Presentation Transcript

1. Caribbean Tourism & the Global MarketTowards increased linkages & competitiveness

   Presented by: Scott Wayne, President SW Associates – Sustainable Development through Tourism Investment Climate
2. Agenda Global Tourism Overview & Trends Caribbean Tourism Overview & Trends Opportunities & Challenges Examples in and beyond the Caribbean Next Steps & Key Questions
3. TRAVEL & TOURISM INDUSTRY Accommodation, recreation, catering, entertainment, transportation, and other related services Tourism is Everybody’s Business! It is among the top five industries. But this is not widely understood! TRAVEL & TOURISM ECONOMY Printing/Publishing,concrete, utilities, financial services, furnishing & equipment suppliers, foods, security, administration, ship building, beverage supply, iron/steel, aircraft manufacturing,wood, mining, chemicals, textiles, oil/gas suppliers, plastics, sanitation services, metal products, computers, resort development, wholesalers, rental car manufacturing, laundry services. Investment Climate
4. Tourism is Everybody’s Business
5. Laundry services & supplies Accounting services Architectural & Construction services Electrician & supplies Florist IT equipment, training & services Office supplies Local beverages Lighting supplier Local produce Cleaning supplies & services Local poultry Local crafts Furniture makers Local meat & fish Flooring supplier
6. People in Tourism - Jobs
7. Opportunities for Linkages? What are the opportunities for linkages in your areas of expertise?
8. Global Tourism Overview UNWTO forecasting 3-4% increase in arrivals for 2012 1 billion international tourists in 2012 More than US$1 trillion in international tourism receipts More than US$2 trillion in direct GDP, +5% 98 mn jobs = 1 in 12 jobs, 6% of direct 30% of global services exports and 6% of all exports Sources: UNWTO/WTTC
9. International Arrivals & Receipts Growth Source: UNWTO
10. Americas 16% of Arrivals & 20% of Receipts Source: UNWTO
11. Top 10 Destinations Source: UNWTO
12. Top International Tourism Spenders (2011) Source: UNWTO
13. Americas Tourism Overview (2010-11) Source: UNWTO
14. Key Global Trends Driving Tourism Growth Brand, product and price important, but more travelers willing to try new destinations and experiences. BRIC country travelers spending more on International travel. Fastest growth among top 50 in arrivals 2010/11: Saudi Arabia (60%), Thailand (20%), Kazakhstan (20%), Finland (14%), Singapore (13%), and South Korea (11%). More destination choices for more travelers. More competition among destinations. Air travel increased 7% and capacity 8% in 2011 Sources: UNWTO/WTTC
15. Caribbean Tourism Statistics International Tourist Arrivals (2011) = 20.9 mn International Tourism Receipts = US$24.5 billion Direct GDP Contribution = US$15 billion Total GDP Contribution = US$47 billion Direct Jobs created = 614,000 = 3.8% $32 billion indirect Sources: UNWTO and WTTC
16. Almost 21 mn arrivals with 75% concentrated in seven destinations Sources: UNWTO/WTTC
17. Caribbean Key Tourism Trends Fastest Growth in Arrivals: Turks & Caicos 26%, Curacao 14%, Cuba and Cayman Islands 7.2%, Grenada 7.1%, Anguilla 6%, and Antigua 5%. OECS Regional Tourism Policy 10 Areas Covered Priorities are: Investment, Tourism Awareness, Research and Statistics, Air Transport, and Marketing. Latin American market to Caribbean growing – 8% growth in air traffic in 2011. Pressure to have distinctive brand and product, but competition is fierce in Caribbean and beyond.
18. Product Competition is fierce!
19. Caribbean Tourism Product Offers Sun and Sand Destination Resorts & Hotels Nature-based Soft adventure Ecotourism Marine activities Cultural/heritage Music and other events Plantation tours Honeymoons & Weddings Cruise ports & yachting
20. Challenges & Opportunities Infrastructure  Transport, accommodations, waste management, energy management. Human resources  Skilled workforce, education system, domestic tourism awareness Marketing & Product  Targeted, well researched marketing based on product offers in demand by segments. Policy & Investment  Public-Private Partnerships, public policy that reduces barriers and invests in tourism, investment incentives. Coordination between government agencies and between countries.
21. Challenges & Opportunities Challenges Opportunities PPPs for airport improvements Cruise strategies Regional Distressed Asset Fund Tap distance learning and voluntourism as interim solutions PPPs for more targeted research Regional Policy & CTO/CHTA Increasing airlift Managing increased cruise arrivals Distressed assets Ongoing need to improve HR quality, education Depends on product offers, targeted research & marketing and HR capacity to deliver Coordination of national and region policy to minimize barriers, maximize benefits
22. Curacao – Room Tax up, Tourism up 367k arrivals in 2009342k 2010390k 2011 Room tax applied to all short term rental properties increased from 5 to 7% beginning of 2010 All room tax revenue used for promoting Curacao. About.com readers vote Curacao #1 2012 2011/10 27% increase in North American Market Increased flights from Europe and Canada as airport modernized Increased targeted marketing to niches such as gay travel and Jewish heritage. New international brand hotels such as Hyatt and Renaissance.
23. Turks & Caicos – Airlift increase, Tourism up 281k arrivals in 2010354k in 2011 Jetblue and Continental increased flights from NY and NJ Direct flts from Nova Scotia to increase 2012 arrivals High end catering to private jets and large yachts No taxes Proximity to US Substantial duty free concessions Increased accessibility Increased investment & development
24. Maldives 792k arrivals in 2010931k in 2011 Well positioned as high end, diving destination International brand properties Stunning beaches Large advertising budget 35% tax on tourism Increased marketing to China56%+ Cooperation w/Sri Lanka & Seychelles regional marketing All visas removed for tourists
25. Mauritius 935k arrivals in 2010965k in 2011 Receipts jumped from US$1 bn to $1.4 bn. Beautiful beaches and diving Romance segment International brands At US$1567, on a par with highest yielding Caribbean destinations. $395mn stimulus package by Min Finance Aggressive marketing Regional cooperation
26. Seychelles 175k in 2010194k in 2011 Receipts from $274 mn in 2010 to $291 mn in 2011. Well represented in UK Royal honeymoon destination Strong romance destination 97%+ from China Increase in flights on Qatar and Emirates Visa requirements removed for all tourists. Affordable Seychelles Campaign
27. Next Steps and Key Questions
28. OECS Regional Policy Recommendations Competitive analysis of region’s tourism, focusing on increase investment to OECS region Regional Tourism Awareness campaign implemented nationally in OECS Member States Joint representation at major trade shows Airlift capacity assessment of needs to guide OECS Member States’ efforts Tourism Satellite Accounts (TSAs) in OECS Member States Improving the ED cards used in Member States with a view to adopting a standardized and more visitor-friendly card
29. Strategic Framework for Tourism Competitiveness Building on St Lucia Tourism Policy, Work Programme, Strategy and Vision Plan Benchmarking for Competitiveness and Strategic Tourism Investments Value-chain based – Quality and Pricing of Tours, Food & Beverages, Flights and Customer Service World Economic Forum Tourism Competitiveness Index 14 Pillars Tourism Satellite Account Market-oriented rankings
30. Competitiveness Framework
31. Key Questions What policy “levers” need to be pulled to increase competitiveness and reduce barriers to growth and investment? What roles can other sectors play in maximizing the growth potential and opportunities of tourism? Taxes, airlift subsidies, tax holidays…How much is too much?