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Tourism 2008

Islamorada, Florida Keys
Above: Islamorada, Florida Keys
European visitors are being bombarded with cheap getaways closer to home. — Gary Sain, president and CEO, Orlando/Orange County Convention & Visitors Bureau
[Photo: Tony Arruza]

Gone are the days when Florida was the obvious vacation spot for visitors looking for a sunny getaway. “Florida now competes against all the states and destinations within those states and Caribbean markets,” says Bud Nocera, president and CEO of Visit Florida, the state’s tourism marketing agency. In Canada, advertisements are flooding the market from Cuba, the Bahamas and Mexico, among others, says Prior Smith, host of Canada Calling, a daily radio program for Canadians visiting Florida.

In the international arena, Florida tourism is helped by the weak dollar, which is at multidecade lows against the Canadian dollar, euro and yen. But European visitors are bombarded with cheap getaways closer to home, including in Italy, Greece, Spain and even Dubai, which is spending $10 million in the United Kingdom alone to attract visitors, says Gary Sain, president and CEO of the Orlando/Orange County Convention & Visitors Bureau. “We’re competing with much more choice, easier choice,” he says.

Florida is fighting the competition by targeting niche markets. Orlando, for example, has hired consulting firms to help the area appeal to Hispanic and African-American visitors. “We recognize the importance of both segments. They are both growing,” says Sain.

Statewide, there’s a focus on promoting Florida’s small towns and downtowns to visitors looking for something beyond theme parks and beaches. Palatka, on the St. Johns River in northeast Florida, is one of many small towns working with both Visit Florida and the Florida Department of State to market its mural project, festivals, railroad museum and outdoor activities. “We consider ourselves the real Florida,” says Palatka Mayor Karl Flagg.

Another focus is the gay, lesbian, bisexual and transgender market. Stephen Murray-Smith, gay-market sales manager for the Florida Keys and Key West, began working with Visit Florida three years ago and helped set up a task force to develop a marketing plan. He says, “We wanted to go slowly and try to make the right moves.” Fort Lauderdale has established itself among the top gay travel destinations. And this year, Visit Florida launched a gay travel website, the first in the nation for a state tourism agency, and a postcard mailer to promote the site. The agency made an appearance at a major gay lifestyle expo in New York and participated in Gay Days in Orlando.

“The GLBT market is an important market to many Florida destinations,” says Nocera, adding, “It also is a market that is very lucrative.” Indeed, gay visitors traveling alone spend an average of $800 while the average for solo heterosexual visitors is $540, according to a December 2006 study by Witeck-Combs Communications in Washington, D.C. Gay visitors traveling with others spend an average of $3,070 compared to $2,870 for heterosexual groups.

Going Green

Dozens of hotels, resorts, inns and guesthouses are now on the waiting list to join the more than 50 lodging establishments that have completed all the steps for certification by the Florida Department of Environmental Protection’s Green Lodging program, which was launched in 2004. But only 24 hoteliers had gone through the program before July, when Gov. Charlie Crist signed an executive order mandating that, as of Jan. 1, 2008, all state agencies and departments hold outside meetings and conferences at hotels and convention centers with the Green Lodging certification. Now, the DEP is scrambling to certify two or three properties a week. “Right now, we’re keeping up,” says Peter Goren, program director.

Florida Visitors
(2006)
Country
Visitors
Canada 2,100,000
United Kingdom 1,300,000
South America 883,000
Germany 206,000
Japan 70,000
Australia 51,000
Source: Visit Florida
The Green Lodging program has flexible requirements because hotels often must meet franchise rules requiring them to use certain products. Green Lodging emphasizes reducing electric and water bills, recycling plastic bottles, newspapers, cans or other items that get guests as well as staff involved and basic green practices of using compact fluorescent bulbs and green cleaning products.

An early participant in Green Lodging was the Hyatt Regency Coconut Point Resort and Spa in Bonita Springs, which was certified in 2007 and later earned the two-palm designation signifying that it had increased its energy conservation. The Hyatt is now close to receiving its third palm, the top rating, says Goren.

Orlando Visitors (in millions)
Year Domestic International Total
2000 39.8 3.7 43.5
2001 37.7 3.1 40.8
2002 40.6 2.4 43.0
2003 42.7 2.3 45.0
2004 45.2 2.6 47.7
2005 46.6 2.7 49.3
2006 45.1 2.7 47.8
2007* 46.1 2.8 48.9
2008* 47.7 2.9 50.6
*Projections
Source: Orlando Convention and Visitors Bureau, using data from Global Insight, August 2007

The Trends

? 2% to 3% growth in the number of visitors statewide
? Solid growth in hotel properties on the land side of the Intracoastal Waterway
? Focus in Orlando on adding more corporate and incentive travel shows and medical events
? Continued industry support to expand the federal government’s visa waiver program, making it easier for international tourists to enter Florida
? State’s first national television advertising campaign, called “Shine,” emphasizing the glow that visitors get from visiting Florida and being in the sun with family and friends

Shortage

Gas PumpWhat will higher gasoline prices mean for Florida tourism? Not a lot if you believe tourism officials who argue that instead of giving up their vacation, visitors may choose a shorter stay or less expensive lodging. But fuel prices may have an impact beyond the gas pumps. Carnival Corp. announced in November that it would add a fuel charge of $5 per guest per day up to $70 per person total on its North American branded ships. And if the availability of gasoline becomes uncertain, all bets are off. Says Bud Nocera, president and CEO of Visit Florida: “If we were having an issue of supply, I would be much more concerned.”