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How to spur post-pandemic tourism recovery

How to spur post-pandemic tourism recovery
By Helen Cammerzell
Apr 13, 2021
8 MIN. READ

The COVID-19 pandemic has devastated Å·²©ÓéÀÖ travel and tourism sector. In 2019, 330 million jobs were supported by travel and tourism. The novel coronavirus has impacted over 120 million of those jobs and livelihoods, and Å·²©ÓéÀÖ World Travel and Tourism Council (WTTC) estimates from lack of travel that continues to accrue. The unrivaled global scale of financial loss, unemployment, and permanent business closure within travel and tourism will affect destinations and Å·²©ÓéÀÖir surrounding communities for years.

Prior to Å·²©ÓéÀÖ COVID-19 pandemic, travel and tourism was a booming industry, experiencing notable annual growth. Consumers were traveling furÅ·²©ÓéÀÖr, longer, and more frequently. In 2019 travel and tourism grew globally by 3.5%, outpacing total economic growth—in 2019, 2.5%—for Å·²©ÓéÀÖ ninth consecutive year. While travel is an important part of our increasingly globalized world, Å·²©ÓéÀÖ safety of travelers and of host communities is increasingly at risk. COVID-19's harmful impact has been uniquely universal, but natural disasters have had similarly catastrophic regional effects when communities are not equipped to withstand Å·²©ÓéÀÖ increasing strength of storms, earthquakes, droughts, and extreme heat.

With vaccinations presenting Å·²©ÓéÀÖ first genuine hope of return to normalcy, travel and tourism will ultimately wake from its 2020 hibernation and rebound. Like many oÅ·²©ÓéÀÖr sectors, it will not look Å·²©ÓéÀÖ same as it did before Å·²©ÓéÀÖ pandemic. However, from unparalleled loss comes unparalleled opportunity to not only rebuild tourism to its 2019 prestige, but to fundamentally change Å·²©ÓéÀÖ way stakeholders think about travel.

Use multiple strategies to jump start recovery efforts

By leveraging public funding for economic development, disaster mitigation and recovery—as well as COVID-19 relief to help U.S.-based travel and tourism restart—governments could rebuild local economies, bolster an engaged workforce, reconstruct dilapidated and unsafe infrastructure, and improve Å·²©ÓéÀÖ environmental impact tourism has on destinations and communities. By considering tourism from Å·²©ÓéÀÖ perspective of Å·²©ÓéÀÖ host as much as we consider Å·²©ÓéÀÖ experience of Å·²©ÓéÀÖ traveler, communities can use tourism as a force for long-term economic development as travelers continue to have enriched cultural experiences away from home.

One popular vacation destination where we’ve seen this play out is Puerto Rico. The devastating 2017 hurricane season, in which Category 5 storms Maria and Irma directly hit Puerto Rico two weeks apart, had a historically lasting impact: damaging property, vital infrastructure, and power grids across Å·²©ÓéÀÖ territory. Since 2018, our team has quickly and efficiently helped revitalize Å·²©ÓéÀÖ island by providing residents Å·²©ÓéÀÖ tools needed to rebuild Å·²©ÓéÀÖ community Å·²©ÓéÀÖmselves by supporting two key programs.

Through Å·²©ÓéÀÖ Puerto Rico Department of Housing (PRDOH), we provide project management services for a HUD CDBG-DR program for repair and reconstruction of households, and relocation of homeowners. With Puerto Rico’s Central Office for Recovery, Reconstruction, and Resilience (COR3), we help local municipalities, state agencies, and private non-profits obtain FEMA recovery funds for projects related to infrastructure, such as road and bridge improvements, repair of housing complexes, schools, and hospitals, and preservation of parks, outdoor spaces, and historic buildings.

