Palm Springs businesses feel strain during festival season, calling for action

PALM SPRINGS, Calif. (KESQ) - Palm Springs business owners are raising concerns about the economic impact of festival season, saying the annual influx of visitors doesn’t translate into local spending. While hotels and large-scale event industries benefit, many retailers report slower sales as visitors spend most of their time at festival grounds outside the city.

Council Member Jeffrey Bernstein, who is also a business owner, is calling on solutions such as creating a dedicated Events Director focused on driving business into Palm Springs. The idea is to organize targeted events, partnerships, and promotions that encourage visitors — and locals — to spend within the city.

Business owners say past efforts like “shop local” campaigns haven’t been enough, emphasizing the need for consistent funding, coordination, and execution. They argue a more strategic approach is necessary to ensure local businesses share in the economic benefits.

Stay with News Channel 3 for more.