Expert: Foreign tourist spending in US might not fully recover
TALLAHASSEE — International tourist spending in the United States might not return to pre-coronavirus levels until 2024, the former head of Florida’s tourism-marketing agency told members of the Economic Club of Florida this week.
And for a state heavily reliant on tourism, the update from Christopher Thompson, president and CEO of Brand USA, didn’t paint a sunny picture.
Thompson, making an in-person appearance Wednesday at the Governor’s Club in Tallahassee, said that even with a vaccine for the coronavirus, consumers will need to be confident about their health while traveling and while at the destinations.
“Today’s environment
is
the
worst we’ve ever faced,” Thompson said. “While the rest of the economy is in a recession, the travel industry is in a depression.”
Thompson, who served as chief operating officer and president of Visit Florida a decade ago, said more than 50% of the hospitality industry is facing unemployment.
Brand USA, focused on international travel to the states, has scaled back spending from up to $15 million a month to less than $2 million, preparing campaigns for when the travel market gears back up.
Thompson said Brand USA is waiting for people to once again “be inspired” about traveling to the United States.
“We’re not forcing it on them. It’s more organic,” he said. “We’re giving them a chance to do it.”
Visit Florida has set aside $13 million to market toward a tourism rebound, with the emphasis in an initial phase on getting Floridians to explore other parts of the state. The money is a carry-over from ad campaigns shut down in the spring because of the virus, which began reducing tourism during the first quarter of 2020.
Second quarter travel numbers, which should fully reflect the economic impact of the virus, have not yet been released for the state.
Meanwhile, other hospitality news continues to drag as the state approaches the midpoint of the third quarter. The Cruise Lines International Association announced Wednesday that ocean-going cruise lines are suspending operations until November. Restaurants and theme parks, including Disney World, Universal Orlando and SeaWorld Orlando, are operating with reduced occupancy, and bars are closed due to the virus.