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Hawaii Market Plateaus – Efforts to Enhance Asia and MCI Market Being Developed

March 31, 2014 Destination Hawaii No Comments Email Email

For the first 59 days of the year, we have seen a plateau or leveling off of our 2014 arrivals and expenditures. Here is a summary of facts: 

  • There are 303 fewer air passenger arrivals per day (-1.4%).
  • There are about 219,808 guests in Hawaii on any given day (-1.0%).
  • Everyday our guests spent $43.8 million per day and contributed $4.7 million in state tax revenue (-2.8%).
  • Spent an average of $196.5 per person per day, $3.30 less than in 2013 (-1.6%).
  • Spent an average of $1,944 per person per trip, $16 less than in 2013 (-0.8%).
  • We have seen fewer arrivals from U.S. West and U.S. East. In 2013, 780,000 (59% of visitor market share) visited the Hawaiian Islands compared to 744,627 (58% of market share) in 2014.
  • We have seen a slight increase in arrivals from international markets from 533,803 (41% of visitor market share) in 2013 compared to 551,257 (42% of visitor market share) in 2014.

While our mature U.S. West and U.S. East markets have been declining, a trend we anticipate continuing into the second quarter of the year, the HTA has been focusing on growing arrivals from international markets like Korea, China and Taiwan. Our pivot to further develop international markets will help sustain Hawaii’s tourism economy for the long term. As we move forward with our strategy, we see tremendous potential and are committed to diversifying our global portfolio as well as increasing the Meetings, Conventions, and Incentives (MCI) market segment and first-time visitors.

 

It is important that we offer our visitors greater ease of access to all of our Hawaiian Islands and need to secure additional airlift so that international visitors are able to experience all of the unique attributes of our Hawaiian Islands, beyond Waikiki. We will continue to work towards reestablishing Kona as a second international port of entry, as well as increasing more neighbor island connections during peak international arrival times on Oahu.

 

Our competition will continue to increase and we must be mindful that our visitors can choose a different destination. In order for the Hawaiian Islands to remain a top-of-mind destination, it is important that we continue to offer value to our guests while providing unique experiences and quality service.

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