HTA releases $3.5 million to market travel to isles
Hotel owners and operators from throughout the state have sought emergency marketing funds from the Hawaii Tourism Authority; now, other members of the state's visitor industry are asking the board not to reduce their budgets to make it available.
The HTA met yesterday to discuss amending its 2009 fiscal year budget. The board has been asked by Gov. Linda Lingle, Lt. Gov. James R. "Duke" Aiona Jr. and about 25 hotel owners and operators from around the state to reallocate an additional $10 million of the budget into direct marketing efforts.
Eighteen visitor industry players from various nonprofits, festivals or organizations that represent the interests of Hawaii's arts, culture or the environment submitted testimony asking the HTA not to siphon money from their programs for emergency marketing efforts. Another 15 or so people from throughout the islands verbally testified in support of programs like the Visitor Aloha Society of Hawaii, the airport greeters program and the many other festivals and cultural events which they said are necessary to create a positive visitor experience.
After listening to a few hours of public testimony, the HTA went into a closed-door meeting to consider the administration's request. When the meeting ran long, the board adjourned without a decision so that neighbor island members could catch their planes. The board is expected to revisit the issue in the next few weeks, said HTA Chairman Kelvin Bloom. "We understand that this is a critical issue," he said.
While the board did not make a decision on the administration's request, it did release an additional $3.5 million to the Hawaii Visitors and Convention Bureau to boost winter and spring travel, said HTA Chief Executive Rex Johnson. The money, which will come from unallocated HTA and HVCB funds, will be used in an advertising campaign to target major U.S. market areas that have direct air service, Johnson said.
"Since June, a combination of HTA, HVCB and industry funds will put $17 million into the market place through May of next year," he said.
Meanwhile hoteliers like Mary Charles of Hotel Lanai, and David Carey, president and CEO of Outrigger Enterprises Group will continue to campaign for more marketing funds.
"We are grateful for the $3.5 million that was added to the marketing budget today, in the committee meetings, but it is not enough," Charles said. "We need to find more dollars to put towards marketing."
Charles has recommended that the HTA reduce nonessential programs, cut back on nonessential expenditures and move the monies into direct marketing and co-op programs.
"We could see business drop anywhere from 15 to 25 percent, depending on what the airlines do," Carey said. "The challenge that you face is that the world has now changed from when you first put this budget together."
While it's a good idea to increase the marketing budget, the HTA needs to ensure that bolstering advertising will not severely impact tourism product development or natural resources, said Vincent Shigekuni, vice president of PBR Hawaii.
However, Shigekuni cautioned that if Hawaii is not developed and maintained as a premier destination it will lose its appeal for visitors worldwide.
Over the last several years, the HTA's natural resource, product enrichment and cultural programs have enhanced the visitor experience, improved the condition of the environment and bridged local communities, said Mark R. Fox, director of external affairs for The Nature Conservancy.
"I appreciate the importance of engaging in the necessary marketing to keep visitors coming to Hawaii, particularly during difficult times when they may have other economical travel choices," Fox said. "However, part of keeping visitors coming back and recommending Hawaii to others is ensuring that they get the experience that was marketed to them - a globally unique and healthy natural environment, and a rich and vibrant host culture."