Hospitality | Owen Organization

Empty beaches, storm clouds on the horizon?

No one can underestimate the effect that the 9/11 terrorist attacks had on global tourism. Travel patterns changed across the world. The USA tourism market suffered and not only from the reticence of tourists and business people to get on a plane, but also from the perception of travelers from outside the country that the USA had become unwelcoming. The understandable (to US minds) restrictions that were placed on incoming travelers did nothing to alleviate those feelings. The loss of income to the industry has been estimated at $600 billion. Some in the industry have referred to the subsequent 10 years as the ‘lost decade’. The US tourism industry has only recently recovered.

Recently, things have been looking much better for incoming tourism, however 2017 has the potential to be a disaster.

Firstly the strength of the US Dollar, while wonderful for those of us here who want to travel overseas, is a big problem for inbound tourism. Suddenly it’s expensive for most inbound travelers no matter how attractive our destinations and how welcoming our inhabitants. In fact, currency markets are volatile and are affected by many things – interest rates, global politics to name but two. Perception outside the US is that things are more expensive here than they used to be, but that doesn’t really dampen tourism plans too much. It’s a ‘swings and roundabouts’ thing. While writing this, the Chinese Yen has strengthened against the Dollar making it more attractive for the tourists who are spending more on traveling than any other nation. Who knows what the announcement of a British election, the results of the French election or dozens of other local events will have.

The main drivers of people’s decisions about where they take their vacations in any one year are based on simple human emotions. I can’t tell you the number of fellow Americans who’ve asked me (born a Englishman and a European) if I think it’s safe for them to travel to London following the Westminster Bridge terrorist incident, or if Paris, Amsterdam or Stockholm are dangerous. As a life long traveler my answer is yes, of course it’s safe. You’re more likely to be injured in your own kitchen than involved in a terrorist attack. But that doesn’t satisfy the average US traveler. I may not agree with their rationalization, but I do understand it.

So, traveling in the other direction – into the USA – what are the worries of potential leisure travelers?

Without doubt if it’s on the ‘bucket list’ of someone from overseas to visit the Grand Canyon, go shopping in New York, eat in New Orleans or drink wine in Napa Valley then that’s something they will still want to do. They just may not do it right now if their gut instinct is telling them this may not be The Year.

In the dim and distant past we could only judge intentions to travel by looking at actual bookings, or cancellations. The Industry would rely on the buzz from call centers or apocryphal information coming from travel clerks. These days we can see at an instant what people are looking at and what is turning that looking into booking.

Since the beginning of the year we are seeing distinct patterns in what people are looking for and that gives a pretty good indication of what will eventually happen. It does seem that travelers from many destinations are thinking seriously about reviewing their plans to come to the USA.
Obviously the proposed travel bans that came out early in the year would impact potential travelers from the countries affected directly, and indeed bookings from the Middle East fell by around 30% in February. The strength of the Dollar at the time may also have been a contributing factor.

According to Marriott, the largest hotel chain, bookings from Mexico are down 15%. Given the political rhetoric regarding US/Mexican relations that’s understandable too.

What’s not so understandable, particularly for a great number of US Citizens is why bookings and intention to book, from Canada, Europe and Asia are also way down.

Their perception appears to be that the United States is no longer a welcoming place

The travel bans are not in place and they only affect a limited number of countries, so why would Canadians and Europeans be put off from coming? Why would Chinese or Indian tourists not wish to come?

Again it comes down to perception. Let’s take the UK. I can speak to that nation having been born, grown up and spent most of my adult life there. The US is seen by most Brits as a bastion of democracy with legal system developed largely from the English model. The two nations share much history and struggles. They also share a common language – pretty much. However, many Britons are second, third or fourth generation immigrants from counties of the Commonwealth. They have names and religions from those countries and may have visited family traditional homes many times. Their worry is they will be subject to intense vetting, and may be turned back. The news that Mohammad Ali’s son – a US Citizen sharing the name of his US Hero father, has been twice detained in the US while traveling just because of his name and religion, has done the rounds of the UK media. That not unnaturally has an effect.

Although there is a Special Relationship between the US and UK, it’s been rumored that incoming travelers may be asked to hand over their cell phones and social media passwords for examination. Even if that’s not the case, many Britons are thinking that this may not be the year to travel, just to be on the safe side.

