The Caribbean Tourism Market is experiencing unprecedented levels of growth, but while many Caribbean Islands are celebrating this rebound, T&T will be left out of the celebration as this country recorded one of the weakest performances in the region.
According to the latest report released by the Caribbean Tourism Organisation (CTO), T&T’s sector declined by 2.2 per cent, with significant falls being recorded in cruise ship arrivals, tourist arrivals from European markets as well as significant declines in arrivals from the Caribbean and Latin American markets.
Despite T&T’s performance, the Caribbean region is the only one in the world to record a double digit growth rate in arrivals during the first quarter of 2019.
The CTO estimated a 12.0 per cent upsurge in ]arrivals to the Caribbean as the region bounced back from the devastation caused by the hurricanes of 2017.
Collectively, the Caribbean region recorded approximately 9.1 million international tourist trips between January and March 2019. This increase is equivalent to 12.0 per cent or approximately 970 thousand more trips when compared to the corresponding period of 2018
The report examines the sector specific data for 22 destinations and was released in June.
According to the data, 19 destinations had positive outcomes varying between 2.7 per cent in Barbados and 183.6 per cent in Anguilla.
Dominican Republic and Cuba recorded the largest number of visitors during the quarter, 1.9 million visits and 1.5 million visits, respectively or 4.6 per cent and 4.9 per cent more than the same period a year ago.
Alternatively of the 22 destinations, T&T ranked the third lowest in its sector performance. The group of destinations with the weakest performances was comprised of Haiti (-44.9 per cent) owing to political instability, Bermuda (-4.9 per cent) and T&T (-2.2 per cent).
CEO of The Trinidad Hotels, Restaurants & Tourism Association (THRTA), Brian Frontin isn’t surprised by the results.
“Consistent last three years of data they have complied. T&T as a market has lost over 60,000 tourists from 2015 to present. This is not surprising.
He added that “T&T has stopped promoting any sort of tourism activity on the island in respect to TDC, cancellation of oversees marketing representatives and off course slow rate of which the new tourism entities have been cemented and established.
“In January there was a branding exercise which brought together the public and private sector. From then till now, we have heard nothing.
He reiterated,“for every quarter T&T is not present, another Caribbean destination is gaining a foothold.”
The cruise ship industry is the fastest growing segment of the worldwide leisure travel market. This market has experienced an average passenger growth rate of seven per cent annually since 1980.
According to the report, Caribbean destinations received an estimated 10.7 million cruise visits in the first quarter of 2019.
This record number of cruise visits was an increase of 9.9 per cent or 0.9 million more cruise arrivals when compared to the same period of 2018 which contracted by two per cent
In November 2018, Tourism Minister Randall Mitchell stated that cruise ship arrivals in T&T has increased by approximately 145 per cent. He added that “91,889 passengers visiting the country for the 2018 cruise season, an increase from 37,457 in 2017.”
Despite the minister’s optimism, T&T registered an almost 30 per cent decline in arrivals, one of the largest in the regions.
In absolute numbers, The Bahamas (1.5 million) and Cozumel (1.4 million) dominated cruise arrivals in the region and enjoyed increases of 11.2 per cent and 4.6 per cent, respectively.
While in relative terms, triple-digit growth was recorded in Dominica (768.9 per cent), the British Virgin Islands (703.8 per cent), Bermuda (136.8 per cent) and St Maarten (100.2 per cent).
The report stated fewer cruise arrivals were recorded in destinations which were substituted into the cruise itineraries in early 2018 following hurricanes. Martinique (-33.6 per cent) and T&T (-28.8 per cent) registered most substantial declines.
International arrivals
T&T hinges its bets on Carnival activities to be a phillip for the tourism sector. However, in 2018, the country recorded a 9.5 per cent decrease in tourist arrivals.
In August 2018, Camille Robinson-Regis, Minister of Planning of Development, stated the total visitor arrivals to T&T for the 2018 celebration was 33,873 people, with Trinidad recording 31,877 and Tobago 1,996 for the period under review.
The figure represented a 9.5 per cent decrease or 3,575 less persons arriving in the country for the celebrations.
While figures for the 2019 have yet to be released, judging from the data extrapolated from the CTO’s first quarter results, T&T’s Carnival arrivals may follow last year’s downward trend.
