Month: June 2017

Talking Tourism: Not taking enough days off.

This article first appeared in Northwest Florida Daily News on Sunday, June 25, 2017.

Studies recently have shown that as a nation we’re not taking the full number of vacation days to which we’re entitled.

Judging by the number of cars on U.S. Highway 98 and along County Road 30A, you’d think that the world and his wife were on vacation and that they’d chosen to visit this particular paradise. It’s really good that so many people decide to share their vacation time with us.

However, all is not rosy with the state of U.S. vacations.

Studies recently have shown that as a nation we’re not taking the full number of vacation days to which we’re entitled. According to the U.S. Travel Association’s Project: Time Off, the average number of days vacation we receive is 22.6. Between 1976 and 2000 we took, on average, 20.3 of those days. Last year we only took 16.8 days.

During the survey, 41.9 percent said that they weren’t going to take a single day of vacation this summer. Of course, that could mean that people intend to travel at other times, but the indications are that people are just not vacationing.

Things are even worse here in the South, where 44.7 percent said they weren’t intending to take a summer vacation. That number was even higher among women (51.5 percent) and younger folks.

Why are we doing this? Apparently the number of people saying they can’t afford a vacation has dropped considerably. Most respondents to the various surveys indicate that they don’t feel they can be away from work, or no one else can do their job. This increases among Millennials, and particularly Millennial women, 46 percent of whom think it’s good for their bosses to see them as “work martyrs”.

Having run a number of companies over the years, this seems counterintuitive. Every good manager recognizes that a rested and refreshed worker is more productive than someone who is tired and burned out. It’s also a sign of a good manager that they organize their work life to ensure that the company can operate without them for at least a short time.

But this is a column about tourism, not business practices. The simple fact is that the country needs people to take vacations. One in 18 U.S. jobs is directly or indirectly involved in the tourism industry — that’s 7.6 million jobs. The accommodations and food service sectors each employ 1.9 million people. Here on the Gulf Coast, in Okaloosa County alone, it’s estimated that 32,405 were employed in the tourism industry in 2015. Direct spending by tourists brought in $2.9 billion, and the tourist-generated tax revenue (bed tax, sales tax, etc.) was $554.1 million in 2015 — and it’s increased since then.

There are indications that international tourism into the U.S. may be down this year (see last week’s column), so domestic travel is more important than ever. Obviously it’s good for your health to take vacation. It’s good for your family, too. However, given the benefits to jobs and the economy — especially here on the Gulf Coast — I’d say it’s your patriotic duty to vacation.

Talk to your friends and family and persuade them to visit us here. Share a little sunshine.

Martin Owen is an independent consultant to the tourism industry and owner of Owen Organization in Shalimar. Readers can email questions to martin@owenorganization.com.

Tourism situation – now.

This article appeared in the Northwest Florida Daily News on Sunday, June 19, 2017

 

By this time of the year, we are usually in a good position to know what sort of success the tourism industry is having not only locally, but nationally and internationally, as well. At the midpoint of 2017, the state of the tourism market is throwing up all sorts of conflicting results.

Here in Northwest Florida, where only 1 percent of our tourism is currently of international origin, we think that our domestic, drive-in visitors make us immune from trends in other sectors. Strangely what happens in one market does have an effect on the other areas.

First, the good news. Our local hospitality professionals are reporting excellent advance bookings for the summer season and bed tax collections have been up for the first quarter of the year. Important also is that bookings for attractions and experiences have been very strong in the first quarter and advance bookings are ahead of last year.

Visitors to Florida were up by 2.5 percent for the first quarter of the year over 2016 with 3.1 million visitors arriving. Visitors from Canada and UK were down but an increase in domestic visitors more than filled the gap.

Statistics from credit card companies for Northwest Florida show an increase in spending from cards with Canadian, UK and German addresses. Okaloosa County’s DMO (Destination Marketing Organization) feels this can be put down to Canadians preferring our area to central and south Florida, and that new flights into New Orleans from London and Germany may be bringing visitors here.

On the other side of the coin, the strength of the dollar against overseas currencies and other factors may discourage Europeans from heading to U.S. destinations. Some areas of Florida are seeing drops in online inquiries from the UK by as much as 60 percent. Foursquare, a location technology company, says that America’s market share of international leisure tourism declined an average of 11 percent between October 2016 and March 2017. However, the financial attractiveness of traveling to Europe has seen a huge increase in Americans heading east across the Pond with an 80 percent jump in U.S. to UK bookings reported by Expedia, an on-line travel agent.

So, nothing really conclusive, but the trend is currently good for Northwest Florida, which relies on domestic tourists. But with fewer internationals coming to the U.S. and more Americans traveling to Europe, the U.S. destinations that usually welcome overseas guests may start looking at attracting “our” domestic visitors. That’s not a good portent for 2018.

If the proposal to close Brand USA and the cut to Visit Florida’s budget from $100 million to $25 million goes ahead, then the Sunshine State will loose out to California and other domestic and foreign places. Areas like Orlando and south Florida may use their budgets and publicity to try to steal “our” visitors. It’s a distinct possibility.

It’s essential that the Gulf Coast destinations redouble their efforts to keep our exiting visitors and develop new markets as soon as possible. Nothing is definite, and we look set to have a really good 2017, but 2018 … who knows?

Martin Owen is an independent consultant to the tourism industry and owner of Owen Organization in Shalimar. Readers can email questions to martin@owenorganization.com.

 

It should be noted that since this piece was written, the Florida Legislature have authorized a $75million budget for Visit Florida, albeit with severe restrictions on their ability to operate effectively.