From a Florida perspective, we’ve seen on-line enquiries for travel from UK to Florida destinations reduce by between 12% and 60%. Britain is the second largest market (after Canada) for travelers to Florida. Places like Miami, Orlando, St. Pete and Fort Lauderdale are down close to 60%. The phrase ‘bookings are falling off a cliff’ has been used.

What does this mean for Northwest Florida, a region where international leisure travelers account for only 1% of the total visitors? It would appear to be a potential knock-on effect where destinations that have significant numbers of internationals will try to replace the lost tourists with domestic travelers. The marketing budgets of places like Orlando and Miami not to mention New York, Los Vegas and the whole of California are way in excess of those of Destin or Panama City Beach. To those destinations, filling an hotel room with a shorter staying, spending less domestic tourist is better than leaving it empty. They will do anything and everything to entice those travelers away from NWFL.

What to do?

It may be too late for this year. Those internationals have probably decided that 2017 is not the year to Visit USA. Some other destination is going to benefit from their Yen, Rupees, Pounds, Euros, Canadian and Aussie Dollars. But next year it’s all to play for. We have to get the message out that although the USA is prudent in who it admits, the country is still welcoming, friendly and open for business. We have destinations that are incomparable with other countries and a population who are welcoming and friendly. We must stress the emotions shown in a Brand USA video of a few years ago, which you can see here. https://www.facebook.com/OwenOrganization/posts/1318630581555982

Recently, things have been looking much better for incoming tourism, however 2017 has the potential to be a disaster.

So, traveling in the other direction – into the USA – what are the worries of potential leisure travelers?

Since the beginning of the year we are seeing distinct patterns in what people are looking for and that gives a pretty good indication of what will eventually happen. It does seem that travelers from many destinations are thinking seriously about plans to come to the USA.
Obviously the proposed travel bans that came out early in the year would affect potential travelers from the countries affected directly, and indeed bookings from the Middle East fell by around 30% in February. The strength of the Dollar at the time may also have been a contributing factor.

According to Marriott, the largest hotel chain, bookings from Mexico are down 15%. Given the political rhetoric regarding US/Mexican relations that’s understandable too.

What’s not so understandable, particularly for a great number of US Citizens is why bookings and intention to book, from Canada, Europe and Asia are also way down.

Their perception appears to be that the United States is no longer a welcoming place

Again it comes down to perception. Let’s take the UK. I can speak to that nation having been born, grown up and spent most of my adult life there. The US is seen by most Brits as a bastion of democracy with legal system developed pretty much from the English model. The two nations share much history and struggles. They also share a common language – pretty much. However, many Britons are second, third or fourth generation immigrants from counties of the Commonwealth. They have names and religions from those countries and may have visited family traditional homes many times. Their worry is they will be subject to intense vetting, and may be turned back. The news that Mohammad Ali’s son – a US Citizen sharing the name of his US Hero father, has been twice detained in the US while traveling just because of his name and religion, has done the rounds of the UK media. That not unnaturally has an effect.

From a Florida perspective, we seen on-line enquiries for travel from UK to Florida destinations reduce by between 12% and 60%. Britain is the second largest market (after Canada) for travelers to Florida. Places like Miami, Orlando, St. Pete and Fort Lauderdale are down close to 60%. The phrase ‘bookings are falling off a cliff’ has been used.

What does this mean for a Northwest Florida, a region where international leisure travelers account for only 1% of the total visitors? It would appear to be a potential knock-on effect where destinations that have significant numbers of internationals will try to replace the lost tourists with domestic travelers. The marketing budgets of places like Orlando and Miami not to mention New York, Los Vegas and the whole of California are way in excess of those of Destin or Panama City Beach. To those destinations filling an hotel room with a shorter staying, spending less domestic tourist is better than leaving it empty. They will do anything and everything to entice those travelers away from NWFL.

What to do?

In regions like Northwest Florida, we have to step up our game in attracting new domestic markets, and stay on track with long term plans for International guests. After all, NWFL is The Deep South, known for its charm, good manners and welcoming locals.

Tourism is and always has been at the whim of changes to the global scene. It’s success is due to it’s ability to change direction and adapt. As long as we’re aware of trends and move fast we can still welcome our guests in increasing numbers.

But it’s not all gloom. One country is showing huge increasing interest in visiting the USA. Searches for flights to the USA have surged 60% since January – from Russia!

Na Zdorovie!

Empty beach, storm clouds on the horizon?

Lodging Leaders Podcast.

I recently had the opportunity to participate in a podcast called Lodging Leaders with Jonathan Albano.