In its first quarter finding, the CTO figures suggest Canadian, American and Latin American visitors seem to be flocking to other Caribbean destinations.
The report cites increased marketing activities especially in the Latin American countries for the success in the other islands.
In March 2019, this country sent a contingent to the International Tourism Bourse (ITB) in Berlin.
According to the THA Chief Secretary Kevlin Charles, “Tobago received overwhelming response and garnered great interest.”
Charles added, “The initiative was aimed at increasing the island’s market share in the European market, as ITB is one of world’s leading travel tourism shows.”
Time will tell whether this initiative will yield any benefits, the CTO report states that in relation to European arrivals only five countries including T&T reported declines. These are:
Cuba (-11.3 per cent)
Dominican Republic (-4.3 per cent)
T&T (-7.9 per cent),
Cayman Islands (-3.4 per cent)
Bermuda (-1.1 per cent)
The remaining destinations’ growth ranged from 0.9 per cent to 18.7 per cent.
Frontin is confident that Tobago will regain its footing with the European market.
“I am confident they will recover lost ground. Tobago has been doing a lot of work. They have been actively pushing plans to cement their position in the market.”
He cited the wedding destination marketing plan as testimony to the island’s push to correcting the misfortunes of the past.
“The first quarter results may not adequately show the winter season cycle will show for Tobago.”
Why are we failing?
The CTO report stated that solid performances were attributed to diversification of products on offer, improved and expanded air connectivity from some markets to the region and greater collaborations with the tour operators and online distribution channels.
So can we get it right?
Frontin says a few things need to change.
He says T&T has to see tourism as a “not supplementary or tangential” but as an “ avenue for diversification and a foreign exchange earner.”
He cites mixed communications and mixed messages amongst key stakeholders as one of the greatest failings in the local sector.
Frontin believes tourism is an important industry and “we need to figure out what we are selling and put necessary infrastructure in place.”
1. The Caribbean region recorded unprecedented levels of growth in the tourism sector, but while most are celebrating we cannot share the fortune. T&T is one of three destinations recording negative growth in the sector, why?
While arrival figures as at March 2019 reflects a 2.2 per cent decline to T&T, this may be attributed to negative travel advisories, the high cost of air travel to T&T from major European and North American source markets, and the return of cruise lines to ports previously affected by the devastating hurricanes in 2017. As at April 2019, there was however a very small increase in arrivals to the destination, which can be attributed to increases in arrivals from major source markets.
2. The report states T&T registered the most substantial declines in cruise ship arrivals despite a boom in arrivals in other sectors, have we lost this market?
While cruise arrivals reflect a decline to T&T, this decline is attributed to the re-deployment and return of ships to destinations and previous ports of call that were affected by the severe hurricane season experienced by the region in 2017. In other words, the “growth” in cruise arrivals that T&T experienced in 2018 was anomalous and occurred as a consequence of the devastation experienced by the other islands during the hurricane season of the previous year.
Further, T&T’s geographical location, being the most southerly of the islands in the Caribbean, has been a hindrance to increasing the number of calls to the destination by reason of the high cost to cruise lines to sail this far away from their home ports.
Both Trinidad and Tobago will continue to negotiate with cruise lines for increased calls to the destination. Cruise lines book their itineraries two to three years in advance and the results of these efforts should be seen in the short term. The Port Authority will produce a final cruise ship schedule for the 2019/2020 in the upcoming months.
3. The report covers the Carnival period, it suggests declines in arrivals, are you anticipating lower Carnival arrivals?
The Central Statistical Office measures Carnival arrivals using the 19-day period leading up to Carnival Tuesday (inclusive of Carnival Tuesday). For the 2010 Carnival season, T&T experienced a five per cent increase in visitor arrivals to the destination.
4. In relation to European arrivals only five countries reported a decrease in arrivals, we are among the five, are these trade shows not paying off?
The agencies with responsibility for marketing and promotion of the destination attend trade shows and the benefits are expected to be realised within a two to three-year period. In March 2019, increases were seen in the following European countries, Italy, Switzerland, Poland, Austria and Portugal.
