StarBulletin.com

Marathon adds to state's bottom line


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POSTED: Wednesday, February 10, 2010

Spending and visitor arrivals for the Honolulu Marathon have remained at a good pace, with participants spending more than $100 million for the fifth year in a row, despite the tourism industry languishing in a cool-down period.

Japanese participants said they spent about $314.60, about 5.5 percent more than the amount they spent in 2008, according to a 2009 economic impact study compiled by Jerry Agrusa, professor of travel industry management at Hawaii Pacific University.

The visitor spending generated about $5.1 million in state taxes. In 2008 it was about $4.2 million in state taxes.

“;The increase in spending by the Japanese runners is believed to be caused by an increase in the value of the yen, which was at a 15-year high versus the U.S. dollar,”; Agrusa said in the report.

Japanese visitors are sought after particularly because numerous studies, including those conducted by the state, show that they typically spend almost $100 more per day than other visitors.

               

     

 

RUNNING THE NUMBERS

        » Total sales generated: $100.1 million

        » Total tax revenue generated: $5.1 million

        » Total runners: 23,469 (14,402 from Japan, 1,327 from the mainland, 704 from other countries)
       

Source: Jerry Agrusa, Hawaii Pacific University professor

       

 

       

“;At a time when tourists from Japan are continuing to decline ... having so many Japanese runners in the Honolulu Marathon accompanied by friends and family members substantially impacts tourism and tax dollars,”; Agrusa said, adding that Japan arrivals have dropped by more than 900,000 in the past decade.

Unlike other state-subsidized events such as the NFL Pro Bowl, the Maui Marathon, the Hawaii International Billfish Tournament and the Ford Ironman World Championships, the Honolulu Marathon is self-supported.

Tourism is expected to recover slowly over the next few years. Last year saw 6.5 million visitors, less than 2008's 6.8 million and far from the state's goal of 7 million visitors.

The marathon is often seen as filling a critical gap for the industry during early December, which usually sees a drop in arrivals before the high arrival season starts for the holidays.

“;I think it's a great event,”; said Keith Vieira, senior vice president of operations for Starwood Hotels & Resorts-Hawaii and French Polynesia. “;I think the Japanese will keep up with their attendance.”;

Vieira pointed out that state arrivals in December did increase. Total December arrivals went up 2.4 percent from the previous year.

The report also said about 56 percent of Japanese participants stated it was their first Honolulu Marathon, and that more than 93 percent of them would return to visit Hawaii for reasons other than to participate in the marathon.

“;To actually draw such a large percentage of first-time visitors, that's key because you know if you can get a customer in the door, the chances of them returning are great,”; said Marsha Wienert, state tourism liaison. “;And to have 93 percent of them wanting to return? That's marvelous. That is our future right there.”;

Wienert said the event draws worldwide attention, and might have been particularly effective this past season due to the many winter storms on the mainland.

“;In a year when we need the business, the pictures from the marathon are transmitted around the world in subzero weather, it comes at a wonderful time,”; Wienert said. “;That climate is shared with potential visitors throughout the world.”;