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US TRAVEL industry leaders Jonathan Tisch, chair and CEO of Loews Hotels; Caroline Beteta, president and CEO of California Travel and Tourism Commission and Roger Dow, US Travel Association president and CEO

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MEMBERS of Miamis welcoming committee dress the part.

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THESE Pow Wow delegates who share dinner under the rain in Coconut Grove, dont seem to mind as the city of Miami is drenched after three months of dry weather.

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POW WOW isnt only for travel executives, as members of both print and broadcast media troop to Miami in search of travel stories.

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DESPITE the swine flu scare, New York remains one of Americas most favored destinations.




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DESPITE RECESSION, FLU SCARE
US travel sector remains upbeat

By Alex Vergara
Philippine Daily Inquirer
First Posted 20:23:00 06/20/2009

Filed Under: Travel & Commuting, Tourism, World Financial Crisis, Swine Flu

WITH the number of foreign visitors to the United States in 2008 still down by 633,000 compared to pre 9-11 figures, these days may not be the best of times for the US travel industry.

As if the global economic downturn isn?t enough, a recent spike in the number of swine flu cases in as many as 30 states is scaring away untold numbers of potential tourists.

But for US travel and hospitality executives who took part in the recent annual International Pow Wow in Miami, these days aren?t the worst of times either. After minor delays, for instance, several Las Vegas high rollers were looking bullish as they resumed work on several shopping, hotel and entertainment complexes due to open late this year and in early 2010.

?There have been some readjustments,? said Alicia Malone, PR manager of the Las Vegas Convention and Visitors Authority. ?The Harmon, for instance, was originally envisioned as a condominium for short as well as long-staying guests. It?s now strictly a hotel.?

After unforeseen delays, MGM, one of Manny Pacquiao?s preferred addresses on the Strip, has also found financing for its MGM Mirage project due to open this winter.

Even CityPass, the pioneer and the biggest provider to sightseers of discounted booklets (offering as much as 30 to 50 percent savings) of actual tickets to the most popular museums and attractions, remains upbeat. It recently added Houston, Texas? premier city, to its growing list of featured destinations.

?We look at 2009 as a year of opportunity,? said Mike Gallagher, CityPass founder and co-CEO. ?We?re not cutting back. In fact, we?ll be more aggressive than ever.?

Largest meeting

More than 3,000 supplier delegates, 1,200 international and domestic buyers and 350 members of media within and outside the US gathered here for five days in May in what was dubbed as the largest meeting of travel and travel-related industries and organizations in America.

Under the helm of Roger Dow, president and CEO of the newly formed US Travel Association (USTA), the US has taken a more pro-active stance as it fights back on several fronts to regain its place in the lucrative but extremely competitive global travel market.

The USTA is the result of the merger of the Travel Industry Association (TIA), which Dow also led, and the Travel Business Roundtable early this year.

?It has really increased our voice inside the Beltway, around the country and with media,? said Dow. ?There?s a very clear image of who we are, which has given us more visibility and opened up more communication.?

The merger has so far helped USTA marshal $6 million to fund such areas as communications, public affairs and research. In line with the merger, USTA also launched and continues to beef up discoveramerica.com, a more comprehensive and user-friendly website.

Promoting the US to top markets such as Canada, Mexico, Japan, Germany and the United Kingdom remains a top priority, but Dow and his colleagues have begun laying the groundwork for more aggressive promotions to huge emerging markets such China, India, Brazil and even Russia.

Private sector

It?s interesting to note that while other countries, including the Philippines, have their respective government-funded tourism offices to articulate, promote and direct tourism efforts, the US government doesn?t spend a single cent to promote tourism.

Instead, it relies on private sector initiatives from the likes of USTA and hundreds of convention and visitor bureaus spread out all over the US.

Dow hopes to remedy that with the passage of the Travel Promotion Act (TPA). Once it is passed into law this year, it?s designed to stimulate public-private partnerships that would promote travel to the US throughout the world.

For the first time in many years, travel executives had an audience with US President Barack Obama in the White House. Obama, said Dow, was very receptive since he understood tourism?s importance as a much-needed stimulus to jumpstart the ailing US economy.

?Long-haul overseas market is critical,? he added. ?It?s the darling of everyone?s economy because people stay longer and spend more.?

Last year, overseas visitors spent $142 billion in the US. Long-haul travelers spend on average $4,500 per visit (including air fare and hotel accommodations) versus $1,000 for North American travelers.

Shopping habits

In a related survey commissioned by Taubman Centers and Shop America Alliance regarding shopping habits of 1,760 tourists coming from America?s top five markets, 30 percent of respondents said shopping was a factor in their choice of a US destination.

Surprisingly, Mexicans emerged as the biggest shoppers, spending an average of $1,310 on shopping out of $3,249 spent on the entire trip. The Japanese were a close second: $1,200 on shopping out of $4,722 for the total trip.

Which was why Dow welcomed with open arms last year?s expansion of America?s Visa Waiver Program (VWP) to include such countries as South Korea, Hungary, Czech Republic and Estonia, among others.

The total brings the number to 35, as citizens of these countries join the ranks of tourists from the UK, Germany, France, Japan, Italy, Australia, Singapore, Switzerland and even tiny Brunei, who are allowed visa-free travel to the US for as long as 90 days.

USTA is looking to expand VWP by pushing for the inclusion of Greece, Brazil and Argentina. No mention was made of the Philippines. At the same time, consular offices all over the world are working to drastically cut waiting time for the issuance of tourist visas to China, India and Brazil.

Further expansion of VWP is contingent on the establishment of a biometric (fingerprint) system to verify exiting foreigners. And the US, with the introduction of a new, improved system to more international airports, is also making headway in this area.

?Pow Wow isn?t just about getting more people to come to the US to spend more money,? said Dow. ?It?s about how we build understanding and relationships. Travel is so critical to the long-term survival of our economy and our way of life.?

Northwest/Delta flies daily from Manila to Miami via Japan.



Copyright 2012 Philippine Daily Inquirer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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