New Hampshire small businesses are seeing the effects of weaker Canadian tourism and persistent inflation, with owners describing changes in customer behavior and spending across the state.
At Hermit Woods Winery and Eatery in Meredith, co-owner Bob Manley uses maps near the entrance to track where customers come from. Visitors have placed hundreds of pins representing locations across the United States, Australia and other countries. Canada, however, is represented by only about a dozen pins, despite the winery’s location about two and a half hours from the border.
“Twelve. It's just mind-blowing.” — Bob Manley
Manley said the number of Canadian visitors has fallen sharply since last year. State officials reported that Canadian tourism in New Hampshire declined by 30% in 2025. Manley said he now encounters only one or two Canadian customers at a time and tries to reassure them that the business wants them to return.
The change is arriving as business owners also contend with customers who are feeling the effects of elevated prices. Manley said he has noticed greater stress among patrons, describing the change as “almost like going off a cliff.” The business operates in the Lakes Region, where tourism is an important part of the customer base.
Economic pressure extends beyond tourism
The Federal Reserve left interest rates unchanged Wednesday as officials continued to address inflation. Federal Reserve Chairman Kevin Warsh said the central bank’s September rate increase had tightened conditions for businesses and individuals, a result officials had anticipated.
Warsh said the Federal Reserve remains committed to bringing inflation back to its 2% target. The latest reading of the central bank’s preferred inflation gauge was 3.4%. He also cited geopolitical conditions and elevated oil prices as continuing sources of uncertainty and volatility.
Those conditions are also being felt by businesses outside the tourism industry. Amber Morgan, owner of Fortin Gage Flowers and Gifts in Nashua, described the pressures facing her shop after President Donald Trump imposed broad tariffs last year. The business is one of the New Hampshire companies dealing with higher costs and changing consumer conditions identified in the coverage.
- Canadian tourism in New Hampshire fell 30% in 2025, according to state officials.
- Hermit Woods Winery and Eatery has recorded only about a dozen Canadian visitor pins on its customer map.
- The Federal Reserve’s preferred inflation gauge was measured at 3.4%, above its 2% target.
