Tourism is a cornerstone of South Dakota's economy, offering a unique opportunity to spread its benefits across communities statewide. In 2025, the state welcomed 14.97 million visitors, who spent a record $5.16 billion—a 1.1% increase from the previous year. This spending supported 59,145 jobs, providing $2.3 billion in income to South Dakota families. Additionally, tourism generated $406.1 million in state and local tax revenue, reducing the tax burden on residents.
As travel preferences evolve, today’s visitors increasingly seek meaningful connections that immerse them in local culture, traditions, and natural landscapes. This growing demand for authentic experiences presents a valuable opportunity for rural South Dakota to collaborate and develop strategies that tap into this trend, bolstering the state’s tourism offerings.
Tourism product development means creating or improving the things visitors can see, do, and experience in a community. This could include developing a walking tour, improving signage or trails, creating cultural events, strengthening local visitor information, or packaging local food, arts, history, and outdoor experiences in new ways. The goal is to build on what makes a place unique so that visitors have a better experience, communities benefit economically, and local culture and resources are respected.
2026 Destination Development Program Application
About
The Destination Development Program helps rural communities and businesses grow, manage, and promote tourism in ways that reflect what makes each place special. By offering tourism product planning support, seed funding for the implementation of priority project ideas, expert guidance, and learning opportunities, the program supports local leaders and entrepreneurs as they create new and authentic tourism experiences that benefit both visitors and residents.
WHAT COMMUNITIES RECEIVE ELIGIBILITY & PROJECTS HOW TO APPLY TIMELINE FAQS CONTACT
What Selected Communities Receive
This program provides selected communities with:
- Planning facilitation and expert guidance to support a destination assessment, community engagement activities such as surveys and stakeholder input, and a hands-on community workshop to help define priorities.
- A community-led tourism product development strategy that identifies priority project ideas reflecting local assets and opportunities.
- Up to $15,000 in seed funding, paired with technical assistance from subject-matter experts, to support implementation of a priority project.
- Collaborative peer learning opportunities.
- Connections to marketing opportunities through Travel South Dakota and its partners.
Eligibility & Projects
Who is this program for?
Applications are welcome from individual communities or multiple communities collaborating on a regional project. Two communities will be selected.
- Rural communities with populations under 30,000
- Areas with untapped tourism potential or those needing revitalization
- Eligible applicants:
- Local or Regional Governments
- Destination Marketing Organizations / Convention and Visitor Bureaus
- Chambers of Commerce
- Tourism Business Owners / Operators (lodging, retail, guide services/adventures/outfitters, dining, arts/museums)
- Tribal Governments & Organizations
- Nonprofit Organizations
What types of projects are eligible?
Here are some example projects that fit the program’s timeline, scope, and funding amount. Creative and original ideas are strongly encouraged!
- New tours, trails, or self-guided itineraries
- Downtown beautification or gathering spaces
- Wayfinding signage
- Visitor information displays or storytelling tools
- Interpretive materials and maps
- Accessibility upgrades
- Trail or infrastructure feasibility studies
Review the Application Toolkit for a full list of identified possibilities:
How To Apply
Use the steps below to organize your team, prepare your materials, and complete a strong application:
- Confirm eligibility and watch the launch webinar
Check that your community qualifies, and watch the recording of the May 19 Insider Session to learn about program requirements, expectations, and how to apply.
- Build a coalition and form your Destination Core Team (DCT)
Bring together local leaders and organizations who will guide the process, contribute expertise and resources, and demonstrate broad community support.
- Assign roles and responsibilities
Identify a Destination Coordinator from the DCT to lead the application process, coordinate locally, and collect required materials such as letters of support and match documentation.
- Secure letters of support and match commitments
Gather letters from diverse local and regional partners and confirm financial or in-kind match contributions (e.g., meeting space, staff time).
- Brainstorm initial tourism product ideas
While a final project idea is not required at the application stage, early discussions will help position your team for success during the planning phase. Please note that the planning phase includes community surveys and workshops to get resident input into the project.
- Complete and submit the application
Fill out the online form, upload supporting materials, and submit by June 30, 2026 (application window opens May 20, 2026). Use the sample Application Form in the Destination Development Toolkit Resources to review the questions, prepare your responses, and organize your materials before completing the online application.
2026 Destination Development Program Application
NOTE: Two communities/applications will be selected for the 2026 program. Applications are welcome from individual communities or multiple communities collaborating on a regional project.
Be sure to review our Application Toolkit Guide for additional guidance, templates, and resources to support a strong, complete application:
Destination Development Toolkit Resources
Even if your community is not selected this cycle, the work of bringing partners together and building support for tourism can still provide a strong foundation for future efforts. We encourage communities to stay connected with the Travel South Dakota team and explore the upcoming Destination Development Playbook for additional guidance and resources.
2026-2028 Timeline
To stay informed and ensure you don’t miss any updates, please take note of these key dates, and stay tuned to our Travel South Dakota industry emails:
Industry Announcement: April 16, 2026- Insider Session (informational webinar): Tuesday, May 19, 2026 session recording
Applications Open Online: Wednesday, May 20, 2026- Application Deadline: Tuesday, June 30, 2026
- Selected Participants Notified: mid-July 2026
- Project Planning: August 2026 — January 2027
- Project Implementation: February — December 2027
- Project Close & Reporting: January — April 2028
FOR INFORMATION
If you have questions or would like more information, please contact Ciara Forest, Destination Development Manager & Industry Liaison, at 605-773-3301 or [email protected].