Lodging Leaders brings together the best and brightest minds of the hotel industry to share their stories, insights and actionable advice. Each week, LodgingMetrics.com founder and entrepreneur Jon Albano interviews inspiring hoteliers and leading industry professionals that have produced amazing results.

You can hear the full interview HERE

You can subscribe to the podcast on iTunes HERE or on Stitcher HERE.

March Newsletter

For those not on our mailing list, here’s the March newsletter!

Last month, we discussed how some politicians in Tallahassee, the Florida State capital, were playing politics with the future of Visit Florida, the State’s destination marketing organization. That fight isn’t over as we’ll report.

This month other politicians both here in the USA and in other parts of the world are having influences on tourism in ways they cannot predict.

Good news however is that Culinary Tourism is booming. Read on….

Political shenanigans

The move by Speaker Corcoran to de-fund Visit Florida continues, although he has indicated that he no longer wants to close the organization down, merely to limit its ability to operate and drastically reduce its budget. Governor Scott is fiercely fighting this along with the Tourism Industry and it would appear, members of the Senate. The fight is not over and if you’re involved in the industry in Florida, I urge you to a) contact your representatives to support Visit Florida and b) attend Tourism Day in Tallahassee this month to lobby in person. Please contact me if you need details of how to attend Tourism Day.

In what promises to be a difficult year for international tourism, further obstacles are being dreamt up by politicians on either side of the Atlantic.

The strong US dollar has the potential for discouraging European tourists in particular from visiting the USA this year. Some of those European economies are not strong currently and the USA could be expensive for them.

We now have the three year-old dispute between the EU and the USA over visas. The EU parliament consider that the countries of the community should be considered as one (that has resulted in the UK wanting ‘out’ with their Brexit vote), although the US still recognizes individual states. The US has refused to allow some EU states access to the Visa Waiver Program which allows visa free travel into the US. Poland, Croatia, Bulgaria, Romania and Cyprus don’t meet the US security requirements. The EU has said that either the US accept these countries or all US Citizens will require visas to visit any EU country.

This is an old dispute and has now reached the ‘Who blinks first’ stage. Despite the strong dollar which makes overseas travel attractive, American tourists would be very discouraged if they were required to get a visa. Europe needs those US dollars after a lackluster 2016 tourist season following terrorist attacks, and although advance demand has been strong, it wouldn’t take much to scupper that.

Traveling the other way – east to west – is also potentially threatened. I mentioned the strength of the dollar being a hazard, but what has been called the ‘Trump Effect’ is apparently causing a softening of travel demand. I’m not making any political points, just reporting on figures coming from sources in the tourism industry.

It appears that first announcements of a travel ban had a detrimental effect on European tourists plans to visit the US. I’ve been asked why, say, a German tourist would feel threatened by a ban on travelers from certain middle east countries. I can’t answer that easily, but believe me they are worried. Even the UK tourists who believe they are part of a ‘special relationship’ with the US, are as a group being cautious. Suffice to say that enquiries for flights to the US are down an average of 22%. Tourism research firms are projecting a loss of 6.3 million visitors ($10.8 billion in lost revenue). The tourism board of New York City has predicted that 300,000 fewer tourists will visit than did in 2016. Previously New York was predicting an increase of 400,000. Philadelphia has already lost one conference worth an estimated $7m as a result of the proposed travel ban.

Even the Canadian market is seeing a drop in the number of tourists intending to travel below the 49th.

That’s International tourism of course and it’s been suggested that it won’t affect US destinations that don’t cater for Internationals (like Northwest Florida, where only 1% of tourists are from outside the US). That may be true, but of course the markets that attract overseas travelers are hardly likely to sit and do nothing. They will want to find domestic tourists to replace the foreigners and they are not averse to creating marketing campaigns and making offers to lure those domestic guests away from places like the Northern Gulf Coast.

As the old Chinese curse says “May you live in interesting times”.

It’s not all bad news though…..

95% of travelers have said that they engage in unique and memorable food or beverage experiences while traveling, according to the World Food Travel Association ( I guess that they would say that!). Another research organization, Destination Analysts, claim that 50.7% of Millennials won’t visit a destination that doesn’t have good restaurants – although they don’t define what makes a good restaurant.

Before you state that Millennials are just children, remember that the first Millennials turn 35 this year! Also important is that the Centennial Generation (Generation Z or ‘Post Millennials’) are now just beginning to enter the workforce, so are beginning to effect the market.

