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Air arrivals down, but tourists are spending more

Tourism air arrivals have dropped — but visitors are spending more cash.Figures for the second quarter of the year showed a drop of 0.2 percent in air arrivals — 75,013 visitors compared to 75,186 in the same period last year.But the average spend went up by $3 million, with air visitors dropping an average of $1338 compared to $1295 in the second quarter of 2012.A Government spokeswoman said: “This increase was associated with higher spending levels on accommodations and food.“In addition, visitor purchases of other tourism-related goods and services such as souvenirs, recreational activities and transportation increased 6.2 percent during the quarter.”However, cruise ship passenger arrivals fell year-on-year, down 17.2 percent — largely due to 22 fewer cruise ship visits to the island — and they spent less.A total of 133,676 cruise ship passengers visited Bermuda, compared to 161,351 in the second quarter of 2012, spending a total of $28.7 million — down $5.5 million on the corresponding period last year.The island saw a 9.4 percent drop in visitors from Canada — attributed to in part by Air Canada’s decision to cut its services from Toronto to Bermuda.Tourism arrivals by air from the UK, however, rose by 8.1 percent, while the number travelling from the US increased by 0.6 percent.But air arrivals from all other countries dipped by 4.6 percent.Spending on hotels totalled $87 million in the second quarter of 2013, with resort hotels making up 90 percent of the bookings — up 1.8 percent.Small hotels recorded the biggest rise in sales revenue, up nearly 12 percent, while cottage colonies saw a 4.2 percent rise and bookings at other guest accommodations went up by 3.7 percent.Revenue from room sales totalled $51.1 million, a 3.5 percent increase over the same period in 2012.Alcohol sales also increased, up 31 percent over the second quarter of last year, while other sales, including gift shops, golf courses and marinas, rose 2.4 percent.But spending on food in tourist properties fell, dowm five percent to $17.3 million for the quarter.The number of people employed in the hotel industry also fell, with 2373 people working in the sector — 81 posts down on the second quarter of last year.Bermuda residents travelling overseas declared $15.4 million worth of goods at Customs — 7.6 percent lower than the previous year.The biggest buys abroad were clothing and shoes, which accounted for $8.5 million or 55.2 percent of spending overseas.On-island retail sales, however, dropped by 0.3 percent in the second quarter compared to last year — a total of $258.1 million compared to $258.9 million in the second three months of 2012.Spending on building materials also dropped due to a slowdown in construction activity, while retailers in areas like pharmacies, tourist stores and furniture experienced a 6.8 percent decline.Car sales also dropped slightly, down 1.8 percent on the second quarter of last year. Sales at liquor and clothing stores also fell.