas or New York. But Mike Testa, Visit Sacramento’s director, cuts through that misconception: this isn’t just about the big destinations. Tourism generates tens of thousands of jobs right here, and the city’s hotel tax revenue jumped 40% since 2022. That’s not a footnote; that’s a real economic engine.

What’s driving the surge? Diversity. Sacramento’s learned to build a tourism portfolio that works year-round. Sacramento International Airport continues to expand, bringing more airline crew business into the market. Conventions remain rock-solid. Business travel is picking up steam. Brenda Kirian, director of sales and marketing at Hyatt Regency Sacramento, points to the festival and event calendar as a major draw: X Games coming up, the NCAA basketball tournament (which just wrapped last month), Iron Man, Aftershock, and the California International Marathon in December. Then there’s the A’s, who’ve given the city more visibility and energy. Even with Capitol renovation work and some workers staying home, Sacramento’s kept momentum.

The broader California tourism picture is equally robust. The state generated just under $160 billion in visitor spending in 2025 and supported more than one million jobs. Los Angeles County still leads the pack at $35 billion, followed by Orange County at $17 billion and San Diego at $16.6 billion. But 55 of California’s 58 counties saw increases, suggesting this growth isn’t concentrated in just a few coastal destinations.

Here’s what’s shifted: travelers aren’t chasing deals anymore. They’re hunting for experiences. And Sacramento—with its blend of culture, sports, food, outdoor recreation, and history—is delivering exactly that. The city’s diverse offerings mean something lands for almost every visitor profile, whether they’re here for business, a festival weekend, or just to explore.