Australasian Leisure Management
Jul 6, 2025

WTTC looks into causes of tourism overcrowding

When the tourism industry is managed well, it fosters cultural exchange, global understanding, and environmental protection. But without smart planning, the benefits it brings could be at risk.

The World Travel and Tourism paper ‘Managing Destination Overcrowding: A Call to Action’, explains that there’s no simple fix to the problem and urges governments, local leaders, and businesses to work together to support both communities and visitors.

In 2024, Tourism is expected to contribute nearly $11 trillion to the global economy and support 357million jobs. That’s a huge success but it also means destinations must plan to manage growth responsibly.

Annually, governments around the world accrue more than $3.3 trillion from Tourism businesses, equivalent to 9.6% of global tax revenues. The global tourism body urges governments to reinvest this sum in vital infrastructure, and solutions to relieve pressures on already very popular destinations.

While the report focusses on some of the root causes of overcrowding in a small number of increasingly popular destinations across Europe, it offers real-world solutions that can be tailored to local needs in other regions of the world - from using better data and planning tools, to involving residents in decisions.

A Practical Plan of Action
The paper outlines six simple steps destinations can take to manage tourism better:

1. Get Organised – Bring the right stakeholders together, via empowered taskforces

2. Make a Plan – Define a shared vision and destination strategy

3. Gather the Evidence – A lack of data is exacerbating issues in several destinations. It is therefore crucial to carry out evidence-based diagnoses and responses to the unique challenges faced by each destination

4. Stay Vigilant – Monitor conditions and act early

5. Invest Wisely – Reinvest in infrastructure and resilience, being transparent about where money is spent

6. Empower Residents – Make sure residents have a say and understand the benefits of Travel & Tourism in their communities

Why It Matters
A growing number of destinations have introduced tourism taxes in response to pressure, but WTTC warns that these measures don’t always solve the real problems and can put jobs, income, and services at risk.

The report finds that if 11 major European cities capped visitor numbers, it could cost $245billion in lost GDP and almost three million jobs over three years.

The report includes examples of destinations that are taking positive steps to combat some of the causes:

  • Turisme de Barcelona Consortium operates under a public-private partnership model, guided by the principles of sustainable development goals

  • VisitFlanders’ Travel to Tomorrow strategy, which reframes tourism as a tool to support local community goals such as making sure that listening to residents’ needs is a central tenet in their practice

  • Dubrovnik’s partnership with CLIA, reducing congestion through cruise coordination and community dialogue

  • Iceland, which reinvests tourism levies directly into environmental protection

Julia Simpson, WTTC President and Chief Executive notes “Travel & Tourism brings huge benefits including jobs, investment, and deeper cultural understanding. But growth needs to be managed carefully.

“We’re encouraging all decision-makers to think ahead, work together, and focus on long-term benefits for residents and visitors alike. This isn’t about stopping tourism, it’s about making it work for everyone.”

The global tourism body believe this is a moment of opportunity.

With the right steps, destinations can protect what makes them special while ensuring that tourism continues to bring value to communities and local economies.

The report makes clear there’s no one-size-fits-all solution. Every destination is different, and actions must be based on local realities. But with cooperation and planning, the tourism industry can continue to thrive in a way that protects what makes each place special.

The paper encourages leaders to think beyond short-term fixes and focus on reinvesting tourism income into critical infrastructure improvements, local services, and resident wellbeing.

For more information and to download the report, visit WTTC's Research Hub.

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