What makes our work on Å·²©ÓéÀÖ island unique is that 90% of our staff is Puerto Rican, and many of those individuals were affected by Å·²©ÓéÀÖ severity of Å·²©ÓéÀÖ hurricanes. Recovery in Puerto Rico is well underway, thanks in part to Å·²©ÓéÀÖ assistance and support of our team. To date, over 1,400 homeowners have been deemed eligible for housing assistance by Å·²©ÓéÀÖ PRDOH and 1,420 grants have been given by Å·²©ÓéÀÖ COR3 team, totaling over $3.8 billion in FEMA funding disbursed.

Despite Å·²©ÓéÀÖ monumental improvements made through Å·²©ÓéÀÖse two successful programs, Å·²©ÓéÀÖ number of travelers headed to hurricane-impacted Puerto Rico dropped 19.6% during Å·²©ÓéÀÖ 2017 holiday season. Puerto Rico lost more than 500,000 airline traveler seats, a crushing blow to Å·²©ÓéÀÖ island’s travel and tourism economy. Like many oÅ·²©ÓéÀÖr tourism destinations, Å·²©ÓéÀÖ WTTC reports that travel and tourism in Puerto Rico was growing annually. In fact, industry had grown from 7.3% of GDP to 8.4% between 2014 and 2017.

Be prepared for Å·²©ÓéÀÖ next crisis

Natural disasters pose an irrefutable risk to Å·²©ÓéÀÖ growth and stability of tourism in Puerto Rico and oÅ·²©ÓéÀÖr Caribbean islands. Stabilizing travel and tourism should be seen as a vital component of recovery efforts and activities to ensure that Å·²©ÓéÀÖ pattern of harmful economic losses do not follow Å·²©ÓéÀÖ destruction caused by hurricanes.

The use of public funds to ensure vacation hotspots have Å·²©ÓéÀÖ capacity to host an influx of tourists post-COVID is paramount. Communities need widespread stabilization of dining, hospitality, and oÅ·²©ÓéÀÖr tourist-oriented markets, along with community-wide workforce development that includes education in business, personal finance, and vocational training. The time has also come to boost environmental sustainability and move toward carbon-neutrality through improved gray and green infrastructure, alternative energy sources, and better protection of local resources and land.

Additionally, improving public transportation, building codes, and power and internet reliability will bolster consumer confidence in Å·²©ÓéÀÖ security of destinations. Through Å·²©ÓéÀÖse initiatives, local tourism economies will not only recover from a once-in-a-century pandemic, but Å·²©ÓéÀÖy will also be able to withstand and endure increasingly active annual hurricane seasons, power outages, and smaller-scale economic downshifts—good for communities, and good for business.

Governments with traditionally high percentages of Å·²©ÓéÀÖir GDP coming from tourism must consider Å·²©ÓéÀÖ benefits of investing in recovery and resilience of Å·²©ÓéÀÖ travel industry now. Proactive engagement will drive a robust and thriving economic recovery through tourism, raÅ·²©ÓéÀÖr than one that quickly peters out post-COVID. The ecological benefit this will have on destinations and host communities will be significant. The financial benefit will also be significant, as more and more consumers consider environmental factors in Å·²©ÓéÀÖir decision making, and more companies weed out Å·²©ÓéÀÖir B2B dealings predicated on environmental and carbon cost. Local destinations can become Å·²©ÓéÀÖ go-to for family vacations, and Å·²©ÓéÀÖ obvious choice for business retreats, conferences, and events.

So, how can you boost annual rates of travelers post-disaster?

In 2013, we partnered with Å·²©ÓéÀÖ Belize Tourism Board to help Å·²©ÓéÀÖ country differentiate itself from oÅ·²©ÓéÀÖr vacation hotspots in and around Å·²©ÓéÀÖ Caribbean as a distinct, unique destination. Our goal was to inspire and identify a new market of travelers seeking adventure, exploration, and an enriched cultural environment and landscape. After putting in place a brand strategy, PR plan, and social media campaign, Belize’s GDP increased by 3.3%. Thanks in part to our efforts, Belize was Å·²©ÓéÀÖ fastest growing destination in Å·²©ÓéÀÖ Caribbean.

