Sunday marks the start of Tourism Week in British Columbia, normally a time when we celebrate the success of the visitor economy, draw attention to the value and importance of the province’s third largest business sector, and acknowledge the hundreds of thousands of professionals who work directly or indirectly for a tourism or hospitality business.
This year, few, if any of those professionals are in a celebratory mood given how COVID-19 abruptly halted non-essential travel to and within British Columbia, effectively shuttering tourism and hospitality businesses in every region of the province.
Up until the crisis unfolded worldwide and in Canada, travel and tourism was on a trajectory that many other sectors could only dream about. The visitor economy’s contribution as measured in GDP and revenue had steadily increased for five straight years, setting records in the process.
Even while other crises such wildfires affected many parts of the province in 2017 and 2018, overall visitation continued to rise, buoyed by BC’s international reputation for providing exceptional experiences and looking after our guests no matter the circumstances.
Unfortunately, all of those gains have been lost because of how this nasty pandemic has essentially put the brakes on tourism globally and here at home for the foreseeable future. With borders closed, a state of emergency declared, travel outside of one’s hometown discouraged, transportation providers sidelined, and multiple other barriers, tourism operators went from gearing up for the peak visitor season, to hanging a ‘
closed indefinitely
’ sign on their doors.
Suffice it to say, the entire tourism and hospitality industry remains devastated. And the longer this crisis lingers, the greater the damage. Some estimates suggest that as many as 50 percent of restaurants will never reopen and up to 40 percent of hotels may close permanently. Already multiple small operators and sole proprietors have been forced to abandon the jobs they love. It’s not a pretty picture even with the prospect of treading a path forward in the context of BC’s Restart Plan.
Our current scenario therefore begs the question: Is there hope for the visitor economy this summer or the remainder of 2020? Looking at the proverbial glass half-empty scenario, most would say an emphatic
no
. From a glass half-full perspective, the answer is at best
maybe
, but it could be
yes
provided more help is forthcoming by government.
Certainly encouraging residents to travel within and throughout British Columbia will ease some of the pain, especially if people are still ready and willing to spend discretionary income on tourism services and experiences instead of opting for only
free
activities.
But it will take a lot more than British Columbians visiting other parts of the province to save tourism businesses and make up two-thirds of the projected revenue loss this year alone. Aside from controlling and eradicating COVID-19, and developing a vaccine to give people confidence in travelling again, opening international borders under the guise of stringent health and safety measures is paramount to salvaging the province’s visitor economy. Unfortunately, it may be a long wait on all counts.
Moreover, finding ways for
all
tourism businesses to access and benefit from government programs is also vital. Liquidity is still the number one concern among operators as they endeavour to remain solvent until such time they can host guests again and revenues outpace expenses.
While most government measures have been helpful, welcomed and sincerely appreciated, it still may not be enough for the majority of tourism operators to survive another month, let alone the summer. Further federal government assistance such as grants akin to what Canada’s territories have introduced, and higher forgivable loans are necessary to ensure that the visitor economy can rebound from this calamity.
At the very least, our industry is anxiously awaiting the lifting of the
State of Emergency
edict and further directives that allow for freedom to travel to other regions of BC, as well as to and from other provinces when it is safe to do so.
At the BC Tourism Industry Conference in Victoria, renowned industry icon Rick Antonson told delegates at a special COVID-19 session that as the crisis unfolds,
our most important work is in front of us
. Never has that rung more true for all of us in tourism and hospitality than in the last two and a half months leading up to Tourism Week and the start of the peak tourism season.
Please be assured that TIABC and its sector association partners remain steadfast in our commitment to advocate on behalf of industry and work with the Province and the federal government to resolve the major challenges that the visitor economy faces. As hard as it is, I choose to remain optimistic that the next 10 weeks will be better than the last, and that brighter days are on the horizon provided additional support arrives soon.
With that, I feel the need to apologize for such a discouraging message, especially leading into what should be a week of celebration. However, it’s imperative that British Columbians know that the visitor economy is by no means
out of the woods
even though several sectors have developed health and safety protocols that allow for the safe re-opening of their member businesses in the near future.
I am hopeful that with additional support, more
Open for Business
signs in the coming weeks will lead to visitation, employment and revenues for communities and businesses throughout the province that rely so heavily on tourists.
If the value and importance of the visitor economy wasn’t well understood before, it definitely is now as we acknowledge Tourism Week 2020.
Walt Judas
CEO, TIABC
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