The impact of digital governance on tourism efficiency: spatial effects and insights from China’s smart city pilots

Purpose This study aims to investigate the causal relationship and spatial effects of digital governance (DG) on tourism efficiency (TE). Design/methodology/approach Using panel data from 203 Chinese cities spanning 2004–2022, this study uses stochastic frontier analysis to gauge TE. The smart city pilot policy (SCPP) serves as a natural experiment, with a spatial Durbin model with difference-in-differences (SDM-DID) used to assess DG’s impact on TE and its spatial effects. Findings The tourism industry in the 203 sample cities exhibits relatively low technical efficiency, with higher efficiency in eastern and lower in western. DG significantly enhances TE and demonstrates spatial effects, characterized by positive direct and total effects, while spatial spillover effects remain minimal. Originality/value This study introduces the SCPP as an exogenous shock and uses the SDM-DID framework to analyze DG’s impact on TE and its spatial dynamics. By incorporating novel perspectives and methodologies, it advances academic understanding of the relationship between DG and tourism. The findings offer theoretical insights to support smart tourism development and enhance TE through DG, contributing to the broader discourse on smart tourism, DG and tourism growth.