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How to (Economically) Renovate a Small Town – Business Opportunities in Small Towns

How do you restore a dead or dying small town? Here are some of the things successful small towns have done to attract tourists and take advantage of the resources they have while creating opportunities.

I’m a weirdo. I love small towns because I always see opportunity and potential there. Whenever I visit one my mind lights up with all the things that can be done to develop it. 

Of course I’m not the only one.

If I were to, and I have, looked up small towns around me in Southern Wisco, I would go to their website and each and every one of them have an economic development section.

It’s because while it’s cheaper to live there, there is fresh air and they are generally safer, BUT what on earth will you do to make money?

Not only that but there are plenty of people who put their passions and skills to work in a small town but there’s simply not enough business to sustain it.

Enter: local tourism

Getting people from surrounding areas a reason to visit your town and maybe even put down roots, whether permanently as a winter home or summer home. 

I’ll give you a few ideas that successful small towns have found to attract tourists.

According to the Rural research Report done by the Illinois Institute for Rural Affairs, the most successful small towns use multiple development strategies and they divided them into groups:

  1. Historic downtowns or prominent cultural and heritage features

  2. Adjacent to a metropolitan area or Interstate hwy

  3. Recreation or natural features as well as retirement destinations

  4. A college campus https://www.iira.org/wp-content/uploads/2014/08/Small-Town-Tourism-Building-the-Dreams.pdf

You may notice that some of these are changeable, some are not, but all of these are what present the opportunity.

The full study is linked above, its an interesting read if you’re into economic development but I’ll summarize here reasons people have actually visited 40 of the most successful small town and it should get your ideas turning:

Water – 40% of the towns were attractive because of their location on lakes or rivers.

Ephraim, Wisconsin is an old resort town which has a reputation of 100 years of beach-side tourism. Its tourism appeal comes from water-related activities—fishing, jet skis, kayaks, and parasailing.

  1. Scenery –  Mountains, hills, canyons, forests: Custer and Hill City, South Dakota in the Black Hills near the Crazy Horse and Mt. Rushmore mountain carvings promote the monuments and scenery in the area with tours as well as cabin and guest house rentals.

  2. Art – painters, glassblowers, sculptors, theater performers, photographers, and others—are a huge attraction to top tourist towns.  Hannibal, Missouri  holds a yearly event called “50 Miles of Art” featuring artists along Route 79.  

  3. History – The history of a community is perhaps the most under-estimated tourism attraction as a surprising amount of tourists are interested in historical facts. People like to hear stories of local historical figures and the architecture of its local buildings, combining natural interest with traditional living spaces. Guided tours through homes, museums, and historical places have a powerful appeal.

  4. Shops & Sales – In some cases, shops have become the attraction.  Mackinac Island, Michigan, with 459 residents, has two antique stores, eight art galleries, and 54 retail stores. 

  5. Attractions, Events, and Recreational Opportunities – These opportunities are for specifically attracting people to the area. They create opportunities to look, participate, and to create the memories that cause visitors to return. 

  6. Ethnic Attractions –   the unique character of a community and its residents may be more of an attraction than many activities specifically created to lure tourists.

  7. Festivals – Festivals attract tourists and can provide an economic stimulus. Several communities connect festivals with produce, as well as with specialized foods such as fried onion blossoms, pita sandwiches, and fried ice cream.

  8. Antiques – Many people like antiques. Antique stores often emphasize ethnic heritages.  antiques can be promoted regionally to build a destination location for tourists.

  9. Wineries – Wineries promote tourism, and they are growing in popularity. Communities can benefit from being listed on “wine trails,” some wineries have their own music or entertainment venue.

Lastly, bundling (as a strategy, not an attraction) events enhance their appeal to tourists especially when a major event is combined with other offerings such as art, music, food and wine, cultural attractions, and theater.

Galena, Illinois relies on history and water to attract tourists, with 199 events to engage visitors. Many of the 33 bed and breakfasts found ways to coordinate their experiences with merchants, creating romantic getaways, shop tours, and music events rolled into packages.

So if you’re interested in this information, and want to read the full information, the link is in the description and let me know if you’re interested in this type of content. 

I know none of this addresses lack of jobs or larger companies which a town needs to thrive and grow but the information should be helpful because of the ability to attract remote workers to a location. 

People looking for a simpler and more rural life, but who still want the entertainment and attractions offered by a larger city.

There’s a lot of opportunity there.

As always connect with me on Instagram to see how others have carved out for themselves (and their hometown) an opportunity to make money.

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