Certainly the younger generations are having a strong influence on their parents and grandparents when it comes to food. A recent report by the HAAS Center (part of the University of West Florida) was created to examine tourism trends in Okaloosa County (home to Destin, Fort Walton Beach and Okaloosa Island). They found that although tourist spending in restaurants in the county increased in 2015 more than 15% over 2011, its revenue per seat had grown only 12%, where peer and competing counties had grown by 28%. The competing counties are where most (but certainly not all) of the new and more creative restaurants are found. Interestingly, the area has seen an increase in the number of up-scale grocery stores (Whole Food Market, Fresh Market and Publix). Whereas in 2011 tourists spent twice as much in restaurants as they did in grocery stores, it’s likely that 2016 will see tourists spend more in grocery stores than in restaurants for the first time.

The take away (sorry!) is that those tourists are seeking culinary experiences, and finding them.

Which brings me to the really good news for my home area. I recently attended the Florida Restaurant and Lodging Association’s annual awards ceremony for the North West Florida region. The display of talent at that event was stunning. The quality of the areas chefs, wait staff and managers was exceptional and their depth of knowledge, experience and creativity was at least a match for more recognized tourist areas. A similar level of expertise was evident in the hotel, resort and accommodation sector.

That Culinary Tourism is growing makes really good news for the industry as a whole. It’s also great for The Northern Gulf Coast of Florida. The Tourism Industry worldwide is going for Culinary Tourism in a big way from the traditional destinations of Europe to the New World and areas like Australasia. Even Costa Rica getting in on the act. Don’t underestimate the Cruise lines either.

Daily News ‘Talking Tourism’ column. Digital is essential, but tourists still want human interaction.

Did you know that just 14 percent of Snapchat users are over 35 years old, where as half of Facebook users are over 35? If you asked what Snapchat is, then I guess you must be nearly as old as I am. The thing is that in tourism the digital world is where everything is happening. It’s been that way for a while and digital, particularly mobile devices, are leading the way. Google has seen a 50 percent increase in travel-related searches over the past year on smartphones — not tablets and laptops, but smartphones.

The younger travelers, millennials and centennials are committed to their phones and their influence on old travelers is very strong. Parents and grandparents are going to the youngsters for advice and research. These groups also love images and video. Instagram is the favorite social media channel for 33 percent of U.S. teenagers compared with only 14 percent for Facebook. YouTube reaches more people between the ages of 18 to 49 than any network TV or cable provider. YouTube reports that interest in travel-related video is up 60 percent in the last couple of years.
What does this mean for tourism?……

To read the rest of the article, click HERE

Sustainable Tourism

Some time ago, I wrote a blog about how I learned to love tourists called, “I’m not a Grockle, I live here.” (You can find it at http://ow.ly/Ps7k308ciuD, if only to find out what a “Grockle” is!). Having grown up in a small, historic country frequently visited by camera-wielding tourists, you quickly learned to embrace, rather than fight, human curiosity.

One of the major factors affecting world tourism in the coming years will be what’s termed “over-tourism.” We’ve seen the 300,000 residents of Iceland struggling with 3 million tourists a year. It’s almost impossible to buy a home in Venice and the city has almost become a tourist theme park. Machu Picchu, the Inca city situated 8,000 feet up in the Peruvian Andes, has been forced to restrict tourist numbers at certain times of the year to avoid destroying the world heritage site.
These are extreme examples, but there is a need to manage tourism. It’s a process called Sustainable Tourism, which aims to ensure that development is a positive experience for locals and tourists while helping to generate future employment and……..

Read the rest of this article at here.

Agri-tourism could be a big winner

When we think tourism here on the northern Gulf Coast, we automatically default to sugar white sand and emerald green water. Why wouldn’t we? We have some of the best beaches in the world. The trouble is the tourists only tend to see the part of our counties that are within two miles of the beach. The effects of tourism spread far inland, though, as many of us involved in the tourism industry live away from the beach and consequently spend income within inland communities. Incidentally, that’s another benefit of tourism that’s not often recognized.

Last year we went on a short road trip to Georgia, to an area north of Atlanta. I wrote about the trip on my blog – http://ow.ly/KgHL3083iem. We took the back roads avoiding as many towns as we could. It was here that what’s termed agritourism was evident. What may not be obvious is that tourists travel for many reasons, and we’ll cover some of these in the future – cultural tourism, ecotourism, heritage, historical and medical tourism to name a few.

