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Visitor numbers rise, but tourism business still fragile

CEO of the Bermuda Tourism Authority Bill Hanbury.

Visitor numbers went up by five percent in the second quarter of the year, Tourism chiefs have revealed.

And total visitor arrivals to the end of the June rose by four percent, according to the latest figures from the Bermuda Tourism Authority (BTA).

Cruise ship arrivals were also up nine percent for the second quarter and by nine percent for the year-to-date — but that was attributed to cruises being cancelled last year and repair work on Heritage Wharf in Dockyard.

Air arrivals fell by three percent in the second quarter compared to the same period in 2013 — 2,176 fewer visitors — while year-to-date air arrivals were down two percent (2,509 people) compared to the previous year.

The number of hotel room nights booked in the second quarter also dropped, by four percent, and by two percent in the year to date compared to the same period in 2013.

BTA chief Bill Hanbury said: “Despite the slight decline in hotel figures, BTA’s potential to effect positive economic results has increased.”

He added that increased use of new technology meant that marketing could be targeted at “multiple areas on untapped opportunity ready to be exploited.”

Mr Hanbury said: “The speed at which our business intelligence reaches us provides an agility and responsiveness never before seen in the promotion of Bermuda to the world.

“Additionally, the retooling of our marketing partnerships and brand messages are starting to show positive results.”

But he warned: “Importantly, we need time for these strategies and tactics to gain traction within an extraordinarily competitive global marketplace before Bermuda will see additional jobs and economic growth.”

The report also found that the average daily room rate had also risen by five percent for the second quarter, while the rate over the year-to-date went up by four percent.

And the number of available rooms fell by 12 percent for the year-to-date and by eight percent in the second quarter — largely due to hotels renovations taking rooms out of circulation.

Revenue per available room also dropped, by three percent in the second quarter, although it rose slightly for the year-to-date — by one percent — compared to last year.

The BTA said that the tourism business still showed “fragility” and showed only slight gains over the same period last year.

The BTA update added: “It should be noted that external factors such as inaccurate information about beach pollution, air route shifts, public transportation disruptions, reductions in international business and fewer hotel beds at higher rates all could impede Bermuda’s fledgling economic revitalisation.”