Travel writers give good advice to tourism

THE ISSUE Rising oil prices and a shaky economy have caused Hawaii's tourism industry to plummet.

WITH airfares rising and the nation's economy in a slump, Hawaii's visitor industry faces a bleak period that could last much longer than the slump following the 9/11 terrorist attacks on America. While the economy will rebound at some point, high oil prices will make airfares steep for the foreseeable future. Strategies to bolster tourism must take that into account.

Hawaii hotels were only 69 percent full in June, down 7 percent from the same month last year, reflected in a 14 percent decline in visitors entering the state. The Federal Reserve Board reports shorter trip durations across the country, creating more activity in mountain areas near cities but noticeably declining in Hawaii, despite the economic stimulus checks.

U.S. airlines expect to lose up to $13 billion in revenue this year and will continue to raise ticket prices, cut capacity and charge extra fees for luggage, meals and pillows. Forty percent of a ticket price now goes to fuel, compared with 15 percent eight years ago.

Some participants in a two-day state tourism conference suggested that the industry concentrate on potential travelers who retain discretionary funds to afford a Hawaii vacation. "It's about the quality of service and the wealth of the experience," said Mario Mercado, arts and research editor for Travel & Leisure magazine.

Several travel writers agreed at the conference that Hawaii never has been a cheap destination, so the industry should continue its appeal to higher-spending visitors drawn to the islands' culture, honeymooners and other special-occasion groups. Meanwhile, some hotels are beginning to offer package deals such as three nights for the cost of two, or four for three, as they wait for the economy to bounce back.