There is a current movement to preserve the rural way of life in Florida. Despite the impression that the Sunshine State is the theme park and beach capital of the world, agriculture is vital to Florida. Farm cash receipts from marketing Florida agricultural products in 2012 amounted to $8.22 billion.

Florida has a vibrant agritourism business (http://visitor.visitfloridafarms.com) as does Georgia (http://georgia-agritourism.org), which offer everything from pick-your-own to farm-stays. Many farms we passed in Georgia had signs offering “on farm accommodation.” There also are farm visitor centers, many boasting restaurants, souvenir stores and produce outlets – all activities that generate new income for the rural communities.

Do we promote agritourism here in Northwest Florida? Well, not really.See the rest of the article HERE.

Get ready……

Happy New Year and welcome to 2017!

I’m not one for making resolutions, mostly because I change my mind so much! If you want to change something, better to just to get on with it than wait for some arbitrary date to start. That’s my excuse anyway. Similarly, looking backwards doesn’t help because we can’t change what has past – although as numerous people (apparently) are quoted as saying – if you don’t remember past mistakes, you’re doomed to repeat them!

So, in the interests of progress, let’s look forward.

I’ve read two articles over the end of the year break that I felt were right on point. I’ve attached links to these so you can read them yourself.

The first was by anti-aging & sports medicine pioneer, and futurist, Dr Robert Goldman (http://ow.ly/Akd9307C9Bt). Dr Goldman pointed out some of the changes that society will be subjected to over the next few years. What is most striking is the speed at which these changes will take place. I remember talking to a scientist with British Telcom back in the early ‘90s who said that they knew absolutely what developments would arrive within 5 years; they had a pretty good idea what would happen in the next 10 years but beyond that they were ‘wishing and hoping’! as Dr Goldman suggests we are now in the exponential age, where changes occur at an ever increasing rate. In many cases these changes happen faster than most businesses can adapt. If you read the article you’ll see that many developments will directly affect the Travel and Tourism Industry.

The second piece was by Christopher Elliott in the Washington Post (http://ow.ly/Hrvl307C9Ob). Chris is suggesting that 2017 is the year many people, especially Americans, won’t be traveling on vacation. He cites many reasons and offers suggestions of how as a tourist you can benefit (please go and read it!) but for those of us in the industry there are three main takeaways. That tourist will be looking for alternative accommodations, authenticity and satisfying their needs for instant gratification.

I’ve talked to many travel and tourism professionals over the past year and we’ve discussed the inevitable changes that are happening and I can’t think of anyone who has disagreed. After all, the signs are really clear – very ‘in your face’ as it were. However, many are not willing to accept the speed of changes.

Take ‘alternative accommodation’ – Airbnb in particular. Home sharing has expanded incredibly rapidly. Airbnb are now the largest accommodation provider in the world with over 2.5million homes (incidentally, they own no hotel rooms!) yet most of the vacation rental companies here in Northwest Florida’s Northern Gulf Coast seem to think think they are not a serious threat to their business model.

The past year the 1.5 million guest arrivals to Florida via Airbnb represent 114 percent year-over-year growth. This comes as Floridians increasingly embrace the home sharing platform as an opportunity to earn supplemental income and make ends meet. The Airbnb Florida host community grew 74 percent in 2016 to a total of 32,000 hosts.

Yes, the local industry says, but it’s in cities, not here.
This is the total supplemental income earned by Airbnb hosts in our local counties:

Bay County $4.9 million
Walton County $3.3 million
Okaloosa County $2.9 million
Escambia County $1.8 million
Santa Rosa County $683,000

That’s a total of nearly $13.6 million. True, it’s only 10% of the income from Miami-Dade alone, but its still remarkably significant.

People love the idea of either staying with a local host, or staying in the home of a host which they perceive differently than the relatively anonymous experience of a cookie cutter condo or a ‘standard’ hotel room.

This contributes to the ‘authenticity experience’ that comes from home sharing, boutique hotels and the like.

Chis Elliott also refers to ‘Instant Gratification’. I know I’m always talking about the attitudes of Millennials and younger Boomers but they do have have a seemingly out of proportion effect on our industry. Their behavior appears to affect the other sectors of our audience too. The ubiquity of smartphones and the ability to access information from wherever you are, makes the almost impulse decision to book a vacation all too easy.

You’ve bought things on Amazon. How many times have you been tempted by the ‘people who bought this also bought this’ suggestion?

