We must now keep the energy, buzz and renewed interest in Bermuda alive says BAT chief
For the first time in years Bermuda is witnessing a significant increase in the number of tourists visiting the island. And while one swallow doesn't make a summer, many in the industry believe the economy's second pillar is showing signs of a solid and long-term revival.
So has our tourism industry finally turned a corner after years of stagnation? Reporter GARETH FINIGHAN and photographer TAMELL SIMONS met with the head of the Bermuda Alliance for Tourism, Wayne Smith, to find out.
Q: Tell us a little about Bermuda Alliance for Tourism, how and when it was set up and what its purpose is.
A: The Bermuda Alliance for Tourism (BAT) is a public/private sector organisation formed to bring the two sectors together to improve Bermuda's tourism industry. BAT was the brainchild of the late Minister of Tourism David Allen during the mid-1990s. Minister Allen believed that the best hope for improving the industry was to have all industry stakeholders sitting at the same table when decisions were being made, strategies developed and programmes implemented. The company was incorporated in 2002 and began taking on full time staff in September 2003.
: I started in September 2003. The executive director is essentially the CEO of the company. I am responsible for the day-to-day management and administration of the business; for implementing decisions made by the various committees; and for liaison between BAT's stakeholders ? the Ministry of Tourism and Transport, BIBA, the BHA and the Chamber of Commerce.: BAT is an alliance between the public and private sectors, which brings private sector expertise to Government by collaborating on the development of cutting-edge tourism initiatives, designed to generate additional visitors and increase tourist spending.
BAT serves as a think tank to Government, providing expertise from the business and hospitality sectors, to develop tourism initiatives customised for today's tourism market.
BAT represents everybody living in Bermuda, be it an individual or an organisation. We are also appealing to all organisations. We will work with anyone or any organisation that wishes to be a part of the renaissance of Bermuda's tourism industry, by sharing ideas, discussing opportunities, providing information, assistance, networking, collaborating, whatever. We don't have all the answers. We know that there is a great deal of talent in Bermuda. We hope to be able to galvanise this talent to benefit the tourism industry.
Q: About three years ago pressure group Tourism Action Now (TAN) accused BAT of being ineffective because it had to 'tip-toe around the Minister to keep him happy'. Obviously you don't agree with that?
A: There are many ways to skin a cat. TAN chose one method to address problems in the industry but we at BAT believe in the spirit of partnership. History shows that most problems between humans, be it countries, organisations, businesses or individuals, are the result of a breakdown in communication.
Our strategy has been to try to repair the breakdown in communication so that every voice is heard and every viewpoint considered. We believe that this is the best way to resolve any problems or challenges.
However, you do not have to 'tip-toe around the Minister to keep him happy'. The Minister of Tourism is a results-driven individual who likes to see things being done, objectives met, programmes implemented and changes made 'on the fly'.
We can work with a person like this, because we know what is expected and his modus operandi makes sense. However, there is a right and a wrong way to approach and work with Ministers. We think we've chosen the right way, the way that will prove most effective in the long term.
We encourage members of TAN to join BAT and we can work together to address problems, develop ideas, implement programmes and achieve success in this business for everybody.
Q: You've described yourself as a people person who loves a challenge. Do you think those are essential requirements for anyone looking to work in the Tourism industry at the moment?
A: Yes, these are essential qualities because in this industry we deal with lots of people, from different walks of life and different countries, especially now that we have implemented a geocentric marketing strategy. Also, there are always challenges and problems to solve, like plumbing not working, a guest not being able to find a bus or a taxi, etc. In this business, to be at least as good as our competition, we need people who will say to the guest, "No problem Sir/Mam, I'll take care of that for you, here is the solution, have a great day. Is there anything else that I can do for you today?"
Until we get everybody who lives in Bermuda to think and function in this manner when dealing with our guests, we will always have a lot of work to do.
Q: There's been a definite change within the industry recently. Arrival figures are up and there's a positive vibe among those in the industry. Why do you think that is?
A: Everybody likes to win and/or be associated with a winner. The Minister of Tourism is a winner ? he has introduced low-cost carriers to Bermuda. This has forced the North American based legacy carriers to lower their fares.
