Friday, June 16, 2006

Creative marketing strategies by the Department of Tourism (DOT) are wooing more stay-over visitors to the Cayman Islands, according to stakeholders in the local hospitality sector.

Since Hurricane Ivan hit Grand Cayman in 2004, the number of stay-over visitors dropped massively, forcing the DOT to invest large sums of money into promoting the Islands.

The Government agency, prior to the hurricane, was faced with a situation of dwindling air arrivals as other destinations competed fiercely with Cayman for market share.

Twenty-one months later, the Islands have been seeing a steady growth in that sector with renovation work on hundreds of hotel rooms completed following widespread devastation.

Tourism-related businesses are preparing to cash in on the fortunes to be had from the hike in bookings from visitors, mostly from the United States.  

Water sports and car rental organisations have projected significant increase in revenue, given the high levels of bookings for this summer compared to the pale showing in the same period last year. 

Managing Partner of DiveTech Nancy Easterbrook hailed the hurricane recovery process as an ongoing success story for the dive sector.

"From April (2006) we have equalled the sales of 2004 and that's a positive sign that the recovery process is working," she said.

Ms Easterbrook added that promotions and marketing of summer events have also contributed to the turnaround in fortunes.

"This year has been steady. The summer splash promotion is working and families are taking up the value packs," she said.

At the start of the year, Tourism Minister Hon Charles Clifford forecasted that 2006 would be an "excellent" one for local stakeholders who struggled to pick up the pieces in the storm's aftermath.

"All around I think we're poised for a very positive growth in 2006 and we expect the numbers to be excellent," he told Cayman Net News in a previous interview.

Mr Clifford said the contributing factors to the upswing in stay-over visitors were creative marketing strategies and improvements to the products and services.

He added that the return to normalcy of most hotels and the heightened confidence in the business climate in the Cayman Islands also assist the local industry. 

Manager at the Hard Rock CafŽ Annick Pasquali said the restaurant and bar sector have started experiencing better days.

"Last winter was the best we have had since our opening and we expect this summer to bring us back to pre-Ivan," she said.

Ms Pasquali said that from November her popular entertainment establishment has seen improving levels in clientele. 

"Last summer wasn't too bad but it was only until November we began seeing business getting back to the period before Ivan," she said.  

And she echoed Mr Clifford's claim that the availability of hotel rooms is playing a major part in increasing stay-over numbers.

"All this is connected to the number of available rooms on the Islands. This has been making a big difference," she said.

One area in the hospitality sector, which is a good gauge for the stay-over visitor market, is the car rental business in Grand Cayman.

While management personnel at the Island's leading hotels were unavailable for comment on how their summer bookings were shaping up, however, car rental companies had a lot to say.

Four rental companies interviewed by Net News said that they expected better returns this summer compared to last year's, but it was a far cry from the spoils of the pre-Hurricane Ivan area. 

At Budget Rent-a-Car, an official said, "it's a little better than last year but much worse than before Hurricane Ivan."

For Andy's Rent-a-Car, there is an increase "like about the mid-range" and numbers significantly higher than the 2005 summer.

Similar sentiments were expressed by officials at Hertz Rent-a-Car who claimed that they are doing better than last summer.

Management at Economy Car Rental said it was too early to count the cost, as summer business would be gauged by bookings in July.   

Statistics provided by the DOT back both the public and private sector claim that the Island is making progress in the area of stay-over visitors, which are dwarfed by cruise guests.

According to the DOT, 28,403 air arrivals came to Cayman during the January-April 2006 period compared to 15,423 for the same quarter.

As compared to the first quarter of 2004 (before Hurricane Ivan), the Islands hosted 33,903 air arrivals - mostly stay-over tourists.

paul@caymannetnews.com

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