Does a rising marketing tide really raise all ships?

The popular adage “A rising tide lifts all ships” is currently in vogue in Branson to promote the use of marketing funds, the vast majority of which are generated within the city of Branson, to cooperate in developing a more regional economy. However, an Ole Seagull believes this principle does not hold true in terms of primary economic benefit in a city like Branson, with a tourist-based economy.

Branson, with just about 13,000 permanent residents, attracts about 8 million tourists annually. An Ole Seagull would estimate this requires an economy capable of supporting the public infrastructure, police, fire, water, sewer, roads, etc., necessary for a combined residential and transitory tourist population of at least 100,000.

The support for that infrastructure depends on the number of tourists coming to Branson and how much tax revenue they generate. That tax revenue is directly dependent, in order, on how much time they spend in Branson and how much money they spend while here on lodging, entertainment, shopping and eating while spending that time in Branson. Based on his experience, an Ole Seagull believes that the average tourist will likely spend more time and money on attractions close to their accommodations.

And there’s the rub. While the rising tide theory might hold water for situations where the tourist will make multiple choices, such as entertainment, shopping, dining, etc., in terms of where they are going to stay, it’s a onetime shot.

Where they stay affects a key component of Branson’s tax revenue, the 4% City Tourism Tax on lodging. This tax directly ties Branson’s ability to fund public services and infrastructure to the number of visitors staying overnight within Branson city limits. If visitors choose to lodge in surrounding communities rather than Branson, the city loses the 4% lodging tax from those stays.

If a tourist spends $150.00 per night on lodging in Branson, that generates $6.00 per room night in Tourism Tax for Branson. Not a lot by itself, but multiply it by 9,518 estimated room nights for just the two months of 3/20-5/10, 2025, and that’s $57,108. On a tourism tax basis, why would anyone want to promote anything that encourages tourists to lodge anywhere except Branson?

Some might say, “Even though they are staying somewhere else, they will still come into Branson to eat, shop and be entertained.” That may be true, but remember the saying, “Time is money.” Neither the city of Branson nor any of its shows, attractions, shops, restaurants, etc., make a dime in taxes or revenues from a tourist not spending time with them. It’s a simple question with an obvious answer, “Will the ROI for the City of Branson and its shows, attractions, shops and restaurants, etc. be greater for money spent on marketing the city of Branson and its shows, attractions, shops and restaurants, etc. or entities outside its city limits?”