Think what will happen when someone suggest “How about we go to The Gulf of Mexico next weekend?”. You look at your phone and up pops the local CVB websites – you see what events are happening, and guess what? You can book the Airbnb accommodation right there, and the concert tickets, and the Uber from the airport. Of course there was link to book flights too but you’ll probably want to do that with the airline because you get your miles there – and suddenly Delta Air Lines are offering 1 mile for every $1 you spend with Airbnb if booked through them – oh, and Uber credits too.

We have a change to the whole vacation booking experience, which is not taking 5 or 10 years to develop but is happening as we speak.

Put a note in your calendar to contact me at the end of 2017 and tell me if there have been no changes to your tourism business during the year. To be frank, I don’t think you’d be able to do that by June!

Whatever happens is going to be exciting. The evolution of the world’s biggest industry has always been fascinating and the near future won’t disappoint I’m sure.

Please follow the Owen Organization blog on www.owenorganization.com, sign up for the newsletter and follow us on Facebook at www.facebook.com/OwenOrganization. Lastly, check out the weekly ‘Talking Tourism’ column in the Northwest Florida Daily News every Sunday.

A free gift……

I recently celebrated yet another birthday. They appear to come alarmingly more frequent. As a kid I used to count the birthday cards but now count, with amazement, the number of good wishes I receive via social media. The greetings come from the world over as my friends and family get spread further and further.

In the old days of course, one had to make a great effort of keeping a birthday book, buying a card, the correct value in stamps and remembering to put the card in the mail. These days, thanks to technology, we’re reminded automatically and all it requires is to post ‘Happy Birthday’ and to add an emoji or an imaginative sticker, gif or what have you.

That’s not to deride the process as I for one really (no, honestly, REALLY) like to wish my friends the best on their birthdays and appreciate being able to do so easily and across the world. The technology is a huge help to my memory and I love (thank you Mr Zuckerberg) being able to maintain contact with contacts from school, various workplaces as well as family, wherever they may be.

However I digress from what I intended to write.

I also received messages from a number of businesses that want my business. Starbucks for example. I’m a gift card spending , app using, loyalty card carrying Starbucks follower and of course they have my birthdate. So I get the message offering a free coffee. I know that this is an automatic system that just pings off the email, and I know that the free coffee costs virtually nothing. I also recognize that I probably won’t even claim my gift. But it makes me feel good none the less. My ego thinks they really care, even if my marketing brain knows different.

So, tourism people, when that client registered on your website did you collect the birthday information? More to the point, when that traveler made a booking six months out from their travel date did you contact them during those months other than to send them a balance invoice?

Back in the 70s and 80s the travel agency I worked in used to make a calendar entry for all their clients bookings and regularly sent out postcards to the clients saying ‘only two months to your trip’, or ‘are you packing yet?’. We even considered sending postcards from their destination to keep the excitement going. It was a chore, delegated to the office junior, but mighty effective. We also sent out cards after the vacation asking how the trip had been, and later reminding them that as six months had past, they needed another break! The customers loved it and kept coming back.

These days all that information is easy to collect automatically (no need for the office junior!) and scheduling the emails, FB messages etc., requires little or no work. Cheap too – no postcards, stamps, addresses to look up or trips to the mail.

My free birthday gift to all of you in travel and tourism is to make use of your databases. Send out messages reminding people about their forthcoming vacation, thank them for their past trip (no, not the customer satisfaction survey, but a genuine ‘thanks for visiting and we want you back’ message), or even a ‘we’re missing you’ email.

For DMOs, when your collecting likes on Facebook, or addresses in your database, follow up with a message asking if they’ve booked? Send them Holiday Greetings – personalized of course – from The Sunshine State, The Red Fish Coast or wherever you are.

Yes, it’s corny. Yes, the customer knows it’s automatic. But they also, deep inside, appreciate it.

It’s like thanking them for their good review of TripAdvisor. It shows you’re listening and that, behind the technology, you do actually care.

Oh, and in case missed it – Happy Birthday!

Culturally speaking……

Many people suggest that Sir Winston Churchill said ‘England and America are two countries separated by a common language’. Most sources agree that it was actually George Bernard Shaw who said it first, although Churchill probably either repeated it, or said something similar. Whatever, bringing Sir Winston into the story helps me later in this blog, so stick with me!

The fact that ‘English English’ and ‘US English’ share many common words and phrases that have subtle (and not so subtle) differences in meaning and spelling, should give anyone in the travel, tourism and hospitality industries pause for reflection. If you’re reacting to a guest from somewhere else, then be mighty careful what you say, how you say it, and how it’s interpreted.