For years Bermuda has lost millions of dollars of business and hundreds of thousands of visitors, simply because of the cost of air fares to Bermuda. The introduction of USA3000 last year and Jet Blue this year has allowed us to compete for visitors who hitherto would have travelled somewhere else, just because it was cheaper to do so.
This is true for both business and leisure travellers. We have lost several million dollars' worth of group business because of airfares, but now this is changing. Some of our hotels are showing favourable group business bookings for January 2007, simply because they can now offer attractive packages to groups, thanks to the significantly reduced air fares.
Also, there is a buzz about the industry. The Minister, Director of Tourism and most private sector industry partners are positive people and this is infectious ? others are catching it. Also, the private sector stakeholders are encouraged ? hoteliers by increased occupancy and other companies by increased business as well as the potential for more.
Q: Dr. Brown recently said that Tourism hadn't completely turned the corner but was in the process of making the turn. To what extent do you think that's true?
People can sense that there is reason for optimism and that we are turning the corner to better business. We have survived the lowest period in the history of Bermuda's tourism industry and all indications are that business is up. We must now keep the energy, buzz and renewed interest in Bermuda alive.
Q: To what degree do you think Dr. Brown has played a role in this turnaround?
A: The Minister has led the turnaround. The introduction of low cost carriers has made Bermuda a much more attractive option for both business and leisure travellers. He has also made the Department of Tourism leaner and more results driven, with the sales team now held accountable for meeting targets. On his watch, many other initiatives have been implemented, such as the Summer Series entertainment offering.
I believe that Minister Brown has to be regarded as the most successful Minister of Tourism we have ever had, at least since I can remember. Other Ministers presided over the 'glory days' or the declines in the industry, with several hotels closing.
Minister Brown inherited this portfolio when it was at its lowest point and under his leadership things are improving. No other Minister achieved anything even close to what he has accomplished with his airline strategy. With fewer hotel beds than we had during the 1980s and 1990s, we have a significantly improved quality and cost of air service. Critics of the cruise industry don't realise that this segment contributes several million dollars in revenue to the Government, through taxes and fees. Government would be foolish if it didn't carefully manage this sector and try to develop it further.
Also, there are cruise passengers who spend lots of money off the ship and in Bermudian businesses. Just this week I encountered a mature couple who wanted to dine in Bermudian restaurants each evening their ship was in port.
However, the key issue here is daily carrying capacity and our infrastructure's ability to efficiently and effectively service a certain number of visitors. We should attract up to the number of cruise passengers that our infrastructure is able to service well.
If we can extend the cruise season by attracting more callers in September, October and November, we can attract more cruise passengers without putting additional stress on the infrastructure.
Q: There appears to be more entertainment laid on for our visitors and residents this summer. We have the beach party at Horseshoe Bay, Harbour Nights at Dockyard as well as Hamilton, the Court Street street party. Is entertainment something that those in the industry are striving to improve in recent years and if so, why?
A: All industry partners would like to have improved our entertainment offering because for many years the comments from visitors on the exit surveys have been consistently telling us to improve Bermuda's entertainment and night-time activities.
The challenge has been funding these programmes, since they are very costly, especially in Bermuda. One of the benefits of having casinos is that the revenue generated can fund entertainment. This is how it works in jurisdictions that have gambling. However, the Government has decided not to pursue gambling and this is therefore not an option.
Q: BAT recently helped organise a hospitality training programme for CedarBridge students. How important do you think it is to have Bermudians working in the industry? I've heard several comments recently from people claiming that youngsters don't want to get into tourism because they see it as a declining industry? Can you help turn that mentality around and why is it important for you to do so?
A: We have to attract Bermudians to the hospitality and tourism industry. We will always need guest workers, but we also know that people who travel to a destination like to meet, interact with and be served by the indigenous people of that country.
Who better to sell Bermuda than a Bermudian? Those of us who work in this business have a duty to usher in successive generations of Bermudians so that our tourism offering will always have a Bermudian flavour, look and feel.
If we do not, it may become difficult to differentiate Bermuda from other places in the future. The industry is not declining. In fact there will be new hotels built in Bermuda over the next five years, so this industry isn't going anywhere. I encourage young and older Bermudians to consider this business for career and investment.