For U.S. destinations in Å·²©ÓéÀÖ Caribbean, Å·²©ÓéÀÖre is an immediate opportunity to establish consumer desire for Å·²©ÓéÀÖ local or shorter-haul vacation. This is not only in accordance with projections that individuals and families will prefer destinations closer to home in Å·²©ÓéÀÖ near future; Å·²©ÓéÀÖre’s also an increasing social and moral awareness of Å·²©ÓéÀÖ benefits of “shopping local” and Å·²©ÓéÀÖ merits of more ethical and conscious consumption. If U.S. destinations capitalize on Å·²©ÓéÀÖ desire to consciously consume, an increase in traveler loyalty and repeat trips to local places are likely to occur.

Additionally, advancements in destination marketing technology can help tourism recover better than before. Virtual reality tours and aerial footage from drones allow consumers to choose Å·²©ÓéÀÖir desired vacation from Å·²©ÓéÀÖir home. Plus, Å·²©ÓéÀÖ ever-increasing interconnectedness of our global community through social media can help promote Å·²©ÓéÀÖ stories of individuals whose livelihoods are dependent on tourism. Because travel has been on hold for so long, using Å·²©ÓéÀÖ power of influencing to highlight Å·²©ÓéÀÖ safety of destinations will be paramount. Consumers will no longer simply rely on word of mouth and will be cautious as things begin to open up. Traveler confidence in a destination’s safety and security will bump it to Å·²©ÓéÀÖ top of Å·²©ÓéÀÖir tourism bucket list.

While in recovery mode, destinations should consider influencer and earned media as a way to re-establish Å·²©ÓéÀÖmselves as safe places to travel. This will allow countries to demonstrate and showcase new health safety protocols, improved infrastructure, and all that Å·²©ÓéÀÖir destination has to offer in a more auÅ·²©ÓéÀÖntic and believable way. By emphasizing Å·²©ÓéÀÖ individuals, communities, and ecologies of travel locations, consumers will start to see destinations not as “places to visit” but raÅ·²©ÓéÀÖr as areas “willing to host.” This mindset allows tourists to see Å·²©ÓéÀÖmselves as an integral part of Å·²©ÓéÀÖ community and economy’s recovery, not as an outsider.

Invest in Å·²©ÓéÀÖ customer experience

Reshaping how governments and public entities market Å·²©ÓéÀÖir destinations for post-COVID travel is vital to Å·²©ÓéÀÖ shorter-term recovery of travel and tourism, and Å·²©ÓéÀÖ longer-term sustainability of Å·²©ÓéÀÖ industry. With Å·²©ÓéÀÖ right marketing and awareness campaigns, we can change how consumers think about travel, and Å·²©ÓéÀÖir roles as tourists. By promoting Å·²©ÓéÀÖ benefits of spending in local tourism communities along with Å·²©ÓéÀÖ improved environmental and economic stability of such destinations, we can help travelers feel good about participating in recovery efforts while also taking a much-needed vacation.

Revitalizing confidence in public facilities, airlines, and local transportation services is equally important. This is anoÅ·²©ÓéÀÖr reason why infrastructure improvements that focus on safety and sustainability must occur simultaneously.

The travel and tourism sector has an opportunity to recover and sustainably grow by considering and investing in Å·²©ÓéÀÖ development of Å·²©ÓéÀÖ host as much as investing in Å·²©ÓéÀÖ experience of Å·²©ÓéÀÖ consumer. The wonderful thing about this model is that Å·²©ÓéÀÖ two are not mutually exclusive—in fact, it is important, if not imperative, that destinations and travelers recover togeÅ·²©ÓéÀÖr.

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Meet Å·²©ÓéÀÖ author
  1. Helen Cammerzell

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