Tourism Up, Still Behind Banner Years

Aloha Kakou:

While 2010's visitor arrivals and spending topped that of 2009, those metrics were so low in 2009 that it seemed we had nowhere to go but up. And 2010's increases over 2009 were not significant.

Please see the comments below from some of Hawaii's leaders as quoted in today's Star Advertiser:

"2010 finished ahead of the prior year and ahead of our expectations, but you have to take into account that it's being measured against 2009, when we fell into a very deep hole," said Barry Wallace, vice president of hospitality services for Outrigger Enterprises.

Profitability for the hotel sector is at least another three to five years out, said Jerry Gibson, Hilton Hawaii's area vice president. "We are coming off of 2010 with higher occupancies, but rates are still about a decade behind where they need to be," Gibson said.

Rising oil prices, which are at $90 a barrel, also could play havoc with visitor industry profitability, said Jack Richards, president and chief executive officer for Pleasant Holidays LLC, Hawaii's largest wholesaler.

"It's the wild card," Richards said. "If consumers have to pay more for long-haul travel, hotels, wholesalers and other travel sellers will have to work harder to drive demand."

http://www.staradvertiser.com/business/20110127_hawaii_experiences_a_refreshing_turnaround_for_tourism.html