| Tourist visits increased in first quarter of 2010 | | Print | |
| Thursday, 01 July 2010 11:43 | |||
 More tourists visited the Turks and Caicos Islands during the first three months of this year compared to the same period in 2009, but last year was considered by most to be one of the most difficult years in recent history, hoteliers point out. “The destination continues to be a top vacation getaway among long-stay and cruise ship passengers,” said Ralph Higgs, director of tourism for the Turks and Caicos Tourist Board. “We expect these numbers to continue to climb modestly throughout the rest of the year.” Most tourists came from the United States — two thirds of all 84,000 long-stay arrivals, but many more Canadians visiting during the first quarter, thanks to affordable new direct service from Toronto by WestJet. The Turks and Caicos Hotel and Tourism Association (TCHTA) was not nearly as optimistic as Higgs. “The general consensus is that although we have enjoyed occupancy increases in the first quarter, the average daily rates are down dramatically,” said TCHTA President Karen Whitt. “We are also experiencing a drop in arrivals for the second quarter and are very worried about the balance of the summer and fall.” She pointed out that long-stay tourists can include condo owners and their guests stays, who don’t generate revenue for hotels and resorts. Neither do the 178,196 cruise ship passengers that came to Grand Turk during the first quarter — a 24 percent increase over last year. The TCHTA continues to lament the lack of Tourism Board spending on destination marketing. “The TCHTA has been doing as much as we can to promote the destination; however, this is not a sustainable alternative,” Whitt said. “Wholesalers are telling us that other Caribbean regions are taking our business. Airline prices remain the highest in the Caribbean, and we are slowly disappearing off the international radar.” Mark Durliat, CEO of Grace Bay Resorts which manages the Grace Bay Club and the Veranda, was encouraged by the numbers, but remains very cautious about the suggestion that all is well for hoteliers. “I should say that we remain very optimistic for tourism in this destination over the longer term, and we believe tourist arrivals will continue to grow as newer hotels establish their position in the marketplace (Veranda, Gansevoort, Seven Stars), and new markets are developed through the collective marketing efforts by all hotels in the TCI,” he said. “This assumes that aggressive marketing of the destination by the Tourism Board is reinstituted. This is unfortunately not occurring at the present time.” While Grace Bay Club revenues were up in the first quarter of this year, they were about the same as the first quarter of 2008, Durliat said. But he expects a slower summer that could easily wipe out those gains. “In 2009 dramatic market challenges required all hoteliers to adjust their frame of reference substantially,” he said. “Results achieved in 2008 are no longer accepted as the norm, and substantial adjustments have been necessary in the industry to maintain guest traffic and competitive positioning in the region.” “It should be noted that despite the growth, most if not all resorts in the TCI still have to offer special value added packages that entice business (extra nights complimentary, special additional complimentary amenities, etc). This is expected to continue through 2010. This type of incentive marketing has the effect of forcing down our profit margins down considerably.” Hotels and resorts are still awaiting word from the governor on a report that was prepared months ago by a special Tourism Working Group which recommended creation of a new Tourism Authority.
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