There are the obvious differences most of us in these industries know about – elevator/lift, sidewalk/pavement etc., but what about the more subtle variations? To a Brit the floor of a building at street level is referred to as the Ground Floor, to an American – First Floor. Consequently the American’s first floor is the Briton’s second floor and so on. When the Englishman requests a room on the first floor, don’t tell him he can sleep in reception!

Taking a laundry order? To an American they’re pants, but to a Briton they’re trousers. The Britain’s pants are the American’s (under) shorts. Vest? Another mix up. Braces/suspenders – a whole new can of worms.

Even within the USA there’s a cultural and regional mixup between soda/pop, median/neutral ground (the Englishman’s Central Reservation!) and many others.

…and those are just cultural differences between folks who suposedly speak the same language. Differences of which the hospitality or tourism professional needs to be aware. Just imagine what could happen with people who speak totally different languages, or who were taught your common language by a a foreigner, if you get my drift.

Then there are the non-verbal communication issues and the cultural nuances of behavior….

Be careful how you accept a business card given by someone from Japan. Their cultural expectation is that you will receive the card respectfully, study it closely for a few seconds and the either place it in a business card holder or in your wallet. Taking the card and sticking in your pocket, or worse putting on the table without reading it is grossly unacceptable and plain rude.

Personal space? Westerners expects two or three feet around them, but many Asians and Africans are much closer. Many Europeans will kiss on greeting – but be careful as there is a strict code of how many kisses on the cheek you’re entitled to.

Never expose the soles of your feet to a Thai, it’s incredibly disrespectful.

Never sip vodka with a Russian. Vodka should, in Russian culture be ‘downed in one’.

It’s incredibly important that our hospitality and tourism folks are made aware of these cultural nuances if they are ever to encounter a guest from a different country or culture, or indeed if we are going to be tourists elsewhere ourselves.

Even making a assumptions is fraught with danger. Just because someone speaks French doesn’t mean they’re French. A Belgian is not going to be amused to be taken for a Frenchman, any more than Canadians and Americans like being lumped together. Call a Scotsman English (or vice versa) and you’re in for big trouble. Same with Aussies and Kiwis. Oh, and never belittle an Australian sports team – ever!

This whole cultural thing extends to gestures, those little things we do with our hands – thumbs up, OK sign, hang loose and such. Well, although these maybe fine in your culture, they are often incredibly insulting or rude to others. Even the simple ‘come here’ gesture means something REALLY bad in many countries.

It can be in a interesting an often amusing subject, but it stresses that if you’re training hospitality or tourism people they must take cultural differences very seriously. Even if you’re not planning on having a large number of out of area visitors, it takes just one one offended tourists to tell their contacts that ‘we’ behave badly. Even the action of making fun of someone’s accent, or the way they phrase things, indicates an immature grasp of cultural differences.

Now, back to Churchill…..

You’ve seen photos of him doing his V-for Victory two fingered salute, but how many of you (non Britons) have really seen how he did it? First and second finger held up, thumb and remaining fingers curled into the palm and the palm facing the audience.That’s important.

Many non-Britons will indicate ‘I want two of those’ by holding up the same two fingers but with the back of the hand facing towards the audience. A big no-no!

The (probably urban myth) story goes that during the 100 year’s war in the fifteenth century, when the English and the French were constantly at each ether’s throats, there emerged an instrument of mass destruction – the English Long Bowman. So successful were the English Bowmen that at the Battle of Agincourt (1415) the English lost only 400 men compared with 6000 French, despite being outnumbered more than 3 to 1. The French threatened that if they caught an English bowman, they would cut-off the two fingers that they used to draw their bow string. Consequently, it is said, the English bowmen raised a two finger salute in a V sign (not the Churchill version!) to the French showing they still had their fingers.

To this day the British use the V sign in much the same insulting way that Americans use the ‘bird’ single finger! You have been warned…..

If you have any cultural ‘faux pas’ we should be aware of – pass them on.

Sir Winston's V sign — Sir Winston’s V sign

The tip of the day

The Economist recently published an article about tipping in the USA. The main thrust was that we Americans are as confused about tipping as the rest of the world is confused about our tipping habits. It made me remember an incident that happened to me way back……

I’ve been in the travel industry since Methuselah was a boy, and have been fortunate to have traveled to a great many places, including here in the US. On this particular occasion I was the host to a group in a New York restaurant. A great meal, good service and an enjoyable if not spectacular experience. I left a tip of 15%, which would be considered very good in the UK. Imagine my surprise at being approached by the Maitre d’ who asked what had been wrong with the meal. I told him nothing was wrong, it had been a perfectly good evening. I was told in definite terms that I should be tipping at 20-25%.

