The impact of the COVID-19 pandemic on revenues of visitor attractions: An exploratory and preliminary study in China

Abstract

The COVID-19 pandemic has made a detrimental impact on various tourism subsectors. The financial consequences of this impact should be carefully evaluated to set benchmarks for industry recovery. This study assessed the financial impact of the pandemic on the tourism subsector of visitor attractions in China; 4222 A-grade visitor attractions accounting for over one-third of the national market were surveyed. Data triangulation was subsequently applied to undertake a comprehensive assessment of potential revenue loss. Triangulation was based upon the (1) lost revenue estimates made by tourist attractions’ administrations, (2) reverse estimation of past macroeconomic data, and (3) expert opinion estimates. The assessment results demonstrated that A-grade visitor attractions in China may have lost up to 140 billion RMB (circa US$21 billion) due to COVID-19, with up to 65% of all losses incurred in the first quarter of 2020. The scale of revenue loss varied significantly depending on visitor attraction’s grade, type, and location. Potential strategies for industry recovery are discussed.