In 2025, San Francisco’s tourism industry is experiencing a resurgence, marked by a significant increase in domestic travel and the return of major events. Despite challenges in international visitation, the city’s tourism scene is making a strong comeback. The city’s vibrant culture, world-class attractions, and investment in infrastructure have contributed to its recovery, boosting both business tourism and leisure travel.
A major driver of San Francisco’s tourism recovery is the surge in domestic travel. Hotel occupancy rates in the city are expected to reach 65.2%, reflecting a notable rebound in the market. This growth is even more impressive given that San Francisco’s hotel demand is still about 20% below 2019 levels. The average room rate of $232.63 is also an encouraging sign of recovery, showing that tourists are not only returning but also willing to spend on quality accommodations.
Increased domestic tourism can be attributed to a rise in interest from U.S. travelers who are looking to explore new destinations without leaving the country. San Francisco’s iconic landmarks, cultural events, and diverse dining scene continue to make it a favorite among domestic visitors, offering a unique blend of history, modernity, and natural beauty.
San Francisco’s tourism recovery is also being fueled by the return of conventions and business events. The Moscone Center, a major event venue in the city, is expected to host 34 conferences in 2025. This represents a 64% increase in the number of events held there compared to the previous year. The convention industry is forecasted to generate approximately 650,000 room nights in 2025, which translates to significant economic benefits for local businesses, including hotels, restaurants, and entertainment venues.
Looking ahead, the 2026 Super Bowl and World Cup matches are expected to further boost tourism, bringing millions of visitors to the city for these landmark events. These major occasions will attract both business travelers and tourists from around the world, showcasing the city’s ability to host large-scale events and deliver exceptional visitor experiences.
Despite the positive trends in domestic tourism, San Francisco faces challenges in terms of international visitation. According to recent forecasts, overseas visitors to the city are expected to decrease by 3.2% in 2025, with spending dropping by 2.7%. Several factors contribute to this decline, including the higher visa fees imposed by the U.S. government and policies that some international travelers perceive as unfriendly. This has particularly affected visitors from Canada and Mexico, two of San Francisco’s largest international markets.
As international tourism remains subdued, San Francisco’s tourism industry is focusing on diversifying its efforts to attract travelers from other regions. In addition to continuing to promote the city’s unique offerings, the city is looking to encourage international travel by emphasizing its innovative tourism products, such as eco-friendly travel and a renewed focus on cultural experiences.
One of the key strategies behind San Francisco’s tourism recovery is its investment in infrastructure improvements. A notable example is the ongoing revitalization of Fisherman’s Wharf, a landmark area that’s undergoing a $10 million facelift. This project aims to preserve the area’s historical charm while improving visitor amenities and enhancing the overall experience. The refurbishment will help to ensure that San Francisco remains a top destination for both international and domestic tourists.
Moreover, the introduction of Waymo’s autonomous robotaxi service at San Francisco International Airport (SFO) is adding an innovative touch to the city’s transportation options. This new service makes it easier for passengers to travel from the airport to their hotel or other destinations within the city, providing a futuristic, efficient, and eco-friendly way to move around.
In addition to infrastructure investments, San Francisco is also enhancing its cultural appeal. The opening of Sunset Dunes, a 50-acre urban park located along the former Great Highway, has provided a new space for both locals and visitors to enjoy. On its opening day, the park attracted over 13,000 visitors, highlighting the demand for green spaces and outdoor recreational activities.
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