In Europe, 10% is pretty much the norm. In some places in Scandinavia, and certainly in New Zealand, tipping is considered an insult, and may result in a tirade from the person tipped – just don’t do it!

It’s true that we should be aware that different cultures around the world expect different behaviors and we should be aware of that when traveling. But should we be as guarded traveling in our own country? Surely a tip is a tip, wherever we are in the USA?

I’ll let you read The Economist piece yourself (it’s at http://ow.ly/xStZ303ZhdX). It’s worth a look if only to add to your confusion.

This also let me to consider something that’s been happening here on the Northern Gulf Coast of Florida, particularly the piece known as The Emerald Coast.

The area has traditionally drawn tourists from the whole of the South East, anywhere within a 10-15 hour drive to Destin, Pensacola and Panama City Beach. The tourists tend to peak during the period between Memorial Day and Labor Day – the ’90 Days of Summer’. This, due to schools breaking later and going back earlier, has been reduced to about ‘The 60 Days of Summer’, but that’s another story. Suffice to say, the market is mainly families who drive in. They are traditional in their approach and the families have in the main, been doing the same thing for up to 40 years. Things are changing though…

The shortening and concentration of the family travel period has opened up the rest of the year to new markets – people who can travel without kids, and at short notice. Primarily Millennials and Zoomers (Younger Boomers, Boomers with Zip!). These groups have different requirements than the families. They want experiences, great food, the ability have what they want when they want it – now. They also behave differently. Zoomers tend to have more disposable income, and Millennials tend to do more physically demanding experiences – although those are both very much generalizations.

The local Destination Marketing Organizations (DMOs – Tourist Boards, CVBs etc.) have been consciously aiming their marketing up market. Going after more affluent sector of tourists. Their efforts appear to have worked. For the 30A area (South Walton) this has certainly worked. Their area has been inundated with high spending customers. In fact, let’s face it, they’ve been inundated with all types of customers!

The same appears to be true of all the areas along the Gulf Coast. Tourist Development Tax (Bed Tax) is up across the region, and Okaloosa in the center of the region, appears to have had bigger tax growth than other neighboring DMOs. However, many local restaurants, particularly in the Destin area are complaining that tourists are not spending like they used to. Is this a justifiable view?

I’ve spoken to a number of restauranteurs and to accommodation providers. The later have said that their occupancy has been up, and their ADR (Average Daily Rate) is also up. One hotelier told be he goes out into his parking lot on Memorial Day and checks out the kind of vehicles that are there. He said that this year, there were far fewer trucks and many more upscale SUVs. That would surely show that the income group is probably rising. He also said that on the beach there were far fewer cut-off T-shirts and many more upscale bathing suits. There’s no real science in this approach, but he’s been doing this for many years an he can see a distinct correlation to the amount spent.

Pushing the restauranteurs on if they are actually seeing a decrease or stagnation in the amounts visitors are spending led to a revelation. It’s not the amount of the bill that’s declining, but the amount of the tips.

Tips in Florida generally (in restaurants) have been around 14% for some years. That’s a marked difference from other parts of the US. The North East is closer to 25%. The reason for this is possibly due to the number of overseas guests visiting Orlando, Miami and the other internationally visited areas. Remember that overseas visitors are used to tipping less. Up here in the Panhandle though, tipping has been closer to 20% traditionally. Not too many international guests up here, so what’s going on?

Digging further and doing some research I’ve found that there are other factors in play. It appears that Millennials tend not to tip at the same rate – check out the following articles (http://ow.ly/Xd9u303Zprh. http://ow.ly/26Vo303ZpBs) and try Googling ‘Tipping and Millennials’ and see how much confirmation you get.

It also appears that Zoomers will not just tip at 20% regardless. They modify the tip depending on the service received.

…and it’s not just those groups who are modifying their tipping habits. Locals, family groups and The Military are all reviewingtheir habits, subtly and subconsciously.

It’s not as simple as ‘we’re attracting the wrong people’. It appears we’re attracting the right people, but those visitors are not behaving in the way they used to. Another indicator that the tourism market is changing and it’s changing rapidly.

There’s a tip for you!