5. The airlift and room occupancy was cited in the report as contributing factors to the decline what are you doing to improve this?
• Improved marketing of the destination
• Development of innovative packaging options for the destination
• Improved tourism product inclusive of new niche areas
• Collaboration with hoteliers to improve the quality of room offerings
• Promotion of the room upgrade programme to hoteliers to encourage access to the programme
With respect of occupancy, Air B&B is a phenomenon which is disrupting and adversely affecting the traditional accommodation providers.
6. Are you confident the next half will be better?
As at May 2019, there was a very small increase in air arrivals to T&T compared to the same period in 2018. Markets which increased in April 2019 include USA, Canada, Germany, South America, India, Mexico, Brazil, Japan, South Korea, Portugal, Switzerland, Nigeria and China. If this trend continues arrivals for 2019 should surpass 2018 figures.
In addition, T&T will be hosting Carifesta in August 2019 and, to date, 21 countries have registered to participate.
Tourism Minister Responds
Tourism Minister Randall Mitchell addressed some of the issues on the sector raised by the Business Guardian. Following are the questions and his his responses.
1. The Caribbean region recorded unprecedented levels of growth in the tourism sector, but while most are celebrating we cannot share the fortune. T&T is one of three destinations recording negative growth in the sector, why?
While arrival figures as at March 2019 reflects a 2.2 per cent decline to T&T, this may be attributed to negative travel advisories, the high cost of air travel to T&T from major European and North American source markets, and the return of cruise lines to ports previously affected by the devastating hurricanes in 2017. As at April 2019, there was however a very small increase in arrivals to the destination, which can be attributed to increases in arrivals from major source markets.
2. The report states T&T registered the most substantial declines in cruise ship arrivals despite a boom in arrivals in other sectors, have we lost this market?
While cruise arrivals reflect a decline to T&T, this decline is attributed to the re-deployment and return of ships to destinations and previous ports of call that were affected by the severe hurricane season experienced by the region in 2017. In other words, the “growth” in cruise arrivals that T&T experienced in 2018 was anomalous and occurred as a consequence of the devastation experienced by the other islands during the hurricane season of the previous year.
Further, T&T’s geographical location, being the most southerly of the islands in the Caribbean, has been a hindrance to increasing the number of calls to the destination by reason of the high cost to cruise lines to sail this far away from their home ports.
Both Trinidad and Tobago will continue to negotiate with cruise lines for increased calls to the destination. Cruise lines book their itineraries two to three years in advance and the results of these efforts should be seen in the short term. The Port Authority will produce a final cruise ship schedule for the 2019/2020 in the upcoming months.
3. The report covers the Carnival period, it suggests declines in arrivals, are you anticipating lower Carnival arrivals?
The Central Statistical Office measures Carnival arrivals using the 19-day period leading up to Carnival Tuesday (inclusive of Carnival Tuesday). For the 2010 Carnival season, T&T experienced a five per cent increase in visitor arrivals to the destination.
4. In relation to European arrivals only five countries reported a decrease in arrivals, we are among the five, are these trade shows not paying off?
The agencies with responsibility for marketing and promotion of the destination attend trade shows and the benefits are expected to be realised within a two to three-year period. In March 2019, increases were seen in the following European countries, Italy, Switzerland, Poland, Austria and Portugal.
5. The airlift and room occupancy was cited in the report as contributing factors to the decline what are you doing to improve this?
• Improved marketing of the destination
• Development of innovative packaging options for the destination
• Improved tourism product inclusive of new niche areas
• Collaboration with hoteliers to improve the quality of room offerings
• Promotion of the room upgrade programme to hoteliers to encourage access to the programme
With respect of occupancy, Air B&B is a phenomenon which is disrupting and adversely affecting the traditional accommodation providers.
6. Are you confident the next half will be better?
As at May 2019, there was a very small increase in air arrivals to T&T compared to the same period in 2018. Markets which increased in April 2019 include USA, Canada, Germany, South America, India, Mexico, Brazil, Japan, South Korea, Portugal, Switzerland, Nigeria and China. If this trend continues arrivals for 2019 should surpass 2018 figures.
In addition, T&T will be hosting Carifesta in August 2019 and, to date, 21 countries have registered to participate.