Investors gather in Bermuda
Caribbean tourism brand still strong
Maura Curley
They came from the east, west, north and south. And though the numbers declined from last year, those who attended the 13th annual Caribbean Hotel and Tourism Investment Conference (CHTIC) in Bermuda in April of 2009 confirmed a strong commitment to the Caribbean.
Randy Shuert, an executive for Best Western International said he cancelled a lot of events this year, but not CHTIC.
“We’ve always done this, and we’ll continue...” he promised.
Sponsored by theCaribbean Hotel and Tourism Association(CHTA), representing the hospitality industry’s private sector, and the Caribbean Tourism Organization (CTO), which represents governments of the region, CHTIC has evolved into the destination for a diverse group of government officials, hoteliers, bankers, developers, and investors to network and find common ground.
Though being bullish is improbable in the current economy, the conference succeeded because connecting and communicating encouraged improvisation and innovation.
During opening remarks at Bermuda’s Fairmont Southampton, Bermuda’s premier Dr. Ewart Brown told delegates “The successful future is one of partnership across the Caribbean, where the public sector and private sector reach mutual goals.”
CTO Chairman John Maginley, minister of tourism for Antigua and Barbuda, said one of the major challenges is to remain viable in the marketplace with less revenue to spend on marketing. He challenged governments and hoteliers to work together to maintain the quality of the tourism product and find creative solutions to drive visitors to the Caribbean.
Enrique De Marchena, managing partner of the law firm De Marchena Kaluche & Associates in the Dominican Republic, and president of Caribbean Hotel and Tourism Association, said he hoped the conference would generate new initiatives to produce investment opportunities in Caribbean tourism – “despite a very perilous time in the history of global economics.”
Two days of presentations included projections and predictions from economists, lenders, hoteliers and advisors.
Like last year, a focus was on ecological viability. Presenter Onaje Jackson, founder of Sustainable Systems and Design International, based in St.Croix, explained the many benefits of sutainabile development to the planet and the bottom line.
Avery Shenfeld, managing director and senior economist for CIBC World Markets, revealed, “There is some light at the end of the tunnel, as new capital and the freezing of the capital markets appear to be easing off.”
He said government spending was “the ultimate weapon” and predicted it will hit the global market in the second half of the year. He said “By 2011 we expect to see all of the green lights flashing.” But, we are not at the bottom yet.”
Duane T. Vinson, vice president of Smith Travel Research, observed hotel room rates and revenue have declined considerably. He pointed out that high-end luxury properties are discounting more and that business and corporate travel, meetings and conventions are off significantly.
Jean-Claude Baumgarten, president and CEO of the World Travel & Tourism Council, cited long-term travel and tourism prospects in the Caribbean remain healthy. He said GDP growth for the travel and tourism economy is expected to average 3.3 percent per annum over the coming ten years. But in the interim travel and tourism economy is likely to contract by minus 7.9 percent in 2009.
Baumgarten noted that the Caribbean region has been too dependent on tourists from North America, and suggested industry leaders diversify their target markets.
CHTIC was promoted this year, as being the venue “ for serious players.”
And the 296 attendees represented strong stakeholders in the region, including global brands, such as Wyndham, Marriott, Starwood Hotels and Resorts, Four Seasons Hotels and Resorts, Hilton Hotels Corporation, Hyatt Hotels, Best Western, Choice Hotels, and Rock Resorts. Some high end regional boutique hotels were also represented.
Interval International, the leading provider of vacation exchange services, which assists vacation ownership members with booking vacation destinations around the world, reaffirmed its strong interest in the Caribbean brand.
Despite the economy, Interval International continues to actively support Caribbean tourism initiatives via contributions to the Caribbean Hotel and Tourism Education Foundation and numerous conference sponsorships.
Interval’s vice president for resort, sales and service, David Callaghan, and Howard Nusbaum, president and CEO of American Resort Development Association (ARDA) were optimistic about vacation ownership and the future of mixed-use developments.
Callaghan mentioned “ a pipeline of possibilities” Interval is exploring. He observed that many who planned to buy a vacation home are now rethinking options. He said they are more fully realizing the value of sharing the expense through investment in fractional vacation ownership.
Callaghan explained vacation ownership ranges from basic “ time share” to membership in elite private residence clubs, affiliated with brands like Marriott and Starwood.
Nusbaum spoke about how vacation ownership increases occupancy in mixed use development, and infuses capital into the local and regional economy. He pointed out it’s less likely for those with a prepaid vacation ownership option, to forgo a vacation. Nusbaum says the rational - especially these days- is” If I paid for it, I’m going to use it.”
The 2010 conference will be held in May in San Juan, Puerto Rico. Conference website CHTIC.
Photo Left: Richard Kahn, president Kahn Travel Communicatons, Howard Nusbaum, president and CEO American Resort Development Association, and David Callaghan, vice president Intervale International at the 2009 Caribbean Hotel and Tourism Investment Conference in Bermuda.
Photo Right: Faith Taylor Vice president Wyndham Wordlwide and Michael Simonette publisher Bahamas Financial Digest at Caribbean Hotel and Tourism Investment Conference in Bermuda.
virginvoices.com photos by Maura Curley
Maura Curley is publisher of virginvoices.com
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