Tourism spending rose in 2005, state reports
Maine's tourism industry broke out of a four-year slump in 2005 and increased the total number of overnight trips to the state by 9 percent and the number of overnight vacationers by 12 percent, figures being released today show.
Taken together, overnight travelers made 9.7 million trips and spent 15 percent more last year than in 2004, leaving behind $3.1 billion spent on meals, lodging, purchases and services.
The total trip figure breaks down into 4.7 million "marketable" visits, which represent discretionary vacation travel, and 5 million visits to relatives or friends.
The state's tourism office credited better marketing and promotion, good summer weather and rising gasoline prices that kept motorists closer to home for the strong showing.
"2005 was a very good year," said Dann Lewis, the state's tourism director. "It reversed a trend that had been soft for four years."
The data are part of an extensive report prepared annually for Maine's tourism office by Longwoods International, a Canadian travel research firm. Other findings will be highlighted in Bangor today by Gov. John Baldacci, who is scheduled to visit a new dock on the Penobscot River. Two cruise ships owned by American Cruise Lines, a fast-growing tour operator that uses Bangor as a home port, are expected to be tied up at the facility.
The growth of cruise ship traffic in Maine reflects activity that helped bolster Maine's tourism industry, the largest single contributor to Maine's economy. Tourism generated $13.6 billion in sales and provided 176,600 jobs in 2004, according to data gathered by Longwoods and the tourism office.
Despite that, Maine and New England in general have struggled to attract more visitors over the past four years. Competition from other destinations, the legacy of the 2001 terrorist attacks and other factors have been blamed for the malaise.
Maine responded by hiring a New York City advertising agency that revamped the tourism marketing campaign and redesigned the state's Web site. Both actions have come under fire by critics who questioned specific elements of these efforts, but the 2005 results suggest the changes are making a difference.
That's one conclusion that can be drawn from the 12 percent jump in overnight trips that Longwoods International defines as "marketable." These trips represent discretionary vacation travel, not visits to friends and relatives. In the tourism industry, marketable trips are of special interest because they can be influenced by advertising and promotion.
"These are people who made a choice to come to Maine," said Charles Colgan, associate director of Maine's new Center for Tourism Research and Outreach at the University of Maine and the University of Southern Maine.
By comparison, overnight vacation trips grew nationally by only 2 percent, Colgan noted.
At the same time, Maine's share of trips by Northeast residents grew by 14 percent. Massachusetts saw a 10 percent rise, and the other New England states had little or no growth. That's also an important indicator. Maine competes with the other New England states for visitors, and the largest share of Maine tourists come from Massachusetts, New York and other Northeast states.
"It means we're not only riding the wave," Colgan said, "but we're being more successful than others."
Overall, Maine hosted 9.7 million overnight trips in 2005, a 9 percent increase. Overnight trips are a key barometer in the tourism industry because those visitors spend the most money for food, lodging and services.
The Longwoods data also found that the largest change in gross spending for overnight trips took place in marketable travel, up 22 percent. That compares with a 6 percent increase in gross spending for visiting family and friends and a 2 percent drop in business spending.
Release of the favorable tourism data comes as the economy slows and Baldacci faces a challenge for re-election in November. Lewis acknowledged that the figures had been tabulated a bit late this year, a delay he attributed to staff changes in the State Planning Office, not politics.
"You could say it's a happy coincidence," he said of the timing of the release. "But you can't manipulate this thing. Longwoods uses the same methodology each year."
Last year's rosy outcome did seem at odds with the experiences of some of the state's hotel and motel owners, however.
"Those are awfully big numbers, and there are a lot of areas of the state that didn't share in that success," said Greg Dugal, executive director of the Maine Innkeepers Association.
The statewide data complied by Longwoods doesn't capture regional variations, Dugal said. Roughly 60 percent of hotel rooms are in southern Maine, he noted, a short trip for Boston-area residents, despite rising gasoline prices. Midcoast and Down East hotels didn't see as much traffic, he said, and could use more marketing help from the state.
"The numbers are a good thing," he said of the 2005 data. "But don't be deluded. We need to pay attention to areas that aren't doing as well."
Dugal, Colgan and Lewis did agree that the strong performance in 2005 raises expectation for 2006.
Early indicators are positive. Despite a snowless winter and wet spring, tourism inquiries are up this year, Lewis said. The weather has been largely warm and sunny since mid-July, and Dugal said his members are reporting strong advance bookings for the fall. On the flip side, traffic counts on the Maine Turnpike for the first half of 2006 are down, according to Colgan.
Of course, the final figures won't be available until next summer.
"I wouldn't expect another 14 percent increase in market share," Lewis said, "but we're hoping for a reasonable showing."