Tourism up despite declines on Big Island

Hawaii’s visitor industry realized statewide growth in visitor arrivals and spending despite September decreases on the Big Island.

Visitor spending in the state reached $1.28 billion, a more than 6 percent gain from September 2017, according to preliminary statistics released Tuesday by the Hawaii Tourism Authority. September visitor arrivals rose almost 4 percent year over year to 724,863.

Jack Richards, president and CEO of Pleasant Holidays, said, “Hawaii’s tourism market performed much better than I expected given the hurricanes that we experienced in the later part of August and early September.”

Richards said the overall monthly visitor gains were helped by the 10 percent year-over-year rise in trans-Pacific air seats to 1,020,217. Consumer confidence also played a role.

Some markets performed better than others. There were more arrivals from the East and West Coasts of the United States, as well as from foreign markets not including Japan and Canada. But there was a decline in arrivals and spending from Japan, and while spending from Canada remained flat, arrivals from Canada dropped.

Duke Ah Moo, vice president and commercial director for Hilton Hotels in Hawaii, said September “was another strong month for Hilton’s hotels and resorts in Hawaii, despite any disruption from Tropical Storm Olivia and Typhoon Jebi in Japan” and there is “solid demand and appeal for travel to the Hawaiian Islands.”

In September, Oahu and Maui posted arrival gains. Maui saw an increase in visitor arrivals, but spending was flat.

Jeff Perkins, general manager at the Queen Kapiolani Hotel, which hosted its grand reopening last week after a yearlong $35 million renovation, said, “We are not surprised to learn a robust tourism market continues to thrive on Oahu.”

“The continued investment in hotel room inventory beyond Kalakaua Avenue, along with the authentic lifestyle experiences offered by boutique properties — such as Queen Kapiolani Hotel, which is located on the quiet, Diamond Head side of Waikiki — means visitors are motivated to travel to Oahu outside peak season, which is an incredible boost to our local economy,” Perkins said.

However, Hawaii island experienced a 14 percent drop in both visitor arrivals and spending. The eruption hiatus at Kilauea is continuing, and Hurricane Lane and Tropical Storm Olivia weren’t as menacing as forecast, but canceled flights from these events hurt the Big Isle.

“The Big Island is very sluggish for us through the remainder of the year,” Richards said. “Right now, they are undergoing a change in leadership at the HTA. As soon as that gets worked out, they need to get into the market and tell the story for the Big Island. The reopening of Volcano House and the resumption of air tours need to get out into the public domain.”

HTA president and CEO George Szigeti’s employment contract was terminated earlier this year and his last day is today . The HTA board has offered the position to a candidate, but has yet to announce its selection. The agency also is expected to soon name a new chief administrative officer and chief marketing officer, positions that have been vacant since spring.

In the meantime, while HTA’s top-three positions are vacant, responsibility for running the agency falls to HTA Chairman Rick Fried and HTA staff.

HTA’s new leadership comes onboard as a protracted hotel strike on Oahu and Maui have created new challenges for the state’s visitor industry.

“I’m anxious to get out of 2018. We’ve had our fair share of worries,” Richards said.

Still, it’s been a pretty solid year for tourism. During the first nine months of this year, visitors across the state spent $13.6 billion, a nearly 10 percent gain from the first three quarters of 2017. Through September visitor arrivals rose nearly 7 percent to nearly 7.5 million.