Overview of the Caribbean Tourism Sector: Managing Tourism Resources

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Overview of the Caribbean Tourism
Sector Managing Tourism Resources
Mercedes Silva Sustainable Tourism
Specialist Adaptation to Climate Change in the
Caribbean Tourism Sector Workshop Grenada, May
27th, 2002
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CTO Membership
Caribbean Map
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CTO Caribbean Sub-Regions
OECS Countries Dutch West Indies Anguilla Aru
ba Antigua Barbuda Bonaire British Virgin
Islands Curacao Dominica Saba Grenada St
Eustatius Montserrat St Marteen St Kitts and
Nevis St. Lucia French West Indies St
Vincent and the Grenadines Guadeloupe Marti
nique Other CARICOM Hispanic
Caribbean The Bahamas Cuba Barbados Dominica
n Republic Belize Mexico Cancun /
Cozumel Guyana Venezuela Jamaica Trinidad
and Tobago US Caribbean Haiti Puerto Rico
Suriname US Virgin Islands Other
Commonwealth Bermuda Cayman
Islands Turks and Caicos Islands CARICOM
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Benefits of Tourism

• Job Creation

• Linkages to Other Sectors

• Socio-Cultural Development

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Visitor Expenditure in the Caribbean (US
billion)






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Employment in Tourism Industry

• CTO conservatively estimates that more than 900
  thousand persons are directly or indirectly
  employed in the tourism industry (300 thousand in
  the accommodation sector)

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Importance of Tourism to Caribbean Economies

• Visitor Expenditure as a Percentage of GDP
• Anguilla - 75
• Cayman Islands - 60
• St. Lucia - 55
• Antigua Barbuda - 49
• Aruba - 41
• Barbados - 36
• St. Kitts Nevis - 31
• Grenada - 28
• St. Vincent Gdines - 28
• Jamaica - 25

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International Caribbean Visitor Arrivals
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International Caribbean Tourist Arrivals Growth
Performance 1987-2000
CARIBBEAN
WORLD
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International Caribbean Cruise Bed Days Growth
Performance 1991-2000
MEDITERRANEAN
WORLD
CARIBBEAN
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Growth in Tourist Arrivals to the Caribbean and
Selected Sub-regions since 1991
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Tourist Arrivals to the Caribbean by Sub Regions
2000
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Tourist Arrivals to the Caribbean by Major
Markets 2000p
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US Travel to Overseas DestinationsComparative
Performance 1990 - 2000
Source USTIA
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Arrivals from Canada to the Caribbean by
Sub-region 2000p
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Average Annual Growth in Arrivals to the
Caribbean from Europe and by Sub Region
1993-2000 P
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Room Capacity in the Caribbean
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Occupancy Rates in the Caribbean (percent)
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Challenges to Caribbean Tourism

• Diminished economic growth in many of our source
  market
• Reduced profitability of airlines
• More countries seriously adopting tourism as a
  viable development option
• Increased leisure travel options within our
  major markets
• Changing Consumer Patterns
• Changing distribution systems

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Challenges to Caribbean TourismClimate Change
Issues

• Sea Level Rise
• most tourism facilities are located in coastal
  areas
• Global Temperature
• warmer winters in northern markets / changes in
  tourism seasons.
• warmer summers in the region / less attractive
  for tourists.
• Precipitation Patterns
• Hurricanes
• lost of infrastructure
• affect region image as a safe destination

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Todays Changing ConsumerNew Standards of
Expectation

• less likely to be satisfied with sun, sea sand
  alone
• more knowledgeable independent
• more environmentally conscious
• more security-concerned
• more likely to travel in family/groups

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Challenges After September 11th

• Safety and security the primary concern of
  travelers both in terms of Air travel and safety
  at the destination
• Shorter booking window, reduced from three months
  to as much as four weeks
• Economic downturn..increased un-employment

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Growing Competition - Product

• higher levels of service outside Caribbean
• freer cross-border travel (notably Europe)
• huge growth in cruise ship inventory and cruising
  destination
• better scheduled airlift to other regions
• Lack of investment and innovation in product
  development in the region

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Towards the Future

• The Caribbean is perceived as a safe destination
  in comparison to its major competitors in the
  middle east and Asia.
• Declines in September estimated at 19 are
  leveling off and showing positive signals of
  recovery.
• Preliminary estimates suggest that arrivals to
  the region in 2001, declined by 2 compared to
  2000
• Greater effort in marketing research

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Towards the FutureSustainable Tourism Approach

• Efforts being made towards Sustainable tourism
  initiatives inclusive of improved product human
  resource development
• Natural Resource Protection
• Carrying Capacity Assessments
• Environmental and Financial Feasibility
• Disaster Mitigation
• Research and Education

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Projected Growth in World Caribbean Tourism

• ave. annual
• 1995 2000
  2010 ch.
• Caribbean 14.7 20.3 28.4 4.6
• World 567.0 698.8 937.0 3.6
• share 2.6 2.9 3.0

millions
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Mercedes Silva Sustainable Tourism
Specialist msilva_at_caribtourism.com www.onecaribbea
n.org www.doitcaribbean.com
Adaptation to Climate Change in the
Caribbean Tourism Sector Workshop Grenada, May
27th, 2002