Q: What other initiatives does BAT have in the pipeline?
A: The next phase of the CedarBridge initiative involves BAT facilitating a number of these students taking their newly-acquired knowledge to the next level, by taking a course run at the Bermuda College.
In August BAT will be implementing the SuperHost Programme. SuperHost is a customer services standards training programme that was created by Tourism British Columbia and has been so successful that it has been used by numerous destinations around the world. On August 24 there will be a ten-page Bermuda Section in the newspaper. This will feature editorial and advertisements from a collection of private and public sector partners. In fact the writer of the article was in Bermuda this week gathering information for the article.
In September there will be a North American Tour Operators Forum, wherein we will meet with our tour operator partners to create the conditions for increasing business for them and for Bermuda. BAT is developing an Endless Summer Promotion that is designed to generate additional visitors to Bermuda in September, October and November. The key message in this promotion is that our summer doesn't end in August. Most of the time the weather here is absolutely lovely in September, October and November.
We are gearing up for the World Travel Market promotion in London in November and we are inviting large hotels, as well as medium and smaller businesses ? especially attractions and places of interest ? to collaborate with BAT so that a variety of businesses can have a presence through which they can attract UK and European travellers. We are currently in the field with a survey on the behaviour and preferences of the affluent traveller. We will share the results of that survey. We continue to assist the Minister in the development of Bermuda's Air Services Strategy. We are keen to establish relationships with low cost carriers in markets/gateways where such arrangements are not in place today.We are looking for solutions to the island's transportation problems.We have a group business promotion that has already generated several thousand visitors for the next two winters. We have more but we're probably running out of space.
Q: Bermuda was recently involved in sponsoring the NBA play-offs. How did we get involved in that and what has the feedback been like?
A: This is yet another coup by Minister Brown. He picked a winner. Bermuda was not a sponsor of the play-offs , but is a sponsor of the Miami Heat, who are now the NBA champions. Bermuda gets great exposure whenever Miami play, especially at their home games. So the further they advance in the NBA season, the more exposure Bermuda receives.
The Minister implemented this about two years ago as part of a marketing strategy to generate awareness of Bermuda and the American Airlines Miami flight. I've been to two games at the American Airlines Arena and I've seen the Bermuda advertisements pop up on the monitors during these games. BAT tried to encourage the Department of Tourism to enter into a similar arrangement with the New England Patriots when they were the reigning Super Bowl champs two years ago, so obviously we support sports marketing programmes.
Q: What do you think of other promotional initiatives that the Tourism Ministry has launched? They're obviously proving quite successful.
A: I'm actually disappointed that the Ministry of Tourism and Transport was forced to invest in some of these initiatives as I strongly believe that the private sector should have invested in them. However, kudos to the Ministry for taking the initiative when the private sector wouldn't.
There have already been several articles written about Bermuda now being a hot, happening destination with much more to do than in the past. One British writer called it "the new hot Bermuda". However, there are many private sector organisations that are also running successful programmes without the involvement of the Department of Tourism, such as the Don't Stop the Carnival Party on Hawkins Island, to name one. These programmes have also contributed significantly to making Bermuda a more vibrant and exciting destination.
Q: What about the future? Are you confident that Bermuda can build on this momentum. Do you think it is a question of momentum and that once we get a little bit of an upturn, we can build on that and the whole thing snowballs?
A: The most important thing is to learn from the mistakes we made during the 1980s, when the tourism business was at its most profitable and we had up to 650,000 visitors in one year, and not repeat those errors.
When business was good, we failed to reinvest in the product. I hope this never happens again. We rested on our laurels and thought, "This is great, they'll always come!" How arrogant and ridiculous that now seems.
I believe that we will generate increases in the foreseeable future. But this time, we must continuously upgrade our product, including reinvestment in existing hotels as well as encouraging new hotel investment. We must do the same with our attractions and places of interest, whilst offering more entertainment options for visitors, especially during the evenings.
Also, we must give our visitors a better transportation product than our present offering. Situations such as taxis refusing to turn on their GPS systems, visitors missing flights because they cannot get a taxi, strikes like we had this week and crimes committed against visitors must be avoided at all costs.
